Asian Textiles Tariff-Free in U.S.

A group of Democratic senators proposed a law to eliminate tariffs on textile products from 14 Asian countries.

Monday, July 13, 2009

Textile imports from those countries currently pay up to 28% when entering the United States.

Should the proposal be approved, a very likely scenario, the Central American countries would lose the trade advantage obtained with the U.S. free trade agreement, as production costs are lower in Asian countries, because of lower social costs and cheaper energy.

Alejandro Ceballos, president of the Apparel and Textile Commision (Vestex, Spanish acronym), indicates in Cristóbal Véliz's article: "If the proposal is approved, Guatemalan exports could reduce up to 50%". The businessman added that "the countries listed are no more than 'Chinese satellites', because they use raw materials from the Asian giant."

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Nicaragua: TPL for Textile Exports At Risk

June 2014

A bill that is being analyzed by the U.S. Congress aims to reduce the level of tariff preference to only 6% of imports from Nicaraguan textile factories.

Although the possibility exists of an extension of the current Tariff Preference Level (TPL) until 2015, American congressmen have proposed that the benefit be granted only on cotton pants, which represent the lowest proportion of Nicaraguan textile exports to the United States.

Tariff Preferences for Textiles At Risk

April 2013

The preferential system which allows Nicaraguan textiles made with raw materials from countries outside of the DR-CAFTA to enter the U.S. without tariffs will expire at the end of 2014.

"... By the end of next year the nine-year grace period given by the United States to Nicaragua will expire, a benefit known as tariff preference level (TPL) which allows the country to export clothing made from yarn and fabrics from third countries for a maximum annual volume of one hundred million square meters." noted an article in

Amendment to DR-CAFTA on Textiles Approved

August 2012

The amendment relates to technical details regarding the rules of origin related to spandex or lycra fabrics, thread, and pajama pants.

A package containing technical changes to the rules of origin for textiles was ratified by the House of Representatives of the United States.

Is this the Moment of the Textile Industry?

May 2012

Aggressive measures must be taken in marketing and attracting investment in order to exploit the possibilities opened by the DR-CAFTA and changes in the global market.

From Diario de Centro América:

The CAFTA-DR region has opportunities for growth

The clothing and textile sector of the country is ready to compete globally.

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