NCTO Welcomes U.S.-China MOU To Terminate Chinese Export Subsidies
| The National Council of Textile Organizations (NCTO)
applauded the April 14, 2016 announcement of a memorandum of
understanding (MOU) between the United States and China with
respect to an agreement by China to terminate export subsidies
under its "Demonstration Bases-Common Services Platform."
"We thank the Obama administration for working diligently to
construct an arrangement to eliminate these subsidies which
directly damage U.S. manufacturing jobs, output and investment,"
says NCTO ceo and president Augustine Tantillo.
"There is no doubt that China's rise to become the world's
largest exporter of textile and apparel products has been aided
by a pervasive series of illegal state-sponsored subsidies,"
Tantillo continues. "These subsidies are clearly inconsistent
with the rules of the World Trade Organization, and they are
unfair to domestic textile manufacturers and the hundreds of
thousands of U.S. workers they employ.
"Our companies must play by free-market rules, and it is time
that Chinese textile manufacturers do the same," Tantillo concludes.
NCTO is a Washington, DC-based trade association that
represents domestic textile manufacturers. According to NCTO:
U.S. employment in the textile supply chain was 579,000 in 2015;
the value of shipments for U.S. textiles and apparel was $76
billion last year, a nearly 14 percent increase since 2009; U.S.
exports of fiber, textiles and apparel are up 38 percent over
that same time period, reaching $27.75 billion in 2015; and
capital expenditures for textile and apparel production totaled 2
billion U.S. dollars in 2014, the last year for which data is
For more information, visit ncto.org.