China Claims U.S. Soybeans Tainted

A Chinese girl looks at Barbie dolls made in China at a shopping mall in Beijing Monday, Aug. 20, 2007. Chinese state television has launched a weeklong series of programs dedicated to defending the country's reputation as a safe maker of global goods, pushing forward its campaign to woo back international trust. (AP Photo/Andy Wong) (Andy Wong - AP)

Two weeks before that announcement, 967,000 Chinese-made plastic preschool toys from Mattel's Fisher-Price unit were recalled because of possible lead-paint hazards.

In an interview published Wednesday, Li Zhuoming, executive vice chairman of the Guangdong Provincial Toy Industry Association, said both Chinese manufacturers and American toy giant Mattel are both responsible for the recalls.

Blame "cannot be pushed to either side," said Li, whose government-backed association is in the southern province of Guangdong, the center of China's vast toy export manufacturing industry.

The region's exporters stand to lose billions of dollars from canceled orders if consumer confidence continues to decline. Sesame Street, Barbie and Polly Pocket products made in the province were among those recalled.

"The producers are responsible because they do not have tight controls over purchasing and production," Li was quoted as saying in the state-run Guangzhou Daily newspaper. "But the buyer Mattel cannot evade responsibility."

Mattel said Wednesday it was trying to improve its product safeguards.

"Safety of children is of the utmost importance to Mattel. We have been working around the clock to improve our system and have already instituted changes in our required procedures," the company said in a statement. "This includes the launch of an improved three point check system, part of which is testing of every production run of finished toys to ensure compliance."

But Li said Mattel neglected to "do its job well in quality inspections." He did not give any details or say how the producers did not follow standards.

Li said profit margins in China's toy industry are low and "it's hard to make money" because of the cost of labor and materials. He warned foreign companies run the risk of getting shoddy products if they demand too low a price from Chinese manufacturers.

"If you give a high price for purchasing, the factories will use high quality raw materials to produce. But if the price is low, they can only use inferior raw materials," said Li.

U.S. safety officials have said no injuries had been reported from any of the products and the broad scope of the recalls was intended to prevent potential problems.