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Key Points

The US Trade Representative has called out China's unfair trade practices in the textile sector, linking them to 28 American plant closures. China's artificially low-priced apparel imports make up 21% of the US market, bypassing tariffs. The US trade deficit with China grew to $295.4 billion in 2024. Southeast US manufacturers have been particularly hard-hit by the influx of cheap Chinese goods.

Key Points: US Blames China Trade Practices as 28 Textile Plants Close

  • US cites 28 plant closures in 22 months
  • $79.3B in 2024 apparel imports, 21% from China
  • Chinese firms bypass tariffs via de minimis shipments
  • US-China trade deficit hits $295.4B
2 min read

US calls out China's unfair trade practices as 28 textile plants shut down

The US warns of China's unfair trade policies after 28 textile plant closures, citing market flooding and tariff evasion.

"China’s non-market policies enable artificially low prices, decimating US textile industries – USTR"

Washington DC, May 4

The United States has issued a sharp warning over China's trade practices in the textiles and apparel sector, citing a pattern of non-market policies.

The Office of the United States Trade Representative (USTR) noted a growing strain on US producers, with 28 US manufacturing plants having closed over the past 22 months. In 2024, the United States imported USD 79.3 billion worth of apparel, with 21 per cent of that coming from China.

Sharing a post on X, the USTR wrote, "In honor of National Textile Day, USTR is calling out the unfair trade practices undercutting the American textiles and apparel sector. China's non-market policies and practices in the textiles and apparel sector provide unfair competitive advantages to its domestic manufacturers by enabling them to charge artificially low prices for their products. US textile and apparel manufacturers have been negatively impacted with 28 US plants closing in the past 22 months."

https://x.com/USTradeRep/status/1918806023604973675

In another post, USTR wrote, "The United States imported $79.3 billion worth of apparel in 2024, 21% of which came from China. Chinese e-commerce companies accounted for over 30% of all daily de minimis shipments into the United States, flooding our market with cheap apparel products while bypassing tariffs and evading trade enforcement mechanisms. The influx of cheap apparel has decimated local industries, particularly in the Southeast United States."

https://x.com/USTradeRep/status/1918806028944097466

According to USTR, the US total goods trade with China was an estimated USD 582.4 billion in 2024. US goods exports to China in 2024 were USD 143.5 billion, down 2.9 per cent (USD 4.2 billion) from 2023. US goods imports from China in 2024 totalled USD 438.9 billion, up 2.8 per cent (USD 12.1 billion) from 2023. The US goods trade deficit with China was USD 295.4 billion in 2024, a 5.8 per cent increase (USD 16.3 billion) over 2023.

- ANI

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Reader Comments

R
Rahul K.
Finally someone is calling out China's unfair trade practices! We in India have faced similar issues for years. Their dumping of cheap textiles has hurt our local industries too. Hope US pressure makes them change their ways. 🇮🇳
P
Priya M.
Interesting how the US is facing what developing nations have endured for decades. Maybe now they'll understand why we need strong trade protections. China's economic model needs serious reforms - it's not just about textiles but across sectors.
A
Amit S.
$295 billion trade deficit with China is massive! This shows how dependent the world has become on Chinese manufacturing. India should take this opportunity to attract some of that business with our 'Make in India' initiative. 🚀
S
Sunita R.
While China's practices are problematic, we must also acknowledge that their efficiency in manufacturing is unmatched. Instead of just complaining, other countries should focus on improving their own competitiveness. Just my two paise.
V
Vikram J.
China's textile dominance affects our local weavers and artisans too. The US action might create space for Indian handlooms in global markets if we play our cards right. Time for Khadi to go global! ✊
N
Neha P.
The US is right to call this out, but let's not forget they've benefited from cheap Chinese goods for years. Now that it's hurting their industries, they complain. Hypocrisy much? Every country should prioritize its own manufacturers first.

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