AAFA Weekly Brief
June 19, 2018

Newsletter at-a-glance

Today’s news includes President Trump's threat to target an additional $200 billion worth of U.S. imports from China a move that could have a devastating impact on U.S. companies, workers, and consumers. For information on AAFA’s position, and related advocacy efforts, see headlines under Trade and AAFA News.
June 18: ... Rick Helfenbein, president of the American Apparel & Footwear Association, called the president’s decision to up the ante "hollow, vindictive and reckless" and said it would endanger the $130 billion in American exports to China. (Source: Washington Post)
June 18: ... American Apparel & Footwear Association CEO Rick Helfenbein said in a statement: "China previously identified almost $1 billion worth of American cotton exports to China as a target, which will hurt American farmers and U.S. textile manufacturers, and add costs to our supply chains." (Source: Axios)
June 18: India claims withdrawal of the generalized system of preferences benefits would be ‘discriminatory, arbitrary and detrimental’ to its developmental needs. (Source: livemint)
June 15: President Trump’s economic team and PR machine are excellent when it comes to softening the president’s economic words. However, in interpretation mode, what they are really doing is conveying the harsh reality of Trump’s inner meaning. (Source: Sourcing Journal, op-ed from AAFA's Rick Helfenbein)
Supply Chain
June 18: ... Before it can become law, the bill must be reconciled with one already passed by the House of Representatives. That compromise measure must then be passed by both chambers and signed into law by Trump. (Source: Reuters)
June 18: Driven by overall trade volatility, a lower production forecast and China’s uncertain policies, cotton prices are headed upward toward recent historic highs. (Source: Sourcing Journal - login required)
June 17: Retailers and manufacturers are taking stock of their transportation costs and exploring alternatives as a capacity crunch in freight is driving up prices and causing shipping delays. (Source: Wall Street Journal)
Supply chains don’t have to be complicated?
Customized Brokers, a Crowley Company
Customized Brokers, adds velocity and value to the apparel supply chain. As a single-source, total supply chain solutions provider, we have developed ways to more efficiently manage the complexities of importing both textiles and apparel. We have dependable, compliance-driven teams that keep abreast of regulations on this constantly evolving market.
To connect with one of our specialists, click here.
Brand Protection
June 15: ... Although Amazon is typically quick to reference its anti-counterfeit policy as proof of its commitment to weeding out inauthentic products from its retail platform, watchdog groups continue to point at major concerns regarding Amazon’s true intentions regarding the sale of counterfeits. (Source: IP Watchdog)
June 14: Luxury brands are becoming increasingly more controlling as to where their authentic goods can – and cannot – be sold and how entities should be forced to help them fight the sale of fakes. And courts have largely been in their side. (Source: The Fashion Law)
June 8: On May 25, the European Union General Data Protection Regulation (GDPR) became enforceable. As a result, rights holders have been left to grapple with an enforcement environment in which access to full WHOIS data is, in many instances, either restricted or blocked altogether. (Source: World Trademark Review)
Naylor Association Solutions
Naylor Association Solutions

"Trump Tax" to increase following $200B announcement: Late Monday, President Trump directed the Office of the United States Trade Representative (USTR) to recommend $200 billion worth of U.S. imports from China to be hit with an additional 10% tariff. The list of target products will go through a public review process this summer prior to implementation. This announcement followed China's pledge to impose tariffs on $50 billion worth of China imports from the U.S. While it is unclear what will be included under the administration's new $200 billion list, the $50 billion list released by USTR on Friday did not include any apparel, footwear, or travel goods products, and included fewer machines used by the industry than was originally planned. Find AAFA's most recent statement here and stay tuned for continued member correspondence.

Confused by all this tariff action? Join AAFA on July 11 for a member-only webinar with AAFA's Steve Lamar and Nate Herman who will provide up-to-the-minute updates on what you need to know. 

AAFA urges Congress to reign in Presidential trade authority: On June 18, AAFA joined a diverse group of businesses in a letter to leadership of the Senate Finance Committee and House Committee on Ways and Means, expressing concerns with the current trade environment and encouraging Congressional action.

AAFA testifies in support of GSP: On June 19, AAFA's Nate Herman testified as part of the Office of the United States Trade Representative's review on whether to continue to provide Generalized System of Preferences (GSP) benefits to India, Indonesia, and Thailand. As these countries play a vital role in the U.S. travel goods industry, AAFA expressed support for their continued inclusion within the program, which significantly lower the cost of duties on travel goods imports. 

Steve Lamar named to Trade Advisory Committee on Africa (TACA): AAFA Executive Vice President Steve Lamar has been named to the U.S. Trade Advisory Committee on Africa (TACA). This is a United States Trade Representative advisory committee that is convened to provide policy advice and guidance on trade policy and development matters that have a significant impact on the countries of sub-Saharan Africa. This includes the future of AGOA and free trade agreements. Members that wish to learn more or contribute feedback should contact Steve Lamar

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.

Member Welcome:  Chargeurs 

As a manufacturing group, Chargeurs holds leadership positions in interlining, premium wool trading, and textile technical substrates. The business units operate in more than 44 countries, with 1,600 employees.

AAFA Events
June & July
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.

August 8 | Seattle, WA



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