Friday, November 17, 2017

U.S.-Morocco Free Trade Agreement Frequently Asked Questions (FAQ’s)

On November 16, 2017, U.S. Customs and Border Protection published these U.S.-Morocco Free Trade Agreement Frequently Asked Questions (FAQ’s)

Question #1: Where can I find information on importing from Morocco under the U.S.-Morocco Free Trade Agreement (MAFTA)?

Answer #1: For questions about importing from Morocco under the U.S.-Morocco FTA, see the U.S. Customs and Border Protection (CBP) Morocco FTA page by searching “Morocco” at www.cbp.gov.

Question #2: What information is available on the www.cbp.gov U.S.-Morocco (MAFTA) FTA webpage?

Answer #2: The Morocco Free Trade Agreement (MAFTA) went into effect on January 1, 2006; following information is available from the Morocco FTA webpage:

Question #3: Where can I find information on exporting to Morocco?

Answer #3: Answers to questions on exporting to Morocco can be found on www.export.gov.

Making a Claim for Preferential Tariff Treatment

Question #4: How does an importer make a preference claim under the U.S.-Morocco FTA?

Answer #4: A U.S.-Morocco FTA claim is made by prefacing the tariff item on the entry summary with the Special Program Indicator “BH” (19 CFR 10.763) or by filing a PEA/PSC claim within one year of importation.

Question #5: May a post-importation preference claim be made using a 19 USC 1520(d)

Answer #5: No a 19 USC 1520(d) is not an option.

Question #6: What responsibilities does an importer assume by making a U.S.-Morocco FTA preference claim?

Answer #6: By making a U.S.-Morocco FTA preference claim, the importer attests that the good is eligible for U.S.-Morocco FTA preference and accepts responsibility for the truthfulness and accuracy of the claim. The importer is also responsible for providing the certification of origin and supporting documentation to CBP upon request. (19 CFR 10.765)

Declaration (Certification of Origin) and Required Data Elements

Question #7: If CBP requests a U.S.-Morocco FTA certification of origin, which one should the importer provide to CBP – the exporter’s, the producer’s, or his own?

Answer #7: If the U.S.-Morocco FTA claim is based on the exporter’s or producer’s Declaration, the importer should provide that Declaration to CBP. If the U.S.-Morocco FTA claim is based on the importer’s Declaration or importer knowledge, the importer should provide its own certification of origin.

Question #8: Is there an official form or format for the Declaration under the U.S.-Morocco FTA?

Answer #8: Although there is no official Declaration form or format required under the U.S.- Morocco FTA, a free-form Declaration with all of the data elements in 19 CFR 10.764 may also be made.

Question #9: When must the importer provide a U.S.-Morocco FTA Declaration to CBP?

Answer #9: The importer must provide CBP with a U.S.-Morocco FTA Declaration upon request by CBP.

Question #10: Can an importer make a U.S.-Morocco FTA claim without an exporter or producer Declaration?

Answer #10: If the importer has knowledge that the goods originate and can provide documentation to substantiate the claim, then the importer need not possess an exporter or producer Declaration.

Question #11: Will CBP accept an unsigned or undated Declaration?

Answer #11: No, the certification of origin must be signed and dated by an individual with knowledge of the facts and the authority to legally bind the company.

Question #12: Will CBP accept a Declaration if the HTSUS number is incorrect?

Answer #12: CBP may accept a Declaration with an incorrect HTSUS number or request that amended Declaration be submitted with a copy of the original Declaration as an attachment. The correct HTSUS number on the Declaration is an important indicator that the origination analysis was performed using the correct product-specific rule in HTSUS General Note 27(h).

Question #13: Can an importer submit a Declaration to CBP dated after the preference claim?

Answer #13: An exporter or producer Declaration signed after the date of the preference claim could not have been in the importer’s possession at the time of such claim. However, if the preference claim is based on importer’s knowledge, no exporter/producer certification is required.

Requesting Documentation and Verification

Question #14: CBP has requested that the importer provide documentation substantiating that the good originates. Morocco has a wholly the growth, product, or manufacture" or Value Content + 19 CFR 102 or Product-Specific Tariff shift. What information must be provided?

Answer #14: The information required to substantiate an origination claim depends on the rule of origin and the nature of the good. In the case of a manufactured good using a product-specific rule of origin in GN 27(h), at a minimum, the following documentation should be provided:

  • copy of the product specific rule of origin
  • descriptive literature, diagrams, etc. to support classification of the imported good
  • bill of materials (with a description, HTSUS number, and the originating status of each material)
  • affidavit or certification attesting to the originating status of all originating materials that would otherwise fail the product-specific rule
  • cost data, if the product-specific rule has a regional value content (RVC) requirement
  • the regional value content (RVC) calculation US/Morocco materials + direct cost of processing at least (35%) of appraised value. 19 CFR 10.770; 19 CFR 10.773-776; GN 27(b) & (c).

Question #15: CBP has requested manufacturing information to substantiate the originating status of a good, but as the importer, I do not have those records in my possession. Must I comply?

Answer #15: Yes, the importer is responsible for ensuring that CBP receives documentation substantiating that the good meets a rule of origin and otherwise complies with the terms of the U.S.-Morocco FTA. If the importer hasn’t the information, he should contact the exporter and/or producer to ensure that the information is provided to CBP. To protect confidentiality, a manufacturer may provide documentation directly to CBP. Per 19 CFR 103.35, CBP is barred from releasing business confidential information to the importer or any other party without obtaining consent.

Question #16: If CBP requests a Supporting Statement, can the importer provide it via fax or as an email attachment?

Answer #16: Yes, CBP will accept a digitized certification of origin as long as it contains a handwritten signature or the image of a handwritten signature.

Origination

Question #17: How does a good “originate” under the U.S.-Morocco FTA?

Answer #17: In order to be an “originating” good, a good must meet a rule of origin and all other requirements (GN 27 and 19 CFR 10.770).

Question #18: What are the rules of origin under the U.S.-Morocco FTA?

Answer #18: Generally speaking, a good will originate if:

  1. The good is wholly obtained or produced entirely in the territory of Morocco or of the United States, or both; or
  2. The good is produced entirely in the territory of Morocco or of the United States, or both, satisfies all other applicable requirements of this subpart, and
    1. Each of the non-originating materials used in the production of the good undergoes an applicable change in tariff classification specified in General Note 27(h), HTSUS and
    2. The good otherwise satisfies any applicable regional value content or other requirements specified in General Note 27(h), HTSUS; or
  3. The good is produced entirely in the territory of Morocco or the United States, or both, exclusively from originating materials. (19 CFR 10.770)

Question #19: How does a producer know if a material used to produce his good originates?

Answer #19: Generally speaking, the producer will know that a material originates because his supplier will provide a certification or affidavit upon request. If a material supplier will not provide a certification or affidavit, then the producer should consider the material to be non-originating.

Question #20: If the imported good is substantially manufactured in Morocco, can the U.S. importer assume that it meets the terms of the U.S.-Morocco FTA and make a preference claim?

Answer #20: No, the importer would not be exercising reasonable care and may be subject to penalties if the good were found not to originate. By making a preference claim, the importer is certifying that the good meets the terms of the agreement and that the importer/exporter/producer will provide CBP with substantiating documentation upon request.

Question #21: Can a chemical reaction result in origination?

Answer #21: No, there is no chemical reaction rule of origin for goods of HTSUS Chapter 27 from Morocco.

Question #22: Can purification result in origination?

Answer #22: No, there is no purification rule of origin for goods of HTSUS chapter 27.

Question #23: What is the Repair and Alteration Provision?

Answer #23: Repair and Alteration Provision rules that apply for purposes of obtaining duty-free treatment on goods returned after repair or alteration in Morocco as provided for in subheadings 9802.00.40 and 9802.00.50, 19 CFR 10.787.

Question #24: Is there a provision to allow for goods to originate even if they have been commingled with non-originating goods? What if originating materials have been commingled with non- originating materials?

Answer #24: No, there is no fungible goods and material provision for the Morocco FTA.

Question #25: What does it mean when a producer says that a good meets a product-specific rule of origin?

Answer #25: It means that all non-originating materials, with the possible exception of a small de minimis value, used to produce the good undergo a tariff shift prescribed in General Note 27(h).

Question #26: What is de minimis?

Answer #26: There is no de minimis rule for the Morocco FTA.

Question #27: What if the good in question does not have a product-specific rule of origin?

Answer #27: For the Morocco FTA tariff items are (Certain goods in HTSUS 6-9, 12-13, 20-22, 39, 42, 50-63, 70, 72, 85, 87 & 94) all other are either Wholly the growth, or 35% DCP + VOM, and new article of commerce Unlimited US value may count towards 35%.

Regional Value Content (RVC)

Question #28: When should the RVC formula be used under the U.S.-Morocco FTA?

Answer #28: The RVC formula should be used where it applies (Direct cost of processing, value of originating materials, adjusted value of imported goods.

Question #29: When performing the RVC calculation, how is the value of the good and the materials used to produce it determined? What adjustments can be made?

Answer #29: The value of a good and its constituent materials is determined in accordance with General Note 27(b)(ii), (c), (f) and 19 CFR 10.770.

Indirect Materials

Question #30: How does the U.S.-Morocco FTA treat indirect materials?

Answer #30 Indirect materials are to be disregarded in determining whether a good qualifies as an originating good under 19 CFR 10.777 of this subpart and General Note 27 (d) (v), HTSUS, except that the cost of such indirect materials may be included in meeting the value-content requirement specified in 19 CFR 10.770(b) of this subpart.

Third Country Transportation

Question #31: May a U.S.-Morocco FTA claim be made on goods that entered the commerce of a non-Party or that were further processed while under customs control in a non-Party country?

Answer #31: Yes, Imported Directly: May leave customs' control, may not undergo further production in a 3rd country, limited operations specified; GN 27(d)(v); 19 CFR 10.777.

Goods Subject to Tariff Rate Quotas

Question #32: Does the U.S.-Morocco FTA provide for Tariff Rate Quotas?

Answer #32: No, Morocco quotas ended January 1, 2015.

U.S. Goods Returned

Question #33: May U.S. goods returned from Morocco to the United States be claimed under the U.S.-Morocco FTA?

Answer #33: No, U.S. goods returned cannot be claimed under the U.S.-Morocco FTA, but may be exempt from duty under HTSUS 9801.00.10.

Merchandise Processing Fee (MPF)

Question #34: Are originating goods exempt from MPF under the U.S.-Morocco FTA?

Answer #34: No, there is no exemption from MPF per 19 CFR 24.23(c).

Duty Rates and Staging (Phase Out)

Question #35: Duty rates on originating goods under the U.S.-Morocco FTA phase out on January 1, 2023. Where can I find the phase out schedule?

Answer #35: USITC Publication 3721, Annex 2, Section B, is available at a link from the Morocco FTA webpage

Question #36: Where can I get additional information with respect to importing into the U.S. under the U.S.-Morocco FTA?

Answer #36: Questions may be addressed to our mailbox at fta@dhs.gov. Also visit the Morocco FTA webpage.

USITC to Study U.S. Trade and Investment with Sub-Saharan Africa

On November 17, 2017, the U.S. International Trade Commission ("USITC") announced it has launched an investigation to examine U.S. trade in goods and services and investment in Sub-Saharan Africa ("SSA").

The investigation, U.S. Trade and Investment with Sub-Saharan Africa: Recent Developments, was requested by the United States Trade Representative (USTR) in a letter received on October 23, 2017.

As requested, the USITC, an independent, nonpartisan, factfinding federal agency, will:

  • provide an overview of U.S. exports to and imports from SSA of goods and services, identifying the sectors and countries in which U.S. exports and imports have increased the most, in both value and percentage terms, and the principal factors behind such growth;
  • provide profiles of seven SSA economies -- Cameroon, Côte d'Ivoire, Ethiopia, Kenya, Mauritius, Nigeria, and South Africa -- describing these countries' macroeconomic environment, and trade flows and foreign direct investment (FDI) with the United States;
  • provide a summary of recent developments in regional integration efforts in SSA, including progress on negotiations of the Continental Free Trade Area (CFTA);
  • describe U.S. imports of goods from SSA countries under the African Growth Opportunity Act (AGOA), as well as summarize strategies by AGOA countries to increase trade with the United States;
  • perform a qualitative and, to the extent possible, quantitative assessment of the non-crude petroleum sectors and SSA markets that present the greatest potential for growth in U.S. exports and imports of goods and services, as well as FDI flows; and
  • discuss exports of goods and services from U.S. small and medium-sized enterprises (SMEs) to SSA and the challenges faced by U.S. SMEs exporting to the region.

The USITC expects to deliver the report to USTR by April 30, 2018.

The USITC will hold a public hearing in connection with the investigation on January 23, 2018. Requests to appear at the hearing should be filed no later than 5:15 p.m. on January 9, 2018, with the Secretary, U.S. International Trade Commission, 500 E Street, SW, Washington, DC 20436. For further information, call 202-205-2000.

Wednesday, November 15, 2017

Santa's Not So Jolly After Seeing His U.S. Customs Bill

On October 31, 2017, Mark A. Barnett, issued his opinion in RUBIES COSTUME CO., Plaintiff, v. UNITED STATES, Defendant. (See Customs Bulletin Vol. 51 No. 46. pages 69-96.)

"In this case, the court addresses the issue of the proper classification of a Santa Claus costume. Is it a 'festive article' entitled to duty free treatment, or is it fancy dress, of textile, akin to wearing apparel, dutiable at the rates applicable to the particular parts of the costume? Application of classification principles in this case (the General Rules of Interpretation, which direct the court to apply the terms of the Harmonized Tariff Schedule, and relevant judicial precedent) leads to a finding that, while flimsy and non-durable costumes (whether for Halloween, Christmas, or any other holiday) generally receive duty free treatment as festive articles, and non-flimsy, durable Christmas sweaters may also receive duty free treatment as festive articles (because they are not fancy dress), a relatively well-made, durable, dry clean only Santa Claus costume constitutes fancy dress, of textile, and is, therefore, excluded from classification as a festive article."

There is quite a bit at stake in this case, as Rubie's suggested classification would have resulted in zero import duty, while the court's opinion, if it stands, will result in import duties as high as 32%.

Rubie Costume and the U.S. government have been arguing over classification of Hallowe'en and other seasonal costumes for at least 20 years. Clients of Agathon Associates can read more at http://www.agathonassociates.com/textile-pri/festive-articles/index.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.

Miscellaneous Tariff Bill Filed

On November 9, 2017, House Ways and Means Chairman Kevin Brady (R-TX), Ranking Member Richard Neal (D-MA), Senate Finance Committee Chairman Orrin Hatch (R-UT), and Ranking Member Ron Wyden (D-OR) introduced the bipartisan, bicameral Miscellaneous Tariff Bill Act of 2017 (MTB) (H.R. 4318). After reviewing the U.S. International Trade Commission (ITC)’s final report to Congress, the lawmakers have prepared this legislation to implement the ITC’s recommendations.

Background: Last year, Congress overwhelmingly passed the bipartisan American Manufacturing Competitiveness Act of 2016 (AMCA) to establish an open and transparent process for consideration of the MTB. Pursuant to the AMCA, American businesses were able to petition for tariff relief from the ITC. The ITC then determined whether each petition met the requirements of the AMCA, including the requirement that there be no domestic producer of a like product who objects to the tariff reduction or suspension at issue. In August, the ITC, with input from DOC and CBP, provided a final report to Congress that included recommendations concerning more than 2,500 petitions. The ITC recommended that more than 1,800 of the petitions be included in MTB legislation to be considered by Congress. The Committees have reviewed the ITC’s final report and prepared this legislation to implement the ITC’s recommendations. Pursuant to the AMCA, Congress may not include products that were not recommended by the ITC, and only non-controversial provisions will be included in the MTB.

Some observations by Agathon Associates --

  • The bill is huge, 510 pages in length, with 1675 individual duty suspension or reduction provisions.
  • For the first time in several years Congress has undertaken a complete repeal and replacement of the Chapter 99 Subchapter II duty suspensions and reductions. Many hundreds of provisions expired at the end of 2012 but are still printed in the 2017 Harmonized Tariff Schedule of the United States ("HTSUS"), and to make it even more confusing, provisions that expired at the end of 2009 and 2006 are also still listed. Currently all provisions have expired, and Congress, in Section 1 of the bill, strikes out all of them and replaces them with the new ones. We welcome this clearing up of the HTSUS.
  • Because the old duty suspensions and reductions were the results of various bills passed at different times and with the order of the provisions of the bills relating more to the happenstances of the dates they were filed, the was, in Chapter 99 Subchapter II, no logical order to the provisions, so if you wanted to find a provision relating to, say, rayon staple fiber, you'd have to start at the beginning and read straight through to the end to be sure of finding all relevant provisions. In this bill Congress put the duty suspensions and reductions in order by HTSUS classification number. So, for example, to find all provisions for rayon staple fiber, you can start as the first provision that begins with the "55" and stop once you get to a provision for staple yarn.
  • On the question of whether the MTB should (1) be solely a vehicle to promote American Manufacturing Competitiveness (which after is the name of the law that created this process) by providing duty relief to manufacturers who import inputs not available domestically or (2) provide duty relief for anyone importing articles not available domestically, including end-use consumer products, Congress in this bill chose the latter. Among the consumer articles included are certain:
    • Articles of knit apparel,
    • Articles of non-knit apparel,
    • Hats, and
    • Footwear.
  • TIMING. The amendments made by this Act apply to goods entered, or withdrawn from warehouse for consumption, on or after the 30th day after the date of the enactment of this Act.

Clients of Agathon Associates can get more details at http://www.agathonassociates.com/textile-pri/mtb/index.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.

Pendleton Woolen Mills Opens Two New Retail Stores in the Pacific Northwest

Pendleton Woolen Mills, a global lifestyle brand headquartered in Portland, Oregon, announces the opening of two new retail stores, Pendleton River Park Square in Spokane, Washington and Pendleton Boise Towne Square in Boise, Idaho. These new stores feature an exceptional selection of “best in brand” for all product offerings in women’s and men’s apparel, home and blankets, and accessories categories. Pendleton Spokane and Boise locations are part of the company’s new experiential design, offering customers opportunity to interact with the brand, with added insight in to the history and culture.

Considered one of the original makers in Oregon, dating back to the company’s founding in 1863, Pendleton embraces the Pacific Northwest lifestyle and it is reflected in the heritage and overall aesthetic, gearing towards a younger millennial shopper. Casual and contemporary styling is reflected in the brand’s focus toward relaxed outdoor and western design, while maintaining quality and authenticity for which Pendleton is known.

About Pendleton -- Setting the standard for classic American style, Pendleton is a lifestyle brand recognized worldwide as a symbol of American heritage, authenticity and craftsmanship. With six generations of family ownership, since 1863, the company celebrates 154 years of weaving fabric in the Pacific Northwest in 2017. Known for fabric innovation, Pendleton owns and operates two of America’s remaining woolen mills, constantly updating them with state-of-the-art looms and eco-friendly technology. Inspired by its heritage, the company designs and produces apparel for men and women, blankets and accessories, home décor and gifts. Pendleton is available through select retailers in the U.S., Canada, Europe, Japan, Korea and Australia as well as Pendleton stores, company catalogs and direct-to-consumer channels, including the Pendleton website: http://www.pendleton-usa.com

Army Combat Boot Contract Awarded

McRae Industries Inc., Mt. Gilead, North Carolina, has been awarded a maximum $40,434,006 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for hot weather combat boots. This was a competitive acquisition with two responses received. This is a one-year base contract with four one-year option periods. Maximum dollar amount is for the life of the contract. Location of performance is North Carolina, with a Nov. 14, 2022, performance completion date. Using military service is Army. Type of appropriation is fiscal 2018 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-18-D-1011).

Federal Business Opportunities through November 15, 2017

Recently posted federal business opportunities.
-------------------------------------------------------
Title:             Deployment Gear 
Sol. #:            FA487718Q0079
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Commercial- Interment Flag (amended 8/29/2017)    
Sol. #:            VA11917R0398
Agency:            Department of Veterans Affairs
-------------------------------------------------------
Title:             Endurance Pillows
Sol. #:            TC150002
Agency:            Department of Justice
-------------------------------------------------------
Title:             Short Wave Infrared (SWIR) Signature Reducing Technology
Sol. #:            W911QY-18-R-0009
Agency:            Department of the Army
-------------------------------------------------------
Title:             Combat Half JacketJacket that is compatable with the CRYE Adaptive Vest System (body armor) and  can be worn over body armorer and still allow access to key items on front and side of the body armor. 
Sol. #:            000375
Agency:            Department of the Army
-------------------------------------------------------
Title:             OCP Uniforms 
Sol. #:            W91ZRU18Q6000
Agency:            Department of the Army
-------------------------------------------------------
Title:             CUSTOM TARPS
Sol. #:            W912GY-18-R-0003
Agency:            Department of the Army
-------------------------------------------------------
Title:             FIREMAN HOOD
Sol. #:            SPE8E918T0596
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             FEMA Safety Vest
Sol. #:            FEMASafetyVest
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             HELMET,COMBAT VEHIC
Sol. #:            SPE7L318U0034
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             STRAP ASSEMBLY,CHIN
Sol. #:            SPE1C118Q0025
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Drum & Bugle Corps Red Coats
Sol. #:            M00264-17-T-0255
Agency:            Department of the Navy
-------------------------------------------------------
Title:             PAD SET,FITTING,FLY
Sol. #:            SPE1C118Q0038
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Observe Controler Trainer (OCT) FLKS System with Hydration pouch
Sol. #:            POLKJRTCSFS8465
Agency:            Department of the Army
-------------------------------------------------------
Title:             PANEL MARKER
Sol. #:            SPE1C118T0393
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             BALLISTIC PANELS AND STAB RESISTANT INSERTS FOR BODY ARMOR VESTS
Sol. #:            CT2232-18
Agency:            Department of Justice
-------------------------------------------------------
Title:             Commercial- Interment Flag- A2Z Promo Zone    
Sol. #:            VA11917R0398
Agency:            Department of Veterans Affairs
-------------------------------------------------------
Title:             Modular Command Post, Systems & Tents, Green & Tan
Sol. #:            SPE1C1-17-R-0142
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Total Solutions for Law Enforcement, Security, Facilities Management, Fire, Rescue
Sol. #:            7FCI-L3-030084-B
Agency:            General Services Administration
-------------------------------------------------------
Title:             Representational Design and Floor Coverings
Sol. #:            103018BLD16
Agency:            Department of State
-------------------------------------------------------
Title:             U.S. Senate Page Program Uniforms
Sol. #:            RFQ-2018-015
Agency:            United States Senate
-------------------------------------------------------
Title:             Total Solutions for Law Enforcement, Security, Facilities Management, Fire, Rescue
Sol. #:            7FCI-L3-030084-B
Agency:            General Services Administration
-------------------------------------------------------
Title:             Personal Protective Equipment Blanket Purchase Agreement
Sol. #:            W912HQ-18-T-0001
Agency:            Department of the Army
-------------------------------------------------------
Title:             Soft Torso Protection Body Armor (Level IV)
Sol. #:            70Z08418QBB512700
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             SOCKS, QUARTER, WHITE, PT, MC
Sol. #:            SPE1C1-18-R-0015
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Bomb Suits IDIQ
Sol. #:            FA8051-18-R-3006
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             ROOF CAP ASSEMBLY
Sol. #:            
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Leather Hides
Sol. #:            OAM18005S
Agency:            United States House of Representatives
-------------------------------------------------------
Title:             OCP Uniforms 
Sol. #:            W91ZRU18Q6000
Agency:            Department of the Army
-------------------------------------------------------
Title:             Short Wave Infrared (SWIR) Signature Reducing Technology
Sol. #:            W911QY-18-R-0009
Agency:            Department of the Army
-------------------------------------------------------
Title:             2-Man Combat Tent
Sol. #:            SPE1C1-18-R-0011
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             INSIGNIA,SERVICE CAP
Sol. #:            SPE1C118T0191
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Leather Hides
Sol. #:            OAM18005S
Agency:            United States House of Representatives
-------------------------------------------------------
Title:             WEBBING,TEXTILE
Sol. #:            
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Commercial Off The Shelf (COTS) - Shelter Systems
Sol. #:            SPE1C1-18-R-0003
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.

Tuesday, November 14, 2017

Results of public consultations on possible Canada-China free trade agreement

On September 22, 2016, Prime Minister Trudeau and Chinese Premier Li announced the launch of exploratory discussions to examine the prospects for a possible Canada-China FTA. Work on the exploratory discussions has been ongoing since the fall of 2016 with four sets of face-to-face meetings held to date in 2017: February 20 to 24 in Beijing; April 24 to 28 in Ottawa; July 31 to August 4 in Beijing, and September 12-13, in Ottawa.

Between March 4 and June 2, 2017, the Government of Canada conducted public consultations to solicit the views of Canadians on a possible Canada-China free trade agreement (FTA). The views of Canadians were collected in a number of ways, including through in-person meetings and teleconferences with Canadian stakeholders, and through the publication of a Canada Gazette notice and dedicated consultation website inviting Canadians to submit their views. Since March 4, 2017, Government officials interacted with over 600 stakeholders and partners and received over 130 submissions from Canadians.

Read what the Government of Canada heard during Public Consultations on a possible Canada-China free trade agreement HERE

VICTOR TEXTILES (US) Inc. changes to DUVALTEX (America) Inc.

Effective December 1, 2017, Victor Textiles (US) Inc. will change its name to DUVALTEX (America) Inc.

With Victor Textiles, True Textiles, and Guilford of Maine under its umbrella, Duvaltex bills itself as North America's largest contract textile manufacturer.

Army and Air Force Clothing Contract Awarded

Knox County Assoc., for Retarded Citizens, Vincennes, Indiana, has been awarded a maximum $8,649,815 firm-fixed-price contract for various types of undershirts. This is a one-year base contract with two one-year option periods. This was a mandatory acquisition with one response received. Location of performance is Indiana, with a Nov. 12, 2018, performance completion date. Using military services are Army and Air Force. Type of appropriation is fiscal 2018 through 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-18-D-N024).

Thursday, November 9, 2017

DR-CAFTA Special 809 Reminder to the Trade

DR-CAFTA Article 3.26: Most-Favored-Nation Rates of Duty on Certain Goods

The textile and apparel trade is generally aware that under the U.S.-Dominican Republic-Central America Free Trade Agreement ("DR-CAFTA") most apparel articles of cotton or man-made fiber are under a "yarn forward" rule of origin. Less well-known is a outward processing provision, sometimes called "Special 809," that provides for reduced import duties for apparel assembled of U.S.-made fabric, without regard to the origin of the yarn.

Article 3.26 of DR-CAFTA states:

For a textile or apparel good provided for in chapters 61 through 63 of the Harmonized System that is not an originating good, the United States shall apply its MFN rate of duty only on the value of the assembled good minus the value of fabrics formed in the United States, components knit-to-shape in the United States, and any other materials of U.S. origin used in the production of such a good, provided that the good is sewn or otherwise assembled in the territory of another Party or Parties with thread wholly formed in the United States, from fabrics wholly formed in the United States and cut in one or more Parties, or from components knit-to-shape in the United States, or both.

Given that the bulk of the value in a garment is the fabric plus the cut-and-sew operations, this means that the total duty paid could be substantially reduced, because although the rate of duty will not be reduced, in will be applied to only the non-U.S. portion of the total value (which is almost the same as saying duty paid only on the valued added in DR-CAFTA).

Special 809 Usage

Usage of this provision has been low, but increasing, from $25 million in 2009 to $81 million in 2017 (out of $6.4 billion in total CAFTA-DR-qualifying trade in apparel).

Agathon Associates has prepared a WRITE UP OF SPECIAL 809 to assist clients in understanding this provision and would be happy to discuss it with interested parties. To access the file you will need your username and password. If you do not know your username and password email David Trumbull at david@agathonassociates.com.

American Woolen Company Honored at American Manufacturer

U.S. Senator Chris Murphy (D-Conn.) announced on Monday that American Woolen Company of Stafford Springs is this week’s “Murphy’s Monday Manufacturer.” In 2013, Jacob Harrison Long purchased the American Woolen Company, which was founded in Massachusetts and was once the world’s largest wool manufacturer. In 2014, Long relaunched the American Woolen Company out of the former Warren Corp. textile mill – which had been shut down since December 2013 – located in Stafford Springs, Connecticut. Today, the American Woolen Company manufactures, designs, weaves, finishes, and dyes American-made fabric for a renowned list of customers, including the U.S. Navy, J.Crew, Hickey Freeman, United Arrows, Rag & Bone, Theory, Timberland, The North Face, and Hart Schaffner Marx.

The American Woolen Company has grown rapidly. Long relaunched the company with 3 employees, and within nine months, he had rehired 33 former employees of the closed-down Warren Corp. mill. The company now has 57 employees, and brought in $3.5 million in revenues in 2017. They expect to bring in $7.5 million in revenues in 2018.

“The American Woolen Company has brought Connecticut manufacturing at the Warren Corp. textile mill back to life,” said Murphy. “CEO Jacob Harrison Long has a real vision for this company, and I’m grateful for his commitment to hiring Connecticut workers. I’m excited to see American Woolen grow as a Connecticut-based company.”

Jacob Harrison Long, Owner and Chief Executive Officer of American Woolen Company, said, “Connecticut with its rich heritage in craft manufacturing is the optimal place to launch a consumer goods manufacturing operation. The New England mystique combined with Connecticut’s dedicated workforce complements our business aspirations. As I tell our clients, American Woolen is not Made in America, but Made in Connecticut.”

The manufacturing industry plays a crucial role throughout Connecticut communities, creating new jobs and accelerating our state’s economic recovery. Today, Connecticut’s 4,600 manufacturers account for 10% of the state’s jobs and 87% of the state’s total exports. In order to protect and grow manufacturing jobs in Connecticut, Murphy has introduced two pieces of legislation that aim to strengthen existing standards and prioritize the purchase of American-made goods, the BuyAmerican.gov Act and the American Jobs Matter Act.

Media registration for NAFTA renegotiations: Round five in Mexico

The fifth round of NAFTA renegotiations will be held in Mexico City, Mexico, from November 17 to 21, 2017. The Mexican government has invited media to register, as per the information provided below.

Members of the media must register before 8:00 p.m. (Mexico City time) on Tuesday, November 14, 2017, at TLCAN/NAFTA (available in English or Spanish only).

Learn More About NAFTA

Agathon Associates has prepared a History and Analysis of the NAFTA renegotiation to assist clients. To access the page you will need your username and password. If you do not know your username and password email David Trumbull at david@agathonassociates.com.

Wednesday, November 8, 2017

OshKosh Recalls Baby B’gosh Quilted Jacket Due to Choking Hazard

This recall involves OshKosh Baby B’gosh quilted jackets in pink and gray.  The style number can be found on the front of the care tag sewn on the inside of the product, and the UPC number can be found on the back of the same care tag.  The style number and UPC number can also be found on the price tag.  Only jackets with the following style numbers and UPC codes are included in the recall:

Color

Style Numbers

Size

UPC Codes

Pink

13003910

0-3M

190795946918

6M

190795946956

9M

190795946963

12M

190795946925

18M

190795946932

24M

190795946949

23003910

2T

190795946062

3T

190795946079

4T

190795946086

5T

190795946093

Gray

12691410

0-3M

190795930399

12M

190795930405

18M

190795930412

24M

190795930429

6M

190795930436

9M

190795930443

22691410

2T

190795919660

3T

190795919677

4T

190795919684

5T

190795919691

 
 
Remedy:

Consumers should immediately take the recalled jackets away from children and return them to any OshKosh or Carter’s store or contact OshKosh for a full refund in the form of a $34 gift card (for an infant size) or $36 gift card (for a toddler size).

Incidents/Injuries:

OshKosh received three reports of a snap detaching, including one report of a child putting a detached snap in her mouth.

Sold At:

OshKosh, Bon-Ton, Kohl’s, Fred Meyer and other retail and department stores nationwide, and online at www.oshkosh.com between August 2017 and September 2017 for between $35 and $40.”

Importer(s):

OshKosh B’gosh Inc., Atlanta, Georgia

Manufactured In:
Indonesia
Units:
About 38,000 (in addition, about 5,000 were sold in Canada).

Morocco Knit Fabric Short Supply Request List

On Monday we REPORTED on a request from the Government of Morocco to have several knit fabrics added to the short supply list. The list includes a wide range of circular knits, warp knits, stretch knits, and fleece.

Note, that although the request from the Government of Morocco relates the fabrics on the list to specific end-use apparel articles, it is likely that were a fabric approved from a particular end use, that future requests may be made for the same fabric for other end uses, and approval in this case would be cited as the basis for the later request.

Note, that the classifications given for the fabrics are at the 6-digit subheading level, which is much broader than the U.S. 10-digit statistical breakout that many U.S. companies are accustomed to working with, with the result that each of the 19 "fabrics" is actually a itself of group of fabrics.

Agathon Associates has prepared a SPREADSHEET to assist clients in evaluating this long list of requested fabrics. To access the file you will need your username and password. If you do not know your username and password email David Trumbull at david@agathonassociates.com.

UNDERSTANDING THE RISKS & OPPORTUNITIES OF THE NAFTA RENEGOTIATION

N’WARE TECHNOLOGIES PRESENTS: UNDERSTANDING THE RISKS & OPPORTUNITIES OF THE NAFTA RENEGOTIATION

SPEAKERS: David Trumbull and Glenn Page

NASHUA, NH – 7:00 AM, November 30, 2017

PORTSMOUTH, NH – 12:00 PM, December 7, 2017

PORTLAND, ME – 12:00 PM, December 12, 2017

Come and learn international trade strategies and how you could benefit from the NAFTA renegotiation with our panel of experts. For more information call 1-800-270-9420 or email sajacques@nwaretech.com.

Congressional Research Service Report on NAFTA and Textiles and Apparel

On October 30, 2017, the Congressional Research Service issued "Renegotiating NAFTA and U.S. Textile Manufacturing" (R44998), according to the report:

"When the North American Free Trade Agreement (NAFTA) was negotiated more than two decades ago, textiles and apparel were among the industrial sectors most sensitive to the agreement’s terms. NAFTA, which was implemented on January 1, 1994, has encouraged the integration of textile and apparel production in the United States, Canada, and Mexico. For example, under NAFTA’s “yarn-forward” rule of origin, textiles and apparel benefit from tariff-free treatment in all three countries if the production of yarn, fabric, and apparel, with some exceptions, is done within North America.

"The United States maintains a bilateral trade surplus in yarns and fabrics with its NAFTA partners. In 2016, the United States had a $4.1 billion surplus in yarns and fabrics and a positive balance of around $720 million in made-up textile products (such as home textiles and furnishings) with Canada and Mexico. U.S. exports of yarns and fabrics shipped to Mexico and Canada were valued at close to $6 billion last year. In apparel, the United States had a trade surplus with Canada of $1.4 billion and a trade deficit with Mexico of $2.7 billion in 2016.

On May 18, 2017, the Trump Administration notified Congress of its intent to renegotiate the agreement. In July 2017, the Administration announced specific goals for textiles and apparel among its renegotiating objectives, which include improving competitive opportunities for U.S. textile and apparel products, but also taking into account U.S. import sensitivities. Also germane to textiles and apparel are several other renegotiating objectives, such as enhancing customs enforcement to prevent unlawful transshipment of these goods from outside the region and ensuring that requirements for use of domestic textiles and apparel in U.S. government purchases primarily benefit producers located in the United States.

"NAFTA renegotiation started in August 2017. There is widespread support for continuation of the agreement among U.S. textile and apparel producers, although there are significant differences of opinion with respect to certain provisions. In particular, U.S. textile manufacturers generally favor eliminating all exceptions to NAFTA’s yarn-forward rule, whereas U.S. retailers and apparel groups oppose tightening the rule.

If the United States were to exit NAFTA, imports of textiles from Mexico and Canada would face U.S. tariffs as high as 20%, and imports of apparel would have tariff rates of up to 32%. U.S. exports of textiles and apparel could face higher tariff rates entering Canada and Mexico. One possibility is that U.S. withdrawal from NAFTA could lead U.S. retailers and apparel brands to source more of their goods from Asia, which could reduce demand for U.S.-made yarns and fabrics within the NAFTA region."

U.S. Government Offices to Close Friday, November 10th for Veterans Day

Saturday, November 11, 2017, is Veterans Day, a federal holiday in the United States. Because the holiday falls on the weekend, national, state, and local government offices will be closed in commemoration on FRIDAY, NOVEMBER 10th. Most businesses will be open.

Q. Which is the correct spelling of Veterans Day?
a. Veterans Day
b. Veteran's Day
c. Veterans' Day

A. Veterans Day (choice a, above). Veterans Day does not include an apostrophe but does include an "s" at the end of "veterans" because it is not a day that "belongs" to veterans, it is a day for honoring all veterans.

Q. On what day of the week will Veterans Day be observed?

A. Veterans Day is always observed officially on November 11, regardless of the day of the week on which it falls. The Veterans Day National Ceremony, like most ceremonies around the nation, is held on Veterans Day itself. However, when Veterans Day falls on a weekday, many communities choose to hold Veterans Day parades or other celebrations on the weekend before or after November 11 so that more people can participate.

Q. What is the difference between Veterans Day and Memorial Day?

A. Many people confuse Memorial Day and Veterans Day. Memorial Day is a day for remembering and honoring military personnel who died in the service of their country, particularly those who died in battle or as a result of wounds sustained in battle. While those who died are also remembered, Veterans Day is the day set aside to thank and honor ALL those who served honorably in the military - in wartime or peacetime. In fact, Veterans Day is largely intended to thank LIVING veterans for their service, to acknowledge that their contributions to our national security are appreciated, and to underscore the fact that all those who served - not only those who died - have sacrificed and done their duty.

Q. Why are red poppies worn on Veterans Day, and where can I obtain them?

A. The wearing of poppies in honor of America's war dead is traditionally done on Memorial Day, not Veterans Day. For information on how to obtain poppies for use on Memorial Day, contact a veterans service organization, such as the Veterans of Foreign Wars of the United States (VFW) or The American Legion, as a number of veterans organizations distribute poppies annually on Memorial Day.

Federal Business Opportunities through November 8, 2017

Recently posted federal business opportunities.
-------------------------------------------------------
Title:             Short Wave Infrared (SWIR) Signature Reducing Technology
Sol. #:            W911QY-18-R-0009
Agency:            Department of the Army
-------------------------------------------------------
Title:             U.S. Senate Page Program Uniforms
Sol. #:            RFQ-2018-015
Agency:            United States Senate
-------------------------------------------------------
Title:             TENT
Sol. #:            SPE1C118T0359
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             TENT,COT
Sol. #:            SPE1C118T0354
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Plastic Sheeting
Sol. #:            70FB7018R00000011
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             Tarpaulin 16' X 100'
Sol. #:            8340-00-428-7590-Tarpaulin-16ftX100ft(2017)
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Chaplain Kits & Various Component Items
Sol. #:            SoiurcesSought
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             STRAP AND DRINK TUBE
Sol. #:            SPE1C118Q0024
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             STRIKE SPLIT FRONT CHEST RIG
Sol. #:            8465
Agency:            Department of the Army
-------------------------------------------------------
Title:             INSIGNIA,SHOULDER S
Sol. #:            SPE1C117Q0475
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             COAT INTERLINING
Sol. #:            W911SD-18-T-0011
Agency:            Department of the Army
-------------------------------------------------------
Title:             HOOD,RADIOACTIVE CO
Sol. #:            
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Gen III Layer 5 Soft Shell Jacket
Sol. #:            SPE1C1-18-R0009
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Joint Service Lightweight Integrated Suit Technology (JSLIST) Overgarment, Coat and Trousers, Chemical Protective
Sol. #:            SPM1C113R0018
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             First Responder Uniforms
Sol. #:            W912BU18R0009
Agency:            Department of the Army
-------------------------------------------------------
Title:             Balaclavas
Sol. #:            IQ1_LOG201800007
Agency:            United States Capitol Police
-------------------------------------------------------
Title:             Ball Caps
Sol. #:            IQ1_LOG201800008
Agency:            United States Capitol Police
-------------------------------------------------------
Title:             GLOVES,MEN'S AND WO
Sol. #:            SPE1C118T0342
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Concealable Cool Vest
Sol. #:            RFQ-0000804
Agency:            Department of Justice
-------------------------------------------------------
Title:             TENT
Sol. #:            SPE1C118T0338
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             PAD SET,FITTING,FLY
Sol. #:            SPE1C118T0331
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Observe Controler Trainer (OCT) FLKS System with Hydration pouch
Sol. #:            POLKJRTCSFS8465
Agency:            Department of the Army
-------------------------------------------------------
Title:             INSIGNIA,SHOULDER S
Sol. #:            SPE1C117Q0474
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             LINER,END SECTION,TEMPER(TEMPERATE)
Sol. #:            
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Uniform Rental and Cleaning - The contractor shall furnish (F.O.B. Destination within consignees premises), all  labor, equipment, materials, supplies and transportation  for uniform rental/cleaning at Houston National Cemetery. 
Sol. #:            36C78618Q0037
Agency:            Department of Veterans Affairs
-------------------------------------------------------
Title:             Observe Controler Trainer (OCT) FLKS System with Hydration pouch
Sol. #:            POLKJRTCSFS8465
Agency:            Department of the Army
-------------------------------------------------------
Title:             Material for the shoulder reinforcement piece (1641 USG) and the material for the front fusible (TG3) on dress coats
Sol. #:            SPE1C1-16-D-1036
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             HELMET,COMBAT VEHIC
Sol. #:            SPE7L318T2278
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             BALLISTIC PANELS AND STAB RESISTANT INSERTS FOR BODY ARMOR VESTS
Sol. #:            CT2232-18
Agency:            Department of Justice
-------------------------------------------------------
Title:             FLAG,NATIONAL
Sol. #:            SPE1C118T0155
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Gen III Layer 5 Soft Shell Jacket
Sol. #:            SPE1C1-18-R0009
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Unit Crest
Sol. #:            RFQPR11068539
Agency:            Department of the Army
-------------------------------------------------------
Title:             Restraint Wraps RFI
Sol. #:            192118IAOWRAPS026
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             Military Combat Eye Protection (MCEP) Program RFI
Sol. #:            W91CRB-18-MCEP-RFI
Agency:            Department of the Army
-------------------------------------------------------
Title:             CLOTH,LAMINATED
Sol. #:            SPE1C118T0316
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             TENT
Sol. #:            SPE1C118T0261
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Bagsuits
Sol. #:            N4523A-7275-V513
Agency:            Department of the Navy
-------------------------------------------------------
Title:             HOOD,RADIOACTIVE CO
Sol. #:            SPE1C118T0315
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Soft Torso Protection Body Armor (Level IV)
Sol. #:            70Z08418QBB512700
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             FiberTect Responder Decontamination Kits
Sol. #:            SAQMMA17F3916
Agency:            Department of State
-------------------------------------------------------

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, November 6, 2017

In Outrageous Move that May Harm U.S.-Moroccan Relations, Morocco Claims There is no Woven Wool Fabric or Knit Fabric of Any Kind Made in the U.S., and Seeks Short Supply Designation

Background: Article 4.3.3 of the United States-Morocco Free Trade Agreement provides that, on the request of either Party, the Parties shall consult to consider whether the rules of origin applicable to a particular textile or apparel good should be revised to address issues of availability of supply of fibers, yarns, or fabrics in the territories of the Parties. If a particular fiber, yarn, or fabric is found to not be available the rules of origin may be modified to allow non-originating fiber, yarn, or fabric. This is commonly known as a "short supply" request. In a egregious violation of the spirit of the agreement, and in total disregard for the facts, the government of Morocco has presented the U.S. with an outrageous proposed "short supply" list, alleging that there is no U.S. production of woven fabric of wool or knitted fabric of any fiber.

Comments must be submitted by January 5, 2018 to the Chairman, Committee for the Implementation of Textile Agreements. Agathon Associates is available to assist any of the scores of U.S. companies that make the fabrics the subject to this utterly without merit request.

The Government of the United States received a request from the Government of Morocco on October 10, 2017, on behalf of MODALINE HOLDING, requesting that the United States consider whether the USMFTA rules of origin should be modified to allow the use of 83-94% wool/4%-15% nylon/1%-7% spandex woven fabric classified in subheading 5112.19 and 5112.20 of the HTSUS that is not originating under the USMFTA.

The Government of the United States received a request from the Government of Morocco on October 10, 2017, on behalf of SALSABILE, requesting that the United States consider whether the USMFTA rule of origin for certain knit apparel should be modified to allow the use of certain knit fabrics that are not originating under the USMFTA. The fabrics subject to this request are--

Fabric 1: Knit fleece fabric of acrylic (67-73%) and viscose (27-33%), weighing 200-280 g/m2, classified in subheading 6001.22 of the HTSUS.

Fabric 2: Dyed knit fabric of nylon (52-58%), wool (27-33%), and acrylic (12-18%), classified in subheading 6006.32 of the HTSUS.

Fabric 3: Dyed knit fabric of nylon (42-48%), viscose (37-43%), and wool (12-18%), classified in subheading 6006.32 of the HTSUS.

Fabric 4: Dyed knit fabric of nylon (41-47%), wool (18-24%), acrylic (18-24%), and mohair (11-17%), classified in subheading 6006.32 of the HTSUS.

Fabric 5: Dyed knit fabric of cotton (50-56%), acrylic (34-40%), and polyester (7-13%), classified in subheadings 6006.22 and 6006.32 of the HTSUS.

Fabric 6: Dyed knit fabric of polyester (57-63%), wool (27-33%), and nylon (7-13%), classified in subheading 6006.32 of the HTSUS.

Fabric 7: Dyed knit fabric of cotton (51-60%), rayon (30-40%), and nylon (4-10%), classified in subheading 6006.22 of the HTSUS.

Fabric 8: Knit fabric of rayon (50-84%), polyester (14-49%), and elastomeric (1-10%), classified in subheadings 6004.10, 6005.41, 6005.42, 6005.43, 6005.44, 6006.41, 6006.42, 6006.43, and 6006.44 of the HTSUS.

Fabric 9: Knit fabric of polyester (50-65%), rayon (30-49%), and elastomeric (1-10%), classified in subheadings 6004.10, 6005.36, 6005.37, 6005.38, 6005.39, 6006.31, 6006.32, 6006.33, and 6006.34 of the HTSUS.

Fabric 10: Knit fabric of rayon (90-99%) and elastomeric (1-10%), classified in subheadings 6004.10, 6005.41, 6005.42, 6005.43, 6005.44, 6006.41, 6006.42, 6006.43, and 6006.44 of the HTSUS.

Fabric 11: Knit fabric of rayon (51-84%) and polyester (16-49%), classified in subheadings 6005.41, 6005.42, 6005.43, 6005.44, 6006.41, 6006.42, 6006.43, and 6006.44 of the HTSUS.

Fabric 12: Knit fabric of polyester (51-65%) and rayon (35-49%), classified in subheadings 6005.36, 6005.37, 6005.38,6005.39, 6006.31, 6006.32, 6006.33, and 6006.34 of the HTSUS.

Fabric 13: Knit fabric of synthetic fiber (90-99%) and elastomeric (1-10%), classified in subheadings 6004.10, 6005.37, 6005.38, 6005.39, 6006.32, 6006.33, and 6006.34 of the HTSUS.

Fabric 14: Knit jersey fabric, other than warp knit, of lyocell (44-50%), rayon (44-50%), and elastomeric (3-9%), weighing 150-220 g/m2, classified in subheadings 6004.10 and 6006.42 of the HTSUS.

Fabric 15: Slub jersey fabric of cotton (51-65%) and rayon (35-49%), weighing 120-225 g/m2, classified in subheading 6006.22 of the HTSUS;

Fabric 16: Knit jersey fabric, other than warp knit, of rayon (30-36%), acrylic (19-35%), polyester (27-33%), and elastomeric (3-8%), weighing 125-250 g/m2, classified in subheadings 6004.10 and 6006.32 of the HTSUS.

Fabric 17: Knit fabric of cotton (51-70%), rayon (33-49%), and elastomeric (2-7%), weighing up to 275 g/m2, classified in subheadings 6004.10, 6006.21, 6006.22, and 6006.24 of the HTSUS.

Fabric 18: Knit jersey fabric, other than warp knit, of polyester (43-46%), rayon (43-45%), flax (5-9%), and elastomeric (4-5%), weighing 125-250 g/m2, classified in subheadings 6004.10 and 6006.32 of the HTSUS.

Fabric 19: Slub jersey fabric, other than warp knit, of rayon (92-98%), polyester (2-3%), and elastomeric (2-5%), weighing 150-200 g/m2, classified in subheadings 6004.10 and 6006.42 of the HTSUS.

Friday, November 3, 2017

Bill Pascrell (Dem., N.J.) Opening Statement at Subcommittee Hearing on the Miscellaneous Tariff Bill

In my home state of New Jersey, a diverse array of companies will be in a better position to compete as a result of this legislation.

We have ICF Mercantile, located in Fort Lee, New Jersey, which will obtain duty relief on high tenacity rayon yarn, an input for a material used for Naval defense systems. Unfortunately, this specialty yarn has not been produced domestically in 20 years – but that means there is no harm from removing the tariff here.

...

I agree with the Chairman that the Miscellaneous Tariff Bill would provide some much-needed relief to U.S. manufacturers and their workers across the country.

...

One key reason that this bill stands to enjoy broad, bipartisan support is the underlying analysis completed by the International Trade Commission and the Department of Commerce to ensure that products that are currently produced in the United States are not included in the final bill. In this way, the MTB is designed to prevent domestic companies from being harmed.

I look forward to working with other Members of Congress to pass a non-controversial MTB in the coming weeks for the first time in seven years. Seven years is too long to go between MTBs, and blame can be placed on the majority’s shortsighted and far too blunt earmark policy.

I also want to note that what we accomplish with the MTB in terms of boosting U.S. manufacturing competitiveness is small compared to the challenges our manufacturers are facing globally. For example, China has announced an ambitious industrial policy called “Made in China 2025” – a plan to transform China into a leader in advanced manufacturing, including in key sectors like aviation, rail, new energy vehicles, and agricultural machinery.

As a champion of U.S. manufacturing, I want to emphasize that we, as a country, need to be thinking big picture about our future. We, as a Committee, should be taking the lead here. Unfortunately, I don’t see that we are right now.

Before closing, I’d also like to say that while I’m glad that we are having this hearing today, I am still disappointed that this subcommittee has not held a hearing on the NAFTA renegotiations with Administration witnesses.

The need for a public hearing is highlighted by this Administration’s lacking record on transparency. In August, I led a letter calling for the Administration to appoint a Chief Transparency Officer, as required by statute, the Administration has still not done so. I have yet to receive a response to my letter, sent August 16th.

My transparency concerns go beyond process – press reports have now suggested that the NAFTA parties are negotiating on currency manipulation, but the Administration has given no indication of its plans or intentions on this issue.

While we are here today to discuss the MTB, there are other issues with significant consequences for America’s economic well-being that we need to be discussing openly. I look forward to a response from the Chairman on this matter very soon.

BIS Footwear Webinar Materials and Recording

The U.S. Department of Commerce’s Bureau of Industry and Security discussed the preliminary results pertaining to footwear as part of the agency’s first comprehensive study of the U.S. textile, apparel and footwear manufacturing base since 2003 in a webinar jointly hosted by the American Apparel & Footwear Association and the National Council of Textile Organizations on November 2.

To download a recording of the webinar or just a PDF of the associated PowerPoint, please cut and past the link below to your browser and then click on the links you want: http://www.ncto.org/wp-content/uploads/2017/11/2017-11-02-BIS-Footwear-Webinar-Materials-and-Recording-NCTO-Member-Alert.pdf. PLEASE NOTE that the ability to download the recording of the seminar expires November 9th.

JW Crawford Recalls Children’s Rain Ponchos Due to Strangulation Hazard

Recall Details

Description: This recall involves kids’ waterproof hooded rain ponchos sold in clear, red and blue. The lightweight ponchos were sold in packs of 6 and 12. A white nylon drawstring is attached at the neck of the 40 inches tall by 60 inches wide ponchos. “One size fits all” and “Made in China” are printed on the front of the packaging.

Remedy: Consumers should immediately take the recalled ponchos away from children and remove the drawstring to eliminate the hazard or return the poncho to the firm for a full refund.

Incidents/Injuries: None reported

Sold At: Online at Amazon.com and Wealers.com from May 2016 through July 2016 for about $12 for a 6 pack and $17 for a 12 pack.

Importer(s): JW Crawford Inc., of Monroe, N.Y.

Distributor(s): Wealers Outdoor LLC, of Airmont, N.Y.

Units: About 1,300

Made in China.

Thursday, November 2, 2017

Dondolo Recalls Children’s Sleepwear Due to Violation of Federal Flammability Standard

Recall Details

Description: This recall involves children’s 100% cotton woven, nightgowns and two-piece, long-sleeve top and pant pajama sets. The nightgown has a peter pan collar with a red and white gingham pattern trim. The nightgown has six plastic buttons located on the back of the garment. The two-piece pajama set is traditionally styled with five plastic buttons on the center-front of the top with two pockets placed near the waist of the top. The pajama sets were sold in striped light blue, striped navy, striped red, striped pink, and lavender. The garments were sold in sizes 12 months, 18 months, 24 months, 2T, 3T, 4T, 5, 6, 7, 8, 9, and 10 years.

Remedy: Consumers should immediately take the recalled nightgowns and two-piece pajama sets away from children and contact Dondolo for a gift card for the full purchase price for use towards any product at www.dondolo.com.

Incidents/Injuries: None reported

Sold At: Children’s boutique stores nationwide and online at www.dondolo.com from November 2014 through October 2017 for between $15 and $50.

Manufacturer(s): Dondolo, of Carrollton, Texas

Distributor(s): Dondolo, of Carrollton, Texas

Manufactured In: Colombia

Units: About 3,100

Little Mass Children’s Sleepwear Recalled by Mass Creation Due to Violation of Federal Flammability Standard

Recall Details

Description: This recall involves children’s nightgowns and two-piece pajama sets. The sleepwear was sold in a variety of styles in sizes 7 through 14. Little Mass and style number T927S, T933, T935, T935S, T949, T952S or T953 are printed on a sewn-in side seam label.

Remedy: Consumers should immediately take the recalled sleepwear away from children and contact Little Mass for a full refund.

Incidents/Injuries: None reported

Sold At: Nordstrom and children’s boutiques nationwide and online at www.littlemass.com from July 2016 through October 2017 for between $27 and $42.

Manufacturer(s): Little Mass, a Mass Creation, Inc. subsidiary, of Los Angeles, Calif.

Distributor(s): Little Mass, a Mass Creation, Inc. subsidiary, of Los Angeles, Calif.

Manufactured In: United States

Units: About 2,300

CPSC Staff to Attend AATCC Meetings November 14 & 15

Paige Witzen, Consumer Product Safety Commission Directorate for Laboratory Sciences, is scheduled to attend American Association of Textile Chemists and Colorists Committee Meetings for Textiles, November 14-15, 2017, at the Sheraton Imperial Hotel & Convention Center, Research Triangle Park, N.C.

Army Combat Boot Contract Awarded

Belleville Shoe Co., Belleville, Illinois, has been awarded a maximum $63,973,889 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for hot-weather combat boots. This was a competitive acquisition with two responses received. This is a one-year base contract with four one-year option periods. Maximum dollar amount is for the life of the contract. Location of performance is Illinois, with an Oct. 30, 2022, performance completion date. Using military service is Army. Type of appropriation is fiscal 2018 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-18-D-1001).

Federal Business Opportunities through November 1, 2017

Recently posted federal business opportunities.
-------------------------------------------------------
Title:             FELT SHEET
Sol. #:            SPE1C117T2631
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Deployment Gear
Sol. #:            FA487718Q0069
Agency:            Department of the Air Force
-------------------------------------------------------
Title:             Representational Design and Floor Coverings
Sol. #:            103018BLD16
Agency:            Department of State
-------------------------------------------------------
Title:             FIREMAN HOOD
Sol. #:            SPE8E918Q0054
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Police Uniforms
Sol. #:            SP330018Q5006
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Individual Tactical Equipment (CRT2)
Sol. #:            FY17-0007
Agency:            Department of State
-------------------------------------------------------
Title:             TENT,COT
Sol. #:            SPE1C118T0304
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Mosquito Netting, MUST BE LOCAL COMPANY IN PUERTO RICO
Sol. #:            DR4339PR00001
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             FIREMAN HOOD
Sol. #:            SPE8E918T0400
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             TENT
Sol. #:            SPE1C118T0297
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Police Uniforms
Sol. #:            SP330018Q5006
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             INSIGNIA,SHOULDER S
Sol. #:            SPE1C118T0280
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             U.S. Senate Page Program Uniforms
Sol. #:            RFQ-2018-015
Agency:            United States Senate
-------------------------------------------------------
Title:             Industrial Uniform Clothing
Sol. #:             DTSL5517P0536
Agency:            Department of Transportation
-------------------------------------------------------
Title:             Aircraft Helmets
Sol. #:            70Z048-18-Q-PCL10500
Agency:            Department of Homeland Security
Office:            United States Coast Guard (USCG)
-------------------------------------------------------
Title:             Tyvek, Coveralls
Sol. #:            8415014368854Lead
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Gabion Basket IDIQ - National Flood Fight Materiel Center (NFFMC)
Sol. #:            W912EK18T0001
Agency:            Department of the Army
-------------------------------------------------------
Title:             TAPE,TEXTILE
Sol. #:            
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Parade Items & Gear
Sol. #:            N6809318Q0003
Agency:            Department of the Navy
-------------------------------------------------------
Title:             WALL ASSEMBLY,ENTRA
Sol. #:            
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             SHOE MOBILE FOR DLA RED RIVER
Sol. #:            SP3300-18-Q-5004
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Soft Torso Protection Body Armor (Level IV)
Sol. #:            70Z08418QBB512700
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             Personal Protective Equipment Blanket Purchase Agreement
Sol. #:            W912HQ-18-T-0001
Agency:            Department of the Army
-------------------------------------------------------
Title:             STRIKE SPLIT FRONT CHEST RIG
Sol. #:            8465
Agency:            Department of the Army
-------------------------------------------------------
Title:             Notice of Intent to Sole Source
Sol. #:            N4523A-18-Q-4001
Agency:            Department of the Navy
-------------------------------------------------------
Title:             ENTRANCE,SHELTER
Sol. #:            
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             FEMA Safety Vest
Sol. #:            FEMASafetyVest
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             E-Z Up Shelter
Sol. #:            8340-01-509-3622-2
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             FLAG,INDIVIDUAL
Sol. #:            SPE1C118T0242
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Tactical Boots 
Sol. #:            BRAGG1SWTGVSW002
Agency:            Department of the Army
-------------------------------------------------------
Title:             Waterproof/Breathable Fabric and Membrane Technologies
Sol. #:            W911QY-18-Waterproof
Agency:            Department of the Army
-------------------------------------------------------
Title:             Polos
Sol. #:            Stewart3IDDIVARTYBCL0001
Agency:            Department of the Army
-------------------------------------------------------
Title:             Back Pack
Sol. #:            Steweart3IDDIVARTYBCL0002
Agency:            Department of the Army
-------------------------------------------------------
Title:             FELT SHEET
Sol. #:            SPE1C117Q0455
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Visor, Flyer's Helmet, High Contrast and Smoke Colored
Sol. #:            SPE1C1-17-R-0151
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             GLOVES - RAPPELLING - FIVE SIZES
Sol. #:            SPE1C118RX001
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             BERRY AMENDMENT COMPLIANT NYLON FABRIC
Sol. #:            CT2233-18
Agency:            Department of Justice
-------------------------------------------------------
Title:             STRAP ASSEMBLY,CHIN
Sol. #:            SPE1C118Q0025
Agency:            Defense Logistics Agency
-------------------------------------------------------
Title:             Endurance Pillows
Sol. #:            TC150002
Agency:            Department of Justice
-------------------------------------------------------
Title:             FEMA Safety Vest
Sol. #:            FEMASafetyVest
Agency:            Department of Homeland Security
-------------------------------------------------------
Title:             GLOVES,IMPACT PROTE
Sol. #:            
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.