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Date:4/25/2007

 

AAFA
News Release
AAFA Opposes Anti-Dumping Actions Against Products from Vietnam Unless Specific Requirements Are Met

The American Apparel & Footwear Association (AAFA) in Washington today urged the U.S. Department of Commerce to refrain from initiating anti-dumping (AD) actions against Vietnamese textile and apparel products unless warranted by a specific set of facts and supported by U.S. domestic apparel producers.

AAFA Executive Vice President Stephen Lamar, in testimony during a U.S. Department of Commerce Import Administration hearing on Vietnam textile and apparel import monitoring, said the agency, led by Assistant Secretary of Commerce for Import Administration David Spooner, should make it clear that self-initiation of an anti-dumping investigation would occur only if the Department determined that:

• There is dumping of a particular product from Vietnam
• That U.S. domestic production of that same product is being harmed by that dumping
• That U.S. domestic producers of that same product supported initiation of an investigation by the U.S. government.

Lamar said the department’s special “monitoring” Web site is confusing as it lists categories of products being monitored, with trade data being included “without any context, discussion, or methodology.” Such a policy, he said, will only contribute to confusion and uncertainty, and generate false expectations.

Lamar also said the department should monitor imports of articles only in cases where there is domestic production and U.S. producers of those same articles – who can demonstrate they have the ability to be injured by “dumped” imports from Vietnam – actively support such monitoring.

He said the department should articulate the timeline it will use, the “thresholds” that must be crossed before any investigations can begin and specific benchmarks so the industry can understand how data must appear for an anti-dumping investigation to be imminent. There should also be a mechanism for public comment before an anti-dumping case is initiated if those “thresholds” are met, Lamar said.

“We believe there is little support or interest in this monitoring program among domestic apparel producers because much of what is produced domestically does not compete against Vietnamese imports,” Lamar declared. “Moreover, discouraging apparel sourcing in Vietnam – through either the threat or initiation of an anti-dumping investigation – provides no guarantee (or even likelihood) that apparel production will migrate back to the United States.”

While importer members are strongly opposed to the program, Lamar said, there is a “high priority interest” in ensuring that the monitoring program be conducted pursuant to U.S. anti-dumping code, in a manner consistent with the World Trade Organization (WTO) rules and in a manner that is fully transparent and predictable.” Yet, he added, three months after monitoring has begun, “it is unclear exactly what is being monitored, what methodology is being used and how these trade statistics factor into that monitoring.”

“We need you to provide firm answers and create a fully transparent process, so that all interested parties can understand the rules and plan accordingly,” Lamar declared.

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. AAFA's mission is to promote and enhance its members' competitiveness, productivity and profitability in the global market by minimizing regulatory, commercial, political and trade restraints. Visit www.apparelandfootwear.org.






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