"What's happened now is the team from Brussels is returning to Brussels to report back," said Michael Jennings, an EU spokesman in Beijing.

He said that while the delegation, headed by Trade Director Fritz-Harald Wenig, had left for Europe, intensive dialogue was being carried on by the resident EU mission in Beijing.

"Our delegation, the delegation of the European Commission, is continuing the talks," he said. "The contacts are currently mostly on the phone but they're speaking constantly."

Jennings said he had no details on the results of the four-day negotiations but described them as "constructive." It was unclear if the delegation would return to China, he said.

China was thought keen to wrap up the negotiations before a similar showdown with the United States beginning Tuesday, and eager to seek a more or less lasting solution before an EU-China summit in Beijing next week.

EU Trade Commissioner Peter Mandelson Sunday outlined a possible makeshift deal, saying that the EU could resume imports of textiles from China next month and allow blocked shipments into the 25 member states.

Some 75 million garments, including sweaters, trousers, blouses, T-shirts, bras and tons of flax yarn, are being blocked at customs in European ports.

They are barred because they exceed an EU quota imposed in June to protect European manufacturers.

Chinese observers said they were optimistic since they were not facing a monolithic European bloc.

"The two sides will probably reach a compromise," said Liu Li, vice director of the China WTO Research Institute, a think-tank attached to the commerce ministry.

"Currently there are different voices among the EU countries, so the situation is good for China."

Two main solutions appear to be on the table. The first, favored by Germany, the Netherlands and the Scandinavian countries, all traditionally free-traders, would consist of raising the permitted level of Chinese textile imports.