China Exports

I refer to The New York Times article “China Bars Exports by 750 Toy Makers” published on 2 November 2007, retrieved from: http://www.nytimes.com/2007/11/02/business/worldbusiness/02toys.html?_r=1&oref=slogin

China’s media has reported that the government ha s suspended the export licenses of over 750 toy factories because of quality control problems such as high levels of toxic lead paint used on toys. Another 690 toy factories we given warning and were ordered to renovate or improve their facilities in the factory. This move was initiated by the European Union which warned China to improve its quality and safety of its consumer export goods or else European Union would take a strong action on China.

European Union has given pressure to China to conform to its export standards. China having the world’s largest manufacturing region in southern China found a need to change its behaviour towards the quality of export consumer goods. It has enforced its laws on consumer goods by suspending the export license in over 750 toy factories and ordered 690 to factories to improve their facilities in the factory. China has enforced the law on export because of the normative influence given by European Union.

China has to conform to the standards of European Union to avoid being punished by it and gain rewards by not losing its business dealings with the countries in European Union. The move taken to enforce its laws on consumer goods could be merely to be liked by the European Union or to avoid conflict and it may not have thought that the European Union’s export standards were reasonable.