Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: CuriousGeorge who wrote (22832)	11/11/1998 11:50:00 AM
From: Alex	Respond to of 116796

Hi CG. I agree, what else could she say : - ).................. Tidal wave of cheap imports By MICHAEL MILLETT, Chief Political Correspondent A growing flood of cheap East Asian imports may force a global return to restrictive trade policies with serious implications for Australia, The Federal Government has warned. In an alert to Australian business yesterday, the Department of Foreign Affairs and Trade said a "reversion to protectionist sentiment" in the US and the European Union would exacerbate Asia's financial problems, prolonging any recovery. The comments, in an official briefing document on the Asian crisis for business, prepared by the department's Market Development Task Force Secretariat, come amid signs that regional leaders will struggle to maintain the momentum on dismantling trade barriers at the APEC meeting in Kuala Lumpur. Australian officials have expressed concern that the critical APEC leaders' summit next week will show little progress on last year's decision to push ahead with the early liberalisation of some trade sectors. Japan is refusing to include sensitive agricultural areas in the Early Voluntary Sectoral Liberalisation plan. There are signs that other APEC economies will take the Japanese resistance as a cue, refusing to move in politically difficult sectors. A number of regional leaders have publicly called for a temporary halt to APEC's free-trade program. The Prime Minister voiced his fears of a protectionist backlash in a key speech last month, declaring the worst response to the Asian crisis would be for countries to "put up the shutters". "That would result in competition to raise tariffs and barriers within the region and outside," Mr Howard said. "We saw the consequences of this sort of policy in the Great Depression in the 1930s. Others won't keep their markets open if we don't." The Department's inaugural briefing document, released by the Trade Minister, Mr Fischer, warned that heading off the protection threat would depend on major economies demonstrating leadership on free trade. It was optimistic on the long-term view for East Asia, saying many of the underlying strengths which made the region so attractive to foreign investment over the past two decades remained. But the risk of a flight to protectionism was among "serious challenges" for the region in the medium term. The region was vulnerable because the EU and the US had accounted for much of the growth in East Asia's exports over the past year. The US was confronting a record trade deficit and faced pressure to "safeguard" its current accounts as struggling East Asian countries tried to take advantage of their cheap currencies. Mr Fischer, who will release Australia's action plan on trade reform for APEC today, told Parliament that Australian exporters were doing "extremely well in very difficult circumstances". Exports to the US were up 40 per cent in the nine months to September. Exports to the UK had grown 85 per cent, to India 33 per cent and Germany 32 per cent.