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Legislation Would Nix Tariffs on Almost 70 Recreational Performance Outerwear Goods

House and Senate lawmakers introduced companion legislation that would eliminate tariffs on 69 recreational outerwear goods. The Senate version, introduced Aug. 2 by Sen. Roy Blunt, R-Mo., includes language that would impose, for 10 years, a 1.5 percent fee upon the imports’ entry, or withdrawal from warehouse for consumption, payable to the Treasury. That fee wouldn’t apply to imports of recreational performance outerwear from any U.S. free trade agreement partner, Caribbean Basin Trade Partnership Act beneficiary country, or African Growth and Opportunity Act beneficiary country. House Ways and Means Trade Subcommittee Chairman Dave Reichert, R-Wash., introduced the House version of the legislation on Aug. 4.

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The fees in the Senate bill would fund a new “Sustainable Textile and Apparel Research Fund,” which would focus on activities to enhance U.S. businesses’ competitiveness in “clean, eco-friendly apparel, other textile and apparel articles, and sewn-product design and manufacturing.” Both bills would activate the tariff eliminations 15 days after enactment. “Many of the outdoor products consumers rely on face import tariffs as high as 40 percent,” Blunt said in a statement. “These taxes mean higher costs for businesses and consumers, less innovation, and fewer U.S. jobs. By eliminating import tariffs on outdoor apparel, the OUTDOOR Act will help grow the $887 billion outdoor recreation economy and encourage more Americans to enjoy the great outdoors.”

Tariffs would be erased on 15 subheadings in Harmonized Tariff Schedule (HTS) heading 6204 (women's or girls' suits, ensembles, suit-type jackets, blazers, dresses, skirts, divided skirts, trousers, bib and brace overalls, breeches and shorts (other than swimwear)); 14 subheadings in heading 6203 (men's or boys' suits, ensembles, suit-type jackets, blazers, trousers, bib and brace overalls, breeches and shorts (other than swimwear)); 11 subheadings in heading 6202 (women's or girls' overcoats, carcoats, capes, cloaks, anoraks (including ski-jackets), windbreakers and similar articles (including padded, sleeveless jackets), other than those of heading 6204); 11 subheadings in heading 6201 (men's or boys' overcoats, carcoats, capes, cloaks, anoraks (including ski-jackets), windbreakers and similar articles (including padded, sleeveless jackets), other than those of heading 6203); 10 subheadings in heading 6211, (track suits, ski-suits and swimwear; other garments); and eight subheadings in heading 6210 (garments, made up of fabrics of heading 5602, 5603, 5903, 5906 or 5907).

This month's bills follow a legislative effort by industry to slash duties on recreational performance outerwear (see 1508080003). New tariff subheadings for recreational performance outerwear were created through the Tariff Preferences Extension Act of 2015 (see 1508080003), and amended through the Trade Facilitation and Trade Enforcement Act (see 1603010043).

Email ITTNews@warren-news.com for a copy of the House and/or Senate bills.