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VII - The EC Internal Market and the ASEAN Textile and Clothing Industry

from PART III - IMPLICATIONS FOR ASEAN

Published online by Cambridge University Press:  09 November 2017

Mari Pangestu
Affiliation:
University of Indonesia
Ida N. Hasni
Affiliation:
University of Indonesia
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Summary

As 1992 approaches, there is much discussion of the effects of the single market on third countries. The main concern of third countries is the creation of a “fortress Europe” rather than a Europe that will share its “prosperity” with the rest of the world. One of the traditionally sensitive sectors already subject to import restrictions is the textile and clothing industry. Since the EC market is one of the most important markets for textiles and clothing from countries of the Association of Southeast Asian Nations (ASEAN), it is useful to analyse how full economic integration of the European Community (EC) will affect its exports of textiles and clothing.

The aim of this chapter is to look into the various possible scenarios of the impact of the formation of the EC single market on third country imports of textiles and clothing. This includes an examination of the impact of specific EC policies on textiles and clothing on third countries, as well as any impact arising from changes in the textile and clothing industry in the EC countries after the formation of the single market.

The rest of this chapter is divided into five sections. The first section provides a general background of trends in textile and clothing production, employment, and trade of the EC and ASEAN countries relative to other countries. The second section compares the characteristics of the textile and clothing industry in each region. The third section describes EC policies towards third countries on textiles and clothing and the impact on the ASEAN countries up to the present time. We then look into a set of alternative scenarios regarding the impact of the EC single market on ASEAN trade in textiles and clothing. Some conclusions and recommendations are provided at the end of the chapter.

General Trends in Production, Employment, and Trade in Textiles and Clothing

To understand EC policies on textiles and clothing, we begin with a background on the trends in production, employment, and trade in textiles and clothing of the EC and ASEAN countries relative to other countries.

Type
Chapter
Information
ASEAN and the EC
The Impact of 1992
, pp. 190 - 240
Publisher: ISEAS–Yusof Ishak Institute
Print publication year: 1991

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