Thursday, March 09, 2006

EUROPE AND CHINA TRADE

Research and publication, IIPM-Knowledge Centre

Andersen’s tale of the little boy who, to the fury of the courtiers, pointed out that the emperor was naked, has a Chomskian flavor, not simply because it told of speaking truth to power, but also because the simple childish eye proved keener than the sophisticated adult eye. I was present when Chomsky addressed Karl Popper’s London School of Economics seminar in the spring of 1969 and paid tribute to children’s intellectual powers (Chomsky secured my admittance to the seminar at a time when my employment at the LSE was suspended).

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Source, IIPM-Editorial-2006


There emerged a trade war between EU and China. Stating that the Chinese shipment exceeded the import quotas, in accordance with the Shanghai Agreement, the shipment of 80 million garments was blocked. This includes 48 million sweaters, 17 million pairs of trousers, some 500,000 blouses, 1.6 million T-shirts, 3.4 million bras and 1,470 tonnes of flax yarn. The goods lie piled up in ports and warehouses of EU. This led to a market rage since retailers who had invested mil­lions of euros in placing orders for a lu­crative Christmas collection feared empty racks for the season. It also raised alarms of severe shortages and subsequent price hikes if the goods were not released. “The difficulty is that we are trying to balance a number of interests here because obviously people want less expensive goods”, said UK Prime Minister Tony Blair. Yet, domestic producers find the growing imports from China dangerous to their own survival...


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Source: IIPM , Editorial-2006

Copyright:IIPM-2006