Fashion Intel & Analysis
Today, USFIA joined with more than 60 trade associations around the globe in the textile, apparel, travel goods, and fashion industry in a statement to call for more action to address the economic fallout from the COVID-19 crisis. The statement recognizes the efforts the industry has undertaken to protect worker safety by suspending operations and the efforts to help the fight against COVID-19 by repurposing production to help distribute PPE and other medical supplies. To support the industry, we are calling on governments, stakeholders, and supply chain partners to do more. The statement also asked governments to ensure liquidity through a variety of different stimulus measures and for supply chain partners to work together to guarantee the viability of supply chains in the future.
The International Labour Organization (ILO) released a call to action to support workers and manufacturers in the global garment industry. The call to action aims to "protect garment workers’ income, health and employment, and support employers to survive during the COVID-19 crisis and to work together to establish sustainable systems of social protection for more just and resilient garment industry." The ILO asks governments and financial institutions to quickly enact stimulus measures, brands and retailers to work with financial institutions to support emergency relief funds for workers, and reminds all stakeholders to follow the ILO's core labor standards.
The Responsible Business Alliance (RBA) published their second survey brief on COVID-19s impact on manufacturing. This brief looks at surveys conducted at the factory level between April 8 and April 15, the results reflect the views of over 8,000 factories in 28 countries. In China, factories are operating at a much higher capacity than in March 2020. However, global manufacturing capacity has decreased compared to March 2020. Around the globe, 79% of factories are seeing a negative impact to their revenue compared to 61% in March 2020. To learn more, RBA is hosting a webinar on their findings on May 5th. You can register here.
During the April 15th meeting of the Commercial Customs Operations Advisory Committee (COAC), the committee released their recommendation that the entry-into-force date for the U.S.-Mexico-Canada Agreement (USMCA) should be delayed until January 1, 2021. “COAC recommends that CBP, the USTR and its USMCA partners should delay USMCA’s entry into force until no earlier than January 1, 2021 and provide a transition or implementation period for the year where NAFTA qualifying goods with appropriate certificates of origin will be considered to comply under the USMCA.” Currently the Administration is still hoping to implement the agreement as early as June 1st.