Sounding optimistic, US Trade Representative Robert Portman says textile disputes between US and Chinese were on the verge reaching an agreement but not there as yet, Tuesday.

Coming out from the fifth round of meeting between US & Chinese trade representatives, he announced to reporters that the process of working through product coverage issues, growth rates was currently on, and "We're inching closer, but we're not there yet."

US & Chinese trade representatives have embarked on a mission to find solution the uninterrupted imports of cheap Chinese textiles and appparels that have raised hue and cry among US textile makers fearing disruption and threat to domestic industry, since the ending of the WTO regime.

While US offered 12.5 percent growth in 2007 and 14 percent in 2008, China insists for new quotas at 20 percent in 2007 and 30 percent in 2008, sources said.

In certain textile categories, Chinese imports crossed 1500 percent and clothing and textile shipments to the United States jump 54 percent in the first eight months that rose to almost $17.7 billion.

US can cap the Chinese textile imports to 7.5 percent per year if it wishes through a series of 'safeguards' till end 2008, if China's textiles show significant jump in upsetting the US market.

Currently, Chinese bras, shirts, trousers, underwear, yarn and other textile and clothing products are under restrictions and more categories will come under wraps after investigations.

Finally, Portman said it all: "It's a tough negotiation."

Meanwhile, a spokeswoman for US Trade Representative's offices, Neena Moorjani said she could not say how far the talks would go.

Fibre2fashion.com