Fashion Intel & Analysis
USFIA’s Premier Partner PwC's U.S. 2020 Holiday Outlook: October edition is now available. In the report, PwC shares their analysis of shopping trends for U.S. consumers this holiday season based on a national survey of more than 1,000 consumers. So, what does the outlook look like in the midst of COVID-19? Consumers are understandably restrained about holiday shopping this year in the wake of converging public-health and economic crises that will last the better part of 2020.
While 55% of consumers will spend the same or more than they did last year, a sizable proportion (40%) will spend less. More than half (55%) said COVID-19 tops their list of concerns about holiday shopping. Wary of in-store shopping, 61% of consumers surveyed said they will do the majority of their holiday shopping online. Consumers will visit fewer stores than usual this holiday season and will seek out those that offer contactless payment in an effort to minimize any health risk.
Be sure to check out the full report below to learn more about what consumers are thinking about this holiday season, including what drives their purchasing decisions, the types of gifts they will buy, and more.
In today’s Federal Register, the Agriculture Marketing Service at the Agriculture Department announces changes in the assessments on cotton imports. This is a mandatory annual review of the assessment on imported cotton and cotton products. The calculation is based on the average weighted price received by U.S. producers of Upland cotton for the calendar year 2019. The AMS action decreases the assessment on imported cotton by -5.4% percent from $0.012222 per kilogram to $0.011562per kilogram, a decrease of -$0.00066 per kilogram.
Every year the Agriculture Department publishes an update to ensure that assessments collected on imported cotton and the cotton content of imported products will be the same as those paid on domestically produced cotton.
Late Friday, U.S. Trade Representative Robert Lighthizer announced that USTR is opening a 301 investigation on the impact of Vietnam's currency policy. U.S. imports from Vietnam have been growing as many industries shift production from China.
In a statement, Lighthizer says “Unfair currency practices can harm U.S. workers and businesses that compete with Vietnamese products that may be artificially lower-priced because of currency undervaluation. We will carefully review the results of the investigation and determine what, if any, actions it may be appropriate to take.” In addition to the review of currency issues, the 301 will look at the impact of Vietnam's import and use of illegally harvested timber.
In today’s Federal Register, the Office of the U.S. Trade Representative (USTR) announces technical corrections to the Harmonized Tariff System (HTS) with respect to goods of USMCA countries entered for consumption. The following corrections are related to cotton goods.
(1) by inserting “9823.52.04” in the “Heading/Subheading” column for the article
description, “Cotton or man-made fiber fabrics and made up goods as provided in note
11(a)(ii)”, and by redesignating subheading 9823.52.04, with the article description
“Goods provided for in note 11(a)(ii)(A)”, as 9823.52.05;
(2) by redesignating subheading 9823.52.05 as 9823.52.06;
(3) by redesignating subheading 9823.52.06 as 9823.52.07;
(4) by redesignating subheading 9823.52.07 as 9823.52.08; and
(5) by redesignating subheading 9823.52.03, with the article description “Cotton or manmade fiber fabrics and made-up goods as provided for in note 11(b)(ii)”, as 9823.53.03.
The news today that President Trump tested positive for COVID-19 means the timing for actions such as signing legislation is up-in-the-air. We wish the President a speedy recovery.
As USFIA reported yesterday, the Senate voted to renew the Caribbean Basin Trade Partnership Act. As of this morning the signature of the President remains pending and as a result CBPTA will be considered expired until further notice. Help, HOPE I and Hope II do not expire until 2025.
If your company currently utilizes and takes advantage of preference status under CBPTA we recommend talking with your broker and considering holding off making entry for those shipments that could capture the renewal once put through. While the time frame for the renewal is unknown, entries should be considered on a case by case basis and closely monitored to prevent late payment and penalty, and/or overpayment of duties.