European Apparel and Textile Organisation
24 rue Montoyer – B – 1000  Brussels
phone: + 32.2.285.48.81 – Fax : +32.2.230.60.54
e:mail : william.lakin@euratex.org
Web-site : www.euratex.org

USA Textile Safeguards against China :
EU Textile and Clothing Industry expresses support.


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PRESS RELEASE

Brussels, 20th November 2003.

USA Textile Safeguards against China :
EU Textile and Clothing Industry expresses support.

EURATEX, the European Apparel and Textile Organisation, takes the view that the US measures against certain Chinese exports of textiles and clothing announced on 18th November are justifiable, in the light of the steep increase in those exports and the fall in unit prices recorded over the period since China became a member of the WTO.

Speaking in Brussels on 20th November, Filiep Libeert, President of EURATEX stated: “In its Communication to the Council on the future of the textile and clothing industry in the enlarged EU, the European Commission itself has drawn attention to sharp unit price drops and the expansion of market share (of Chinese exports to the EU), which in some individual categories has multiplied several times over with average unit price reductions of up to 75%. We know that the industry in the United States has faced a similar growth in imports from China. The safeguard mechanism which the US administration has invoked in this case formed an explicit part of the agreement under which China became a member of WTO at the end of 2001. In this case then, the United States was justified in WTO terms in responding to their industry’s request for relief”.

The European industry is however concerned that the American measures should not lead to a diversion of trade away from the United States and into the European Union. EURATEX will continue to monitor closely the development of imports from China in the product categories concerned by the above action and in others, and it will ask the European Commission to do the same. “We need to ensure that EU industry does not suffer as a result of trade measures taken by countries outside Europe,” added Mr. Libeert. “In this respect our role will be to monitor trade flows and, where necessary, make a convincing case to the Commission and to member-states. We would then expect the Commission to take the appropriate action without delay” Under the terms of China’s accession to WTO, the EU also has the right to make use of either a special textile safeguard clause, or to invoke a more general safeguard provision.

For further information, contact:

W.H. LAKIN Phone : +32/2/285.48.81
EURATEX Fax : +32/2/230.60.54
Rue Montoyer, 24 website: www.euratex.org
Box 10
1000 - Brussels


Francesco MARCHI Phone : +32/2/285.48.92
EURATEX Fax : +32/2/230.60.54
Rue Montoyer, 24 website: www.euratex.org
Box 10
1000 - Brussels

About Euratex

Euratex, the European Apparel and Textile Organisation, represents the interests of Europe's textile and clothing industry. It expresses the views of that industry to the European Commission and to the European Parliament on behalf of 114,000 companies in the European Union which employed close to 2.2 million workers in 2001. Today, Euratex concerns itself principally with external trade, intellectual property, the environment and R & D. In addition to its members in the EU, Euratex also has members in Norway, Switzerland, Turkey and a majority of CEEC candidate countries. The current President of Euratex is Filiep Libeert (Belgium).

For further information, contact:

William LAKIN                                                            Francesco MARCHI
Director General                                                         Director Economic Affairs
Phone : 32.2.285.48.82                                                32.2.285.48.92
William.lakin@euratex.org                                       Francesco.marchi@euratex.org