U.S. to Lift Ban on Imports From Burma
U.S. apparel manufacturers may have a new country where they can make clothing.
On Sept. 26, U.S. Secretary of State Hillary Rodham Clinton announced that the Obama administration will start lifting the ban on imports from Myanmar, which used to be known as Burma.
Before the ban took place in 2003, about half of all the textiles and clothing made in that country, located northwest of Thailand, was exported to the United States. In recent years, Myanmar shipped as much as $409 million a year in apparel and textiles to the United States, according to the Department of Commerce.
There is still a small garment sector based around Yangon, the country’s capital, which employs about 20,000 people at 200 factories. Workers make about $80 a month.
Last year, Myanmar exported about $770 million in garments to primarily Japan, which received $243 million in apparel and textiles.That may increase. Recently, the Japanese fast-fashion retailer Uniqlo, whose shelves are stocked with casualwear, said it will start sourcing in Myanmar.
Other recipients of the bulk of Myanmar’s apparel production are South Korea and Europe.
Myanmar was ruled by a military dictatorship for nearly five decades and was quite repressive. A new government came to power in 2011, releasing many political prisoners, holding elections for a new Parliament and freeing democracy advocate Aung San Suu Kyi from nearly 20 years of house arrest.Since her release from house arrest, the 67-year-old opposition leader has visited Norway to collect a Nobel Peace Prize she won in 1991 and gone to Washington, D.C., to be awarded the Congressional Gold Medal. During her U.S. visit, Aung San Suu Kyi said she supported lifting the ban.
The United States also recently announced it will allow U.S. investments in Myanmar after the new government made strides to democratize the country.
Clinton’s announcement was made during a visit of Myanmar’s new president, U Thein Sein, to the United Nations for its annual gathering in New York. This was the former general’s first visit to the United States.
Congress recently renewed its ban on imports from Myanmar for another year. To lift the ban now, the Obama administration must write up a waiver in conjunction with Congress. That may take months, and some prohibitions may remain in force, such as banning products made by industries and companies aligned with the military.—Deborah Belgum
