The American Apparel and Footwear Association (AAFA) has declared its support to the renewal of the Generalised System of Preferences (GSP) Reform Act. The association opines, the renewal will enhance the competitiveness of US firms while aiding global economic development.
Steve Lamar, CEO, AAFA, thanked Representative Adrian Smith for introducing the bill and urged Congress to swiftly pass it. According to him, the bill’s retroactive renewal would enhance the competitiveness of trusted partners than relying on tariffs during a period of ongoing disruptions in supply chains.
Describing the GSP Reform Act as the oldest and largest US trade preference program, the AAFA says, it would foster economic development in selected developing countries by eliminating tariff barriers on qualifying products.
Beth Hughes, Vice President - Trade and Customs Policy, AAFA also welcomed the proposed reforms, including updates to the competitive need limitation mechanism and a process to consider currently ineligible products. She stressed the necessity of such reforms for GSP to effectively assist companies in diversifying their supply chains away from China.
Furthermore, AAFA also supported the new legislation aimed at investigating price discrepancies between everyday products for women and men.
In December 2023, the Federation of the European Sporting Goods Industry expressed satisfaction with the signing of legislation extending the current rules of the GSP amidst concerns over stalled negotiations.
