China yesterday scrapped concessions meant to avert a trade war with the US and Europe, responding to new US and European quotas by cancelling plans to increase export tariffs on Chinese textiles that are flooding their markets.
Chinese Commerce Minister Bo Xilai (薄熙來) criticized US and EU textile quotas as a violation of WTO rules.
He said that Beijing would "firmly protect" its legal rights, though he didn't say what steps his government would take.
Beijing last week announced it would quintuple export tariffs on 74 types of goods on June 1, trying to persuade its trading partners not to restrict textile imports that have soared since a global quota system expired on Jan. 1.
The announcement of plans to scrap the tariffs cited US and European steps to restrict imports of Chinese clothing and textiles.
Chinese producers shouldn't face "double pressure," Bo said at a news conference.
The announcement came as China prepared for a visit this week by US Commerce Secretary Carlos Gutierrez.
Textiles are among a series of disputes that have strained China's relations with the US, the EU and other major trading partners.
China also is under pressure to raise the government-set exchange rate of its currency, the yuan, and stamp out rampant piracy of music, software and other goods.
WTO rules
The US and European decisions on textile quotas cited terms of China's WTO membership agreement that let its trading partners restrict imports that are disrupting their markets.
Bo, however, accused Washington and the EU of violating WTO rules by failing to provide adequate evidence of market disruption.
He said that they used data from too short a period and made an "easy decision" to impose quotas.
"In our opinion, this move lacks legal grounding and therefore is incorrect," Bo said at a news conference. "The United States and European Union have not provided adequate data. ... That is unreasonable and unscientific."
The US says imports of Chinese clothing and other textile goods are 54 percent above last year's level.
The EU says imports of Chinese-made T-shirts rose by 187 percent in the first four months of this year, while flax yarn imports rose by 56 percent.
Restrictions
The EU took the dispute to the WTO on Friday, giving China 15 days to react. It means the EU will be allowed to restrict the growth of imports of flax yarn and T-shirts to an annual rate of 7.5 percent.
Washington earlier imposed controls restricting growth of imports of Chinese-made cotton pants, underwear, synthetic fiber shirts and other goods to an annual rate of 7.5 percent.
Already on Friday, the Chinese government reacted to US import quotas by saying the new export tariffs wouldn't apply to goods already affected by foreign controls.
Bo complained that the foreign quotas were damaging a Chinese industry that employs 19 million workers, many of them poor.
Bo said the US and EU were partly to blame for the jump in Chinese textile imports because they failed to carry out earlier promises to lower market barriers ahead of the January lifting of the quota system.
"The fundamental, true reason for this is that the United States and the European Union could not faithfully and honestly implement their obligations," he said.
Bo said despite the rancor over textiles, China wanted healthy trade relations with Washington.
"There are areas where we can seek mutual benefit," he said. "So we are quite optimistic about the future of this bilateral trade relationship."
ROLLER-COASTER RIDE: More than five earthquakes ranging from magnitude 4.4 to 5.5 on the Richter scale shook eastern Taiwan in rapid succession yesterday afternoon Back-to-back weather fronts are forecast to hit Taiwan this week, resulting in rain across the nation in the coming days, the Central Weather Administration said yesterday, as it also warned residents in mountainous regions to be wary of landslides and rockfalls. As the first front approached, sporadic rainfall began in central and northern parts of Taiwan yesterday, the agency said, adding that rain is forecast to intensify in those regions today, while brief showers would also affect other parts of the nation. A second weather system is forecast to arrive on Thursday, bringing additional rain to the whole nation until Sunday, it
CONDITIONAL: The PRC imposes secret requirements that the funding it provides cannot be spent in states with diplomatic relations with Taiwan, Emma Reilly said China has been bribing UN officials to obtain “special benefits” and to block funding from countries that have diplomatic ties with Taiwan, a former UN employee told the British House of Commons on Tuesday. At a House of Commons Foreign Affairs Committee hearing into “international relations within the multilateral system,” former Office of the UN High Commissioner for Human Rights (OHCHR) employee Emma Reilly said in a written statement that “Beijing paid bribes to the two successive Presidents of the [UN] General Assembly” during the two-year negotiation of the Sustainable Development Goals. Another way China exercises influence within the UN Secretariat is
LANDSLIDES POSSIBLE: The agency advised the public to avoid visiting mountainous regions due to more expected aftershocks and rainfall from a series of weather fronts A series of earthquakes over the past few days were likely aftershocks of the April 3 earthquake in Hualien County, with further aftershocks to be expected for up to a year, the Central Weather Administration (CWA) said yesterday. Based on the nation’s experience after the quake on Sept. 21, 1999, more aftershocks are possible over the next six months to a year, the agency said. A total of 103 earthquakes of magnitude 4 on the local magnitude scale or higher hit Hualien County from 5:08pm on Monday to 10:27am yesterday, with 27 of them exceeding magnitude 5. They included two, of magnitude
Taiwan’s first drag queen to compete on the internationally acclaimed RuPaul’s Drag Race, Nymphia Wind (妮妃雅), was on Friday crowned the “Next Drag Superstar.” Dressed in a sparkling banana dress, Nymphia Wind swept onto the stage for the final, and stole the show. “Taiwan this is for you,” she said right after show host RuPaul announced her as the winner. “To those who feel like they don’t belong, just remember to live fearlessly and to live their truth,” she said on stage. One of the frontrunners for the past 15 episodes, the 28-year-old breezed through to the final after weeks of showcasing her unique