Korea : Sino-U.S. Deal Expected To Boost South Korean Textile Exports

SEOUL, Nov 28 Asia Pulse - South Korea's textile exports are expected to increase by more than US$600 million within three years thanks to a recent U.S. decision to re-impose quotas on Chinese imports, a state-run think tank said Monday.

In bilateral trade talks with China early this month, the U.S. decided to impose import quotas on 34 Chinese textile products starting in the near future. 

A report compiled by the Korea Institute for Industrial Economics and Trade (KIET), said the import quota would likely help South Korea boost its textile exports by US$650 million by 2008.

South Korea's share of the U.S. textile market dropped 1.1 percentage points to 1.7 per cent from January to September, hit by greater Chinese competition from the lack of a quota during the period. China's share surged 9.5 percentage points to 23.3 per cent during the nine months, according to the KIET.

The institute attributed South Korea's expected gains to a US$24.2 billion predicted decrease of Chinese shipments there within three years of the quota imposition.

South Korea's Commerce Ministry said early this month that it aims to retain its current fourth place in terms of global market share in 2015, while raising its standing in clothing from ninth place to seventh.

Yahoo.com