Early this year, the United States set an annual growth limit at 7.5 percent on China's textile imports. The EU had been also threatened to take similar measures, but later the EU and China reached a consensus on the issue. With an agreed base quantity, the annual growth of China's textile export to EU market is set tobe limited between 8 percent and 12.5 percent from June 11, 2005 to the end of 2007.
China began to set export tariffs on 148 items of textile products on January 1, 2005, trying to prevent the rapid growth oftextile exports after the global quota system was put to an end. Then on May 20, the government decided to raise export tariffs on 74 types of textile products. But China's self-discipline measures didn't receive positive responses from the EU and the United States. On May 30, China announced that it would scrap export tariffs on 81 types of textile products as of June 1.
China's textile products are still under great pressure, especially the 51 types which are still levied export tariffs, noted experts. The China Chamber of Commerce for Import and Exportof Textiles predicted that in the second half of this year, about 30 percent of China's 19 million textile workers will lose their jobs because of the restrictions from the EU and the United States.
Ministry of Commerce - China
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