On August 21, 2019, senior executives of the U.S. textile industry held a roundtable meeting with Congressman Tom Rice to urge Congress to pass the United States-Mexico-Canada Agreement (USMCA) as soon as possible.
Tom Rice is an important member of the House Ways & Means Trade Subcommittee and the main convener of trade and competitiveness issues affecting the U.S. textile industry.
The USCMA agreement will update and replace the 25-year-old North American Free Trade Agreement (NAFTA). The agreement’s supply chain will drive the United States, Canada, Mexico’s trilateral textile and garment trade is approximately US$30 billion.
The latest USMCA agreement has made some changes, such as: stricter settings for products such as sewing threads, pockets, narrow elastic bands and certain coated fabrics. According to the country of origin regulations, the above materials are required by the U.S. textile industry. In addition, it closes loopholes in the Kissell Amendment and ensures enhanced customs enforcement.
But the agreement is also welcomed by U.S. garment brands and importers. A recent evaluation concluded that USMCA is an agreement to balance trilateral trade in textiles and garments. .
The roundtable for senior executives was hosted by Milliken & Company, headquartered in Spartanburg, South Carolina. Jeff Price, executive vice president of Milliken Operations, said: The USMCA agreement makes several key updates to the NAFTA agreement, which will help trade between the United States, Mexico and Canada become stronger and benefit key industries in South Carolina.
U.S. Congressman Rice added: Reflecting the development of the 21st century economy, outdated trade agreements will be modernized and updated, and U.S. manufacturers will be fully supported to improve U.S. global competition. force. I will bring the valuable insights I have gathered back to Washington and will continue to advance the passage of the USMCA agreement and keep the U.S. economy thriving.
Kim Glas, president and CEO of the National Council of Textile Organizations (NCTO), said: Last year, U.S. textile exports to Mexico and Canada totaled US$12 billion, which highlights The importance of U.S. supply chains in the Western Hemisphere.
This critical supply chain has fueled $20 billion in investment in the industry over the past decade, and has also helped direct investment in South Carolina and nearly 25,000 textile industry workers. job opportunity.
NCTO President Glen Raven and CEO Leib Oehmig agreed: The passage of the USMCA agreement by the U.S. Congress is one of our most important legislative priorities this year.
The United States, Canada, and Mexico reached the USMCA agreement on September 30, 2018; the presidents of the three countries officially signed the agreement on November 30, 2018. However, the Trump administration in the United States is working hard to promote the ratification of the USMCA agreement in 2019, because the upcoming US election cycle means it is uncertain whether the USMCA agreement will be ratified and take effect this year.
