The new tariffs on the textiles and apparel industry by the US have sparked concerns amongst industry leaders. Highlighting the effect of these tariffs on business decisions, Stephen Lamar, President and CEO, American Apparel and Footwear Association, says, acting as a tax on the supply chain, these tariffs will ultimately raise prices for consumers and drive their costs significantly.

Echoeing the same concerns, Jonathan Gold, National Retail Federation, emphasizes, forced to pay these tariffs, US imports may ultimately pass on these costs to consumers.

Blake Harden, Retail Industry Leaders Association points out, the trade policy of the new US government indicates a wide range of tariffs on the horizon.

Carlos Couttolenc Lopez, Textiles La Libertad, a Mexican textile company, explains, a tariff of 25 per cent on Mexican and Canadian imports would significantly impact customers, potentially forcing them to raise prices. Under such conditions, it would become extremely difficult to maintain free trade among the US, Mexico and Canada, he emphasizes. An employer of around 160 people, Lopez’ company, Textiles La Libertad relies on the US for a substantial portion of its market share.

Vuong Duc Anh, Vietnam National Textile and Garment Group opines, increased tariffs would ultimately burden US consumers by triggering inflation and impacting the interest rates plans of the Federal Reserve. This would force businesses to find ways to reduce production costs and share the burden with buyers, he adds.