Executives of apparel firms in the United States were watching closely Wednesday as negotiators of the United States and China met in Beijing to try to resolve a textile dispute in their new round talks.
The US government this year imposed quotas on some Chinese apparel and textile goods under pressure from domestic manufacturers, and three rounds of negotiations earlier between the two countries had made no results in striking a deal to end the dispute.
The dispute has been painful for many US apparel firms, including specialty retailers of surf wear and ski wear that are dependent on Chinese suppliers, according to the Los Angeles Times.
Frank Hugelmeyer, president of the Outdoor Industry Association, a Colorado-based trade group representing 1,100 firms producing goods for outdoor activities, said that any new restrictions on cottons, nylons or synthetics could have a very dramatic effect on the industry.
An executive of O`Neill Clothing, a retailer in California, said the firm face a "mad scramble" to get its cotton shorts into the United States before the quota reached its limit.
China is a leading producer of outdoor gear because its factories have the skilled labor and equipment needed to work with Goretex and other high-tech fabrics.
The US-China textile dispute arose when the US government imposed quotas restricting Chinese imports after a complex quota system controlling the global apparel and textile trade was abolished this year.
But the reimposition of quotas on some popular apparel products -- and the threat of more to come -- has created widespread uncertainty for US importers, particularly small- and medium-size firms.
"We`re looking right now at other alternatives, but there are just so few places outside of China to get these products made," said Brian Cousins, president of Cloudveil Mountain Works Inc., a Wyoming-based outdoor apparel company.
Hugelmeyer of the Outdoor Industry Association said smaller firms were at a disadvantage to strong-arm suppliers because they were unable to put their orders at the front of the line before the quotas were filled.
Apparel firms are hoping US textile negotiators could strike a deal that will restore stability to their supply chain, even if it restricts how much they can buy from China.
