Obama Administration Moves to Support US Dyeing & Finishing Jobs

Monday, August 02, 2010

Members of the US textile industry are lauding a new Commerce Department ruling confirming that the dyeing and finishing of textiles subject to trade benefits of the Dominican Republic Earned Import Allowance Program has to occur in the United States in order for the benefits to occur. Many in the trade see this Obama Administration action as being a pro-US jobs decision that will keep much of the remaining dyeing and finishing industry in the US intact.

In a press release, our friends at the American Manufacturing Trade Action Coalition (AMTAC) praised the Obama Administration for its determination that interprets “wholly formed” within the definition of “qualifying woven fabric” in the Dominican Republic Earned Import Allowance Program (DR 2:1) to require that the dyeing and finishing of said fabrics occur in the United States.

“This is a pro-U.S. jobs determination by the U.S. Department of Commerce Office of Textiles and Apparel (OTEXA).  Deputy Assistant Secretary Kim Glas is to be commended,” said AMTAC Executive Director Auggie Tantillo.



“AMTAC also would like to thank U.S. Senator Kay Hagan (D-NC), U.S. Reps. John Spratt (D-SC) and Howard Coble (R-NC), and our other industry supporters in Congress for their advocacy on behalf of U.S. textile producers on this matter,” Tantillo added.

“Dyeing and finishing is the highest value-added process in the entire textile and apparel production chain.  Today’s determination will help keep that production in the United States.  Any other determination would have encouraged the offshoring of the U.S. jobs and investment,” Tantillo continued.

According to the U.S. Bureau of Labor Statistics, there are 38,100 textile and fabric finishing mill manufacturing jobs in the United States, including 17,300 in broadwoven fabric finishing mills.

The Dominican Republic 2:1 Earned Import Allowance Program was created in 2008 as part of the Andean Trade Preference Extension Act of 2008 (“ATPEA”).  The program allows the Dominican Republic to ship one pair of non-qualifying trousers to the United States duty free for every two pair of qualifying trousers.  Non-qualifying trousers can contain components sourced in countries like China and do not have to be made from components sourced in the United States.

To view the full Commerce Department determination, click HERE.

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