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US Textile Makers Lose Bid to Cap Chinese Imports

On the eve of a broad change in global textile-trade rules, a US court ordered the Bush administration to suspend consideration of several petitions that would have imposed new limits on imports of Chinese-made apparel.

 

The temporary injunction was issued late Thursday by Judge Richard Goldberg of the US Court of International Trade, the Wall Street Journal reported Friday.

 

In the opinion, Judge Goldberg raised doubts about the authority of US President George W Bush's administration to consider import limits based on the "threat" of market disruption.

 

The report said the action effectively bars the administration from considering several petitions, filed on behalf of US textile manufacturers seeking protection against Chinese competitors.

 

Beginning on Jan. 1, all limits, or so-called quotas, in the import of Chinese textile products will expire.

 

The US Association of Importers of Textiles and Apparel, a trade group representing dozens of big US retailers, filed a lawsuit four weeks ago seeking to block the administration from acting on the textile petitions.

 

The ruling is "very significant" because the judge is "clearly signaling our concerns are valid, that there's something broken about this process," Brenda Jacobs, a lawyer from the association, was quoted as saying.

 

Jim Schollaert, a top lobbyist for the American Manufacturing Trade Action Coalition, a group representing US textile makers, condemned the ruling.

 

"The Court in this case has turned a blind eye to the tremendous damage to domestic manufacturers and their communities," Schollaert said.

 

The court action clears the way for consideration of the broader lawsuits filed by the retailers and importers, the report said.

 

(Xinhua News Agency January 2, 2005)

 

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