Since the expiration of global quotas in textiles, the surge in Chinese production of textiles has had a devastating impact on the Moroccan textile industry:
North African countries have also not been spared the consequences of Chinese competition. Following the expiration of the Agreement on Clothing and Textiles in January 2005, Morocco's textile exports fell by 33%. The sector is significant for Morocco's economy as the textile industry represents a third of its manufactured exports and employs 200,000 people.