According to the Chinese Ministry of Commerce, the USA and China have reached an agreement over textile and apparel trade between the two countries. China’s Minister of Commerce Bo Xilai and US Trade Representative Rob Portman signed a Memorandum of Understanding (MOU) on November 8 in London after seven rounds of negotiation.

According to a statement from China’s Ministry of Commerce, The agreement will provide a stable and predictable trade environment for companies in both China and USA."

The agreement covers 21 different types of textile products and will allow for a 10-15% increase of Chinese textile exports to the US in 2006, a 12.5-16% rise in 2007 and a 15-17% increase in 2008.