Appreciating President Trump's latest executive order to pause tariffs, The American Apparel & Footwear Association (AAFA) says, this pause helps avert devastating consequences like product elimination and business closures. The order extends the temporary reduction of retaliatory tariffs on goods imported from China for an additional 90 days. This order maintains the baseline tariff rate at 30 per cent.
Steve Lamar, President and CEO, criticized the constant cycle of deadline delays and vague deal terms, which he argues has stifled innovation, strategic decision-making, and long-term growth for American companies.
Lamar urged the administration to negotiate a ‘non-stacking provision’ with China, similar to existing agreements with Japan and the EU. He pointed out, even at 30 per cent, the tariff on the US's largest trading partner is ‘untenably high.’ He highlighted, these tariffs are in addition to other existing levies, such as the century-old Smoot-Hawley MFN tariffs and the Section 301 tariffs. According to Lamar, this ‘double taxation’ ultimately harms ‘hardworking American families’ by increasing the cost of everyday essentials like clothing and footwear.
The AAFA's response comes after months of advocacy, during which the organization has argued that the current tariff policy does not support the growth of US manufacturing or the 3.6 million American workers in the industry. The organization also noted, key trade preference programs, including the African Growth and Opportunity Act (AGOA) and the Haiti HOPE/HELP programs, are set to expire on September 30 unless Congress renews them. For those interested in tracking the impact of these policies, the AAFA provides regular updates on its website.
