EU trade chief Peter Mandelson said Monday he hopes negotiations with China on reducing textile exports to Europe could be successful, but added that he was ready to act to protect the European Union's embattled textile industry.
"I am still hopeful to find a solution that is mutually acceptable to deal with these categories (T-shirts and flax yarn), by agreed or by autonomous action," Mandelson said in a speech to textile producers in Florence, Italy.
"Don't get me wrong. If I cannot solve this through negotiation, I intend to propose measures that will assist you."
Mandelson said rising imports of Chinese shoes into Europe are being watched closely as well, and if statistics show a dramatic increase, curbs of Chinese footwear, mostly made of leather goods, could also be proposed.
Europe's textile producers say China's cheap textiles are threatening some 2.5 million jobs. The EU is to decide by June 11 whether to impose emergency quotas on imports of Chinese T-shirts and flax yarn if talks make no progress.
Mandelson told textile producers that "China is not our enemy," adding that the Chinese market promises to bring growth in high-end luxury textile goods from Italy, Spain and elsewhere in the EU in the years ahead.
"The European textiles and clothing sector is a success, with a strong future," he said. "We should not forget the importance of China's growth which will make this economy the third largest market for luxury products in the world, many of which will be supplied from Europe."
Chinese and EU experts have been in talks for weeks trying to resolve their trade standoff. Beijing last week decided to scrap export tariffs on textile goods, escalating the dispute.
The EU called for formal consultations under world trade rules two weeks ago, which will force Beijing to curb shipments of T-shirts and flax yarn into the EU.
