China and the United States agreed to continue their consultations to seek solution for the textile trade disputes during the second round of talks in Beijing, the Ministry of Commerce said in Beijing on Saturday.

The two sides held a new round of technical level consultation concerning US limit of clothing imports from China on Friday, the ministry said in a statement.

"The two sides agreed to keep the channel of exchange open and continue the consultations to find out an appropriate way to solve the textile and garment issue," says the statement.

The two sides discussed the basis and level of limit, the growth rate and cooperation in management in the second round of talks, said the ministry.

The United States imposed limit on seven categories of Chinese clothing in May on accusation of a surge of imports in the first three months of the year. China has protested strongly and hopes to settle the dispute through consultations.

The two sides held their first round of technical level consultation in Mid-June, after China and the European Union reached a deal on textile and garment issue.

The ministry described the second round of textile talks as "frank" and "pragmatic," and that the two sides will decide the timing of the next round though consultations.

(Xinhua News Agency July 9, 2005)