Print

Mail

wiki links

China's textile exports worry EU, US

A shopkeeper waits for her customers at a store in a garment wholesale street in Shanghai yesterday. China has cautioned its peers against any hasty implementation of safeguard mechanisms to restrict its booming textile exports, warning such measures would run counter to free trade principles. PHOTO: AFP

China is seeking talks with the EU and the US over its ballooning clothing exports, hoping to avoid new textile restrictions, a government official said through China's state-run news agency.

The government will soon send a delegation to Washington and Brussels, said Wang Shenyang, director of the Beijing-based China Chamber of Commerce for the Import and Export of Textiles. His remarks were reported by Xinhua news agency, a mouthpiece of the government.

China's textile exports in January and February rose 35 percent overall, after decades-old quotas that limited trade in 2,400 items were scrapped at the end of last year, the customs bureau said on March 10. Exports to the US surged two-thirds in January and to the EU, 46 percent.

The rise in exports triggered calls from textile-importing nations for new limits to be placed on China to protect domestic apparel industries. The American Manufacturing Trade Action Committee, which represents US textile companies, on March 11 called for "safeguard" procedures to limit imports of pants, shirts and other items.

"Our government needs to recognize the severity of the situation," said Auggie Tantillo, executive director of the committee.

Wang cautioned Brussels and Washington against implementing "safeguard measures," short-term restrictions allowed by the WTO under specified conditions.

"If the EU and US implement measures against China's exports on the basis of one month's figures, I don't think that's right,'' Wang told Xinhua. He invited aggrieved countries to "first communicate with the Chinese government and industry to discuss solutions." Chinese exports now account for 22 percent of the US apparel market, compared with 16 percent a year earlier, according to the US Commerce Department's Office of Textiles and Apparel.

European Trade Commissioner Peter Mandelson said that the EU is monitoring Chinese garment imports and is in contact with Chinese authorities over the issue.

He said the EU will take "appropriate action at the appropriate time" to stem any surge in shipments to the 25-nation bloc. An EU delegation will travel to Beijing this week to discuss its concerns.
This story has been viewed 2676 times.