International Trade Protection Challenges China'S Leather Exports

The issue of textile trade is the fuse of Sino US trade deficit and will further evolve into the constraints of the European Union and other countries on China.

According to incomplete statistics, at present, the European Union has set up about 100000 detailed technical standards for various imported products, restricting foreign goods from different levels, and even forcing some signs. For example, the European Union's "CE" logo, whether the products produced by EU enterprises or other countries, must be added to the EU market if they want to circulate freely.

For example, in September 11, 2002, the European Union officially announced the sixty-first prohibition in 2002 in its official gazette, which prohibits the use of 22 azo dyes such as four amino biphenyl.

In order to deal with the European Union's ban and prevent the export market from losing, our textile printing and dyeing enterprises were forced to import the dyestuffs produced by the companies such as Bayer and Switzerland, Ciba and Sanders, and issued the guarantee of their dyes, which were not prohibited with azo dyes.

According to the statistical data of WTO technical barriers to trade agreement, as of February 2008, WTO accumulated a total of 6490 TBT (technical barriers to trade) notifications, while China (since 2002) had a total of 364 external TBT notifications, of which 140 were reported for textiles, leather and clothing, while only 5 in China. This reflects that China's textile and apparel industry has been subject to the industry standards and rules of other countries in the international market, and the passive situation will continue in the short term. The protection situation of China's textile industry facing international trade is very grim.

The impact of trade protection measures on the product market will inevitably be fed back to the factor market.

Under the influence of the distortions of trade protection measures, the original composition of production factors may not have the advantage or even the obvious disadvantage under the new protection rules, which may lead to the unreasonable utilization of our textile industry to its own comparative advantage, and then influence the structural adjustment and industrial upgrading of China's textile industry.

In addition, restricted products return to the domestic market will inevitably break the original domestic market equilibrium, and some products appear to supply "excess". This illusion will further induce enterprises to stop work and stop production, resulting in insufficient production system and idle personnel. On the other hand, the "excess" false image will also affect the reconfiguration of industrial resources, and even the original production factors will be moved out.

From the perspective of international pfer of the world textile industry, China has many comparative advantages to attract international capital inflows. However, due to the restrictions imposed by trade protection measures and the uncertain export expectations, the above comparative advantages have been offset to a large extent, resulting in the pfer of many pnational capital to developing countries such as Southeast Asia.

On the surface, international investment pfer will only affect the expansion speed of China's textile industry scale and external processing capacity.

In fact, pnational investment pfer also indicates the adverse effects of international capital on the overall investment environment, foreign trade situation and export prospects of China's textile industry, which will inevitably affect the normal production order, investment activities and business activities, and ultimately affect the deep-seated development of China's textile industry.

According to our Ministry of commerce data, in the first half of 2006, China's neighboring countries and regions had a sharp increase in textile exports to Europe and the United States. Textiles imported from China to Hongkong and South Korea in the same year increased by 234% and 150% respectively over the same period last year. The growth of China's textiles in the non quota areas such as Asia and Latin America has also aroused the vigilance of local counterparts, and suspected of illegal pshipment in Europe and the United States. 1~5.

Unreasonable industrial structure adjustment and chaotic trade order can only further deteriorate the foreign trade situation of China's textiles.

Although China has reached 8 categories of export regulation in 2008, the Sino US textile trade which is about to expire at the end of this year is still unknown.

Time and again short term arrangements will help to alleviate trade frictions, but after all, they fail to bring sunshine to China's textile foreign trade.

In 2007, China's textile and apparel made a net foreign exchange earning of US $156 billion 879 million, accounting for 59.83% of the national trade surplus. Under this background, the textile trade problem naturally became the fuse of Sino US trade deficit. The key to curb the growth of China's textile exports is to pform the textile problem into Sino US trade deficit, RMB appreciation, crack down on piracy, and further open the telecommunications services and medical equipment market.

It can be seen that the textile trade problem has already been related to many economic problems and national policies of China's overall foreign trade policy, industrial policy and market opening, which deserves the high attention of the industry and the government.