The United States will conduct an “investigation” on Chinese textiles

On October 31, 2008, the U.S. International Trade Commission (ITC) announced on its website its upcoming 332 investigation of Chinese textiles.
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At the request of the U.S. House of Representatives Ways and Means Committee, the U.S. International Trade Commission will monitor some Chinese textile and apparel imports.
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ITC will provide the House of Representatives Ways and Means Committee with reports on the quantity, amount, unit price, and market share of textile and apparel imports every two weeks. The products being monitored are the products listed in the U.S.-China Textile and Apparel Trade Memorandum of Understanding implemented at the end of 2005.
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The House Ways and Means Committee stated that the monitoring of Chinese imports is due to concerns that Chinese textile and apparel imports will flood into the U.S. market after the end of the memorandum of understanding in December. The House Ways and Means Committee pointed out that China’s textile and apparel exports to the United States increased significantly after the end of import restrictions under the WTO Textile and Apparel Agreement in 2005.
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​​​​As required, the ITC will submit its first report to the House Ways and Means Committee on December 1, 2008. The report will provide a summary of historical data, including import quantity, amount, unit price, and market share from January 1, 2003 to the latest month.
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The ITC will then provide biweekly reports to the House Ways and Means Committee. ITC will publish an annual data summary report.
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ITC’s surveillance work will be carried out under the investigation titled “China Textile and Apparel Import Statistics Report”. The investigation file number is 332-501.
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Note: “Section 332 Investigation”, also known as the “Routine Factual Investigation” provision, refers to Section 332 of the U.S. Tariff Act of 1930. This article stipulates that the ITC may, at the request of the President of the United States, the House of Representatives, the Senate Finance Committee or the United States Trade Representative, or on its own initiative, conduct “routine fact-finding investigations on any matters involving tariffs and trade, including the competitive situation between the industries of the United States and other countries.” ” and issue a report. This article also stipulates that, unless specifically requested, the final report of the “Section 332 Investigation” does not contain any policy recommendations and may not provide a legal basis for any trade actions implemented by the President.
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But the actual situation is that the “332 investigation” is usually the basis for the ITC or the Ministry of Commerce to initiate anti-dumping or safeguard measures.