FORECASTS & ANALYSIS
By Deborah Belgum | December 5, 2018
The UCLA Anderson Forecast predicts the economy will slow down in 2019 and then nearly even out in 2020.
This has been a year of uncertainty for the trade world.
When U.S. tariffs were levied in September on $200 billion worth of Chinese imports, some apparel companies saw the writing on the wall even if they wanted to erase it.
With new tariffs being placed on textiles coming from China, many U.S. fabric importers are scrambling to find new textile trading partners whose goods are not subject to the recently imposed 10 percent tariff that could rise to 25 percent at the beginning of the year.
New tariffs on nearly half the goods imported from China haven’t dampened retailers’ zeal for bringing in merchandise from overseas factories.
With the last-minute announcement on Sept. 30 that Canada would be joining the free-trade agreement with the United States and Mexico, there will be a new North American Free Trade Agreement covering about $12.5 trillion in trade.
Now that the Trump administration’s $200 billion of additional tariffs have gone into effect on thousands of Chinese imports, the apparel and retail industries are figuring out what to do next. Covered in this round of tariffs are buttons, bobbins, yarns, embroidery, textiles, handbags and leather. Apparel is not part of the equation yet.
Trump administration will impose tariffs on $200 billion worth of Chinese goods as of next week.
There is nothing like the prospect of tariffs on Chinese goods to nudge importers to bring in their merchandise a little early to avoid a hefty increase in prices.
The renegotiated free-trade deal between the United States and Mexico has a new name and a new set of rules that will make it a little more difficult to manufacture apparel in Mexico.
After months of talking about slapping tariffs on various imports from China, Canada and Mexico, the Trump administration announced it would like to start negotiations with the European Union to eliminate tariffs between the two regions.
The latest round of proposed tariffs on Chinese imports has the apparel world wondering if it is time to shift its manufacturing from the country that for decades has been known as the apparel factory to the world.
Despite rumblings of a trade war, the U.S. economy is marching forward at a nice pace as the U.S. unemployment rate hits a low not seen for almost 50 years.
In the latest salvo in the tariff war between the United States and China, the U.S. cotton industry is expected to receive a direct hit as China piles on an additional 25 percent tariff on U.S. uncombed-cotton imports.
A major trade war that started with aluminum and steel is now migrating into steep tariffs being placed on U.S.-made apparel exported to Europe.
The U.S. textile industry has asked the Trump administration to place tariffs on certain textile and apparel products made by China that may infringe on U.S. companies’ intellectual-property rights.