AAFA welcomes the signing of TPP
The official signing on February 3, 2015 of the TPP Trans Pacific Partnership has created positive reactions such as The American Apparel & Footwear Association (AAFA), a trade association representing more than 1,000 brands with members from across the entire fashion supply chain, released a statement in support of the Trans-Pacific Partnership
With the TPP covering 40 % of the world’s GDP and reaching approximately 800 million consumers, the trade pact represents significant opportunities for the clothing, shoe, and accessories industry. For this reason, and after consultation with its members, the association is expressing their strong support for the TPP
The association says the US apparel, footwear, and accessories industry is a global industry in which nearly every US job in their business depends on access to foreign customers or global supply chains, or both. TPP will provide opportunities to reduce costs, stay competitive, and enter new markets.
It observed that the benefits of the TPP will materialise more quickly in the case of travel goods (items such as handbags, backpacks, and laptop cases) and footwear, which feature more flexible rules of origin and immediate duty-free treatment for a wide range of products. While there are some immediate opportunities for apparel, most apparel articles are constrained by extremely restrictive rules of origin and long duty phase-outs, meaning benefits will take longer to realize.
The US apparel, footwear, and accessories industry employs more than four million U.S. workers, and represents more than USD 360 billion in U.S. retail sales.