Brussels, 16/06/2005 (Agence Europe) - Representatives of the textile industry in European Union's welcomed, but with several reservations, the memorandum of understanding between the EU and China, which was signed last Friday in Shanghai by European Trade Commissioner Peter Mandelson and Chinese trade Minister Bo Xilai, and which will allow the growth of Chinese exports of textiles products to be limited, once it has been approved by the Member States and has entered into force and (EUROPE 8967). "A negotiated agreement is better than trade war", said Valeria Fedeli, president of the European Trade Union Federation of Textile, Clothing and Leather (ETUF-TCL), in a press release. However, the ETUF-TCL and the European account Federation of Textiles Professionals Euratex agree that the compromise between China and Europe does not resolve the problem of unfair Chinese trade practices (such as dropping prices). The European textile industry "must therefore reserve the right to ask for additional provisions to be adopted by 2008, if necessary", ETUF-TCL stresses, adding: "furthermore, these measures must also fit into the broader context of offensive actions in the field of trade, industry and the regions- reciprocity, traceability and transparence in the production process by labelling, training, research and development, innovation, intellectual property rights, and stepping up the fight against piracy and counterfeiting". ETUF-TCL also calls upon the Commissioned to seek solutions to the problem of infringements of fundamental working standards in China, together with the Chinese authorities.
Euratex, for its part, feels that for the categories of products for which the implementation of safeguard measures was called for last March, the volumes of Chinese exports of textiles products would have been calculated more favourably to the European textiles industry "if the Commission had reacted more promptly and used the safeguard clause". Euratex president, Filiep Libeert, also stressed that "What might appear on first sight 'a good deal” for industry was less so in the light of the methodology used to calculate the volumes for the reset of 2005, for 2006 and 2007, which in itself resulted in quantities for those periods much in excess of what the industry would have wished". Professionals from the European textile industry are also concerned about the possible restricted use of the safeguard clause for other categories of textiles products than those mentioned by the memorandum of understanding. They also take the view that it is essential for the customs monitoring system to continue effectively until the end of 2008 and for the volumes in question to be closely monitored. Lastly, Euratex regrets the fact that two categories of products, socks, stockings and tights and linen fabrics, Chinese export volumes for which have massively outstripped the emergency thresholds laid down by the Commission in its guidelines, were not included in the agreement.