American Apparel & Footwear Association :AAFA Weekly Brief

 

SUBSCRIBE | ABOUT | EVENTS | ADVERTISE | JOIN July 8, 2025   As key tariff deadlines approach and change, we’re keeping a close watch on the latest updates around duties and delays that could affect our industry. Navigate it all with current news and updated tools from AAFA.  The Vogue Business Climate Finance Glossary July 3: Climate finance can seem inaccessible at the best of times, but its impact is universal. It can help fund decarbonization in fashion supply chains, or help communities on the frontlines of the climate crisis access loss and damage funds. It can take the form of macroeconomic interventions or micro-grants for grassroots initiatives. It can come from governments, private enterprises or anyone in between. At the next United Nations Climate Change Conference (COP30) in November, it will be the main topic of negotiations. (Source: Vogue Business) Textile-to-Textile Recyclers Breaking Ground Globally July 2: The foremost innovators in the textile-to-textile recycling space are evolving from start-ups to scale-ups—and many are taking their operations global. Over the course of the past year, pilot projects have begun the metamorphosis to commercial scale, generating new partnerships and backing from industry stalwarts, manufacturing experts and forward-thinking brands. Here, a look at some of them. (Source: Sourcing Journal) Chile Targets Fast Fashion Waste With Landmark Desert Cleanup Plan June 26: ... Chile’s government has taken a decisive step towards addressing the environmental crisis which has beset the Atacama Desert. This week, the country’s environment ministry announced that it had added textiles as a “priority” category to its extended producer responsibility law, paving the way for importers to be made responsible for the waste produced by the thousands of tones of used clothing brought into Chile each year. Importers are now obliged to report the clothing they bring into the country, and further regulations will be added to the bill shortly. (Source: The Guardian) Trump Releases Flurry of Tariff Announcements for Bangladesh, Cambodia and More July 7: ... That leaves the question of will it be stacked on top of existing most-favored nation (MFN) tariffs, or will existing rates for certain sectors remain in place? According to Lamar, American Apparel & Footwear Association members are hoping that the new tariff rates don’t add to existing duties. “This industry already pays a very, very high tariff burden, and we don’t want to magnify that, because that’s just going to hurt consumers,” he said. “With Vietnam, and we’re talking about the number two supplier for apparel, for footwear, for accessories; one in every four shoes is coming from Vietnam,” he added. “For many companies, as they’re looking to diversify from China, they went to Vietnam over the years. So, at a time when we’re still trying to help companies or incentivize them to diversify from China, a burdensome tariff on Vietnam sends the opposite message.” (Source: Sourcing Journal) WATCH: The Apparel Industry Can’t Decide How to Diversify Due to a Lack of Clear Tariff Policies: AAFA July 4: Stephen Lamar, president and CEO of the American Apparel & Footwear Association, says he expects to see more deals, details, and duties in the coming days, and that many companies will be in a wait-and-see mode due to the absence of clear signals. (Source: CNBC) U.S. Trade Bodies Seek Clarity on In-Transit Reciprocal Tariff Exclusion July 2: The American Apparel & Footwear Association (AAFA) along with five other trade associations recently urged the US administration to engage with supply chain stakeholders to address concerns related to ongoing challenges with the interpretation of the ‘in-transit’ reciprocal tariff exclusion till now. “While we appreciate the guidance provided by US Customs and Border Protection (CBP) thus far, we believe that there are outstanding questions regarding how relay vessels are addressed which continue to create confusion and disruption to supply chains,” they said in a letter to CBP commissioner Rodney Scott and Kristi Noem, secretary in the department of homeland security (DHS). (Source: Fibre2Fashion) Bipartisan BOOTs Act, Introduced in Senate, Aims to Boost U.S. Footwear Production July 1: ... USFMA is one of more than a dozen members of the American Combat Boot Alliance (ACBA), which lent its support to the bill in a letter signed by the American Apparel and Footwear Association (AAFA), the National Council of Textile Organizations (NCTO), Unifi, Rubberlite, Signet Mills, Meramec, New Balance, YKK, Milliken and more. The collective wrote that it represents “some of the last remaining companies in the United States that can produce the components and combat footwear required by the armed forces”—a goal they remain committed to, as they believe the country is “dangerously close to losing the most basic capability needed by those who train and fight—the ability to build domestic combat boots that withstand the rigors of austere environments.” (Source: Sourcing Journal) TikTok Building New Version of App Ahead of Expected U.S. Sale, the Information Reports July 7: TikTok is building a new version of its app for users in the United States ahead of a planned sale of the app to a group of investors, The Information reported on Sunday, citing unnamed sources. This comes as U.S. President Donald Trump said on Friday he will start talking to China on Monday or Tuesday about a possible TikTok deal. He said the United States "pretty much" has a deal on the sale of the TikTok short-video app. TikTok has developed a plan to launch the new app to U.S. app stores on September 5, the report said. (Source: Reuters) Online Shopping Sees Biggest Slowdown in Over Decade as Tariffs Disrupt E-commerce: Survey July 1: The e-commerce sector is experiencing its most disruptive period in more than a decade as a result of President Trump’s trade war and tariffs policy, according to a new survey from Alix Partners. It finds steep declines in online shopping activity, and shipping and return policies being adjusted to cut costs for companies. (Source: CNBC) Moratorium on State AI Regulation Scrapped in Senate Version of Trump’s ‘Big Beautiful Bill’ July 1: ... The AI modernization provision of the original version of the bill would have banned state and local governments from regulating AI for 10 years if they wanted access to funds aimed at improving AI infrastructure. Senator Marsha Blackburn (R-TN) initially joined a compromise amendment with Senator Ted Cruz (R-TX) that would have narrowed the scope of the provision and lowered the moratorium to five years, but later withdrew her support for that amendment and introduced her proposal to strike the provision in its entirety along with Senator Maria Cantwell (D-WA), which passed by a vote of 99-1. Senator Thom Tillis (R-NC), who recently announced he will not be running for another term, was the sole no vote. Tillis also joined two other Republican senators in voting against the bill overall. (Source: IPWatchdog) Marketplaces Angle for Section 230 Reprieve as CA Law Sets Out to Crack Down on Sales of Stolen Goods June 30: ... CA SB1144, which passed in 2024 and is expected to go into effect July 1, 2025, expands beyond the requirements of the federal INFORM Consumers act, placing even stricter requirements on marketplaces to vet and verify "high volume sellers" of new condition consumer goods, with stiff penalties for non-compliance. The bill intends to reduce the sale of stolen property online and facilitate the recovery of stolen goods by creating a statewide regulatory program for online marketplaces that allow the sale or resale of products to Californians. (Source: Value Added Resource) AAFA & WRAP highlight their latest industry resource, “Guidelines for Responsible Sourcing in Tariff-Impacted Supply Chains” watch here. WRAP Industry Chat: AAFA Senior Vice President of Policy, Nate Herman sat down with President & CEO, Avedis Seferian of Worldwide Responsible Accredited Production (WRAP) - AAFA’s Corporate Social Responsibility Partner – to highlight their latest industry resource, “Guidelines for Responsible Sourcing in Tariff-Impacted Supply Chains” (log in required). This member-only document is designed to help companies assess potential impacts on suppliers, workers, and production timelines before making abrupt decisions.  Tariff talks: Earlier today, AAFA hosted the Trade and Customs Committee (TCC) call which recapped the Trump administration's latest trade plans for new tariffs on some of our industry's key trade partners including Indonesia, Cambodia, and Bangladesh with a new deadline for trade deals of August 1, 2025.     Next, AAFA will host its next two member-only tariff calls on July 14 and July 21. Register for each individually via the AAFA Calendar of Events. For questions on how to take part in these calls or the TCC meetings, please contact Beth Hughes. In addition to recent tariff-related comments, public statements, and key statistics, the Fashion Tariffs 101 hub offers a tracker of Trade Negotiations by Country, updated weekly. Take action on AGOA and Haiti HOPE/HELP renewal: With the African Growth and Opportunity Act (AGOA) and the Haiti HOPE/HELP programs both expiring in 84 days, on September 30, we invite you to help magnify our urgent asks of Congress to reauthorize these programs as soon as possible. Access the advocacy letter that you can tailor for your members of Congress with just a few clicks! For related letters, see the full AAFA Legislative Action Center and 2025 legislative priorities. Questions? Contact Beth Hughes. Spotlight on Made in USA: This summer, the AAFA is excited to host a pop-up event, Practical Approaches to Made in USA. Supported by National Industries for the Blind (NIB) and SourceAmerica, it will be hosted at the NIB offices in Alexandria, VA, where valuable insights and strategies will be shared on how to leverage existing production and technology to increase the manufacturing of apparel, footwear, and textiles within the United States. Questions? Contact Brielle Papalia.   As we prepare for America's 250th Anniversary next year, AAFA will be hosting a Member-Only Call on America’s Semi-Quincentennial celebration. Please join us on July 31 with the U.S. Semi-Quincentennial Commission to discuss these year-long celebrations and how to get involved.  Brand protection for back-to-school: With Fourth of July promotions behind us and the critical back-to-school season in focus, AAFA is helping consumers remain vigilant against the rise of counterfeit goods, particularly as tariff policies continue to undermine enforcement efforts and complicate legitimate trade. This is an ideal time to review AAFA’s tools and resources on brand protection and anti-counterfeiting to help inform your teams and safeguard your products. Questions? Contact Jennifer Hanks about AAFA’s Brand Protection Council. Member Welcome: Mainetti For over sixty years, Mainetti has been a trusted partner to the world’s most respected and well-known retail and apparel brands. Our 6,000 employees in 90 locations on 6 continents are on a mission to deliver innovative products and sustainable solutions for our customers. As leaders in the fashion industry, Mainetti drives transformation in supply chains through its Full Circle initiative, focusing on decarbonizing operations and promoting the circular economy. Mainetti empowers its customers around the world to create the future of retail. July-August   July 14 | Online: Weekly Member-Only Call on Tariffs*  July 15 | Online: USG Conversation on Enforcement in China*  July 21 | Online: Weekly Member-Only Call on Tariffs*  July 21 | Online: Brands General Counsels Committee Virtual Office Hour* July 23 | Online: Webinar: Tariffs Today, Unknown Threats Tomorrow - How to Plan for The Global Supply Chain Shift July 28 | Online: Weekly Member-Only Call on Tariffs*  July 30 | Online: Webinar: Beyond the Fabric: Packaging with Purpose July 31 | Online: Member-Only Call on America’s Semi-Quincentennial* August 4 | Online: Weekly Member-Only Call on Tariffs* August 20 | Online: Monthly Member-Only Shipping Roundtable*   *member-only content Western Hemisphere Apparel & Footwear Compliance Conference November 20 | Guatemala City, Guatemala Contact Megan Balkovic for 2026 sponsorship opportunities. Visit our events calendar for all AAFA webinars, scheduled events, and member/committee calls. About the American Apparel & Footwear Association The American Apparel & Footwear Association (AAFA) is the national trade association representing apparel, footwear and other sewn products companies, and their suppliers, which compete in the global market. Representing more than 1,100 world famous name brands, AAFA is the trusted public policy and political voice of the apparel and footwear industry, its management and shareholders, its more than 3.6 million U.S. workers, and its contribution of more than $523 billion in annual U.S. retail sales. AAFA drives progress on three key priorities: Brand Protection; Supply Chain & Sourcing; and Trade, Logistics, & Manufacturing. AAFA approaches this work through the lens of purpose-driven leadership in a manner that supports each member’s ability to build and sustain inclusive and diverse cultures, meet and advance ESG goals, and draw upon the latest technology. PRIORITIES | SOLUTIONS | ACCESS | ABOUT | EVENTS

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