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Outcome of seventh round of TPP talks

28 Jun '11
5 min read

To help achieve an ambitious TPP and in recognition of the benefits that American companies, consumers, and workers stand to gain, we firmly believe that negotiators should apply the traditional data-driven approach used for all other products to textiles and apparel in the TPP and adopt rules of origin, meaningful market access, and regulatory harmonization that reflect and accommodate today's global value chains. Following are some of the basic priorities that we believe should be included in the TPP, not only to garner our support for a final TPP agreement, but also to achieve the best overall agreement for American businesses, American workers, American farmers and American consumers:

• Integrate textile and apparel products into the Market Access negotiations similar to any other product: with no separate chapter or separate provisions. This includes no separate Safeguard process for textile and apparel products, and no separate customs enforcement measures. There is no longer a need for different apparel customs enforcement provisions.
• Liberalize and simplify the Rules of Origin so that any restrictive rules are applied only to individual products when data show it is necessary and appropriate. At a minimum, these liberalized and simplified rules should:
o Embrace a new approach in crafting flexible product-specific rules for apparel in the TPP negotiations;
o Harmonize the Rules of Origin among all TPP countries to accept this new approach for the Rules of Origin, including those that currently have FTAs with the United States;
o Guarantee “cumulation” among all TPP partner countries to facilitate regional integration;
o Establish a transparent and commercially meaningful “Commercial Availability” [Short Supply] process; and
o Create a process to allow “cumulation” with other countries that have FTAs with all TPP countries.
• Implement immediate and reciprocal duty-free treatment for all qualifying products.
• Harmonize and streamline customs procedures among all TPP countries and incorporate account-based processing to facilitate the flow of goods among parties to the agreement.
• Harmonize the rules and regulations – such as product safety and labeling – among all TPP countries, including those that currently have FTAs with the United States.
• Strengthen intellectual property rights (IPR) protections among all TPP countries to better enable American apparel brands, manufacturers and retailers to protect their brands from counterfeiters and trademark violators.
• Create a "living" agreement that welcomes additional parties and can evolve to address new textile and apparel issues as they arise.

The TPP is an Asia-Pacific regional trade agreement currently being negotiated among the United States and eight other partners -- Australia, Brunei, Chile, Malaysia, New Zealand, Peru, Singapore, and Vietnam.

American Apparel & Footwear Association

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