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Effects of the end of quotas for textiles on the French industry

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  1. Background of the French and Chinese textile industry
    1. French textile industry
    2. Chinese textile industry
  2. The impacts of the end of quotas and entry of China in the WTO on the French textile
    1. The influence of WTO agreement on textiles and clothing
    2. The direct consequences

On the 11th of December 2001, China embarked into a new journey in its history by becoming an official member of the World Trade Organization. This was the first step towards free trade however, it was not the last. China's sharp economic growth and the end of quotas in January 2005 predicted a revolution in worldwide trade ("WTO Membership"). Experts had predicted that Chinese clothing which was being imported by the European market (Bouhier De LEcluse 4-6) would see a remarkable rise from 17% to 40%. This statistics was expected to realize towards the end of the last quarter of 2004. A noted fact was that the Chinese importations rose considerably at the beginning of 2005 and the French textile production was consistently declining. Ever since China gained entry into the World trade Organization, the massive Chinese exportations of textiles to France have had a negative impact on the French textile industry.

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