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Friday May 20, 08:25
China’s export tariffs raised on US restrictions
(by Roy Deng)

China’s export tariffs raised on US restrictions

Export tariffs on textiles were raised by China after the restrictions it had received from the US and the European Union aimed at stabilizing the economy and stemming deficit gap.

The exporters of China’s textile will now have to pay a tax of as much as 4% starting June 1, which is much higher than a prior figure of 0.3%. China mainly exports its textile goods to the US and the EU countries. Chinese textile exports rose 29% in the first quarter.

The Bush administration imposed new restrictions on Chinese textile imports one more time on Thursday. The US demands from Beijing to shrink its textile and apparel exports to the world’s largest economy.

The US Commerce Department announced on May 18 new restrictions on Chinese textile imports in four extra categories, such as combed-cotton yarn and certain knit shirts. Officials say they endeavor to protect US producers from the surge of cheap Chinese imports that may severely damage the US economy. The imports will be capped at $914 million worth of Chinese clothing.

Some US manufacturers demanded immediate curbs on Chinese imports, but Trade Commissioner Peter Mandelson urged ``moderation and caution’’ and rejected appeals from Euratex, which represents clothing manufacturers, on April 6.

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