Home / Knowledge / News / Textiles / Trade protection barriers amplify global recessionary trends
Trade protection barriers amplify global recessionary trends
16
Feb '09
At the press conference of the State Council held on February 9, Vice Minister of Ministry of Commerce Jiang Zengwei clearly expressed, "China will not implement 'Buy Chinese Goods” policy and China will treat domestic and foreign goods equally without discrimination, as long as there is demand”.

However, after a month of intense debate, the U.S. Congress finally passed the stimulus budget, with a total size of about US $790 billion on the night of February 13. It contains the controversial Kissell amendment which seeks that all textiles and clothing products contracted by the Department of Homeland Security (DHS) must be produced from 100 percent American ingredients.

At present, the momentum of trade protectionism is slowly picking up pace. It started a few months ago with Mexico and Argentina and now, US, India, Russia and a few European countries. These protectionist measures are expected to hurt China the most, as its economy is dependent on the booming export sector.

The collapse of U.S stock market in 1929 triggered a financial crisis, while the real economic great depression came in the second half of 1930; the initiator of which is considered the Hawley Tariff Act. The bill imposed high tariff barriers on more than 20,000 kinds of imported products in to the US.

This brought in almost a chilling effect to international trade and triggered a global trade war. This happened because, each country on the lines of the US, tried to insulate itself from the recession and created high tariff barriers, which effectively blocked goods from other countries, due to which the global economy tanked for a period of 10 years.

It took the international community several years to dismantle those high tariff barriers, helped to a great extent by the WTO treaty. A vast majority of economists aver that the biggest learning from the great depression of the 1930's is that trade protectionism does not save economies in a global recessionary period, but rather amplifies it.

Fibre2fashion News Desk - China


Must ReadView All

Courtesy: Sympatex Technologies

Textiles | On 23rd Feb 2018

Sympatex, Ricosta jointly move towards sustainability

Sympatex Technologies is moving towards sustainability with its...

Courtesy: Business wire

Information Technology | On 23rd Feb 2018

CLO Virtual Fashion launches CLO 4.0 & new website

CLO Virtual Fashion, a leading developer of cutting-edge 3D garment...

Courtesy: Delta Galil

Apparel/Garments | On 23rd Feb 2018

Delta Galil 2017 sales up 16% to $1,368.1 million

Delta Galil sales for full year 2017 increased 16 per cent to...

Interviews View All

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

February 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
70.6%
No
12.7%
Skip
16.7%

Total Votes: 102

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.7%
No
29.4%
Skip
6.9%

Total Votes: 102

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
88.2%
No
8.8%
Skip
2.9%

Total Votes: 102

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
83.3%
No
7.8%
Skip
8.8%

Total Votes: 102


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search