From Financial Times:
Britain has offered a secret deal to Italy under which it would back Rome’s demand for punitive tariffs on cheap Chinese shoes in return for Italian support for the UK’s long-hours work culture.
The classic example of European Union horse-trading has dismayed retailers, who claim a deal with Italy could force Britain to support Rome in future trade disputes with China over imports of low-price furniture and ceramics.
The fact that Britain is prepared to put aside its free-trade principles in the shoe dispute is a sign of its fear that other member states could try to axe its “opt-out” from Europe’s maximum 48-hour working week when the issue is debated in November.[Full Text]
Trade clashes between China and Europe are rising recently. Read International Herald Tribune’s story Panel Urged on Chinese Parts Tariff, written by a New York Times reporter.
