U.S. Dept. of Commerce Bureau of Industry and Security Studying U.S. Textile Sector

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The U.S. Department of Commerce Bureau of Industry and Security (BIS) is undertaking a comprehensive study on the health, competiveness, and the contribution of the U.S. textile, apparel, and footwear industry to the U.S. economy.  Among the topics included are:

  • Current issues and challenges, and what can be done to support the industry.
  • Effectiveness of the Berry Amendment and other Buy-American provisions.

The U.S. Department of Commerce conducted a similar assessment in 2003, “U.S. Textile and Apparel Industries: An Industrial Base Assessment.”  A link to that study is below.

The U S Textile and Apparel Industries – An Industrial Base Assessment

U.S. Textile Manufacturers Endorse Trans-Pacific Partnership

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January 21, 2016

Contact: Eliza Levy
202-822-8028
elevy@ncto.org

U.S. Textile Manufacturers Endorse Trans-Pacific Partnership

WASHINGTON, D.C. – On January 20, 2016, the National Council of Textile Organizations voted to formally support the Trans-Pacific Partnership (TPP) free trade agreement. The decision to support TPP came after an exhaustive analysis determined that NCTO’s principle objectives were met as part of the finalized terms of the agreement. These objectives include:

  • A strong yarn forward rule of origin for the vast majority of textile and apparel products.
  • Reasonable, multi-year tariff phase-outs for sensitive textile and apparel products.
  • Terms that provided for the stability of the Western Hemisphere textile and apparel production chain.

“Due to the inclusion of Vietnam and other major textile and apparel exporting countries, the TPP agreement is the most significant trade policy initiative to confront the U.S. textile sector over the past 25 years,” stated Jeff Price, NCTO Chairman and President of the Specialty Fabrics Division at Milliken and Company. “As such, it was critical for our government to produce a final agreement that appropriately reflected the needs of U.S. textile manufacturers and the hundreds of thousands of workers we employ nationwide. We believe that the agreement concluded late last year in Atlanta meets our core objectives and is worthy of our full support.”

“No agreement is perfect, and certainly that is the case with TPP,” Price continued. “There were difficult trade-offs that we, as U.S. manufacturers, had to consider during this process, as is the case with any complicated negotiation. Nonetheless, this agreement is very sound in the essential elements that govern textile trade. We stated throughout the entire negotiating process that if our key objectives were met, NCTO would support the final agreement. Today, we are making good on that commitment to the U.S. government by pledging our support of TPP. With legislative review and action expected in 2016, NCTO looks forward to working with congressional leadership, the committees of jurisdiction, our supporters on Capitol Hill, and the Obama Administration on a path forward for TPP.”

“We extend our thanks to Ambassador Michael Froman and the entire U.S. negotiating team for their willingness to acknowledge our input throughout the TPP process,” Price concluded.

The U.S. textile and apparel industry is a significant contributor to the U.S. economy, producing over $70 billion in annual output and employing nearly 500,000 workers nationwide. In addition, the U.S. textile and apparel sector exported more than $24 billion in goods in 2014.

Trans-Pacific Partnership (TPP) Agreement Concluded

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For Immediate Release

October 5, 2015

NCTO Thanks the U.S. Government for their Close Cooperation on Key Issues in the Textile Chapter

Washington, D.C. – Responding to the announcement that the Obama Administration has successfully concluded the   Trans-Pacific Partnership (TPP), NCTO expresses gratitude to U.S. negotiators for their close cooperation on key issues in the textile chapter. The twelve nations who finalized the agreement include the United States, Australia, Brunei, Chile, Canada, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam. These countries represent nearly 40% of global gross domestic product. Read more

Textile Industry Calls on Obama Administration to Address Critical Issues Affecting U.S. Manufacturers during Chinese Presidential Visit

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For Immediate Release

September 25, 2015

WASHINGTON, D.C. – The National Council of Textile Organizations (NCTO) calls on the Obama Administration to utilize today’s visit with Chinese President  Xi Jinping to highlight the urgent need for substantial economic and trade policy reforms by China in order to help level the playing field for U.S. textile producers and other U.S. manufacturers. Read more

NCTO Statement on Trade Legislation Passed by the Senate Today (5/14/2015)

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NCTO Statement on Trade Legislation Passed by the Senate Today

NCTO commends the Senate for earlier today passing two important pieces of trade legislation H.R. 1295 and H.R. 644, addressing trade preference programs and customs enforcement. As the Senate now moves to consider another trade package including Trade Promotion Authority (TPA) and Trade Adjustment Assistance (TAA), NCTO urges the chamber to pass a clean TPA bill without harmful amendments that will damage U.S. textile jobs, manufacturing, and exports.

5/14/2015

TPA Statement

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TPA Statement

NCTO applauds both the Senate Finance Committee and the House Ways and Means Committee for reporting out a clean TPA bill – The Bipartisan Congressional Trade Priorities and Accountability Act of 2015. In addition, NCTO is appreciative that accompanying legislation did not include provisions damaging to domestic job growth, manufacturing, and the U.S. textile industry as a whole. NCTO encourages both the House and Senate to swiftly pass these bills without additional amendments that would adversely impact U.S. textile manufactures.

The U.S. textile and apparel industry is a strong and growing industry employing 499,500 American workers in 2014. It is critical that U.S. trade agreements are constructed so that the U.S. can compete on a level playing field and in doing so boost American exports, create jobs, and strengthen the U.S. economy. TPA legislation will ensure that the U.S. meets these goals and creates high-standard 21st century trade agreements.

NCTO ENDORSES THE INTRODUCTION OF THE BIPARTISAN CONGRESSIONAL TRADE PRIORITIES AND ACCOUNTABILITY ACT OF 2015

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FOR IMMEDIATE RELEASE
April 17, 2015

Contact: Eliza Levy
202-822-8028

NCTO ENDORSES THE INTRODUCTION OF THE BIPARTISAN CONGRESSIONAL TRADE PRIORITIES AND ACCOUNTABILITY ACT OF 2015

WASHINGTON, D.C. – The National Council of Textile Organizations (NCTO) endorses the introduction of legislation to renew Trade Promotion Authority as introduced by Senate Finance Committee Chairman Orrin Hatch (R-UT), Ranking Member Ron Wyden (D-OR) and House Ways and Means Chairman Paul Ryan (R-WI). The Bipartisan Congressional Trade Priorities and Accountability Act of 2015 (TPA-2015) would establish congressional negotiating objectives and consultation mechanisms involving international trade agreements currently being negotiated by the U.S. government.
“We are pleased to lend our support to this renewal of Trade Promotion Authority,” stated NCTO President Augustine Tantillo. “We look forward to working with both the Executive Branch and Congress as we advocate for trade agreements that fully incorporate the interests of U.S. textile manufacturers. It is critical that these trade agreements help to level the international playing field and boost American exports, create manufacturing jobs, and strengthen the U.S. economy.”
Among the various negotiating objectives included in the bill is textile-specific language addressing the need for fair market access in trade negotiations.
Subparagraph 2(b)(18) of the bill reads:
Textile Negotiations: The principal negotiating objectives with respect to trade in textiles and apparel are to obtain opportunities for U.S. exports of textiles and apparel in foreign markets substantially equivalent to the competitive opportunities afforded foreign exports in U.S. markets and to achieve fairer and more open conditions of trade in textiles and apparel.

 

NCTO Applauds USTR for Confronting China on Illegal Export Subsidies

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February 11, 2015

NCTO Applauds USTR for Confronting China on Illegal Export Subsidies

Washington, D.C. – The National Council of Textile Organizations (NCTO) applauds U.S. Trade Representative Ambassador Michael Froman’s decision to pursue dispute settlement consultations with the Government of China at the World Trade Organization (WTO) concerning China’s “Demonstration Bases-Common Service Platform” export subsidy program. (Ambassador Froman’s press release linked here)

Through this program, China provides WTO prohibited export subsidies to manufacturers which meet export performance criteria. These illegal subsidies have bolstered China’s meteoritic export surge of textiles and apparel into the U.S. market. The chart below demonstrates the phenomenal growth of Chinese textile and apparel exports to the U.S. market since 2001.

China’s massive export growth over this period resulted in billions of dollars in lost sales and tens of thousands of lost jobs in the U.S. and the Western Hemisphere. “It has been NCTO’s long standing position that China’s rise in the global textile and apparel market has been substantially aided by illegal and unfair trading practices. These illegal practices distort the global market place and put the entire U.S. manufacturing base at a considerable disadvantage,” stated NCTO president Augustine Tantillo. “We applaud the Obama Administration for today’s decision to hold our international trading competitors to their WTO obligations,” he continued.

When afforded a level playing field, the U.S. textile and apparel industry can compete with any country in the world. In 2013*, the U.S. textile and apparel industry was the third largest exporter of textile and apparel products in the world, exporting nearly $24 billion in goods. The industry is also a significant contributor to the overall U.S. economy, producing over $70 billion in annual output. Most importantly, the industry remains a major employer in the United States, providing jobs for nearly 500,000 workers from fiber production to finished product in 2013*. Additionally, for every one direct textile or apparel job, there are three additional jobs supported within the U.S. economy.  

NCTO encourages the U.S. to strenuously pursue this matter at the WTO in order to begin the eradication of these illegal trading practices. Doing so will lead to more fair and open competition in the global market.

*This press release contains 2013 data. Full year 2014 data has not yet been released by the USITC.

NCTO Joins With Leading Manufacturing Organizations to Call for Immediate Action on Currency Manipulation

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For Immediate Release

August 21, 2014

NCTO Joins With Leading Manufacturing Organizations to Call for Immediate Action on Currency Manipulation

Columbia, S.C. — The National Council of Textile Organizations (NCTO) joined with the American Automotive Policy Council (AAPC) and the American Iron and Steel Institute (AISI) today to seek U.S. government action to stop currency manipulation. NCTO called upon lawmakers to adopt meaningful legislation to stop predatory currency practices and the Executive Branch to include strong and enforceable currency manipulation disciplines in all future trade agreements.

Export-oriented countries such as China and Vietnam have been shown to purposefully devalue their currency in order to promote their exports and to block imports into their markets. This practice places the entire U.S. manufacturing base at a considerable disadvantage when it comes to international trade.

During an event today in Columbia, S.C., the three organizations highlighted how unfair currency policies hurt American job creation and economic growth. According to a 2014 study by the Economic Policy Institute, ending unfair currency policies can create as many as 2.3 million new manufacturing jobs in the United States by leveling the playing field in global markets.

“NCTO is pleased to join with other major manufacturing associations to highlight the need for currency reform,” said Augustine Tantillo, President of NCTO. “Currency manipulation distorts the global marketplace and puts American workers at a disadvantage. NCTO calls upon congressional leaders to support legislative initiatives that create tangible remedies for U.S. manufacturers that have been damaged by unfair currency practices.”

“Currency manipulation affects all U.S. manufacturing,” Tantillo continued, “As a result, we need a bipartisan solution that involves both the Legislative and Executive Branches of our government.”

The U.S. textile and apparel industries employ nearly 500,000 workers in the United States, including 19,400 textile industry jobs in South Carolina.

SC Currency Press Release

NCTO Joins With Leading Manufacturing Organizations to Call for Immediate Action on Currency Manipulation

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For Immediate Release

August 20, 2014

NCTO Joins With Leading Manufacturing Organizations to Call for Immediate Action on Currency Manipulation

Greensboro, N.C. — The National Council of Textile Organizations (NCTO) joined with the American Automotive Policy Council (AAPC) and the American Iron and Steel Institute (AISI) today to seek U.S. government action to stop currency manipulation. NCTO called upon lawmakers to adopt meaningful legislation to stop predatory currency practices and the Executive Branch to include strong and enforceable currency manipulation disciplines in all future trade agreements.

Export-oriented countries such as China and Vietnam have been shown to purposefully devalue their currency in order to promote their exports and to block imports into their markets. This practice places the entire U.S. manufacturing base at a considerable disadvantage when it comes to international trade.

During an event today in Greensboro, N.C., the three organizations highlighted how unfair currency policies hurt American job creation and economic growth. According to a 2014 study by the Economic Policy Institute, ending unfair currency policies can create as many as 2.3 million new manufacturing jobs in the United States by leveling the playing field in global markets.

“NCTO is pleased to join with other major manufacturing associations to highlight the need for currency reform,” said Augustine Tantillo, President of NCTO. “Currency manipulation distorts the global marketplace and puts American workers at a disadvantage. NCTO calls upon congressional leaders to support legislative initiatives that create tangible remedies for U.S. manufacturers that have been damaged by unfair currency practices.”

“Currency manipulation affects all U.S. manufacturing,” Tantillo continued, “As a result, we need a bipartisan solution that involves both the Legislative and Executive Branches of our government.”

The U.S. textile and apparel industries employ nearly 500,000 workers in the United States, including 42,300 textile industry jobs in North Carolina.

NC Currency Press Release