The ping-pong diplomacy to offset a major trade war between China and its competitors continues. Beijing has agreed to increase its own taxes by 400 percent on 74 textile lines. It is hoped the move will assuage international anger over what the US and Europe say is a flooding of their own domestic markets with cheap “Made in China” products.
The move comes after the European Commission’s most senior spokesperson said that if the Chinese authorities fail to exercise moderation, it is quite possible that the EU will reimpose limits on more important categories.
China has blown hot and cold over international reaction to the boom in its exports since a decade-old quota system came to an end at the beginning of this year. Earlier this week the US said it would impose emergency curbs on trousers, underwear and shirts.