The National Council of Textile Organizations (NCTO has criticised administration’s plan to institute a 90-day deferral on MFN tariffs. NCTO believes the reported plan being pushed by importing and retailing industries would defer certain tariffs, including those on finished apparel products. It is an ill-advised policy that will hurt the US textile industry at a time it is answering the call of the nation to produce medical supplies to battle the COVID-19 pandemic.

NCTO has been at the forefront of efforts to deploy resources, converting production lines to manufacture urgently needed medical supplies like face masks and their textile components, to address the critical need for personal protective equipment and other medical and sanitation supplies in the fight against the coronavirus. These unnecessary tariff concessions would benefit importers and retailers at the direct expense of manufacturers on the front lines of the COVID-19 response and send a demoralizing message.

Tariff deferrals would severely exacerbate ramifications for the US economy, manufacturers and workers and open the floodgates for imports. If the US government makes tariff concessions during this crisis, it will be inviting a virtual tsunami of imports further devastating domestic manufacturing as it attempts to regain its footing.