U.S., China Textile Deal Falls Short

November 8, 2005 – The U.S. and China signed a three-year deal on Tuesday aimed at limiting the surge of clothing and textile imports from China. However, the agreement offers only minimal protection to U.S. clothing manufacturers through 2008 and does nothing to restore the thousands of jobs that have already been lost as a result of China’s exploitation of cheap labor.

The deal, set to take effect January 1, would allow 34 categories of clothing and textiles to increase by 8 to 10 percent in 2006, by 12.5 percent in 2007 and by 15 to 16 percent for 2008.

Clothing and textile imports from China to the U.S. have jumped more than 50 percent to $17.7 billion since decade long quota systems expired January 1, resulting in loss of thousands of jobs and a record trade deficit with China.

Under pressure from U.S. manufacturers, trade negotiators from the U.S. and China have met 7 times in the last 5 months.

Read the enitre Associated Press article.