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EC Urged To Increase Chinese Textile Quotas

by Ulrikas Lomas, for LawAndTax-News.com, Brussels

18 August 2005

Following a request by the German government for the European Commission to increase its quotas for Chinese textile imports to the EU, it emerged this week that German fashion house, Gelco is taking legal action over the quota system.

Speaking to Die Welt, Gelco boss, Jurgen Richter explained that: "We are taking legal action on behalf of the whole industry."

According to reports in the European media, Chinese textiles needed by the clothing industry are being prevented from entering the EU by the quotas, which were put in place by Trade Commissioner Peter Mandelson - following an agreement reached with the Chinese authorities in June - to prevent the market from being flooded.

On Monday, it emerged that the quota levels for sweaters and mens trousers have already been reached. In addition, 89% of the year's quota for blouses and 84% of the permitted number of bras have already been imported into the EU.

Member states were given until Monday to furnish the EC with their import information, following which it will decide on a course of action.

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