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US, China say textile talks progressing

The Bush administration is repor-ting progress with China toward an agreement to limit the amount of Chinese clothing and textile products coming into the US. One immediate result is an agreed reimposition of a quota on Chinese-made socks.

Negotiations in Washington from Sunday through Tuesday produced "substantial progress on a large number of issues," David Spooner, the administration's special textile negotiator, said in a statement. "We look forward to meeting again soon."

In contrast, after the previous negotiating session in Beijing, the US side expressed disappointment at a failure to narrow differences.

The latest round, the fifth since August, was held without advance public notice.

US textile industry officials said on Wednesday that they had received no briefings on this week's talks; some viewed the secrecy as a hopeful sign the two sides might be nearing a deal.

"From my experience in Washington, the quieter things are, that means progress is being made, or they are close to a resolution," said Lloyd Wood, a spokesman for the American Manufacturing Trade Action Coalition.

Washington and Beijing are trying for a comprehensive agreement to impose limits on Chinese exports that compete with all categories of US-made clothing and textiles that have been disrupted by a surge in Chinese shipments since global quotas were lifted on Jan. 1.

The US contends the Chinese surge has cost thousands of US jobs and forced 19 textile plants alone to close since the start of this year.

US companies have petitioned the administration to reimpose quotas on a case-by-case basis covering individual categories of clothing. But such "safeguard" quotas must be renewed each year.

The US would prefer a broad deal through 2008 that limits exports of goods in all threatened textile and clothing categories.

On the issue of safeguard quotas, the administration announced late on Wednesday that it had agreed with China to reimpose quotas limiting Chinese exports of socks. That quota had expired last week, and the US industry has petitioned for it to be reinstated.

Meanwhile, the interagency administration panel that is ruling on the industry's safeguard petitions also announced late on Wednesday that it was extending until next Tuesday decisions on whether to re-impose quotas on shirts and blouses, skirts, pajamas and swim-wear. Decisions in those cases had been due last Tuesday.

With US President George W. Bush scheduled to visit China in the middle of this month, there was speculation that both sides were seeking to wrap up the negotiations so a deal could be reached during his visit.
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