Thursday, April 30, 2015

Tomorrow is May Day / Labour Day

Tomorrow is May Day, May 1st, which has little significance in America, but is widely observed in other nations.

For those Americans who have heard of May Day, probably the first thing that comes to mind is the celebrations in Great Britain. Dancing around the May Pole, crowning of the Queen of the May, Morris Dancers, and so forth. During the period of Puritan repression of the people of England (1649 - 1660) May Day was outlawed, which explains why here in New England, founded by Puritans, the May Day traditions never took hold. But even in the rest of America, May Day is not widely observed. May Day traditions are observed in various ways in several other European nations. The origins are unclear and may even trace all the way back to the ancient Roman festival of Floralia, which was celebrated on the fourth day before the Calends of May (April 28th in our calendar).

May Day is also, in many nations, Labour Day (or Workers Day, or some other name of the same effect). The connection of May 1st and honoring working men and women goes back to 1889, when some socialists named it International Workers Day. The Catholic Church celebrates Saint Joseph the Worker, as an optional memorial, on May 1st.

Here in America, where we don't have much use for socialist ideas, we celebrate our Labor Day on the first Monday in September. Actually, we capitalists had our Labor Day before the socialists. The first Labor Day celebration in the U.S. was on Tuesday, September 5, 1882, in New York. The following year it was repeated on September 5th, which was a Monday. Fairly quickly the first Monday in September came to be designated as Labor Day, first by a few States, and then more, so that by 1894 Labor Day was a public holiday in 23 of the 44 States. (Civics quiz, which States were admitted to the Union after 1894? Answer at the bottom of this column.) In 1894 Labor Day, on the first Monday in September, was designated a federal holiday.

So, why is it that in the movies, when a plane or ship is in extreme distress, someone gets on the radio and cries, "Mayday, mayday, mayday?" Well, in 1923, a senior radio officer, Frederick Stanley Mockford, in Croydon Airport in London, England was asked to think of one word that would be easy to understand for all pilots and ground staff in the event of an emergency. He came up with Mayday from the French m'aidez ("help me!") In 1927, the International Radiotelegraph Convention of Washington adopted the voice call Mayday and defined it as corresponding to the French pronunciation of the expression m'aidez. It is said three times to remove any possibility of ambiguity.

* * *

QUIZ ANSWER. The following States were admitted to the Union after 1894: Utah, January 4, 1896, Oklahoma, November 16, 1907, New Mexico, January 6, 1912, Arizona, February 14, 1912, Alaska, January 3, 1959, Hawaii, August 21, 1959.

Wednesday, April 29, 2015

Federal Business Opportunities Through April 29, 2015

Recently posted federal business opportunities.
-------------------------------------------------------
Title:             REFRASIL CLOTH
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Total Solutions for Law Enforcement, Security, Facilities Management, Fire, Rescue
Agency:            General Services Administration
-------------------------------------------------------
Title:             Shoe Men's Dress Poromeric
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Coveralls for Mine Inspectors
Agency:            Department of Labor
-------------------------------------------------------
Title:             Solicitation for US and POW/MIA Flags
Agency:            United States Postal Service
-------------------------------------------------------
Title:             Coat, All-Weather, Women's, Poly/Cotton, Poplin, Army & Marine Corps
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Ceremonial Mace & Baldric, Army Band Japan
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Provide flags on a stick (American) for U.S. Army Marketing and Research Group, Fort Knox, KY.
Agency:            Department of the Army
-------------------------------------------------------
Title:             Tents and Clamshells NTC 15-08
Agency:            Department of the Army
-------------------------------------------------------
Title:             A & B Bags
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Mattress Covers and Pillow Cases
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Annual Flag and Pennant acquisition for the U.S. Army Corps of Engineers
Agency:            Department of the Army
-------------------------------------------------------
Title:             POCKET,GENERAL
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Mattress Encasements Bed bug protectors
Agency:            Department of the Army
-------------------------------------------------------
Title:             Deployment Gear
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             DOCUMENT BAG
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Individual Military Equiopment
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Band Major Baldric and Mace
Agency:            Department of the Army
-------------------------------------------------------
Title:             PRE-SOLICITATION MEETING for Product Manager Soldier Protective Equipment (PM SPE) Soldier Protection System Torso Extremity Protection (SPS-TEP)
Agency:            Department of the Army
-------------------------------------------------------
Title:             Synopsis of USMA Cadet White Collars and Cuffs Requirement
Agency:            Department of the Army
-------------------------------------------------------
Title:             Synopsis White Collars & Cuffs for USMA West Point NY Cadet Uniforms
Agency:            Department of the Army
-------------------------------------------------------
Title:             Laundry Services
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Protective Footwear
Agency:            Department of the Army
-------------------------------------------------------
Title:             OPTION - USMA USCC Insignias, Dress Hats & Service Caps
Agency:            Department of the Army
-------------------------------------------------------
Title:             3rd ID Patches
Agency:            Department of the Army
-------------------------------------------------------
Title:             TORSO EXTREMITY PROTECTION(TEP)- BLAST PELVIC PROTECTOR (BPP)
Agency:            Department of the Army
-------------------------------------------------------
Title:             OPFOR Training Clothing
Agency:            Department of the Army
-------------------------------------------------------
Title:             EARPAD SET,FLYER'S
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             COLD WEATHER GEAR
Agency:            Department of the Navy
-------------------------------------------------------
Title:             OPTION - USMA USCC Women's Swimsuits
Agency:            Department of the Army
-------------------------------------------------------
Title:             Sources Sought Police Uniforms
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             WELDING GLOVES
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Luggage
Agency:            Department of the Army
-------------------------------------------------------
Title:             NOMEX Material - Royal Blue - Quantity 27, 100 yard per roll, 5 oz per square yard, Stock Number RB50
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Airmen Protective Systems
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             4"x6" American Made American Flags
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             FASTENER TAPE,HOOK,
Agency:            Defense Logistics Agency
-------------------------------------------------------

Clients of Agathon Associates and subscribers to Agathon Associates' Trade Advisor Service can find links to the full solicitations at www.agathonassociates.com/textile-pri/berry/fbo.htm. You will need to enter your username and password. If you do not know your username and password email David Trumbull at david@agathonassociates.com.

Monday, April 27, 2015

Column on Fast Track from the Boston Post-Gazette Newspaper

Res Publica
Not So Fast!
by David Trumbull -- April 24, 2015

This week Congress started work on a Trade Promotion Act ("TPA"). Formerly called "fast track," TPA is an Act of Congress that authorizes the President to negotiate and sign a free trade agreement ("FTA") with another country or countries, with the provision that the FTA will be brought to congress for approval by both houses on an up-or-down vote with no amendments. TPA is important because no nation would negotiate with the U.S. if Congress, after the agreement is reached, could amend the agreement. TPA also puts a bill on a "fast track" in that it imposes a relatively compressed time schedule for consideration and vote on the bill.

My progressive friends say that fast track is a way to ram through Congress unpopular trade deals that kill U.S. jobs, grant special favors to nations with poor environmental and labor standards, and reward multinational corporations who, through a system of legalized bribery, have inordinate power in Washington. My TEA Party friends say that fast track is an unwise (possibly unconstitutional) handing over to the Executive of Congresses power to determine trade policy with a tendency to promote dangerous foreign entanglements. Both are, of course, at least partially correct.

What is fast track or TPA?

Under TPA procedures, a free trade agreement ( "FTA") is approved as a Congressional-Executive Agreements, rather than a treaty. This is due to the separation of powers under the U.S. Constitution --

  • "[The President] shall have power, by and with the advice and consent of the Senate, to make treaties, provided two-thirds of the Senators present concur." – Article 2, Sec. 2

  • "Congress shall have power to lay and collect duties..." – U.S. Constitution, Article 1, Sec. 8

  • "All bills for raising revenue shall originate in the House of Representatives..." – Article 1, Sec. 7

Therefore, an FTA is not, in the US, a "treaty." Treaties are negotiated by the President and approved by two-thirds of the Senate with no vote in the House. An FTA adjusts duties, which affects revenue and is therefore (Art. 1, Sec. 7) a "money bill," which must originate in the House.

Under TPA procedures the negotiation is entirely in the hands of the Executive (however Congress may include negotiations objectives in the TPA bill), but the President must negotiate an agreement that can get a majority vote in each of the houses of Congress, where his party may not have a majority.

TPA is important as a signal to our negotiating partners that Congress has confidence in the President to negotiate an agreement that can be passed by Congress.

TPA is also important as the bill provides a vehicle for Congress to instruct the President, via the negotiation objectives set forth in the TPA bill, as to what he needs to do to get those majorities in the House and Senate.

However, it is not the case, as some have said, that you must have TPA to do an FTA. If you have the votes to pass the FTA you have the votes in the House to bring the FTA up for a vote under a "closed rule," meaning no amendments are allowed. It is commonly stated that Senate does not have the "closed rule," however, that is clearly mistaken, as TPA is, effectively, a closed rule, and if the Senate can operate under a closed rule in the case of TPA it can find a way to use a closed rule without TPA. (Which brings us to one of Trumbull's maxims, "At any given time the rules are what the majority says the rules are.")

The U.S.-Jordan FTA was implemented in 2001, though not under TPA. It was passed by a voice vote in the House followed by a voice vote in the Senate.

Is fast track or TPA constitutional?

A federal appeals court held in 2001 that the issue of whether the NAFTA should have been approved as a treaty was a nonjusticiable political question (Made in the USA Found. v. United States, 242 F.3d 1300 (11th Cir. 2001)). The U.S. Supreme Court denied review in the case. In other words, if you think Congress violates the Constitution by treating FTAs as Congressional-Executive Agreements rather than as treaties, the only remedy is to elect a Congress that won't do that. But that won't happen because the people who object to fast track, progressive and TEA Party members will never work together to elect any one.

As early as 1890, Congress delegated tariff bargaining authority to the President and authorized him to suspend existing duty-free treatment on particular items by proclamation. The Supreme Court subsequently held that the authorizing statute, § 3 of the Tariff Act of 1890, 26 Stat. 612, did not unconstitutionally delegate either legislative or treaty-making authority to the President.

Copyright Office Seeks Comments on Protecting IP Rights relating to Visual Images

On Arpil 24, 2015, the U.S. Copyright Office published in the Federal Register (80 FR 23054) Notice of Inquiry relating to Copyright Protection for Certain Visual Works.

SUMMARY: The U.S. Copyright Office is reviewing how certain visual works, particularly photographs, graphic artworks, and illustrations, are monetized, enforced, and registered under the Copyright Act. The Office seeks commentary on the current marketplace for these visual works, as well as observations regarding the real or potential obstacles that authors, and, as applicable, their licensees or other representatives face when navigating the digital landscape. This work builds upon previous studies and public inquiries in a number of areas, including small claims, the making available right, resale royalties, registration, recordation, and the interoperability of records. As always, the Office is interested in the perspectives of copyright owners as well as users of these creative works. This is a general inquiry that will likely lead to additional specific inquiries.

DATES: Comments are due July 23, 2015. Reply comments are due August 24, 2015.

According to the notice--

"The significant enforcement challenges also pose substantial difficulties. For example, '[p]urloining of [photographs], whether produced for use by multi-national corporations for advertising purposes, use on APPAREL, product packaging or reportage, has become routine.'"

If you have an interest in this intellectual property ("IP") topic and care to submit comments to the Copyright Office, Agathon Associates can assist in drafting comments for maximum effectiveness.

Friday, April 24, 2015

Important Note about Nylon Filament and US Free Trade Agreements

Some of the U.S. textile trade free trade agreements ("FTAs") and preference programs contain a special rule for nylon filament yarn (other than elastomeric yarn) that is classifiable under at 5402.10.30, 5402.10.60, 5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60, 5402.41.10, 5402.41.90, 5402.51.00, or 5402.61.00 of the Harmonized Tariff Schedule of the U.S. and formed in Canada, Israel, or Mexico.

The effect of this provision is that all the nylon filament yarns (other than elastomeric yarn) that textile manufacturers are likely to use are covered by this exemption from the general yarn forward requirements and, so, may be sourced from Canada, Mexico, or Israel.

Not all FTAs have the nylon exemption, so be sure to consult the regulations to understand when, and how, it applies. Subscribers to Agathon Associates' Trade Advisor service may view a detailed analysis of the nylon filament yarn exemption (including the citations from the United State Code and Harmonized Tariff Schedule) at http://agathonassociates.com/textile-pri/topics/nylon-exemption.htm

Thursday, April 23, 2015

Department of Defense to Brief Clothing and Textile Industry June 15-16, 2015, in Cherry Hill N.J.

DLA Troop Support Clothing & Textiles will hold a Joint Advance Planning Brief to Industry (JAPBI) on June 15-16, 2015, at the Crowne Plaza Philadelphia-Cherry Hill, 2349 W. Marlton Pike, Cherry Hill, NJ 08002.

All details about the event, registration, and hotel reservations can be found at the following web page: https://www.troopsupport.dla.mil/ClothingandTextiles/japbi/

The goal of the event is for DLA and their military Service partners to jointly brief the industrial base on future requirements and business opportunities for clothing and individual equipment. In addition to DLA Troop Support, there will be briefings and presentations from each of the Services' program offices including U.S. Army Soldier System Protection & Individual Equipment, Navy Exchange Service Command, Marine Corps Systems Command, Air Force Uniform Office, U.S. Coast Guard, and the U.S. Army Security Assistance Command. Speakers also include the Director of the Defense Logistics Agency, Lt. Gen. Andrew Busch, and the Commander of DLA Troop Support, BG (P) Steven Shapiro.

The program begins on Monday, June 15, at noon (event registration from 08:00 to 11:45 PM). The start time for Tuesday, June 16, is 08:00 AM. Please note that footwear and gloves will not be presented at the sessions on Tuesday because each subcommittee has opted to have a stand-alone meeting in the near future.

The JAPBI is open to all members of the supply chain. Registration will be closed on June 5, 2015 or once maximum capacity is reached, whichever comes first. There is no attendance fee and the dress code is business casual. Break refreshments, breakfast, lunch, or other meals are not provided. The hotel has a restaurant on-site and a list of local restaurants within a close proximity to the hotel will be provided. The schedule on Tuesday will allow for sufficient time for lunch.

Register at the above link. Please note that registering with the hotel does not constitute event registration; both are required. Details on hotel registration are provided at the above link.

Federal Business Opportunities through April 22, 2015

Recently posted federal business opportunities.
-------------------------------------------------------
Title:             TENT,TEMPER AIR SUPPOR
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             OPTION - USMA USCC Insignias, Dress Hats & Service Caps
Agency:            Department of the Army
-------------------------------------------------------
Title:             COVERALLS, MECHANIC TYPE III
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Army Physical Fitness Uniform (APFU) BLACK SHIRT S/S SMALL with Gold West Point Crest
Agency:            Department of the Army
-------------------------------------------------------
Title:             4"x6" American Made American Flags
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             Cold Weather Gear 
Agency:            Department of Justice
-------------------------------------------------------
Title:             OPTION - USMA USCC Women's Swimsuits
Agency:            Department of the Army
-------------------------------------------------------
Title:             83--TENT,MX SHELTER, TAN,
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Synopsis of USMA Cadet Grey Shirts and Overblouses Requirement
Agency:            Department of the Army
-------------------------------------------------------
Title:             Safety Steel Toe Boots, Military Tan
Agency:            Department of the Army
-------------------------------------------------------
Title:             BELLVILLE 340 DES & BELLVILLE 790 BOOTS
Agency:            Department of the Army
-------------------------------------------------------
Title:             Airmen Protective Systems
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             TAPE,TEXTILE
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             NOMAX Material - 140 yards per roll, 5 oz per sq yard Stock Number RB50  QUANTITY 5 ROLLS
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Ops Core Helmets
Agency:            Department of the Army
-------------------------------------------------------
Title:             Boot, Extreme Cold Weather
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Fabric - Gold Nylon, Berry Compliant
Agency:            Department of Justice
-------------------------------------------------------
Title:             RFI_BAMS_Product_v2
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Airmen Protective Systems
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             COLD WEATHER GEAR
Agency:            Department of the Navy
-------------------------------------------------------
Title:             POCKET,GENERAL
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             immersion suits
Agency:            Department of the Navy
-------------------------------------------------------
Title:             T-Shirt, Athletes, Short Sleeve, APFU 
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             R&R Fleece Jackets
Agency:            Department of the Army
-------------------------------------------------------
Title:             Jacket, Army Physical Fitness Uniform
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             EAGLE VEST318
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Raw Material Thread
Agency:            Government Printing Office
-------------------------------------------------------
Title:             External vest carrier and pouches designed to carry concealable body armor.
Agency:            Department of the Army
-------------------------------------------------------
Title:             Mattress Encasements Bed bug protectors
Agency:            Department of the Army
-------------------------------------------------------
Title:             Advanced Bomb Suit (ABS)
Agency:            Department of the Army
-------------------------------------------------------
Title:             COLD WEATHER GLOVE INSERT
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             MITTEN INSERTS,FLYE
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Cloth, Coated, Color Tan PN H174722150610A - 700 Yards Cloth, Coated, Color Tan PN H17472215A610A - 700 Yards
Agency:            Department of the Army
-------------------------------------------------------
Title:             OPTION - OLIVE DRAB CAP, WITH SEWN-ON FIFTH FLEET EMBLEM AND UNITED STATES FIFTH FLEET IN BLACK TEXT
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Welding Personal Protective Equipment
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Fire Department Clothing
Agency:            Department of the Army
-------------------------------------------------------
Title:             Provide flags on a stick (American) for U.S. Army Marketing and Research Group, Fort Knox, KY.
Agency:            Department of the Army
-------------------------------------------------------
Title:             Boot, Extreme Cold Weather
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             TENT
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             TENT,TEMPER,AIR SUPPOR
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Sun Helmet
Agency:            Department of the Navy
-------------------------------------------------------
Title:             GEN III, Layer 7, Parka & Trouser 
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             SLING,FLAGSTAFF
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             VEST
Agency:            Department of State
-------------------------------------------------------
Title:             Entrance Wall, Green, Modular Command Post
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             CLOTH,FIBERGLASS
Agency:            Defense Logistics Agency
-------------------------------------------------------

Clients of Agathon Associates and subscribers to Agathon Associates' Trade Advisor Service can find links to the full solicitations at www.agathonassociates.com/textile-pri/berry/fbo.htm. You will need to enter your username and password. If you do not know your username and password email David Trumbull at david@agathonassociates.com.

When is a Sweater not a Sweater? When it is Part of the History of Professional Hockey

In a Binding Ruling Letter dated January 27, 2012, (NY N198401) U.S. Customs and Border Protection ("CBP") classified two of three hockey sweaters, (Item number 1, a “Jacques Plante circa 1957 Canadiens Montreal Wool Sweater” and item number 3, a “1926 Detroit Cougars #7 wool sweater”) under heading 6110, HTSUS, which provides for “Sweaters, pullovers, sweatshirts, waistcoats (vests) and similar articles, knitted or crocheted.” The rate of duty for that classification is 16% ad valorum.

It is now CBP’s position that the two sweaters are collector’s pieces of historical interest, and are properly classified under subheading 9705.00.0070, HTSUS, as “Collections and collectors’ pieces of zoological, botanical, mineralogical, anatomical, historical, archeological, paleontological, ethnographic or numismatic interest: Archaeological, historical, or ethnographic pieces.” The rate of duty is zero.

Comments must he received on or before May 22, 2015.

The reason for the reversal is that, upon reviewing classicauctions.net proof of authenticity, CBP know longer doubted that the two sweaters in question were worn by celebrated playing in games of historic significance.

The sweaters--

Item 1 is described as “Jacques Plante circa 1957 Montreal Canadiens Wool Sweater.” Plante played for the Montreal Canadiens from 1953 to 1963 during which time his team won the Stanley Cup six times, including five consecutive wins. Plante was a Canadian professional ice hockey goaltender. His career spanned from 1947 through 1975 playing for teams like the Montreal Canadiens, the St. Louis Blues, the Toronto Maple Leafs, and the Boston Bruins, with a short stint as coach and general manager for the Quebec Nordiques from 1973 through 197 4. Plante was inducted into the Hockey Hall of Fame in 1978, and was chosen as the goaltender of the Canadiens’ alltime “Dream Team” in 1985. Plante was awarded the Vezina Trophy. The Canadiens retired Plante’s number 1 jersey in 1995.

The background of the item as described by Counsel indicates: (1) the item in question is Plante’s red, white and blue #1 hockey sweater worn during his tenure with the Canadiens, circa 1957, in the midst of Les Habitantes’ (Montreal Canadiens) record Stanley Cup streak, (2) there is no Plante Canadiens’ jersey on display at the Hockey Hall of Fame in Toronto, (3) Plante gave the sweater to a Montreal sports reporter, who preserved it in his personal collection and considered it a prized family possession, and (4) Plante’s game-worn 1957 Montreal Canadiens sweater is a highly desirable museum piece, which might fetch $100,000 or more at auction.

Item 2 is described as “Ken Morrow’s 1980 U.S.A. Olympic Hockey Team Game Worn Jersey.” Morrow played for the New York Islanders from 1980 through 1989, and played 550 regular season games in the National Hockey League (NHL). Marrow was an American professional ice hockey defenseman. Prior to playing for the New York Islanders, Marrow played for the 1980 USA Olympic hockey team that won the gold medal in an event known as the “Miracle on Ice.” The Miracle on Ice was the name given in America to a medal-round in men’s ice hockey during the 1980 Winter Olympics at Lake Placid. Team USA went on to win the gold medal, by winning its last match over Finland, but it was Team USA’s prior victory over the Soviet team, with its amateurs and collegiate players versus seasoned Soviet players, that derived the name – Miracle on Ice. Morrow was inducted into the United States Hockey Hall of Fame in 1995, and won the Lester Patrick Trophy in 1996.

The background of the item as described by Counsel indicates: (1) the item in question is Marrow’s USA Olympic hockey team sweater during the Miracle on Ice game, (2) the United States team, in an upset for the ages, defeated the prohibitively-favored Soviets, and then proceeded to clinch the Olympic Gold Medal in the final game against Finland, (3) Morrow was on the ice as the crucial final seconds ticked off, clearing the puck across the blue line, and assuring the American team of the historic victory, (4) Morrow helped the Islanders to win its first Stanley Cup Championship in 1980, making him the first player to win the Olympic Gold and an NHL championship in one season, (5) Morrow was an integral member of the Islanders’ for an additional three consecutive Stanley Cup Championship teams: 1981, 1982 and 1983, (6) Morrow’s USA jersey has been owned by him since the Olympic games and is now being offered for auction – the jersey to be auctioned is the game-worn original, and (7) the original sweater is extremely valuable as a collector’s piece, and should fetch a very high price at action, due to its role in the most celebrated hockey tournament of the 20th century.

Item 3 is described as the “1926 Detroit Cougars #7 Wool Sweater.” The Detroit Cougars’ #7 wool sweater was owned by Erik Brolin, an original member of the team which made its NHL debut in the fall of 1926. Brolin kept the sweater in his personal collection, where it became a cherished family heirloom that was passed down to his son and subsequently to his grandson.

The background of the item as described by Counsel indicates: (1) the item in question is Brolin’s white and red wool sweater featuring a red Old English “D” on the front, (2) it was game-worn during Detroit’s first season in the NHL, when the team was known as the Cougars -which ultimately became the Detroit Red Wings, and (3) the sweater is an original and not a replica, and is magnificently preserved.

Roberta Roller Rabbit Recalls Children’s Pajama Sets Due to Violation of Federal Flammability Standard

Recall Details

Units:About 32,000

Description: This recall involves children’s pajamas from Roberta Roller Rabbit by Roberta Freyman. The pajamas are 100% cotton, two-piece pajama sets sold in toddler size 1 through youth 12. The sets were sold in two styles; long-sleeve with pants or short-sleeve with shorts. Both styles were sold in eighteen prints in various colors; Babar, Bump, Christopher, Colada, Dino, Elephant, Goby, Hathi, Heart, Heebo, Moby, Monkey, Owl, Rain, Rico, Scotty, Teddy, and Ticochon. Roberta Roller Rabbit is identified on a yellow label sewn into the neck and waist of both the top and bottom. This recall includes all children’s sleepwear garments with a sewn-in label at the neck. Garments that are screen printed at the neck are not affected.

Incidents/Injuries: None reported

Remedy: Consumers should immediately take the recalled pajamas away from children, stop using them and return them to Roberta Roller Rabbit for instructions on receiving a free replacement pajama set or a full refund.

Sold at Roberta Roller Rabbit retail stores, online at www.robertarollerrabbit.com and through other retail and wholesale outlets from January 2012 through February 2015 for between $55 and $65.

Importer(s):Roberta Roller Rabbit, of New York, N.Y.

Manufactured in Peru

Wednesday, April 22, 2015

McCaskill, Portman, Toomey Keep Up Bipartisan Efforts to Support Tariff Reform for American Manufacturers

On April 22, 2015, U.S. Senator Claire McCaskill (Dem, Missouri) announced that, along with Republican Senators Rob Portman of Ohio and Pat Toomey of Pennsylvania, she had introduced the American Manufacturing Competitiveness Act (S.998), a bill to reform the Miscellaneous Tariff Bill. The legislation builds on the Senators’ efforts to simplify trade processes for America’s manufacturers and guard against the return of Congressional earmarks.

The legislation is a bipartisan effort to reform the process for the Miscellaneous Tariff Bill ("MTB") while providing a path forward to passing needed tariff relief for American manufacturers who depend on hard-to-access inputs. The bill would simplify the MTB process by allowing companies to apply for tariff relief directly, while preserving transparency, increasing access to tariff relief for American companies, and breaking the log-jam on the MTB created by the earmark moratorium.

The MTB provides tariff relief for U.S. companies that need to import product inputs from abroad because there is no U.S. manufacturer. Often the products are specialized chemicals or fibers that are needed to make high tech finished goods. In these cases, tariff relief can mean the difference between manufacturing in the U.S. and relocating abroad.

The most significant change from past MTBs is that, while congressional sponsorship of a duty suspension is still an option, persons wanting a duty suspension need not secure a congressional sponsor, but may file a request with the U.S. International Trade Commission. The bill also erects and timeline for the MTB process. Agathon Associates' clients and subscribers to the Trade Advisor service can read an analysis of the bill at http://agathonassociates.com/textile-pri/mtb/index.htm. You will need your username and password. If you have forgotten your user name and password, email David Trumbull at david@agathonassociates.com.

Friday, April 17, 2015

Blankets and Scarves Recalled Due to Hazards

Goochie Goo Garbs Recalls Children’s Sensory Grab Garb Blankets Due to Laceration Hazard

Recall Details

Units: About 125

Description: The Sensory Grab Garb blanket is a 6-inch square of soft fabric with crinkle paper inside and ribbon tags in the middle of each of the four sides. One side of the blanket contains a white satin ribbon tag with the words “Goochie Goo Garbs” on it. The polka-dot ribbon tags are black, blue, green, pink or red ribbons with white polka-dots. The blankets come in a variety of child themed patterns including shapes, animals and superhero themes. Only the 6-inch square Sensory Grab Garb blankets with colored polka-dot ribbon tags attached to the side of the blanket are included in the recall.

Incidents/Injuries: The firm has received one report of a child that was scratched by the wire that came out of the ribbon tag.

Sold at: Various children’s specialty stores in Arizona, Arkansas, California, Colorado, Kansas, Oklahoma, Texas and Pennsylvania from July 2014 through March 2015 for about $10.

Manufacturer: Goochie Goo Garbs LLC, of Scottsdale, Ariz.

Manufactured in: United States

*********************************************************************************************************

Gena Accessories Recalls Women’s Scarves Due to Burn Hazard, Violation of Federal Flammability Standard

Recall Details

Units: About 9,400

Description: This recall involves Gena Accessories women’s silk scarves. The recalled scarves measure 64 inches long by 18 inches wide and were sold in the colors black, brown, burgundy, camel, fuchsia, green, grey, lavender, light blue, light green, light pink, orange, red, turquoise, white and yellow.

Incidents/Injuries: None reported

Sold at: Specialty accessory boutiques in New York City and online at Amazon.com, GenaAccessories.com and Scarfand.com from January 2007 through February 2015 for about $12.

Importer: Gena Accessories Inc., of New York, N.Y.

Manufactured in: China

Tuesday, April 14, 2015

Monday, April 20th, Is Patriots' Day in Massachusetts

Monday, April 20, 2015, is Patriots' (plural possessive) Day in Massachusetts and Patriot's (singular possessive) Day in Maine. State and local government offices in Massachusetts and Maine will be closed, as will some businesses.

“Listen, my children and you shall hear
of the midnight ride of Paul Revere,
On the eighteenth of April, in Seventy-five.”

New England’s original "On the Road" man looms large in these parts --life-sized, in fact, in bronze, in Boston's North End. There, as well, you'll find his house preserved, just as his ride is preserved in the Longfellow poem.

“You know the rest. In the books you have read,
How the British Regulars fired and fled—“

And that morning of April 19 officially marks the beginning of the American War of Independence. In Massachusetts and Maine (part of Massachusetts until 1820, when, under the "Missouri Compromise" Maine, a free State was admitted to the Union, paired with Missouri, a slave State) we celebrate it as Patriots'/Patriot's Day, and, like Revere, take to the road – a renowned twenty-six miles of road from Hopkinton to Boston.

At the original Marathon, 26 miles from Athens, Greece, free, Democratic, Western civilization faced and defeated the forces of absolutism. It is a battle that has been fought many times. It will be fought many more times. Freedom must always be prepared to fight just to be free.

On September 11, 2001, after the unprovoked terrorists attacks on thousands of innocent, unsuspecting civilians, President George W. Bush spoke of why we were attacked, and why we shall prevail: "America was targeted for attack because we're the brightest beacon for freedom and opportunity in the world. And no one will keep that light from shining."

Our patriot forefathers (and every America is a Son of Liberty, regardless of when your people came here) knew that freedom is worth fighting for. This Patriots' Day let's reflect on the cause of freedom, and thank the brave American men and women who, in every war from the Revolution to our current engagements in the Near and Middle East, have made it possible for us to enjoy this April 20th as a free people.

Valuable Information for Anyone Doing Business in Mexico

On April 8, 2015, the U.S. Department of Commerce Office of Textiles and Apparel ("OTEXA") conducted a webinar on the new textile and apparel regulations in Mexico. OTEXA has made available on its website the slides from and the recording of the webinar.

Gildan's Foreign Trade Zone Application Denied Following Domestic Fiber Industry Opposition

On April 14, 2015, the Foreign Trade Zone Board published in the Federal Register (80 FR 19958) denial an application from Gildan Yarns LLC, to use foreign trade zone procedures in the production of cotton and cotton/polyester yarn for export. Production under FTZ procedures could exempt Gildan from customs duty payments on the foreign status material used in export production. The sole foreign-origin material to be used in the export production is polyester staple fiber (duty rate: 4.3%). The application was opposed by the American Fiber Manufacturers Association. ...READ MORE.

Friday, April 10, 2015

Federal Business Opportunities, Friday, April 10, 2015

Recently posted federal business opportunities.
-------------------------------------------------------
Title:             Tyvek, Coveralls
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Pre-Solicitation Notice for Uniform Rental and Laundry Services For Arlington National Cemetery Agency:            Department of the Army
-------------------------------------------------------
Title:             OPTION - USMA USCC Insignias, Dress Hats & Service Caps
Agency:            Department of the Army
-------------------------------------------------------
Title:             GLOVE, CUT RESISTANT
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             OPTION - USMA USCC Women's Swimsuits
Agency:            Department of the Army
-------------------------------------------------------
Title:             T-Shirt, Athletes, AF, PTU    
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Army Physical Fitness Uniform (APFU) BLACK SHIRT S/S SMALL with Gold West Point Crest
Agency:            Department of the Army
-------------------------------------------------------
Title:             R&R Fleece Jackets
Agency:            Department of the Army
-------------------------------------------------------
Title:             GEN III, Layer 7, Parka & Trouser 
Agency:            Defense Logistics Agency
-------------------------------------------------------

Clients of Agathon Associates and subscribers to Agathon Associates' Trade Advisor Service can find links to the full solicitations at www.agathonassociates.com/textile-pri/berry/fbo.htm. You will need to enter your username and password. If you do not know your username and password email David Trumbull at david@agathonassociates.com.

CBP, ICE HSI Report $1.2 Billion in Counterfeit Seizures in 2014

U.S. Customs and Border Protection ("CBP") and U.S. Immigration and Customs Enforcement's Homeland Security Investigations ("HSI") earlier this month announced the fiscal year 2014 results of an aggressive enforcement program to protect the United States from counterfeit and pirated goods. CBP and HSI are the components within the Department of Homeland Security ("DHS") responsible for the enforcement of intellectual property rights ("IPR")

The top ten counterfeit commodities seized are:

  1. Wearing apparel/accessories
  2. Consumer electronics
  3. Pharmaceuticals/personal care
  4. Handbags/wallets
  5. Footwear
  6. Watches/jewelry
  7. Optical media
  8. Computers/accessories
  9. Labels/tags
  10. Toys

      .... READ MORE.

CBP Seizes Counterfeit Clothes in Luggage

U.S. Customs and Border Protection officers working at the Dallas Fort Worth International Airport seized 220 clothing items with a Manufacturer’'s Suggested Retail Price of just over $22,000 found in a passenger’s checked luggage. ...READ MORE.

2015 National Trade Estimate Report on Foreign Trade Barriers ("NTE")

The 2015 National Trade Estimate Report on Foreign Trade Barriers ("NTE"), released April 1, 2015, is the thirtieth in an annual series that surveys significant foreign barriers to U.S. exports. This document is a companion piece to the President’s Trade Policy Agenda. The issuance of the NTE Report continues the elaboration of an enforcement strategy, utilizing this report, among other tools, in that strategy. The complete report is over 400 pages in length. Below are excerpts from some of the country-by-country reports that may be of interest to the U.S. textile industry.

ARGENTINA

Report

Argentina maintains administrative mechanisms that restrict the entry of products deemed sensitive, such as textiles, apparel, footwear, toys, electronic products, and leather goods. While the restrictions are not country specific, they are to be applied more stringently to goods from countries considered “high risk” for under-invoicing, and to products considered at risk for under-invoicing or trademark fraud.

Argentina restricts entry points for several classes of goods, including sensitive goods classified in 20 Harmonized Tariff Schedule chapters (e.g., textiles; shoes; electrical machinery; iron, steel, metal, and other manufactured goods; and watches), through specialized customs procedures for these goods.

Certificates of origin have become a key element in Argentine import procedures in order to enforce antidumping measures, reference prices (referred to as “criterion values”), and certain geographical restrictions. Argentina requires certificates of origin for certain categories of products, including certain organic chemicals, tires, bicycle parts, flat-rolled iron and steel, certain iron and steel tubes, air conditioning equipment, wood fiberboard, most fabrics (e.g., wool, cotton, other vegetable), carpets, most textiles (e.g., knitted, crocheted), apparel, footwear, metal screws and bolts, furniture, toys and games, brooms, and brushes. To receive the MFN tariff rate, a product’s certificate of origin must be certified by an Argentine embassy or consulate, or carry a “U.S. Chamber of Commerce” seal. For products with many internal components, such as machinery, each individual part is often required to be notarized in its country of origin, which can be very burdensome. Importers have stated that the rules governing these procedures are unclear and can be arbitrarily enforced.

Argentina maintains an import prohibition on used clothing, which is due to expire in December 2015.

In October 2014, Argentina launched the “Ahora 12” program, which allows individuals to finance the purchase of certain domestically-manufactured goods, ranging from clothing to home appliances, in 12 monthly installments without interest. The program is effective through March 1, 2015, but Argentina announced in February 2015 that it would extend the program past the expiration date. The list of qualifying goods for the Ahora 12 program can be found at http://www.ahora12.gob.ar/. Argentina claims the program has been very successful in increasing the consumption of locally-produced goods and has stated that more than four million transactions have transpired since the program’s inception.

BRAZIL

Report

Brazil imposes relatively high tariffs on imports across a wide spread of sectors, including automobiles, automotive parts, information technology and electronics, chemicals, plastics, industrial machinery, steel, and textiles and apparel.

U.S. footwear and apparel companies have expressed concern about the extension of non-automatic import licenses and certificate of origin requirements on non-MERCOSUR footwear, textiles and apparel. They also note the imposition of additional monitoring, enhanced inspection, and delayed release of certain goods, all of which negatively impact the ability to sell U.S.-made and U.S.-branded apparel, footwear, and textiles in the Brazilian market.

The Ministry of Development, Industry, and Commerce maintains an 8 percent preference margin for domestic producers in the textile, clothing, and footwear industries when bidding on government contracts.

Brazil prohibits imports of all used consumer goods, including automobiles, clothing, tires, medical equipment, and information and communications technology (ICT) products, as well as imports of certain blood products.

ECUADOR

Report

Ecuador’s Organic Code for Production, Trade, and Investment (Production Code), which came into effect in 2010, covers an array of issues, including import and export policies, customs procedures, taxes, and investment and labor rules. Among other things, the Production Code calls for strategic import substitution and for a transformation of Ecuador’s “productive matrix” to increase the production of higher value-added products. According to Ecuador’s National Plan for Good Living 2013-2017, produced by the National Secretariat of Planning and Development (SENPLADES), products subject to import substitution measures include fertilizers, agrochemicals, agricultural commodities and food products, pesticides and fungicides, soaps, detergents, cosmetics, ceramic tiles, floors, textiles, clothing, footwear, leather, radios, telephones, TVs, electronics, pharmaceuticals, and electrical appliances. Ecuador applies a combination of tariff and nontariff measures, such as non-automatic import licensing, to most of the sectors listed above.

INDIA

Report

India maintains very high tariff peaks on a number of goods, including flowers (60 percent), natural rubber (70 percent), automobiles and motorcycles (60 percent to 75 percent), raisins and coffee (100 percent), alcoholic beverages (150 percent), and textiles (some ad valorem equivalent rates exceed 300 percent). Rather than liberalizing its customs duties, India instead operates a number of complicated duty drawback, duty exemption, and duty remission schemes for imports. Eligibility to participate in these schemes is usually subject to a number of conditions.

India maintains several export subsidy programs, including exemptions from taxes for certain export-oriented enterprises and for exporters in Special Economic Zones, as well as duty drawback programs that appear to allow for drawback in excess of duties levied on imported inputs. India also provides pre-shipment and post-shipment financing to exporters at a preferential rate. Numerous sectors (e.g., textiles and apparel, paper, rubber, toys, leather goods, and wood products) receive various forms of subsidies, including exemptions from customs duties and internal taxes, which are tied to export performance.

India not only continues to offer subsidies to its textiles and apparel sector in order to promote exports, but it has also extended or expanded such programs and even implemented new export subsidy programs that benefit the textiles and apparel sector. As a result, the Indian textiles sector remains a beneficiary of many export promotion measures (e.g., Export-Oriented Units, Special Economic Zones, Export Promotion Capital Goods, Focus Product, and Focus Market Schemes) that provide, among other things, exemptions from customs duties and internal taxes based on export performance.

INDONESIA

Report

In late 2013, Indonesia’s Ministry of Trade issued regulation Ministry of Trade 67/2013 on the “Obligation to Affix Indonesian-Language Labels on Goods.” The regulation requires the use of pre-approved Bahasa Indonesia-language labels on a wide range of products, including various information and communications technology products, building materials, motor vehicle goods, household products, and apparel and textiles, that are distributed or sold in Indonesia. The regulation also requires that labels be “embossed or printed on the goods, or wholly attached to the goods” and must be attached “upon entering the customs territory” of Indonesia. The new regulation removed the option of using stickers and attaching them in the customs territory, and as a result significantly increased the costs for foreign goods entering the Indonesian market, without a clear benefit to consumer health or safety. In fall 2014, Indonesian officials clarified that “permanent stickers” are permitted.

The Indonesian government imposes non-automatic import licensing requirements on a broad range of products, including electronics, household appliances, textiles and footwear, toys, food and beverage products, and cosmetics. The measure, originally known as Decree 56 in 2009, has been extended twice by the Ministry of Trade, most recently in December 2012 through MOT Regulation 83/2012, which will remain in effect until December 31, 2015. The decree also requires pre-shipment verification by designated companies (known in Indonesia as “surveyors”) at the importers’ expense and limits the entry of imports to designated ports and airports. Indonesia informally limits application of the decree to “final consumer goods.” While the Indonesian government appears to exempt selected registered importers from certain requirements of this decree, the approval process to qualify as a registered importer is opaque, ill-defined, and potentially discriminatory. The United States continues to seek withdrawal of the measure.

MEXICO

Report

In the second half of 2014, the Government of Mexico set out several new regulations governing the importation of footwear and apparel and textile goods, to include the creation of reference prices and the establishment of an import licensing system. According to the Mexican government, the measures are designed to enhance the productivity and competitiveness of Mexican footwear and apparel producers and protect Mexico’s domestic footwear and apparel industries from damage caused by the importation of undervalued goods. U.S. exporters have expressed a number of concerns with regard to the schemes, noting significant confusion during the early period of implementation, lack of information regarding how to comply with new requirements, insufficient consultation with the trade community prior to operationalization, a lack of transparency in how reference prices are determined, and uneven enforcement by Mexico’s customs and tax authorities. The U.S. Government will continue to monitor the implementation of these schemes and encourage SAT to clarify the process for complying with their requirements.

NIGERIA

Report

The government continues to ban the import of nearly 50 different product categories, citing the need to protect local industries or promote health and safety. The list of prohibited imports currently includes bird eggs; cocoa butter, powder, and cakes; pork; beef; live birds; frozen poultry; refined vegetable oil and fats; cassava; bottled water; spaghetti and other noodles; fruit juice in retail packs; nonalcoholic beverages (excluding energy drinks); bagged cement; all medicaments falling under HST headings 3003 and 3004; waste pharmaceuticals; soaps and detergents; mosquito repellant coils; sanitary plastic wares; toothpicks; rethreaded or used tires; corrugated paper; paper board; telephone recharge cards and vouchers; textile fabrics and yarn; certain printed fabrics, lace and embroidered fabrics; carpets and rugs; made-up garments and certain other textile articles; footwear; bags and leather and plastic suitcases; glass beverage bottles; used compressors; used motor vehicles more than ten years old; most types of furniture; ball point pens; pistols and air pistols; airmail photographic printing paper; beads; blank invoices; cowries; used or inferior tea; cartridge reloading implements; indecent or obscene articles; manilas; matches; materials likely to offend religious views or breach the peace; meat and vegetables determined unfit for human consumption; materials or products bearing inscriptions of the Koran; used clothing; silver or metal alloy coins not legal tender in Nigeria; nuclear industrial waste; toxic waste; certain spirits and alcohols; and weapons and ammunition that contain or are designed to contain noxious liquid or gas.

PARAGUAY

Report

Paraguay requires non-automatic import licenses on personal hygiene products, cosmetics, perfumes and toiletries, textiles and clothing, shoes, insecticides, agrochemicals, poultry, barbed wire, wire rods, and steel and iron bars. Obtaining a license requires review by the Ministry of Industry and Commerce.

Paraguay prohibits the importation of used cars over 10 years old and used clothing.

PHILIPPINES

Report

The Philippines’ simple average most favored nation tariff is 7.12 percent. Six percent of its applied tariffs are 20 percent or higher. All agricultural tariffs and about 60 percent of non-agricultural tariff lines are bound under the Philippines’ WTO commitments. The simple average bound tariff in the Philippines is 25.7 percent. Products with unbound tariffs include certain automobiles, chemicals, plastics, vegetable textile fibers, footwear, headgear, fish, and paper products. Applied tariffs on fresh fruit, including grapes, apples, oranges, lemons, grapefruits, and strawberries, as well as on processed potato products, including frozen fries, are between 7 percent and 15 percent, whereas bound rates are much higher at 35 percent and 45 percent.

The Philippines offers a wide array of fiscal incentives for export-oriented investment, particularly investment related to manufacturing. These incentives are available to firms located in export processing zones, free port zones, and other special industrial estates registered with the Philippine Economic Zone Authority. The available incentives include: income tax holidays or exemption from corporate income tax for four years, renewable for a maximum of eight years; after the income-tax-holiday period, payment of a special five percent tax on gross income in lieu of all national and local taxes; exemption from duties and taxes on imported capital equipment, spare parts and supplies, and raw materials; domestic sales allowance of up to 30 percent of total sales; exemption from wharfage dues, imposts, and fees; zero VAT rate on local purchases, including telecommunications, electricity, and water; and exemption from payment of local government fees (e.g., mayor’s permit, business permit, health certificate fee, sanitary inspection fee, and garbage fee). Furthermore, under the Omnibus Investment Code, which is administered by the Board of Investments, tax incentives are available to producers of non-traditional exports, including electronics, garments, textiles, and furniture, and for activities that support exporters, such as logistics services and product testing.

RUSSIA

Report

In 2014, the Russian government accelerated its promotion of import substitution and called for more local production across a variety of sectors. Government officials, including President Putin, have signaled that import substitution is now a central tenet of Russian economic policy. The medical device and pharmaceutical industries (see below) are examples of sectors in which localization policies have been developed and implemented over several years. In addition, there are currently sectorial import substitution proposals for defense, health care, consumer goods, oil and gas equipment, information technology (IT), light industry, textiles, and agriculture. The preferred mechanism for implementing these policies appears to be through government procurement, which may also be extended to state-owned enterprise (SOE) procurement in 2015 (see discussion below on Government Procurement).

SOUTH AFRICA

Report

U.S. exports face a disadvantage compared to EU goods in South Africa. The European Union-South African Trade and Development Cooperation Agreement (TDCA) of 1999 covers a significant amount of South Africa-EU trade. Tariffs for EU imports on TDCA-covered tariff lines average 4.5 percent based on an unweighted average, while the general tariff rates, which U.S. imports face, average 19.5 percent for TDCA-covered lines. Key categories in which U.S. firms face a tariff disadvantage include cosmetics, plastics, textiles, trucks, and agricultural products and machinery.

SRI LANKA

Report

In November 2011, the government introduced an all-inclusive tax under the EDB levy on imported textiles not intended for use by the apparel export industry, replacing the import tariff, the EDB Levy, the Ports and Airports Tax, the VAT, and the NBT. Currently, this all-inclusive tax is Rs 100 per kg (approximately $0.77.)

Apparel imports are subject to the 15 percent import duty, the Rs 75 (approximately $0.57) per unit EDB Levy, the 12 percent VAT, the 5 percent PAL, and the 2 percent NBT.

Although intellectual property rights (IPR) enforcement has improved in Sri Lanka, counterfeit goods continue to be widely available and music and software piracy are reportedly widespread. U.S. and other international companies in the recording, software, movie, clothing, and consumer product industries complain that inadequate IPR protection and enforcement is damaging their businesses. Although the government of Sri Lanka published a policy in 2010 requiring all government ministries and departments to use only licensed software, it has yet to put systems in place to monitor compliance with this policy.

Redress through the courts for IPR infringement is often a frustrating and time-consuming process, and police do not actively utilize existing authorities for IP enforcement. Some industry sectors, including apparel, software, tobacco, and electronics, have reported some success in combating trademark counterfeiting through the courts.

TAIWAN

Report

Taiwan provides incentives to industrial firms in export processing zones and to firms in designated emerging industries. Taiwan has notified the WTO of these programs. The Ministry of Finance (MOF) in October 2011 resumed tax rebates for customs duties on certain components and raw materials that are imported into Taiwan and then used to produce goods for export. On January 1, 2013, the program was expanded to cover a total of 1,751 products in categories including electronics, textiles, machinery, chemicals, mineral products, basic metal products, and plastics. On January 29, 2013, MOF announced that tax rebates would be expanded to include all components and raw materials that are imported into Taiwan and then used to produce goods for export, with the exception of 51 items identified on a negative list. The rebates were effective retroactively from January 1, 2013.

THAILAND

Report

High tariffs in many sectors remain an impediment to access to the Thai market. While Thailand’s average applied most favored nation (MFN) tariff rate was 11.4 percent ad valorem in 2013, ad valorem tariffs can be as high as 80 percent, and the ad valorem equivalent of some specific tariffs (charged mostly on agricultural products) is even higher. Thailand has bound all tariffs on agricultural products in the WTO but only approximately 70 percent of its tariff lines on industrial products. The highest ad valorem tariff rates apply to imports competing with locally produced goods, including automobiles and automotive parts, motorcycles, beef, pork, poultry, tea, tobacco, flowers, wine, beer and spirits, and textiles and apparel. About one-third of Thailand’s MFN tariff schedule involves duties of less than 5 percent, and almost 30 percent of tariff lines are duty free, including for products such as chemicals, electronics, industrial machinery, and paper.

Thailand applies import tariffs of 80 percent on motor vehicles, 60 percent on motorcycles and certain clothing products, 54 percent to 60 percent on distilled spirits, and 30 percent on certain articles of plastic and restaurant equipment.

AAFA Fights Counterfeit Apparel and Footwear on Alibaba

The American Apparel and Footwear Association ("AAFA") has written a letter to the United States Trade Representative and letter to the Securities and Exchange Commission asking for assistance in AAFA's ongoing efforts to fight the rampant proliferation of counterfeit apparel and footwear on the TaoBao platform of Alibaba.

Wednesday, April 8, 2015

Children’s Pajamas Recalled by Smooth Industries Due to Violation of Federal Flammability Standard

Recall Details

Units: About 7,600

Description: This recall involves children’s one- and two-piece Smooth Industries pajama sets. The pajamas are made of 100% polyester and were sold in four styles: Ride Smooth, Honda, MX Superstars and Moto X. The racing-themed pajamas have large motocross-related graphics and were sold in red, white and black; orange, white and black; and red, blue and black. One-piece pajama sets were sold in sizes: 6 to 12 months, 12 to 18 months and 18 to 24 months. Two-piece sets were sold in sizes XS to Youth XL. “Smooth Ind.” and “smoothindustries.com” is printed on the garment’s neck label.

Incidents/Injuries: None reported.

Sold at: Authorized Smooth Industries motorcycle and motocross stores nationwide and online at SmoothIndustries.com and other motocross websites from October 2012 through January 2015 for between $30 and $35.

Importer: Smooth Industries, Oceanside, Calif.

Manufactured in: China.

Agathon Associates Submits Comments on Wool Trust Fund

Today Agathon Associates wrote to the U.S. Department of Agriculture in response to Pima Agriculture Cotton Trust Fund and Agriculture Wool Apparel Manufacturers Trust Fund, Final rule with request for comments, published by the U.S. Department of Agriculture ("the Department") March 9, 2015, in the Federal Register at 80 FR 12321 et seq. Agathon Associates, David Trumbull principal, consults internationally to the textile industry. Current clients include domestic U.S. producers of wool yarns and fabrics of the kind specified in the Rule and importers of wool fiber, top, yarn, and fabric of the kind specified in the Rule.

Title V of the Trade and Development Act of 2000 (May 18, 2000, Pub. Law 106-200, Stat. 303) provided for duty reductions and suspensions relating to certain wool and wool products, payments to U.S. manufacturers of certain wool textiles and apparel, and a trust fund to promote the U.S. sheep industry. For convenience, I refer to these provisions collectively as the "Wool Program." The Wool Program was carefully crafted to assist every sector of the U.S. wool industry, sheep farmers, processors of fiber into yarns and fabrics, and apparel producers. From 2002 through 2008 Congress modified the Wool Program four times (Public Law No 107-210 (August 6, 2002 116 Stat. 1047), Public Law 108-429 (December 3, 2004 118 Stat. 2603), Public Law No: 109-280 (August 17, 2006 120 Stat. 1166), Public Law 110-343 (October 3, 2008 122 Stat. 3875)). Congress again modified the Wool Program in Sections 12315 and 12316 of the Agricultural Act of 2014 ("Farm Bill") (Public Law 113-79 (February 7, 2014 128 Stat. 649)). With each modification Congress extended the time duration of the Wool Program and expanded the benefits available to the wool industry. Clearly, Congress intended to expand promotion of the U.S. wool industry in creating and modifying the Wool Program. The Wool Program comprises five distinct elements:

  1. Payments to Manufacturers of Certain Worsted Wool Fabrics (formerly U.S. Department of Commerce wool grants),

  2. Monetization of the Wool Tariff Rate Quota ("TRQ") for importers of certain worsted wool fabric,

  3. Wool Yarn, Wool Fiber, and Wool Top Duty Compensation Payments (formerly U.S. Customs and Border Protection wool payments),

  4. Refund of Duties Paid on Imports of Certain Wool Products, and

  5. Wool (Sheep) Research and Promotion.

The Rule published March 9, 2015, relates to numbers 1, 2, and 3.

The Wool Program is complex and I applaud the Department for its diligence in drafting this implementing rule to assure that each participating entity will receive the payments it is eligible for in a timely manner, and with the least amount of paper work or other inconvenience. I also applaud the Department for recognizing that indirect importers, as well as direct importers, would have saved money had the duty reductions and suspensions provided for under headings 9902.51.11, 9902.51.13, 9902.51.14, 9902.51.15, and 9902.51.16 of the Harmonized Tariff Schedule of the United States not expired at the end of 2014 and, therefore, providing for payments to indirect importers as well as to direct importers.

However, I find in the Rule some needs for improvement. Read the rest of Agathon Associates' comments HERE.

CPSC Accepting Comments on Proposal to Amend Textile Flammability Rule

The Consumer Product Safety Commission ("CPSC") has received a petition requesting amendments to the test procedure in the Standard for the Flammability of Clothing Textiles, 16 CFR part 1610. Petitioner requests changes in the requirements for preparation of clothing textiles for flammability testing. The Commission invites comments concerning the petition. Comments are due by June 8, 2015.

On February 4, 2015, CPSC's Office of the Secretary received a petition to the Commission to initiate rulemaking to amend the test procedure in 16 CFR part 1610, Standard for the Flammability of Clothing Textiles (the Standard). Petitioner, the International Association of Users of Artificial and Synthetic Filament Yarns and of Natural Silk, asserts that the pre-test conditioning requirements for textile samples set forth in 16 CFR 1610.6(a)(2)(iv) (for plain surface textile fabrics) and 1610.6(a)(3)(v) (for raised surface textile fabrics) are inappropriate and unrealistic for silk fabrics. The Standard requires that textile specimens be prepared for testing by treating them in an oven at 105° C (221 °F) for 30 minutes, then placing them in a desiccator to cool. See 16 CFR 1610.6(a)(2)(iv); 1610.6(a)(3)(v). Petitioner contends this process removes all moisture from silk fabric samples, resulting in unrealistic measures of textile flammability. Petitioner asks that the Standard be changed to require that all clothing textile samples, including silk, be conditioned at a lower temperature and at a higher level of humidity.

Proposed Changes in Testing. Petitioner asks the Commission to adopt changes that would require all clothing textiles to be conditioned before flammability testing under the temperature and humidity conditions set forth in ASTM D1776-04, Standard Practice for Conditioning and Testing Textiles. This standard specifies that general textiles should be conditioned at a temperature of 21° ± 1° C (70° ± 2 ° F) and at a relative humidity of 65 ± 2% for at least 24 hours prior to testing. Petitioner contends flammability testing of silk fabrics would be more realistic and more meaningful if testing were conducted using these conditioning requirements. The proposed changes in pre-test conditioning would apply to all clothing textiles.

Reasons for Proposed Testing Changes. Petitioner asserts that the Standard's conditioning requirements subject silk fabric samples to “extreme conditions not found in reality” and are not based on any scientific reason. Petitioner claims its test results show that flammability testing outcomes for silk fabrics vary dramatically, depending on the conditioning standard used. Petitioner also asserts that the Standard's conditioning requirements are inconsistent with all national and international textile testing standards of which Petitioner is aware, including textile testing standards promulgated by the International Organization for Standardization (ISO) and ASTM International (ASTM). The two alternative standards specifically cited by Petitioner, ASTM D1776-04 and ISO 139, Textiles—Standard atmospheres for conditioning and testing, require conditioning of fabrics at lower temperatures and at higher levels of humidity than the Standard.

Proposed Commission Action. Petitioner requests the Commission implement the pre-test conditioning standards of ASTM D1776 by amending 16 CFR 1610.6(a)(2)(iv) (conditioning of plain surface textile fabrics) and 1610.6(a)(3)(v) (conditioning of raised surface textile fabrics) to include the conditioning standards of ASTM D1776-04 for all clothing textiles, including silk. These revisions also would include a requirement that conditioned samples be sealed in a tight container and that testing be initiated within one minute of opening of the container. Petitioner also requests that the Commission amend 16 CFR 1610.6(b) (refurbishing and testing after refurbishing) by adding a new subsection 1610.6(b)(4) to apply ASTM D1776-04 conditioning standards to flammability testing of refurbished (i.e., laundered or dry cleaned) textiles.

Federal Business Opportunities, Wednesday, April 8, 2015

Recently posted federal business opportunities.
-------------------------------------------------------
Title:             Fabric & Vinyl Restock 
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Globe Coat and Pant
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Socks, Boot, Antimicrobial, Coyote Brown (MC)
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Gray Wool Blankets
Agency:            Department of the Army
-------------------------------------------------------
Title:             HDT Tent
Agency:            Department of the Navy
-------------------------------------------------------
Title:             MASSIF Cold Weather Jacket 
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             BOOTS, FIREMEN'S
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Army Physical Fitness Uniform (APFU) BLACK SHIRT S/S SMALL with Gold West Point Crest
Agency:            Department of the Army
-------------------------------------------------------
Title:             Dickies Uniforms
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Khaki Slacks & Trousers
Agency:            Department of Transportation
-------------------------------------------------------
Title:             Instructor uniforms
Agency:            Department of the Army
-------------------------------------------------------
Title:             GLOVE, CUT RESISTANT
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             OPTION - OLIVE DRAB CAP, WITH SEWN-ON FIFTH FLEET EMBLEM AND UNITED STATES FIFTH FLEET IN BLACK TEXT
Agency:            Department of the Navy
-------------------------------------------------------
Title:             Firefighter Turnout Coat & Pant
Agency:            Department of the Army
-------------------------------------------------------
Title:             Flame Resistant Deluxe Coveralls
Agency:            Department of Justice
-------------------------------------------------------
Title:             Boot, Hot Weather, Safety Toe Flight
Agency:            Defense Logistics Agency
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Clients of Agathon Associates and subscribers to Agathon Associates' Trade Advisor Service can find links to the full solicitations at www.agathonassociates.com/textile-pri/berry/fbo.htm. You will need to enter your username and password. If you do not know your username and password email David Trumbull at david@agathonassociates.com.

Certain Three-thread Circular Knit Fleece Fabrics Removed from DR-CAFTA Short Supply List

On April 8, 2015, the Committee for the Implementation of Textile Agreements ("CIT") published in the Federal Register its determination that certain three-thread circular knit fleece fabrics, as specified below, are available in the CAFTA-DR countries in commercial quantities in a timely manner. The product, which is currently included as item #91 in Annex 3.25 of the CAFTA-DR Agreement in unrestricted quantities, will be removed, effective October 5, 2015.

SPECIFICATIONS:
Certain Three-thread Circular Knit Fleece Fabrics
HTS Subheading: 6001.21.0000

Fabric #1:
Fiber Content: 72 to 78 percent cotton, 22 to 28 percent polyester
Yarn:
Face Yarn - Single ply, ring spun cotton. Metric yarn number: 41 to 48; English yarn number: 24 to 28
Tie Yarn - Polyester filament of 49 to 51 denier
Fleece yarn - Single ply staple of 57 to 63 percent cotton and 37 to 43 percent polyester. Metric yarn number: 24 to 30; English yarn number 14 to 18.
Gauge: 20 to 24
Knit Type: Three-thread circular knit
Weight: Metric - 285 to 300 grams per square meter; English - 8.42 to 9.75 ounces per square yard.
Width: Metric - 172 to 183 centimeters; English - 68 to 72 inches.
Finish: Napped on the technical back; bleached, yarn dyed, or piece dyed.
Performance Criteria: Not more than 5 percent vertical and horizontal shrinkage and not more than 4 percent vertical torque.

Fabric #2:
Fiber Content: 77 to 83 percent cotton, 17 to 23 percent polyester
Yarn:
Face Yarn - Single ply, ring spun cotton. Metric yarn number: 47 to 54; English yarn number: 28 to 32
Tie Yarn - Polyester filament of 49 to 51 denier
Fleece yarn - Single ply staple of 67 to 73 percent cotton and 27 to 33 percent polyester. Metric yarn number: 24 to 30; English yarn number 14 to 18.
Gauge: 20 to 24
Knit Type: Three-thread circular knit
Weight: Metric - 266 to 308 grams per square meter; English - 7.85 to 9.08 ounces per square yard.
Width: Metric - 146 to 183 centimeters; English - 58 to 72 inches.
Finish: Napped on the technical back; bleached, yarn dyed, or piece dyed.
Performance Criteria: Not more than 5 percent vertical and horizontal shrinkage and not more than 4 percent vertical torque.

Tuesday, April 7, 2015

New England AATCC Meeting, Thursday, April 30th, Providence, R.I.

The American Association of Textile Chemists and Colorists ("AATCC") New England Region will meeting Thursday April 30, 2015, at McCormick & Schmick's at the Biltmore Hotel,Providence, R.I.

Special Guest Speaker:

Mr. Michael Humphrys
UMASS Lowell
First Place Award Recipient
Herman & Myrtle Goldstein Student Paper Competition

5:30 -6:30 p.m. Social & Networking hour, cash bar
6:30 p.m. Presentation followed by Dinner

RSVP: by April 24 It's simple to make your reservations today:

email heidicarvalho@comcast.net or phone 774 930 0297.

Please Include your name, contact info, # and name of guests + sponsor amount , dietary restrictions; food allergies; related concerns

Cash or check: NEAATCC and meal selection upon arrival
Nonmember $35 / Member $30pp / Govt/Mil/Retired $24pp
Students always welcome to attend Speaker Presentation w/o meal at no fee

Sponsorship recognition levels: $60, $90, $150, Other$_______

Parking info: valet parking $7 up to 3 hours, free on street after 6 p.m., garage parking at providence place mall under $5

Monday, April 6, 2015

Advisory Committee on Commercial Operations to U.S. Customs and Border Protection to Meet April 24th

The Advisory Committee on Commercial Operations to U.S. Customs and Border Protection ("COAC") will meet on Friday, April 24, 2015, from 9:00 a.m. to 12:30 p.m. EDT.

Agenda

The Advisory Committee on Commercial Operations to U.S. Customs and Border Protection (COAC) will hear from the following subcommittees on the topics listed below and then will review, deliberate, provide observations, and formulate recommendations on how to proceed on those topics:

1. The One U.S. Government Subcommittee will discuss the Automated Commercial Environment, Partner Government Agencies and International Interoperability (World Customs Organization).

2. The Exports Subcommittee will address policy and a strategic approach regarding exports. The subcommittee will work in close collaboration with One U.S. Government Subcommittee.

3. The Trade Enforcement Subcommittee will discuss policy to include metrics and implementation through Centers of Excellence and Expertise.

4. The Global Supply Chain Subcommittee will discuss Customs--Trade Partnership Against Terrorism, Land ports of entry (Canada and Mexico), Ocean Cargo, In-Transit and Air Cargo Advance Screening.

5. The Trusted Trader Subcommittee will start work once the pilot has advanced to the implementation phase for testing U.S. Customs and Border Protection and Partner Government Agency trade benefits.

6. The Trade Modernization Subcommittee will discuss International Strategy (World Trade Organization Trade Facilitation Agreement, Trans Pacific Partnership, and World Customs Organization), Trade Expertise and Revenue Modernization.

Thursday, April 2, 2015

Have a Blessed Holiday

Agathon Associates wishes happy Passover, which begins Friday at sundown, and happy Easter, to our clients and friends observing these holidays.
Note that, in some regions, business, including textile facilities, also observe Easter Monday by closing that day.