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Fashion made possible by global trade

Fashion made possible by global trade

Fashion made possible by global trade

Issue Summary

Since 2009, reports have suggested that the Uzbekistan cotton industry utilizes forced and child labor in the cotton fields. In October 2011, the European Union Parliament blocked a textile trade deal with Uzbekistan because of the country’s continued use of forced child labor in the cotton industry. The textile deal would have lowered the tariffs on EU imports of Uzbek cotton, which currently represent ¼ of Uzbekistan’s exports.

Following continued advocacy efforts by the global industry, including the United States Fashion Industry Association (formerly USA-ITA), on June 19, 2013, the U.S. Department of State finally downgraded Uzbekistan to Tier III in the Trafficking in Persons Report for 2013, which indicates that a government is not making significant efforts to combat human trafficking and opens up the possibility of sanctions. The report notes that the country is “a source country for men, women, and children subjected to forced labor and women and children subjected to sex trafficking.” Regarding the use of forced and child labor in the cotton sector, the report says:       

“Internal labor trafficking remains prevalent during the annual cotton harvest, in which children and adults are victims of government-organized forced labor. There were reports that working conditions in some fields during the cotton harvest included verbal and physical abuse and lack of freedom of movement. According to a variety of sources, the Government of Uzbekistan enforced a decree resulting in a sweeping reduction of the number of children under 15 years of age in the 2012 cotton harvest, but the government continued to subject older children and adult laborers to forced labor in that harvest. Some reports contend that the numbers of older children and adults subjected to forced labor in the harvest were higher than in previous years in several of Uzbekistan’s regions. Some activists allege that children were forced to weed cotton fields in the spring of 2012.”

The report recommends that Uzbekistan take a number of actions, including allowing an international organization such as the ILO to conduct an independent assessment during the annual cotton harvest.

On July 15, 2013, the Uzbek-German Forum for Human Rights and the Cotton Campaign released a report titled, “A Systemic Problem: State-Sponsored Forced Labour in Uzbekistan’s Cotton Sector Continues in 2012.” The report “presents evidence gathered by human rights defenders in Uzbekistan on their government’s system of forced labor during the 2012 cotton production cycle” and also serves as a “call to action to governments and companies to use their leverage to urge the Government of Uzbekistan to end forced labor in its cotton sector.” 

 

USFIA Position

The United States Fashion Industry Association (USFIA) and many of our member companies have been actively involved in bringing the issue to the attention of the Obama Administration, particularly by urging the U.S. Department of State to bring up the issue in meetings with Uzbek government officials and work toward ending child labor in Uzbekistan. USFIA is grateful that the U.S. Department of State downgraded Uzbekistan in the Trafficking in Persons Report for 2013, which will hopefully push the Uzbek government to finally take action.

 

Advocacy

USFIA and member companies have joined the Cotton Campaign, the Global Works Foundation, Human Rights Watch, and other organizations in sending letters to the Obama Administration, urging them to bring up the issue in meetings with Uzbek government officials. 

On June 19, 2012, USFIA (formerly USA-ITA) joined the Cotton Campaign, a coalition of industry associations and human rights groups, in sending another letter to Secretary Clinton expressing concern that the U.S. failed to downgrade Uzbekistan for its widespread use of forced and child labor in the cotton industry in the Trafficking in Persons Report for 2012. The letter also called on the U.S. government to urge the Uzbek government to immediately invite the ILO to monitor the 2012 cotton harvest. On July 6, 2012, Ambassador Luis CdeBaca of the State Department’s Office to Monitor and Combat Trafficking in Persons responded to the coalition. “We have repeatedly made it clear that our bilateral relationship cannot reach its full potential unless Uzbekistan demonstrates increased efforts to protect the rights of all of its citizens, including addressing forced labor,” wrote the Ambassador. “We will continue to urge the government to cooperate with the ILO and engage Uzbekistan’s authorities, as well as civil society, to bring about real change, and will sustain our efforts to encourage this outcome in a constructive and effective way.” 

On March 12, 2013, USFIA joined industry associations in sending a letter to Abdulaziz Komilov, Uzbekistan’s Minister of Foreign Affairs, urging the Uzbek government to invite the high-level ILO tripartite observation mission to conduct unfettered monitoring during the cotton harvest and take immediate and effective time-bound measures to eradicate forced labor of children and adults in the cotton sector. The letter was sent during Mr. Komilov’s visit to Washington, D.C.

On April 16, 2013, USFIA (formerly USA-ITA) joined a Cotton Campaign letter to Secretary of State John Kerry urging the Department of State to place Uzbekistan in Tier III in Trafficking in Persons Report for 2013 unless the Uzbek government invites a high-level, tripartite ILO observer mission to monitor this fall’s cotton harvest. Tier III indicates that a government is not making significant efforts to combat human trafficking and opens up the possibility of sanctions. 

Previous advocacy efforts are available below.

About

The United States Fashion Industry Association (USFIA) is dedicated to fashion made possible by global trade.

USFIA represents brands, retailers, importers, and wholesalers based in the United States and doing business globally. Founded in 1989, USFIA works to eliminate tariff and non-tariff barriers that impede the fashion industry’s ability to trade freely and create jobs in the United States.

Headquartered in Washington, DC, USFIA is the voice of the fashion industry in front of the U.S. government as well as international governments and stakeholders.  With constant, two-way communication, USFIA staff and counsel serve as the eyes and ears of our members in Washington and around the world, enabling them to stay ahead of the regulatory challenges of today and tomorrow. Through our publications, educational events, and networking opportunities, USFIA also connects with key stakeholders across the value chain including U.S. and international service providers, suppliers, and industry groups.

 

News

TRACKING TRUMP'S TARIFFS

USFIA has created a new web page to track tariff actions from the Trump Administration, featuring an interactive table with the latest information. Below are some high-level stats from this data.

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Increase in prices for apparel in the short run due to new tariffs

Higher tariffs on apparel translate into real increased expenses for American consumers.

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Total number of new and modified tariff actions this year

Tariff actions taken so far in 2025 impact every single country; including those with no trade to the U.S. and trusted trading partners.

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Estimated tariff increase on apparel imports

From research by Dr. Sheng Lu. If the value of US textile and apparel imports in 2025 remains unchanged from 2024, the reciprocal tariff would result in nearly $35 billion in total tariff duties on these products—an increase of $19.9 billion compared to the current tariff levels.

Events

Reports

2025 Sourcing Trends Mid-Year Update

USFIA's 2025 Sourcing Trends Mid-Year Update is out with data from the first six months of 2025. Members can log-in to the website to download it here

The top 4 sourcing trends in the mid-year report are:

  1. China remains the top supplier of textiles and apparel.
  2. Asian apparel suppliers continue to dominate sourcing.
  3. Average unit values rise for yarns and apparel.
  4. Despite high duty rates, FTAs and preference programs remain underutilized.

 

2025 Mid-Year Sourcing Report: WTO's top Apparel Exporters in 2024

The European Union and China are basically tied as the largest suppliers of the world’s clothing. While China’s share of world exports has fallen since the 2010s, it manufactures 29% of apparel. The European Union – including Italy and France – ranks slightly larger as a supplier of the world’s clothing. The EU remains a strong apparel manufacturer, from the high-end fashion houses in Milan to lower cost producers. And the tariff framework agreement that limits the U.S. reciprocal tariffs means that the EU now could gain a cost advantage.

2025 USFIA Fashion Industry Benchmarking Study

This is the 12th USFIA Benchmarking Survey and unsurprisingly, fashion industry executives are more concerned with tariffs than ever. The top business challenges facing U.S. fashion companies center on the Trump Administration’s escalating tariff policy and its wide-ranging impacts on companies’ sourcing and business operations.

100% of respondents rated “Protectionist U.S. trade policies and related policy uncertainty, including the impact of the Trump tariffs” as one of their top business challenges in 2025. In taking the #1 spot, this challenge rose from #5 in 2024 and #11 in 2023, showing the increasing concern over the last few years.

Over 70% of surveyed companies reported that the higher tariffs increased sourcing costs, squeezed profit margins, and led to higher consumer prices.
Tariffs have been the most significant factor driving sourcing cost increases for U.S. fashion companies in 2025. And amid higher tariffs and policy uncertainty, about 65 percent of respondents feel optimistic about the next five years in 2025, a decline from 75 percent one year ago.

Download the complete study here, and see the highlights below:

 2025 USFIA Benchmarking Study - Respondents expressed the most concern about protectionist U.S. trade policies and their ripple effects in 2025


Higher tariffs have triggered ripple effects across supply chains.

2025 USFIA Benchmarking Study - Figure 1-3 US fashion companies reported broad economic impacts of the escalating tariffs on their sourcing and business operations

2025 USFIA Benchmarking Study - Figure 1-4 U.S. fashion companies explored various methods to mitigate the tariff impacts

 


U.S. fashion companies are actively exploring new sourcing opportunities, with a particular focus on emerging suppliers in Asia

2025 USFIA Benchmarking Study - Figure 2-20  U.S. fashion companies plan to exand apparel sourcing from emerging sourcing destinations in Asia and the rest of the world through 2027


 

Partners

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