On a June deadline, WIIT featured an essay from Julie Hughes, President of USFIA on outlook on tariffs.
Julie Hughes | June 2025
Looking back, the WTO agreement is a win-win-win. It’s a win with lower prices and more sourcing options for American families and consumers. It’s a win for the many countries, like Bangladesh or Vietnam or Guatemala, where the textile and apparel sector creates jobs, especially for women who were new to the workforce. It’s even a win for the opponents like the U.S. textile industry. Instead of competition destroying them, the U.S. capital-intensive textile industry is one of the world’s top textile exporters, ranking 5th in the latest WTO global trade statistics. [Yes, China is number one and the EU is number two.]
What is the future for textile and apparel trade? While the quotas are a distant memory, tariffs are the next frontier. U.S. MFN tariffs on apparel average 16% and can be as high as 32%. In the past 30 years the only way to reduce tariffs is to negotiate a Free Trade Agreement or be eligible for a trade preference program. This is an example of what multilateral trade negotiations could accomplish. And a great way to support Fashion Made Possible by Global Trade.