AAFA Weekly Brief
September 18, 2018
Newsletter at-a-glance

The trade war has escalated once again. Our members – and American interests at large – are caught in the crossfires. Yesterday (September 17), President Donald Trump ordered a 10% tariff on $200 billion of Chinese goods, effective in just one week on September 24. The duty could then rise to 25% on January 1. Read more under AAFA News.
September 18: ... The Chinese commerce ministry said it would impose its tariffs from 24 September - the date the US duties come into effect - but at lower rates than previously expected. It will place an additional 5% in duty on US products including smaller aircraft, computers and textiles, and an extra 10% on goods such as chemicals, meat, wheat and wine. (Source: BBC)
September 18: ... With a 10 percent tax on over 5,000 more products from China now taking effect next week, Trump changed the character of his campaign with Beijing in three ways, all of which suggest the dispute will not end soon. (Source: Bloomberg)
September 17: ... "Today’s announcement shows a deep disregard for American businesses, American workers and American families, who will be negatively impacted by this decision. This is a very dangerous game to play, one that will not end with a winner," [said Rick Helfenbein, president and CEO of the American Apparel & Footwear Association]. (Source: California Apparel News)
September 14: With the Miscellaneous Tariff Bill (MTB) Act of 2018 now signed into law, import tariffs of nearly $1 million per day will be eliminated through 2020, including an array of apparel and textile products ... The American Apparel & Footwear Association (AAFA) noted that this will reduce or eliminate duties on U.S. imports of important components for domestic manufacturing and specific finished products that are not manufactured in the U.S. (Source: Sourcing Journal - article unlocked)
Supply Chain
September 18: Try this experiment: Look around your town and think back to what it looked like 10 years ago. Chances are, the stores that line the streets or anchor the malls are different. (Source: CNBC)
September 14: ... Now a small but growing group of innovators is turning to the genius of nature in an attempt to put wastefulness and pollution in the apparel industry out of fashion, right at the source: They are using live organisms to grow pieces of biodegradable textiles, creating environmentally friendly materials in the laboratory — and are even producing some near-complete items without the need for factory assembly. (Source: Scientific American)
September 13: Readymade garment workers have rejected the minimum wage set by the government, accusing it of pandering to the owners and said they will fight to get a monthly wage of Tk 16,000. (Source: bdnews24.com - Bangladesh)
Supply chains don’t have to be complicated?
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To connect with one of our specialists, click here.
Brand Protection
September 18: ... What started out as a fun Photoshop project for Instagram became an actual counterfeit item being produced halfway around the world. (Source: Highsnobiety)
September 16: ... In exchange for payments ranging from about $80 to more than $2,000, brokers for Amazon employees in Shenzhen are offering internal sales metrics and reviewers’ email addresses, as well as a service to delete negative reviews and restore banned Amazon accounts, the people said. (Source: Wall Street Journal)
September 12: Pinduoduo, the social commerce company which became China’s No. 3 e-commerce firm within three years, is addressing the perception that it hawks cheap and counterfeit products by aligning itself with legitimate brands and bringing more attention to brands’ flagship stores. ... The brands include NetEase’s Yanxuan platform, which sells Yanxuan-branded goods that Pinduoduo claims to be both good quality and value-for-money. (Source: South China Morning Post)
Naylor Association Solutions
Naylor Association Solutions
Prioritizing Your Technology Road Map: When is the Right Time to Change?
Centric Software
Thinking of upgrading your current PLM system but questioning if it’s the right fit for your business anymore? If you’re experiencing business challenges that your PLM should have avoided like disjointed processes, data errors and a reliance on emails to collaborate, then it’s probably time to wave goodbye to your current PLM. Watch our webinar and learn about the benefits of changing your PLM system vs. upgrading your existing system.
Watch now
Tariff fight rages on and $200 billion in tariffs take effect next week: Last night (September 17), President Donald Trump ordered a 10% punitive tariff on $200 billion worth of goods and components imported from China starting Monday, September 24. The punitive tariff on these goods will be adjusted from 10% to 25% starting January 1 if there is no progress made in U.S.-China talks. AAFA has been unyielding in making the case against these tariffs and in a stern statement yesterday expressed that the Administration''s decision shows a deep disregard for American businesses, American workers, and American families who will all be severely affected.
AAFA has also been an active participant in Tariffs Hurt the Heartland, a nationwide campaign against tariffs that are hurting American families and communities. Launched September 12 as a partnership between the Farmers for Free Trade coalition and the new Americans for Free Trade coalition (of more than 80 of the nation’s leading trade associations representing thousands of businesses and workers) the group is working to bring attention to the benefits of international trade to the U.S. economy. 
To learn more about how to take part in the efforts to stand against additional tariffs, contact AAFA''s Steve Lamar or Nate Herman
MTB now law: On September 13, President Trump signed the Miscellaneous Tariff Bill (MTB) into law which is a major victory for AAFA members, the industry, and beyond. AAFA has been active for the past three years pushing for the reform of the MTB program as a way to lower the excessive duty burden currently charged on the industry – supporting members in MTB requests and advocating for Congressional action on the final MTB package itself. Effective October 13, the MTB will reduce or eliminate tariffs on U.S. imports of hundreds of inputs and finished products, including dozens of footwear, apparel, and textile items (see list of items here) through December 31, 2020. For questions, contact AAFA''s Nate Herman
AAFA''s Nate Herman discusses the Miscellaneous Tariff Bill
and how it will impact the apparel and footwear industry.
Your support for hurricane disaster relief: AAFA members are invited to help support donations following the impacts of Hurricane Florence. Here are two ways to help:
Delivering Good seeks your help with product donations at this time of great need following Hurricane Florence – email product@Delivering-Good.org or call (646) 362-9088 to help! Last year, 7,000 financial donors supported the 2017 disasters and over 300 companies donated new merchandise – such as apparel, underwear, socks, towels, sheets, blankets, comforters and pillows – to those in need. Delivering Good is a 501(c)(3) nonprofit, and the charity of choice for new product donations made by hundreds of companies in the fashion, home and children’s industries. Since 1985, over $1.8 billion of donated products have been distributed through its network of community nonprofits, serving the poor and disadvantaged worldwide. Visit delivering-good.org to learn more. 
Two Ten is offering emergency financial assistance, information, referral services, and counseling to footwear employees and their families affected by Hurricane Florence. The only philanthropy in America that focuses solely on its own industry, Two Ten Footwear Foundation serves the country’s 330,000 footwear employees from coast to coast through services and programs that directly improve their lives. 100% of the proceeds donated to Two Ten''s Hurricane Florence Disaster Relief Fund will go to help footwear families affected by the storm - and every dollar counts! For more information, visit twoten.org or dial (800) 346-3210.
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: AppDetex

Founded in 2012, AppDetex is the global brand protection leader in combating brand infringement and dilution, fraud, and piracy within the increasingly complex worlds of mobile apps, marketplaces, social media, and domains. We choose to specialize in the areas most vulnerable to brand-jacking and can be the most difficult to navigate for even experienced IP attorneys. We focus on developing best-in-class technologies and methodologies that expose brand infringements and enable takedowns of the many egregious, and often criminal activities found online today.


AAFA Events
September & October
September 20 Webinar: Working Hours Best Practices
September 27 AAFA Footwear Workshop
October 3-4 AAFA Board of Directors Meeting
October 15 Webinar: How to Build Your 3S eDemand-Chain
October 18 Vietnam: Product Safety & Compliance Conference
October 24 Executive Think Tank in Hong Kong 
Visit our events calendar for all AAFA webinars and industry events.
Next month in Hong Kong we''re talking about your top-of-mind trade and supply chain headaches – and opportunities! Don''t miss out on Oct. 24


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