The seventeenth round of negotiations on the Trans-Pacific Partnership (TPP) was held in Peru on May 15th. Regarding the issue of origin regulations for textiles, the United States in principle requires the adoption of a “yarnforward” guideline, but it plans to introduce flexible provisions at the same time and formulate a “short supply” list of textiles such as yarn and cloth. TPP members can purchase from countries outside the TPP area, and the made-up clothes can also enjoy U.S. tariff preferences. The United States is expected to propose this list during this round of negotiations.
Vietnam, one of the TPP members, is the second largest supplier of garments to the United States, second only to mainland China. However, the yarn and cloth products used in Vietnam mainly rely on imports from mainland China and other Asian countries. Its development in this area is not yet mature. It is not easy to comply with the “start with yarn” guideline. Therefore, the “supply shortage” list The content will have an important impact on Vietnam’s garment industry.
However, the United States plans to introduce a “supply shortage” list in the TPP, which has also triggered a lot of backlash in the country, fearing that it will damage the interests of the U.S. textile industry and indirectly benefit mainland China. Among them, the National Council of Textile Organizations (NCTO), the most actively opposed group, officially merged with the other two major industry organizations, the National Textile Association (NTA) and the American Manufacturing Trade Action Council (AMTAC), into First, one of the current main goals is to gather strength to put pressure on the US government on the origin regulations of the TPP.
In fact, more than a year ago, an international organization called the “TPP Textile and Apparel Alliance for TPP, TAAT” was established, with members covering 30 countries (including the United States, Mexico, and countries in Central and South America, Africa and the Middle East). Several textile industry groups in many countries), NCTO is one of them. TAAT was established to urge the U.S. government to formulate strict regulations on the origin of textiles, including “starting with yarn” guidelines, prolonging the tariff-free process for sensitive categories of textiles, and requiring strict customs monitoring. Otherwise, it will be harmful. Employment of textile workers and exports from these countries.
I believe there is still a lot of resistance to implementing the TPP textile origin regulations.
