Business, Freight News, Logistics

AAFA Supports TTP

[ February 1, 2016   //   ]

The American Apparel & Footwear Association, a trade association representing more than 1,000 brands with members from across the entire fashion supply chain, says TPP will bring opportunities. The trade group  urges the Obama Administration and Congress to work together for timely approval, seamless implementation
“With the TPP covering 40% of the world’s GDP and reaching approximately 800 million consumers, the trade pact represents significant opportunities for the clothing, shoe, and accessories industry,” AAFA leaders say. “For this reason, and after consultation with our members, we are expressing our strong support for the TPP.”

“Benefits of the TPP will materialize more quickly in the case of travel goods (items such as handbags, backpacks, and laptop cases) and footwear, which feature more flexible rules of origin and immediate duty-free treatment for a wide range of products. While there are some immediate opportunities for apparel, most apparel articles are constrained by extremely restrictive rules of origin and long duty phase-outs, meaning benefits will take longer to realize.

“A more accelerated and flexible approach for apparel and legwear would have created more immediate benefits and export opportunities for domestic manufacturers.

“We are hopeful companies can take advantage of the benefits over time as they adapt their supply chains, new investments occur, trade patterns shift, and other countries join the TPP.

“We urge the Administration to work with Congress to build support for timely Congressional consideration and approval of TPP, and to ensure that the agreement is implemented in a clear and seamless manner.

“It is also critical that the TPP work in alignment with future and existing free trade agreements. As TPP is considered and implemented, we urge policymakers to ensure that current free trade agreements are kept up-to-date, and that future trade agreements include provisions that enable our members to take full advantage of them.”