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UKGT: 203 fashion & textile tariff lines drop to zero

19 May '20
3 min read
Pic: Shutterstock
Pic: Shutterstock

In all 203 fashion and textile tariff lines will drop to zero under the new UK Global Tariff (UKGT) regime announced by the government today. The new tariffs will be applied to products imported into the UK from January 1, 2021, i.e. at the end of the Transition Period. The tariffs will apply to imports from countries where the UK does not have a trade deal.

In the vast majority of the 203 fashion and textile products where tariff will be decreased to zero, UK has little or no UK manufacturing e.g. the import duty on silk yarn will fall from 4 per cent to 0 per cent and that on terry towelling fabric will drop from 8 per cent to 0 per cent, the UK Fashion and Textile Association (UKFT) said.

Of the nearly 1,200 tariff lines for the fashion and textile sector, 67 per cent will remain unchanged. "Virtually every single fashion line will remain at 12 per cent and the vast majority of yarns and fabrics will continue to attract an import duty of between 4-8 per cent," UKFT said based on the announcement made by the department of international trade.

A further 15 per cent of fashion and textile tariff lines have been simplified with, for instance, the import duty on silk ties has been reduced from 6.3 per cent to 6 per cent and the rate on bras has been lowered from 6.5 per cent to 6 per cent.

"UKFT campaigned vigorously against the last proposed UK tariff regime as it failed to provide UK manufacturers with a level playing field and at the same time threatened to increase the amount of very cheap, disposable fashion imported from overseas.

"We welcome the new UK Global Tariff regime precisely as it addresses our two fundamental concerns. Our UK manufacturing base has received assurance that it can continue to trade on an equal footing and while consumers will still be able to benefit from the duty free arrangements with countries such as Bangladesh, there is not going to be a huge influx of super cheap fashion with all the environmental damage that could entail," UKFT CEO Adam Mansell said.

UKFT has, however, urged the government to reach a positive conclusion to the negotiations with the EU – a market that accounts for 76 per cent of the UK's exports and 35 per cent of its imports.

Click here to see the existing and UKGT tariff lines for various HS codes

Fibre2Fashion News Desk (RKS)

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