China Keeps Quiet in Face of Impending Brazilian Ban on Chinese Goods

China will await the Brazilian government's decisions on adopting safeguards against the importation of Chinese products before making any comment, according to a Chinese official in São Paulo.

On Thursday, June 2, the Brazilian Ministry of Development, Industry, and Foreign Trade will hold its first formal meeting on implementing the safeguard process, in accordance with the decision announced by the government last week.

Zhang Jisan, commercial consul of the Chinese Consulate in São Paulo, defended dialogue and negotiation between the governments and entrepreneurs of the two countries.

Two decrees are expected to regulate the safeguards against the importation of Chinese products. One deals specifically with textiles and clothing, which are the sectors most affected, and should remain in force until 2008.

The other covers products in general, in accordance with the safeguards contained in the agreement for China to be accepted in the World Trade Organization (WTO). The duration of this measure extends through 2013.

In both instances it is necessary for the sectors that consider themselves to be injured to file a petition with the Ministry of Development's Department of Trade Protection (Decom).

The consul affirmed that the Chinese government will not assume any posture detrimental to the growth of bilateral trade, and he pointed out that the trade balance is favorable to Brazil.

Data from the Secretariat of Foreign Trade reveal that last year's trade balance registered a US$ 1.730 billion surplus in favor of Brazil, despite the 72.7% increase in imports from China during the period, whereas Brazilian exports grew 20%.

Jisan participated in Year Two of the Brazil-China Business Forum, in São Paulo. The Forum, sponsored by the Brazil-China Chamber of Economic Development (CBCDE), proposes to analyze productive sectors with the greatest potential for expanding trade and investment exchanges between the two countries.

Agência Brasil

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