textiles manufacturers

China said it “strongly objected” to the new measures taken by the European Union against imports of Chinese textiles, calling the move a potential blow to the global clothing trade. “This departs from the spirit of free trade proposed by Europe and seriously violates the basic principles of the World Trade Organization,” commerce ministry spokesman Chong Quan said in a statement on the ministry’s website. The Chinese response came a day after the European Union unveiled “alert levels” for growth rates in Chinese clothing imports which will trigger investigations and informal consultations with China. “This will have a negative impact not just on Sino-European textile trade, but on global textile trade as a whole,” Chong said in the statement. Chong said China and the EU each have “complementary strengths” in the textiles manufacturers field, and that “common interests do exist” in the industry. “Any action that prevents the integration of the textile industry will cause damage to the common interests of China and the EU,” he said. “The two sides should seek to solve the problems they face through strengthened dialogue and cooperation,” he said. The EU action, and other parallel actions by the US, reflect a world coming to terms with the end on January 1 of a 31-year-old international textile import quota system. The expiry of the system has left producers in developed and developing countries bracing for a wave of imports from China, whose leather products manufacturers benefit from cheap labour and huge economies of scale. China has reacted angrily to the groundswell for protectionist measures in the West against its textile exports, insisting that it should not be penalised for having more competitive industries. “As a responsible member of the WTO, China has taken a series of active measures to ensure the smooth transition to an integrated textiles and leather products market,” said Chong. “We hope the EU fully understands the efforts made by the Chinese in this respect and cautiously handles the issue. The overall trade relationship between China and the EU shouldn’t be impacted by unilateral moves,” he said. According to the measures unveiled by the EU on Wednesday, the “alert levels” range from 10-100% growth over the 2004 trade volume, depending on the type of product. The system of “alert levels” means the EU, which is trying to build up strong commercial relations with China, is not going as far and as fast down the road to safeguards as a US investigation into Chinese textiles. The US garment industry on Wednesday demanded government action to curb 14 types of apparel exported from China as tensions over surging Chinese textile shipments escalated. The National Textile Association (NTA) said urgent measures were needed in addition to US government’s announcement this week that it has launched an investigation as a first step to slapping restrictions on the Chinese exports. The NTA filed petitions with government demanding restoration of textile quotas scrapped globally on January 1, claiming that textile and apparel imports from China had leapt by 63% since then. AFP