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US takes another step to limit clothing import from China

REUTERS, Washington
The Bush administration took another step Friday toward restricting billions of dollars in clothing imports from China by reactivating 12 industry petitions that it had been barred from considering.
"The (Bush administration) has resumed consideration of twelve requests for safeguard action that were received from certain textile and apparel trade associations in October, November and December, 2004," an interagency committee that oversees textile trade said in a statement.
The move clears the way for the Bush administration to announce a decision on seven petitions covering certain trousers, blouses, underwear and combed cotton yarn any time within the next 60 days.
For five other petitions covering additional trousers, robes, bras, knit fabric and a type of synthetic fabric filament used to make high quality garments, the government must finish public comment periods ranging from 8 to 30 days before moving into the decision phase.
The American Manufacturers Trade Action Coalition, a textile industry group, instead of welcoming the action, complained the Bush administration should have announced an immediate decision in at least some of the cases.
The US government will work as quickly as possible on the petitions, but needs some time to "analyze an array of facts significantly different from those that existed over four months ago," an administration aide said in response.
The 12 petitions were filed last year based on the "threat" that imports from China would surge when a decades-old international quota system expired on Jan 1.
On Dec 31, the US Court of International Trade granted a retail group's request for a prelimi-
nary injunction barring the Bush administration from acting on the petitions while a lawsuit was under way.
A federal appeals court lifted that injunction last month, clearing the way for the government's decision on Friday to resume consideration of the petitions.
The Bush administration "selfinitiated" three other safeguard investigations in early April based on trade statistics that showed a dramatic increase in imports of Chinese clothing after the quotas were removed.
It subsequently accepted seven other petitions filed by the industry asking for additional investigations.
Countries must seek consultations with China before formally taking that step. China agreed to the anti-surge mechanism under the terms of its entry into the WTO. The safeguard provision expires at the end of 2008.