EU seeks details on Chinese measures to limit textile exports
BRUSSELS, May 21: The European Union wants to have more details about Chinese measures announced on Friday to limit its booming textile exports, the EU’s executive commission said. Facing the threat of EU limits on Chinese textiles imports, Beijing announced it would raise export tariffs on 74 categories of textile products from June 1.
This is something that we have to see more precisely from the Chinese, European Commission spokewoman Francoise Le Bail said. The issue would be discussed when the Chinese negotiator on textiles comes to Brussels next week to see EU trade commissioner Peter Mandelson, she added.
We will clarify with the Chinese what they intend to do, to have precision on this aspect of things. And also we will discuss with them the measures that we have proposed on a number of categories of products, Le Bail said.
The 25-nation EU has joined the United States in increasing pressure on China to rein in its exports to protect their own textile industries following the end in January of international quotas on the trade.
Mandelson said this week that imports of T-shirts with a ‘Made in China’ label had jumped by more than 160 per cent from a year earlier, while flax-yarn imports had surged more than 50 per cent.
Under WTO rules the formal consultations can last 90 days before the EU can launch safeguard measures. But in the meantime the EU can apply “interim import growth restrictions” if China does not take steps to rein in its exports.
We have been discussing with the Chinese now since a long time, but we have also been very cautious before announcing these measures. It is clear that we would like to have a solution with the Chinese which is agreed by the two sides, Le Bail said. In a concilatory gesture, China’s ministry of finance said on its website Friday that it was raising export tariffs on 74 categories of textile products, with an up to 400-per cent jump for most of the items.
It also announced export tariffs on flax yarn. Virtually all the products affected are exported to the United States and EU. Textile producers in the developed and developing world have been struggling with a flood of cheap exports from China since the end of a 31-year-old global quota system on January 1.—AFP
