Brazil wants further restrictions on import of Chinese goods

3 September 2007

Brasilia, Brazil, 3 Sept – the executive-secretary of the Brazilian Development Ministry, Ivan Ramalho, leads a government mission to Beijing with a proposal for the voluntary restriction of exports from China to Brazil.

In the case of cloth, the Brazilian government wants to include another eight types of product on the list of 63 cloths and cloth products put together by the two governments, for which China has agreed to limit the increase in sales to Brazil.

Total exports from China to Brazil have this year risen by 50 percent and the rise in sales of textiles is very big,” said Ramalho, who will take representatives from the textile and toy industries to Asian with him.

Ion the case of toys, in which there is an agreement to limit Chinese sales to 40 percent of the Brazilian market, there are divergences between the two countries on the best way to check on the origins of the goods entering the Brazilian market.

Many Chinese products enter Brazil as though they were coming from other places and the Ministry of Development wants, according to Ramalho, “to harmonize” the statistics in order to better supervise bilateral trade.

The Chinese statistics, according to Ramalho, show sales to Brazil of on average US$2 to US$3 billion more than the Brazilian authorities have counted.

China accepted the voluntary restriction agreements for the Brazilian market in order to prevent Brazil from making use of the “safeguarding” mechanism outlined in the contract China signed on joining the World Trade Organization (WTO). (macauhub)