Retailers say tariff extension is unnecessary
06/08/2008
US producers of textiles and apparel want new protections against Chinese imports, according to the Wall Street Journal. The newspaper said that, with existing import caps due to expire on January 1, the issue could provide the first big test for the next president of the US, after November's election.
The Bush administration imposed tariffs on textile imports three years ago after US producers said a surge of low-cost textiles from China was threatening the domestic industry. The measures, which applied to everything from cotton shirts and pants to bras and skirts.
China is likely to present a challenge to any proposed extension at the World Trade Organisation.
US retailers, which source many of their garments from China, have expressed concern over the push by domestic textile manufacturers for new curbs, with Erik Autor, international-trade counsel at the National Retail Federation, telling the newspaper that such a move would be unnecessary because China’s advantage in the global marketplace is weakening, owing to increased energy and labour costs.
Chinese textile and apparel imports to the US were worth $34.9 billion in 2007, compared to $30.1 billion in 2006, The Wall Street Journal said, around 9% of overall bilateral trade between the two economies, which exceeded $380 billion last year.
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