TRALAC - Trade Law Centre

United States Fails to Find Textile Solution with China

Thursday, 13 October 2005

Source: Just

The US and China have failed to come to an agreement over Chinese textile exports in their latest round of talks, according to US negotiator David Spooner.

Spooner said: "We have not come to an agreement that meets the needs of our domestic manufacturers and retailers".

The latest discussions, which took place in Beijing, are the fourth round of meetings discussing the upturn in Chinese textile exports since global quotas ended at the start of 2005.

China recorded a 75 per cent hike in sales of garments to the US during the first seven months of the year, causing widespread fear among US companies who fear their industry will be badly damaged as China strengthens its hold over the market thanks to its low wages and hi-tech machinery.

The US has so far imposed ‘safeguard’ restrictions on imports of goods including shirts, trousers, bras, underwear, and yarn, but has yet to reach a comprehensive deal such as that between China and the EU, which restricts annual growth in ten categories to between 8 and 12.5 per cent between 2005 and 2007.

Spooner said, although the US would introduce further restrictions if necessary, the goal was to agree " a longer-term solution that will permit greater stability in textile and apparel trade".

Regularly updated trade statistics on include (Click to follow the links):

  • All Countries’ AGOA and GSP Trade Overview

  • AGOA Trade by Industry Sector

  • Apparel Trade under AGOA’s Wearing Apparel Provisions

  • Latest Apparel Quotas under AGOA

  • Bilateral Trade Data for all AGOA-eligible countries individually.