White House Re-Imposes Quotas on China

[Rose Siding]

WASHINGTON -- The Bush administration is re-imposing quotas on three categories of clothing imports from China, responding to complaints from domestic producers that a surge of Chinese imports was threatening thousands of U.S. jobs.

The administration action will impose limits on the amount of cotton trousers, cotton knit shirts and underwear that China can ship to this country. American retailers say that will drive up prices for U.S. consumers.

In announcing the decision Friday, Commerce Secretary Carlos Gutierrez said a government investigation had found that a surge in shipments from China since global quotas were eliminated on Jan. 1 was disrupting the domestic market.

http://www.newsday.com/news/politics/wire/sns-ap-textile-cases,0,4091280.story?coll=sns-ap-politics-headlines

[Maple]

1. Well now you're in trouble

with the WTO again, for violating a trade deal you signed.

The US says it wants free trade, signs deals to that effect, and then reneges on them.

There was bound to be a surge at the beginning of the agreement.

[mom cat]

2. This will backfire. China has the US by the proverbial nuts with regard

to the continued bailout of our puny economy.

[ljaycox]

7. We actually have..

each ohther by the nuts. Our economy dwarfs theirs. If our consuption goes down it will devastate their economy. There is also very credible evidence right now that they are over reporting growth. Their economy looks to be weakening a bit right now and they are fudging numbers. There is a global slowdown developing it would appear.

[Media_Lies_Daily]

11. We have a lot farther to fall than the Chinese precisely because....

...of our larger economy. The Chinese can absorb the losses and survive without much effect. The US retail industry will be in a world of hurt if the Chinese reciprocate by turning off the flow of goods to the US.

And speaking of "fudging numbers", what do you think our illustrious NeoCon leaders have been doing since December 2000? And our "growth" is a complete joke for about the same length of time.

Yes, indeed...there is a global slowdown, but as the largest consumer of world goods, we are the reason for it.

[w4rma]

12. The US retail industry *also* loses when folks in the US don't have jobs

high paying enough to buy these clothes.

[FloridaPat]

13. Not if the rest of the world picks up the slack. As the dollar sinks,

the Euro raises and Chinese goods are even cheaper for the rest of the world.

[readmylips]

15. China made products are cheaper throughout the world....

The reason why American products made in China are so expensive is due to the Fancy Label status Americans demand, and fancy Rodeo Drive/Madison Avenue elite stores. All those handbags, jeans, furniture, etc. all made the same way in China. On two dollar items, American jack up the price at least 300 percent fold.

I bought a $500 (4 pieces) bedroom set at Big Lots for my spare room, exactly the same bedroom set was showing in a fancy elite Scottsdale, AZ store, and one nightstard alone was $500.

[Toots]

17. You might be amazed at how China is diversifying

Europe is receiving almost as much trade as the US and it is growing daily. They could easily do without the US but could the US do without China? I don't think so. China is in the drivers seat and Bush* be very very sorry..

[Tandalayo_Scheisskopf]

3. "Mr. Free Trade"

If you look closely, you can see that things are not working out exactly as was planned for him. Pissing off our largest bond holder and the WTO surely is not where he wanted to go.

[oblivious]

4. Watch China do the same when banking has to open up.

It's been more than disruptive. It's been devastating to US, European and Third world garment producers. It's happened in a couple of months, rather than years.

I don't see any alternative to what the US is doing. It's exposed the free trade is good for everyone fallacy. Yay!!

[Maple]

6. Like it or not

it's a signed deal.

If you keep publically breaking your word...will anybody bother signing anything with you again?

[oblivious]

9. From the article:

The United States has the power to impose caps of 7.5 percent growth in textile and clothing categories on China under an agreement that cleared the way for China's membership in the World Trade Organization in 2001.

[necso]

5. I suspect that the timing has to do with CAFTA.

The administration is trying to appear concerned about the flood of imports and the trade deficit (etc), while at the same time pushing for CAFTA ("see -- we're doing something about trade problems -- so CAFTA can't be bad"). But CAFTA support graphically demonstrates that the administration is not concerned about these problems (and the related ones) -- and this in a much more substantial and important way.

Also, the domestic textile industry is divided about CAFTA (or so I have been led to believe), so this is tossing them a tidbit (or part of a deal, perhaps) -- and giving them some (worthless) reassurance.

[bemildred]

8. Is this a "flip flop"? nt

[blogbear]

10. Yep..and flip-flop comes 'straight' from 'flipperoo W'..who has 'flipped'

[Demeter]

14. Is China In the WTO? Are We Open To More Sanctions?

Selective or elective conformity to law is the hallmark of this malAdministration.

[hatrack]

16. Ow! Ow! Free trade HURTS!! Ow! STOP IT!

:evilgrin:

[UpInArms]

18. related: China Opposes New U.S. Textile Quotas

http://www.forbes.com/business/feeds/ap/2005/05/14/ap2027912.html

China said Saturday it opposed a U.S. decision to impose new quotas on some Chinese clothing imports, calling the move a violation of international standards of free trade.

The Bush administration announced Friday it would reinstate quotas on three categories of clothing imports from China, responding to pleas from domestic producers that a surge of Chinese imports was threatening thousands of American jobs.

The move "violates the spirit of free trade and the basic principles of the World Trade Organization," Chinese Commerce Ministry spokesman Chong Quan said in a statement on the ministry's Web site.

China is a dominant competitor in the $350 billion-a-year world textile trade, and its shipments into the United States spiked sharply after Jan. 1, when global quotas in effect for three decades were eliminated.

<snip>

"The Chinese side urges the United States to correct its error in order to prevent the implementation of trade protectionism measures from casting a shadow on the trade relations between the two sides," Chong said.

...more...

[rocktivity]

19. Sorry, I misplaced my scorecard

Isn't the U.S. supposed to mad at China?

:shrug:
rocknation