Source: China Daily
03-25-2009 08:19
China's gradual acceptance of global standards is improving and that transformation can help lower protectionism, US product safety group Underwriters Laboratories Inc (UL) said on Tuesday.
Keith Williams, UL's chief executive, said that China's product safety regulatory regime was improving, while the growth of Chinese brands globally was also raising awareness of the importance of product safety.
India imposed last month a six-month ban on imports of Chinese toys due to safety concerns, but later relaxed the ban. India now allows such imports if they are certified by global safety agencies.
"People are clearly concerned about protectionism," said Williams. "What we do facilitates trade and protects reputable manufacturers," he said.
The concerns also include the food and drug industries.
Food safety demands likely will cause trade tensions with China, which is both a top market for US food exports and a growing supplier to the United States, Rosa DeLauro, a US lawmaker, said last week.
About a quarter of UL's global workforce of 6,800 is based on the Chinese mainland -- not including significant staffing in Taiwan and Hong Kong -- due to its emergence as a global manufacturing center.
"China is obviously a major part of what we do," he said.
The non-profit group recently completed a lab in China to test photovoltaic (PV) cells -- panels that convert sunlight into electricity -- of which China is the world's top producer.
"China is a world leader in solar technology, so you have to be here," said Williams, who said the PV testing lab could be the largest in Asia.
UL is also in on-going discussions with Chinese government agencies such as the General Administration of Quality Supervision, Inspection and Quarantine, to accredit the UL mark for products sold in China.
"That will come, but it will take some time," he said. "It's good for international trade, it's good for fighting protectionism, and it's good for China and America."
"Chinese government regulation has definitely improved," he said.
The rising sophistication of Chinese firms such as computer maker Lenovo Group and home appliance manufacturer Haier in the global market is also raising the stakes to protect their reputation and brand.
"If you take shortcuts on safety, you are risking your own reputation ... Your brand has tremendous value," he said.
The cost of paying for third party testing and monitoring such as UL should not be an obstacle for cost-conscious Chinese firms, said Williams.
"Unfortunately, our services are very inexpensive."
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Editor:Xiong Qu
