EU trade commissioner Peter Mandelson stated he would hold meeting with Chinese counterpart Bo Xilai, which is slated to begin this week after violation of quota on Chinese pullovers and trousers.

However, Mandelson was in constant touch with Bo-Xilai, and no decision on what action to take would be decided upon, until early next month.

He also added that the final decisions, including reduction of quotas in the future will not be taken until early September and will be resolved only through an agreement with the Chinese authorities, Mandelson said.

Earlier, the European Commission has accused that Chinese imports of trousers to the EU had crossed quota limit for this year, earlier agreed between EU and Chinese authorities in June.

The EU and China smoked peace pipe on June 10 when Mandelson and Bo agreed in Shanghai to limit the growth of 10 Chinese textile products.

In another development, US and Chinese officials would hold textile trade talks next week in San Francisco, but the Bush administration had not decided whether to formally seek a comprehensive textile trade deal with China, the US Trade Representative’s office said Wednesday.