Senator Ted Budd | Senator Ted Budd Official photo
Senator Ted Budd | Senator Ted Budd Official photo
Washington, D.C. — Senator Ted Budd (R-NC) has joined a bipartisan effort to address concerning trade and economic trends that could have devastating consequences for U.S. textile and apparel manufacturing. The letter, led by Senators Thom Tillis (R-NC) and Sherrod Brown (D-OH), urges President Biden to take immediate action.
In the letter, the senators request that President Biden convene an interagency meeting with key leadership from the U.S. Trade Representative, Department of Commerce, Department of Homeland Security, Department of the Treasury, and the National Security Council. The goal of this meeting would be to identify the root problems, develop urgent and robust solutions, and engage directly with U.S. industry and regional allies.
Senator Budd stated, "We write to raise the alarm regarding troubling trade and economic trends with devastating implications for U.S. textile and apparel manufacturing. In response, we request that you immediately convene an interagency meeting with key leadership from the U.S. Trade Representative, Department of Commerce, Department of Homeland Security, Department of the Treasury, and the National Security Council to identify the root problems, develop robust and urgent solutions, and engage directly with U.S. industry and our regional allies."
The letter emphasizes the need for immediate action in several areas. First, the senators call for increased enforcement against forced labor-subsidized textiles and apparel flooding into the U.S. marketplace from China and other Asian suppliers. They also highlight the importance of addressing reported customs fraud that undermines manufacturing in Western Hemisphere free trade agreement regions.
Second, the senators urge a review of all available executive authorities and rulemaking processes to end duty-free treatment for Section 321 de minimis e-commerce shipments of textiles and apparel that are the product of forced labor supply chains. This is particularly important given the import sensitivity of this sector to U.S. and regional suppliers.
Lastly, the letter calls for the identification of readily available trade remedies and safeguards that can be used to mitigate the damage caused by China's predatory trade practices. These measures would provide expedited relief to U.S. manufacturers and workers.
The U.S. textile industry plays a crucial role in national security, healthcare, and the economy. It has been designated a Priority Trade Issue by Congress and is responsible for over 500,000 U.S. jobs and $39 billion in annual shipments. Domestic producers are essential suppliers to the military and the healthcare sector, providing critical gear, clothing, and personal protective equipment.
Senator Budd warned, "Without a domestic textile industry, a vulnerable U.S. would be reliant on third parties to supply all of these essential products."
The letter also highlights the challenges faced by U.S. and regional manufacturers, who are forced to compete against duty-free shipments of Chinese goods made with forced labor. These shipments enter the U.S. under the de minimis tariff waiver system, bypassing inspection and paying no duties. This poses a significant threat to U.S. textile and apparel production and employment.
The senators also express concerns about the enforcement of trade laws and a decline in enforcement activities. They emphasize the need for immediate action to address the urgent economic situation facing domestic and regional textile and apparel supply chains.
Senator Budd concluded, "We stand ready to engage with the administration through a high-level interagency process that develops an immediate, whole-of-government action plan necessary to address this serious situation."
Read the full text of the letter here.
For more information, please visit:
- Senator Thom Tillis' website
- Senator Sherrod Brown's website
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