By Ralph E. Gomory and William J. Baumol, the friction in the international trade between China and EU is inevitable. This friction goes worse not only because the strategy of foreign trade in China has not been adopted, according to new situation, the development model about textile export needs to be improved, but the striction to China’s textile products from EU who pays close attention to its employment and politic benefits .There are still a lot of matters despite the designation of the China and EU’s memorandum on part of china’s textile export to EU has been designed ,for example, how to cope with the quota, green barrier & technique barrier and the frustrations about the state plan-marketing . In order to improve the situation, the government should focus on the following aspects to adjust the methods of economic growth, to accelerate the reform in the administration system of foreign trade, to regulate the motivation of foreign trade ,such as VAT Refund and to strengthen the co-ordination among the guilds .As far as Textile Industry itself is concerned, a more profitable future would be expected only if the below-mentioned could be achieved: farewell to the strategy of low-price and low-profit, a more competitive product mix , more added value on technology renovation and trademark popularization , stronger co-operation with foreign countries and better development of new markets.