Brazil’s textile sector to apply for safeguards - sportstextiles: Lea SportsTextiles

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Brazil’s textile sector to apply for safeguards on 70 products

22/11/2005

The Brazilian textile sector is the first industry to file safeguard applications against Chinese imports. Approximately 70 applications have been submitted to the Brazilian Trade Defence Department (Decom). According to entrepreneurs in the sector at least 75 items spanning fibres to clothing are being negatively affected by Chinese competition and the industry now wants quotas imposed in order to limit entry of these products into the country.

  This is not a protectionist measure. We are competitive but we are suffering through the unfair competition,” said Fernando Pimentel, director of ABIT, the Brazilian Association of the Textile and Garment Industry.

According to Mr. Pimentel, if the government accepts the applications, it will send a delegation to China seeking an agreement between the two countries. If an agreement is not reached, Brazil may limit the growth of Chinese imports to 7.5%, the percentage allowed by the World Trade Organisation (WTO). Should any other mechanism fail, a quantitative reduction of Chinese imports may occur.
 


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