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US trade associations underline reasons for trade deficit, look for remedies

Four US textile trade associations – the National Council of Textile Organizations (NCTO), American Fiber Manufacturers Association (AFMA), Narrow Fabrics Institute (NFI), and United States Industrial Fabrics Institute (USIFI) – have outlined the causes of the $95 billion US trade deficit in textiles and apparel and have suggested remedial steps for boosting US production and jobs. In addition, NCTO’s Upholstery Fabrics Committee submitted a statement detailing the reasons for the US trade deficit in upholstery fabrics, focusing on the imbalance with China in particular.

The associations feel if America were to reverse its trade-related red ink and create more jobs, policymakers must have a better understanding of market and economic factors responsible for driving production offshore. They also have urged the United States to continue to treat the People’s Republic of China as a nonmarket economy country under US antidumping and countervailing duty law, adding that China’s widespread use of nonmarket economic activities is one of the biggest drivers of America’s trade deficit.

NCTO is a Washington-based trade association that represents domestic textile manufacturers. The value of shipments for US textiles and apparel last year rose by nearly 11 per cent since 2009. US exports of fiber, textiles and apparel were 26.3 billion dollars in 2016.

 
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