AAFA Weekly Brief
October 18, 2016
Supply Chain
October 18: South Korea's Hyundai Merchant Marine Co Ltd (011200.KS) said on Tuesday it may submit a preliminary bid for Hanjin Shipping Co Ltd (117930.KS) assets used in Asia-to-U.S. routes - a sale seen as key to Hanjin's prospects for paying off creditors. Hanjin, the first major shipping line to be dragged down by global industry overcapacity and low freight rates, put up manpower and logistics systems, five container ships and 10 overseas businesses, for sale last week. (Source: Reuters)
October 16: How can Bangladesh rise to the challenge? There have been several interesting developments with regard to the existing dynamics within the paradigm of the Ready Made Garments industry. The renewed attention about its different facets has partially been evoked by its continued success in being able to overcome challenges. ... This interest in this important sector, employing more than 4.5 million workers, mostly women, was reflected through ILO’s decision to bring 225 additional garment factories under its Better Work (BW) program (sponsored by the ILO and the International Finance Corporation) by June 2017, and 500 more by 2021. (Source: Dhaka Tribute)
October 14: Reinforcing its position as the world's largest importer, Bangladesh imported 6.2 million cotton bales in 2015-16. The US department of agriculture (USDA) has forecast Bangladesh's imports to increase to 6.3 million bales in 2016-17. This raises Bangladesh's share of global imports to over 18 percent, which is more than double its share seen 5 years before. This large change in Bangladesh's imports in turn impacts various cotton exporters, especially West African origins such as Benin and Burkina Faso, and Central Asian countries such as Uzbekistan. (Source: Fibre2Fashion.com)

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October 17: ... Fortunately, for us, there are still people on Capitol Hill that understand that trade equals growth. In fact, as we close the current cycle on the Trans-Pacific Partnership (TPP), many serious proponents and opponents are eager to discuss the future of international business. However, in spite of positive dialogue, it does remain sad to most progressives that this bitter election cycle has turned trade into the fodder of a reality show, and trade is now a target that serves only to pinpoint voter frustration with government. (Source: The Hill, op-ed by AAFA's Rick Helfenbein)
October 14: ... The U.S. International Trade Commission announced that it will begin accepting petitions for duty-relief in the Miscellaneous Tariff Bill (MTB). Petitions will be accepted until 5:15 p.m. Eastern time on December 12, 2016. The USITC will only accept petitions submitted electronically via its portal, the MTB Petition System (MTBPS). ... Petitions for duty suspensions may only be filed by members of the public, or their legal representative, who can demonstrate that they are a likely beneficiary of the duty suspension or reduction. [USITC] will then manage a 45-day notice and comment period on whether individual requests threaten U.S. domestic producers. (Source: The National Law Review)
October 12: Does the United States still have the ability — or the will — to be the undisputed global leader, a role it has held since World War II? It’s a question to be answered soon by members of Congress as they approve or reject an initiative to give the United States expanded access to 11 countries that represent more than a quarter of the world’s trade, while leveling the playing field for U.S. workers and businesses. How they vote on the Trans-Pacific Partnership (TPP) trade agreement will affect the course of the United States’ security, prosperity and global influence for the rest of the 21st century and determine whether we advance or retreat from our leadership role at a time of worldwide turmoil and uncertainty. (Source: Washington Post)
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Brand Protection
October 17: ... China’s knockoffs come in many different forms, and can affect businesses large and small. In some cases, factories will make products that physically resemble ones made by prominent brands. Quality may vary — an Android phone with rounded edges and a stamped-on Apple logo will never come close to replicating the feel of an iPhone. But a counterfeit Gucci bag might easily pass for the real thing. (Source: Quartz)
October 13: Brands of all sizes and across all industries are being affected by the growing threat from cyber criminals. As the online landscape evolves, cyber criminals are becoming bolder and their methods of attack more sophisticated. As a result, it’s critical for organisations to develop, implement and continually assess a proactive online brand protection strategy. ... Cybercrime, be it the sale of fake goods or online fraud, has a tremendous impact on a brand — more than just affecting revenues directly, these activities impact on reputation, customer loyalty and the brand as a whole.
(Source: Marketing Tech)
Naylor Association Solutions

In Brief
AAFA testifies today regarding GSP for travel goods: As part of AAFA’s continued efforts to secure Generalized System of Preferences (GSP) for travel goods, AAFA President and CEO Rick Helfenbein testified today at the Travel Goods GSP eligibility hearing. On behalf of AAFA, he made a very compelling case on why U.S. imports of travel goods (handbags, luggage, backpacks, etc.) should be duty-free from all developing countries under the GSP program.

2016 Notorious Markets submission: Earlier this month, AAFA called on the Office of the United States Trade Representative (USTR) to re-list Alibaba as a Notorious Market. USTR's final report is expected to be released in late 2016. AAFA will keep members informed of the results.

Meet AAFA’s Brand Protection Council (BPC): Charged with helping to protect U.S. branded products against cheap imitations that are flooding the marketplace, AAFA’s BPC is composed of legal, brand enforcement, and marketing representatives from AAFA member companies. The BPC’s winter meeting will take place on December 1 in San Francisco. AAFA will also host the Knock it Off! Brands & the Counterfeiting Quandary Workshop the day prior, November 30, in San Francisco (open to both members and non-members). Contact membership@aafaglobal.org to learn more.

Final debate airing October 19: In advance of the final Presidential debate, airing October 19, AAFA sent a letter to the moderator, Chris Wallace. The letter encourages him to ask questions about UNICOR and the damaging impact prison factories have on USA manufacturing.

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.

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AAFA Events

Oct. 20
Webinar: Third-Party Risk Management - An Effective Program to Protect Your Brand
Oct. 26 Hong Kong AmCham Address: Strategic Imperatives for 2016 and Beyond - Insights from AAFA
Oct. 27 Hong Kong Executive Summit 2016 (click here to meet the speakers!)

Visit our events calendar for all webinars and industry events. Be sure to save the date for AAFA's Executive Summit: March 1-3, 2017 at the newly remodeled Watergate Hotel in Washington, D.C. 

Other Industry Events 
November 30, 2016 | New York, NY 

Two Ten Footwear Foundation, the national charitable foundation of the U.S. footwear industry, will host its 77th annual VIP Dinner and Gala on November 30, 2016. The evening of philanthropy and entertainment will be held at the legendary Hammerstein Ballroom in New York City’s Manhattan Center. Click here for more information.



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