“Textiles are a traditional and an important industry in China,” Prime Minister Wen Jiabao told a government meeting on Wednesday, according to a statement on the government’s website.

It said there would be a tax cut to “reduce pressures on the cost of production,” along with other measures to help exporters and the elimination of a variety of other unspecified taxes. Beijing also plans to increase access to credit for small and medium-sized businesses in the textile sector and offer support for those wishing to modernize.

The same meeting decided to offer subsidies for farmers buying home appliances, in a bid to tap rural consumption potential.

“In recent months the textile industry has had to face a serious and unprecedented situation due to economic changes at home and abroad,” the government statement said.

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