USTR and AAFA encourage closer proximity to clothing production


The Office of the United States Trade Representative (USTR) has expressed its commitment to working with the American Apparel and Footwear Association (AAFA) and other stakeholders to promote greater relocation and relocation of the production of apparel and doing so in a way that strengthens the North American supply chain for textiles and apparel.

This commitment was expressed during a roundtable this week with senior representatives of AAFA to discuss how American clothing brands and retailers can support new economic opportunities in Central America, particularly in El Salvador, in Guatemala and Honduras, under the Dominican Republic-Central America. American Free Trade Agreement (CAFTA-DR).

The roundtable was co-chaired by Deputy US Trade Representatives Sarah Bianchi and Jayme White. Michael Pyle, Chief Economic Advisor to the Vice President, also attended.

The Office of the United States Trade Representative (USTR) has expressed its commitment to working with the American Apparel and Footwear Association (AAFA) and other stakeholders to promote greater relocation and relocation of the production of apparel and doing so in a way that strengthens the North American supply chain for textiles and apparel.

Participants discussed recent changes in the global apparel supply and related opportunities to expand the supply of apparel to the US market from the Western Hemisphere, including Central America.

Senior executives from AAFA member companies shared their ideas on how US trade policy can promote US investment in textiles and clothing and spur production on a larger scale and greater wide variety of clothing products in the CAFTA-DR region.

Ambassadors White and Bianchi stressed the importance of the agreement’s rules of origin (RoO) to promote investment in textile production and support manufacturing jobs in Central America and the United States.

The roundtable grows in importance as AAFA represents more than 1,000 world-renowned brands, retailers and manufacturers who together contribute more than $ 350 billion to annual retail sales in the United States. Their decision to promote offshoring will have implications for garment manufacturing and exports in traditional supplier countries / regions.

Reflecting the trend of offshoring, U.S. apparel imports from Honduras, El Salvador and Guatemala increased 56.27 percent, 54.97 percent and 38.68 percent between January and September 2021, respectively. , according to data from the Office of Textiles and Apparel (OTEXA). These countries together accounted for 7.73 percent of all US apparel imports during the period. If Mexico, another neighboring country to the United States, is also included, then the share is 11.28 percent or $ 6.608 billion of the more than $ 58 billion in clothing imports made by the states. -United.

Fibre2Fashion Information Office (RKS)


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