EU’s REACH regulations (Registration, Evaluation, Authorization and Restriction of Chemicals) will become effective on June 1, 2007, to substitute more than 40 directives and regulations on chemicals currently in place in EU, and form a big and complex new management system for chemicals. According to preliminary estimation, the Chinese textile industry alone may lose multibillion US dollars due to the impacts of REACH. The article here compiled by our editorial department introduces the background, purpose, characteristics and main contents of the REACH regulations and analyzes the challenges faced by Chinese textile industry and relevant solutions.