Kim Glas, President and CEO of the National Council of Textile Organizations (NCTO), released a statement supporting the Biden administration’s Section 301 investigation into Nicaragua’s human rights, labor rights, and rule of law violations under the Ortega-Murillo regime.
“The US textile industry strongly condemns the actions of President Ortega and Vice President Murillo,” Glas stated, emphasizing the importance of enforcing human rights and labor standards in trade agreements. She called for carefully measured responses that promote reforms without destabilizing the USCentral American textile supply chain.
Glas highlighted Nicaragua’s significant role in the USCAFTA-DR trade agreement, with the US exporting nearly $350 million in textile and apparel products to Nicaragua in 2022. She noted that the interconnected supply chain, spanning countries like Honduras and Guatemala, supports $1.5 billion in trade and sustains jobs across the region.
The textile sector, a major employer of women in Nicaragua, could face adverse impacts from penalties such as Section 301 tariffs, which might inadvertently benefit China by undermining CAFTA-DR’s competitive position. Glas cautioned against actions that harm workers while failing to address human rights violations effectively.
NCTO pledged to collaborate with the US Trade Representative’s office throughout the investigation and public comment process to ensure a balanced policy approach that upholds fairness, economic stability, and shared regional values.
