TPP New Rules Of Origin Or Weakening US Textile Industry Profits

< p > trans Pacific Partnership Agreement (TPP agreement) is one of the hot topics in the textile industry recently. Its signing may have a major impact on the textile industry in the United States. The agreement includes the United States and its ten trading partners: Australia, Brunei, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam. According to the agreement, the commodities exported to the US by these countries will enjoy "a href=" //www.sjfzxm.com/news/list.aspx ClassID=101112107105 "tax exemption" /a ". < /p >
One of the biggest impacts on the textile industry of the United States is the rule of origin, which was put forward by Vietnam in P. If this new regulation is added to the agreement, the existing policy of "origin of yarn" (yarn-forward) will be invalid. According to the current policy, the entire manufacturing process from yarns to fabrics to ready-made garments must be completed in the same country to determine that the country is the country of origin of garments. However, according to the new regulations, Vietnamese clothing can be imported from China and will be duty-free into the US market after being processed into garments in China. This is not allowed in all current agreements signed by the United States with other countries. The new rules may also infuriate members of the Central American Free Trade Agreement (rasa) because, as required by the existing agreement, these countries must purchase yarn produced by the United States to comply with the rules of origin. < /p >
< p > > according to the Congressional Hill newspaper, 167 legislators in the house of Representatives recently expressed their concern over the position taken by the Vietnamese government in the negotiations on the textile industry, and expressed concern that the new regulation could have a huge negative impact on the US mainland and its export partners. The report also pointed out that Vietnam predicted that under the new regulation, its market share in the United States will increase from 7% to 30%. The National Association of textile organizations will continue to support the policy of origin from the beginning of yarn. Recently, when its representative testified in the House Committee, he pointed out the possible negative impact of the new regulation on the textile industry in the United States. < /p >
< p > < strong > American textile and clothing group opposes Vietnam joining a href= "//www.sjfzxm.com/news/list.aspx ClassID=101112107108" > TPP < /a > /strong > /p >
< p > from the actual situation, if the new rules are implemented, the textile industry that is recovering in the United States will face a huge impact. WAL-MART has recently promised to buy more American made textiles; the investment and equipment modernization level of the domestic textile industry has also significantly increased; Salvatore's several trading partners also invest in the supply chain solutions for high-end sports apparel products mainly made of man-made yarns in China, and small countries such as Salvatore, which are far from the United States, need great courage to invest in such a special industry. However, if Vietnam's new agreement on TPP agreement is passed, it can be imagined that the influx of Vietnamese textiles to the US market will have a huge negative impact on these investments. < /p >
The nine Pacific Rim countries that have officially participated in the TPP multilateral agreement are: P, USA, Vietnam, Australia, Brunei, Chile, Malaysia, New Zealand, Peru and Singapore. In addition to these nine countries, there are plans to expand other countries' entry into TPP. < /p >
< p > TPP is not the first regional trade agreement involving the United States in Asia, but once TPP comes into effect, it will create the world's most important trading bloc. < /p >
< p > > a href= "//www.sjfzxm.com/news/list.aspx? ClassID=101112107101" > American textile industry < /a > think that putting Vietnam in TPP will be a challenge because Vietnam is the second largest supplier of textile and clothing products to the United States after China's mainland, and its annual export value reaches US $6 billion 300 million. Vietnam has expanded to industrial fabrics and other high-end textiles in recent years. < /p >
< p > such members said that, like its neighboring mainland China, Vietnam has large state-owned and subsidized textile industries, undervalued currencies, weak environmental protection measures, and loose enforcement of intellectual property rights. Vietnam also relies heavily on imports of most of its yarn and cloth from mainland China. In 2009, it imported US $2 billion 200 million from the mainland of China, which raised concerns about the limited export opportunities for yarn and fabric manufacturers in the United States. < /p >
< p > the textile industry in the United States is operating to obtain the right of argument (parametersright) for negotiation of TPP content, especially in the rules of origin. < /p >
P, executive director SmythMcKissick of the Alice manufacturing company of the United States, is also the co chair of the US Manufacturing Trade Action Alliance (AMTAC). It is necessary to ensure that there is no loophole rule for fiber, yarn, cloth, dyeing and finishing, sewing thread, pocket cloth and sewing process, so as to ensure that any agreement that may be reached is advantageous. < /p >
Until now, the textile and garment industry has been regarded as an independent chapter for negotiation under the free trade agreement of the United States. The US Trade Representative (USTR) has made various indications that it will follow the example of P. < /p >
< p > the joint letter indicates that the textile and garment industry accounts for more than a href= "//www.sjfzxm.com/news/list.aspx ClassID=101112107102" in the United States and Vietnam, and the bilateral trade is less than /a > 1/3, and is more sensitive than all other industries, making the trade policy in the United States showing a complex phenomenon. As a result, textile and garment products are not suitable for the rules of integration with other manufacturing products. < /p >