China eyes resolving textile dispute with US

26 Jul, 2005

China still hopes to resolve a dispute with the United States over textile exports, a senior Commerce Ministry official was quoted on Monday as saying. Chinese and US officials had agreed to hold the next round of talks over the dispute "as soon as possible", Lu Jianhua, head of the ministry's foreign trade department, was quoted as saying on its Web site.
"China, with a pro-active, open attitude, is willing to conduct equal, mutually beneficial dialogue with the United States to try to find a solution to the textile problem that satisfy both sides," Lu was quoted as saying.
Officials from the two nations have been trying to negotiate a deal on textile trade since Washington restricted imports of some pants, underwear and other clothing from China in May.
But US Commerce Secretary Carlos Gutierrez said last week that it was unclear whether China and the United States would reach a comprehensive textile trade deal like the one China struck with the European Union.
Chinese textile exports surged early this year, triggering trade disputes with the United States and European Union, after a decade-long system of global quotas was abolished.
Last month, China agreed to limit annual growth in exports of various categories of textiles to the EU to between 8 and 12.5 percent under a deal reached by the both sides.
Lu was quoted as saying that the United States was widening its probes into Chinese textiles, including wool trousers.
"The Chinese government is resolutely against such a move," Lu said, adding Beijing reserved the right to bring the textile dispute to the World Trade Organisation.
China's textile trade with the United States amounted to $6.6 billion in the first five months of 2005, accounting for 8.5 percent of overall Sino-US trade, Lu was quoted as saying.

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