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US trade bodies against tariff hike on apparels from 5 countries

19 Apr '24
2 min read
US trade bodies against tariff hike on apparels from 5 countries
Pic: Adobe Stock

Insights

  • The AAFA, NRF, RILA, and USFIA, strongly opposed suggestion to impose higher tariffs on apparels imported from Bangladesh, India, Indonesia, Cambodia, and Pakistan.
  • They jointly wrote to USITC highlighting concerns about potential burden on end-consumers.
  • USITC is currently investigating export competitiveness of certain foreign suppliers to US.
Four major American trade bodies, including the American Apparel and Footwear Association (AAFA), the National Retail Federation (NRF), the Retail Industry Leaders Association (RILA), and the United States Fashion Industry Association (USFIA), have united to oppose the proposal for increased tariffs on apparel imports from Bangladesh, India, Indonesia, Cambodia, and Pakistan.

In a joint letter addressed to David Johanson, chair of the US International Trade Commission (USITC), they highlighted concerns about the potential burden on end-consumers due to the increased prices.

The USITC is currently investigating the export competitiveness of certain foreign suppliers to the United States.

The joint letter follows a hearing by the commission, during which the trade bodies expressed strong disagreement with the proposed tariff increase.

The letter emphasised that the US already imposes high most-favoured-nation duty rates on apparel products compared to other sectors, impacting the cost competitiveness of the sourcing countries.

Furthermore, the letter highlighted the complex factors influencing sourcing decisions, including vertical integration, cost competitiveness, skillsets of labour forces, and adherence to quality and compliance standards.

The AAFA represents apparel, footwear, and sewn products companies and their suppliers, while the NRF advocates for the retail industry. RILA, on the other hand, is the voice for leading retailers, and USFIA represents textile and apparel brands, retailers, importers, and wholesalers with global operations.

Together, these associations wield considerable influence, with their members generating trillions of dollars in sales annually.

Fibre2Fashion News Desk (DR)

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