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Mandelson refutes clothing shortage claims

Mandelson refutes clothing shortage claims

There is no risk of European retailers facing clothes shortages this winter despite a trade dispute over Chinese-made textiles, the EU’s Trade Commissioner has said.

Addressing a Brussels press conference, Peter Mandelson said on Monday that “scare stories” about clothing shortages were unjustified.

“I do not think that the scare stories about clothing shortages comparable to those experienced in the last world war are remotely justified and I hope such hyperbole can now be put aside,” Mr Mandelson said.

The EU trade chief is due to put forward plans to the 25 member states aimed at ending a trade dispute that has stopped millions of Chinese-made items of clothing entering Europe.

Thousands of sweaters, bras and other garments are currently being held in custom sheds at European ports because of a new limit on Chinese clothing imports to the EU, designed to protect Europe’s textile manufacturers.

The quota, implemented in June, has already been exceeded due to an influx of cheap Chinese clothing.

Many high street chains have warned that their shelves may soon start to empty if the garments are not released, and are anxious to ensure they have the stock they need in preparation for the Christmas rush.

Stressing that retailers should not be unfairly penalised by the introduction of the trade agreement between the EU and China, Mr Mandelson said: “I have set in motion procedures to unblock the goods that have been caught in the ways I have described.”

The EU Trade Commissioner said he still had to finalise the details of the proposal he will put before member states to unblock the stockpile of cheap Chinese garments.

But in a BBC interview on Sunday he indicated that the goods could be freed up for sale in Europe by mid-September if agreement was reached.

Speaking on Monday, Mr Mandelson also defended the European Commission’s handling of the trade dispute.

“The Commission, member states and the Chinese all bear responsibility but nobody in particular is to blame,” he said.

“We are dealing with unprecedented circumstances in the global textiles market, given the dramatic surge of Chinese exports.”

Talks between EU negotiators and Chinese trade officials are continuing in Beijing to try and resolve the dispute.