Tony Blair, Mandelson do not see eye-to-eye over ''Bra Wars'' |
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Mon, 05 Sep 2005 06:05
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LONDON - The Prime Minister Tony Blair has refused to get involved in the potentially explosive issue of Chinese textile imports as he sets forth on a trip to China and India.
Mr. Blair will chair the vital EU-China summit in Beijing and his refusal to get involved in the 'bra wars' is being seen as a blow to EU trade commissioner Peter Mandelson.
The textile imbroglio has resulted in barring almost 80 million garments that continue to be barricaded at several European ports. Manufacturers are threatening to take legal recourse, something that could prove damaging to Mandelson. The 'Bra Wars' began when the Multi-Fibre Agreement ended thus allowing retailers the freedom to import fabric from China. European textiles were affected and the matter now hangs in balance.
Several business leaders who are accompanying the Prime Minister to China and India are demanding that the blocked be lifted immediately, Sir Digby Jones, director-general of the CBI, said that the blockade was an affront to British businesses. "We’re not protectionist in Britain. We understand you offshore the production of low-value goods and that by doing so you’re creating incomes for people who can buy our high-value goods," he said.
Mandelson, who himself is a part of the delegation at the EU-China summit in Beijing, said, “I still want and expect member states to agree to unblock the goods. It’s a matter of tactics, not principles.” He would be hoping to quickly resolve the issue when he meets Chinese trade officials later this week.
Iain Grey, managing director of Airbus UK, moved away from the textile issue and said he hoped to use the trip to build lasting relationships with Chinese and Indian companies, The UK has had a big part to play in the Airbus success story. This is about building relationships. These are both markets with big potential," he commented.
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