AAFA Weekly Brief
June 12, 2018

Newsletter at-a-glance

This week, the Trump administration will release its final list of U.S. imports from China that will be hit with punitive tariffs. Learn about this and other key issues under AAFA News.
June 12: ... The U.S. will reveal its final list of Chinese goods that will be subject to new duties by Friday and restrictions on Chinese investment in the U.S. on June 30, with both applied shortly after. China has vowed to retaliate and said further negotiations over trade with the U.S. will be impossible if the tariffs are implemented. (Source: Bloomberg)
June 8: ... As the Trump administration switches from trade war, to trade dispute, to trade discussion – China has just whacked us on the head by warning that any implementation of trade sanctions (including tariffs) would void all the potential positives that were associated from the recent US-China trade talks. Well folks, Implementation Day is right around the corner (6/15) – and it’s anyone’s guess as to what will happen. (Source: Morning Consult, op-ed by AAFA's Rick Helfenbein)
June 8: Rick Helfenbein, president and CEO of the American Apparel & Footwear Association (AAFA), speaks with Pimm Fox and Lisa Abramowicz about how tariffs will end up costing the American consumer. (Source: Bloomberg Markets - podcast)
Supply Chain
June 8: ... With a speedier design process, unique customization opportunities, and far less waste in manufacturing, 3D printing feels like the inevitable revolution of sneakers. (Source: UPROXX)
June 7: It might have led the charge for similar plastic microfiber bills in New York and Connecticut, but California’s Assembly Bill 2379 is off the table - for now. ... "We agree with the California Assembly’s decision to hold off on passing AB 2379 at this time," said Stephen Lamar, who serves as the executive vice president of the American Apparel & Footwear Association and president of the Washington International Trade Association. (Source: California Apparel News)
June issue: ... Nate Herman, senior vice president of supply chain at the American Apparel & Footwear Association, which represents many leading US apparel brands, told us: "There are a lot of members interested in sourcing from Ethiopia, and many are either actively investigating possibilities or are already working there. In fact, US imports from Ethiopia grew by 5,824 percent between 2010 and 2017 and it is now the 18th largest supplier of apparel to the US market." (Source: Apparel Insider)
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Brand Protection
June 6: Counterfeit products cost the European Union 60 billion euro in turnover, which is over 7% of the total turnover of the sectors concerned. Moreover, the counterfeiting costs Europeans almost half a million jobs. (Source: Retail Detail)
June 5: ... Years ago, the idea of information theft seemed challenging from a technical point of view. ... Today, this scheme is now simpler and less time-intensive. (Source: Forbes)
Naylor Association Solutions
Naylor Association Solutions

Pending list of tariffs on imports from China: This week, the administration is scheduled to release a list identifying $50 billion worth of U.S. imports from China that will be hit with a 25% punitive tariff. AAFA has been closely tracking developments and continues to be vocal in opposition to the tariffs (see all recent letters, comments, and testimony here). We will continue to send clarifying member notes once the list is made public.

Bilateral NAFTA? Last week, the administration again expressed interest in proceeding with bilateral agreements for the North American Free Trade Agreement (NAFTA), rather than the traditional trilateral approach. AAFA continues to express support for a trilateral NAFTA that will create U.S. jobs and protect regional supply chains. AAFA members can show support for NAFTA with this pre-drafted letter via our legislative action center and/or on social media with #NAFTAWorks.

Microfibers: AAFA is closely engaged on all proposals to require additional consumer labeling on products made with synthetic fibers, and continues to provide detailed updates via AAFA’s Product Safety Council and Environmental Committee. In brief:

California - As of June 4, California’s bill (AB 2379) was filed as "inactive."

New York - The bill being considered in New York State (A10599) which "requires additional labels on clothing composed of more than fifty percent synthetic material to notify consumers such clothing sheds plastic microfibers when washed" has been referred to the Environmental Conservation committee, but has not been scheduled for a hearing yet. The bill would need to be passed before New York's legislative session ends on June 20 in order to become law this year.

Connecticut - Connecticut’s recently passed bill (H.B. 5360) requires the formation of a working group once signed into law by the governor. Members interested in contributing to this process are encouraged to connect with Kristen Kern.

See all of AAFA’s latest letters, comments, and testimony here.

Congress and government agencies solicit comments on a range of issues that may affect your business – find a list of comment opportunities here.
AAFA Events
June & July
June 13 Webinar: Analytics and Automation in Trade Compliance
June 20 Member-Only Webinar: Getting Brand Protection Ready - Navigating the New GDPR Landscape
July 11 Member-Only Webinar: Trade War or Friendly Dispute? Managing the Chaos 
July 12 Webinar: Mud Pie and the Gift of Growth 
July 19 Government Relations Committee Lobby Day 
Visit our events calendar for all AAFA webinars and industry events.
AAFA Members: Sign up for next week's webinar on the new GDPR landscape!



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