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European Commission under fire from textile industry

By: EBR - Posted: Tuesday, April 12, 2005

European Commission under fire from textile industry
European Commission under fire from textile industry

The European textile and clothing industry and trade unions joined forces in a fierce attack on the European Commission for allowing cheap Chinese textiles into the EU market.

In 2004, the EU textile and clothing industry lost 165,000 jobs and approximately 11,500 companies closed, says the industry. For every working day in 2004, this amounted to 50 companies closed and 750 people losing their jobs.

And this trend is set to continue and increase following the expiry of WTO global quota at the beginning of the year allowing free import of textiles.

"Europe's textile and clothing industry is angry", said its president Filiep Libeert, from the European Apparel and Textile Organisation in Brussels (EURATEX) at a press conference in Brussels.

Flying banners carrying the message "1 million jobs destroyed" - "No China Textile Clothing sell out", representatives made their concerns loud and clear.

"We cannot wait until June, jobs are lost every day and companies are closing", said Mr Libeert.

Too late

Exports to the old EU 15 member states of pullovers and jerseys have grown in the two first months of this year by 893 per cent, trousers by 201 per cent and tights and pantyhose by 1,940 per cent, according to EURATEX.

Earlier last week the Commission, under pressure from Italy and France, published guidelines for the use of safeguards on Chinese textiles exports to protect the industry against unfair trade, but these can be introduced at the earliest in June.

This does not satisfy the sector.

"We risk losing 1000 jobs per day and 1,000,000 jobs before the end of 2006", Mr Libeert warned and called for the safeguards to be introduced immediately.

US example

He also said that the EU would do well to follow the US' example - Washington announced on Monday it would launch a special restrictive measures investigation on cotton trousers, cotton knit shirts and cotton or man-made fabric underwear imported from China.

"I suggest that the Commission take a leaf out of the US' book and self-originate action" said Mr Libeert, who also expressed his annoyance that the Brussels executive had not been able to provide sufficient import data to the EU, forcing the industry to base a request for safeguard clauses on Chinese export statistics.

There was also strong criticism for the Swedish trade and industry minister Thomas Ostros who said the EU’s response to China showed a "growing and worrying protectionist trend".

Mr Libeert said the comments were "irresponsible" and said the minister would immediately lead the EU into the "unjust world of the jobless consumer".

For its part, China has reacted angrily to the EU proposed measures, which it says violate the rules of the World Trade Organisation.

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