The German textile and fashion industry welcomed Tuesday the EU-China agreement on blocked Chinese textile products in European ports, but expressed the concern that further problems might be created.
Silvia Jungbauer, head of the International Trade and European Affairs Department of the Confederation of the German Textile and Fashion Industry, said the agreement is a politically "balanced approach".
"From a political perspective, it is a balanced approach. Since the European Commission, following the respective position of the Member States, has decided to choose a technical solution to the 'pending problem' which necessarily implies negotiations with China, it is very clear that certain concessions from the Chinese side were required," she said.
"However, it was both sides who signed the agreement in June, thus both sides should jointly take care that the technical shortcomings adherent to the Memo of Understanding (MoU) are remedied as soon as possible," she said.
The agreement reached between China and the EU on Monday allows all the China-made textile products blocked in the ports of EU countries to be freed up.
EU customs officials blocked more than 80 million Chinese pullovers, trousers and bras in July and August, citing reasons that the commodities exceeded restrictive import quotas agreed by the EU and China in June.
The blocking triggered complaints from EU importers and retailers and some EU member governments such as Germany, Sweden, Finland, Britain and Denmark.
"A considerable number of our (federation) members were strongly affected by the ongoing embargo situation. Our first aim is therefore to get products out of the bonded warehouses," Jungbauer said.
"Concerning this important point, we welcome the agreement," she affirmed.
But she was skeptical about the technical means.
"We always have taken the position that a clear rule should be set as regards old contracts by defining a clear date line, and to exclude those deliveries from the MoU which are based on these old contracts."
"Due to the technical way of the solution I have the feeling that the very acute and pressing problem of pending goods was possibly resolved by creating further problems in the future."
"However, we have to go this way step by step," she said.
Jungbauer suggested that once the most urgent problem is solved, both sides should carefully analyze in order to make certain reasonable technical amendments.
She cited the contract topic, OPT and industry reserves as something to be amended.
Admitting that negotiations on approving the deal by EU member states are rather difficult, she expressed the hope, nevertheless, that a breakthrough will happen very soon.
"Even if the Member States take different positions concerning certain aspects of the agreement, all of them will be aware how important a rapid solution is," she concluded.
Only after the majority of EU member states approve the deal, could the stockpiled goods be released from ports and lifted to stores.
