Innovation, sustainability and traceability are the
mainstays of the 'Made in US' label, according to the United States Trade
Representative (USTR).
Following a
visit to the Carolinas to see US textile manufacturers in action, USTR Senior
Advisors Beth Baltzan and Jamila Thompson released a blog post in which they
detailed the important and innovative producers in the domestic supply chain as
well as the Biden Administration’s effort to craft smarter trade policy that
creates a level playing field while also enhancing the resilience of critical
American industries.
Among the garment and textile
manufacturers visited were American Giant and the domestic companies that form
its supply chain, Milliken & Co and Unifi.
The trip highlighted the close
relationship between regional agricultural producers and manufacturers – in
this case, cotton growers who send their product to neighbouring cotton gins,
who send their products to nearby yarn producers, who send their yarn to local
knitters, who send their fabric to regional dyers, who send their dyed fabric
up the road where it is cut and sewn into “Made in US” apparel.
“There was pride and
intentionality in tracing seed to sweatshirt – or, as they say in the industry,
“dirt to shirt,” the authors said.
Discussions centred on
inclusive trade policy that supports American workers, farmers, and
entrepreneurs.
“Many [manufacturers] we met
noted that given a fair-trading system they would be able to compete anywhere.
“We also saw first-hand the
commitment these companies have to sustainable production. We heard time and
again that customers and investors are demanding it. From small, family-owned
businesses, to larger, privately held firms, to publicly-traded companies, we
witnessed responsiveness to the changing demands of the marketplace.”
The authors also noted
innovation is a core element of these companies’ comparative advantage. Some of
the equipment is state-of-the-art; many of the goods are made using patented
technologies or trade secrets.
“These innovative technologies
also support our military, with yarns and fabrics that help keep our troops and
first responders safe. Unions create demand for Made in the US products, which
has a multiplier effect that supports businesses that are not themselves
unionised. These various aspects of demand – the value of the Made in the US
label, military applications, and labour union preferences –contribute to an
environment that allows these companies to stay in the fight in a sector that
all too often confronts unfair competition.”
Among the challenges faced by
workers and businesses, the primary gripe is the lack of a level playing field
with regards to labour standards, environmental standards, or even the basic
need to be run profitably.
“These companies want to make
goods in the United States. But the playing field needs to be level, and the
competition can’t be based on price undercutting grounded in exploitation of
people or the planet.”
Among calls from the companies
were for further tightening of the supply chain rules in trade agreements like
Central America and the Dominican Republic (“CAFTA-DR”). The “yarn forward”
rule – incentivises the use of American-made yarns, which can be further
processed in CAFTA-DR region. On the whole, this dynamic can increase demand
for American yarns, which might otherwise be sourced from countries like the
People’s Republic of China.
Other discussions centred
around people and communities and how a single job could support a further
three in the area.
“President Biden and
Ambassador Tai are committed to honouring their strength and determination by
creating smarter trade policy that creates a fair playing field for our
producers to compete in today’s global economy while also enhancing the resilience
of critical American industries,” read the post.
By Just Style