Mandelson seeks to end China trade dispute
European Union Trade Commissioner Peter Mandelson said on Sunday that he would put forward plans to member states on Monday aimed at ending a trade dispute that has stopped millions of Chinese-made items of clothing entering Europe.
Mr Mandelson told BBC News 24 that if EU states accepted the plans, tons of garments including bras, sweaters and trousers could be released to retailers and wholesalers next month.
Thousands of items are currently being held in custom sheds at European ports because of a new limit on Chinese clothing imports to the EU, designed to protect Europe’s clothing manufacturers.
The quota, implemented in June, has already been exceeded because due to an influx of Chinese clothing.
Many high street chains have now warned that their shelves may soon start to empty if the garments are not released and are anxious to ensure they have the stock they need in preparation for the Christmas rush.
Mr Mandelson said the problem had occurred because of a delay in finalising the quotas, during which time orders for Chinese goods were placed, and because the China had belatedly implemented an export licence regime.
Acknowledging that the stockpiling of clothing was a “crisis”, hitting businesses who had placed orders in good faith, Mr Mandelson said: “I shall make proposals to begin proceedings to unblock all the goods that are currently held at customs.”
“I hope member states will co-operate. If they co-operate I believe we will be able to unblock all the goods currently held at customs by the middle of next month.”
“It’s not the fault of importers, it’s not the fault of retailers. I don’t think they should be unfairly penalised,” he added.
Mr Mandelson did not disclose the nature of the proposals he will put forward to EU member states tomorrow.
