U.S. Accepts Petitions Seeking Probes of Textiles From China

The Bush administration took another step Thursday toward restricting imports of low-priced clothing from China by announcing it has accepted textile industry petitions seeking investigations on whether action was needed.

The petitions are from a coalition of textile companies and a union representing textile workers. The Commerce Department said it would investigate seven categories of Chinese textiles and apparel.

A department official said the administration agreed to investigate everything the industry had sought and will cover imports of Chinese-made shirts, sweaters, dressing gowns and brassieres. Their value totaled about $1.45 billion in 2004, and it has increased sharply in 2005.

This investigation is in addition to probes the administration launched early this month to determine whether to restrict imports of pants, shirts and underwear from China.

Clothing imports from China have increased dramatically after the Jan. 1 end of an international quota system that had protected American textile producers for decades.

A decision that surging imports endanger the domestic textile industry would require the United States to seek a negotiated settlement with China before imposing any curbs.

If the two were unable to reach agreement, the U.S. would have the right under World Trade Organization rules to restrict China’s growth in the selected import categories to 7.5% above the previous year’s levels.

Also Thursday, the European Union gave the go-ahead for an investigation lasting as long as 60 days into the dramatic rise in imports of nine Chinese textile and apparel products. The probe also could lead to import curbs.