WTO chief Panitchpakdi defends textile quota expiration

13 Jun '05

2 min read

Global trade has benefitted fro the ending of the textile quotas, says World Trade Organisation Chief Supachai Panitchpakadi

He also noted that some countries required to had to adjust to the change, in a speech Monday to the biggest Asia-Pacific business organization, the Pacific Basin Economic Council.

It is a known fact that the ending of textile quotas statrted acrimonious tussle between China, the US and the EU with the last one having agreed to relent pressure on Chinese imports under subjective agreement.

The US on its part has already imposed quanititative restrictions (7.5 percent) over several categories of textiles and apparels due to its textile buisinesses being harmed due to unrestricted importations.

Not only markets but several thousand US jobs have been threatened and currenlty, the European Union parters like Spain, Italy, France among others have also raised pressure on the Union for putting caps on cheap Chinese textile and fabrics imports.

Stressing that the ending of quotas would be beneficial to the global economy, WTO Director-general Supachai Panitchpakdi defended the lifting of textile quotas.

Spelling out no countries, Panitchpakdi opioned that few countries, required "some adjustment costs."

The Hong Kong-based Pacific Basin Economic Council is an international business association represents about 1,000 companies in 20 economies across the region.