WASHINGTON, D.C.—The National Council of Textile Organizations (NCTO), spanning the entire spectrum of U.S. textiles from fiber to finished sewn products, commends the House of Representatives for passing the Fiscal Year 2025 National Defense Authorization Act (NDAA) today.

The legislation helps preserve the Berry Amendment supply chain and authorizes the Department of Defense (DOD) to take steps to build up the defense textile stockpile and directs DOD to be more transparent and disclose all waivers submitted for the procurement of defense textiles not made in the United States.

In addition to supporting and expanding the critical Berry Amendment, which requires the Department of Defense to purchase 100% U.S. made textiles and clothing, the legislation includes two new key provisions important to the domestic textile industry:

• Authorizes Secretary of Defense to establish pre-positioned stocks of defense textiles needed to support contingency operations, while requiring the secretary to develop a plan to mitigate delays in meeting the demand for a ramp up in defense textile articles.
• Increases public transparency for domestic nonavailability determinations (DNADS) on an annual basis, while requiring the Under Secretary of Defense for Acquisition and Sustainment to develop and maintain a list of DNADs and share it with Congress and industry.

“We applaud the House for passing the FY 2025 NDAA today and urge the Senate to pass this critical legislation this year,” said NCTO President and CEO Kim Glas. “This legislation contains provisions that support a strong domestic textile and apparel manufacturing industrial base and aims to expand procurement of American-made defense-related textiles. The Berry Amendment ensures that there is a stable and viable domestic supply chain for these critical defense materials

“The American textile and apparel industry is a key strategic contributor to our national defense and supplies over 8,000 products a year to our men and women in uniform. U.S. textile mills provide a secure supply chain for the highest quality goods that our armed forces demand, eliminating the need to rely on countries like China for critical military products such as vital uniforms and equipment.

“The U.S. textile industry provides high-tech, functional components for the U.S. government, including more than $1.8 billion worth of vital uniforms and equipment for our armed forces annually. It is vital to America’s national security that the U.S. military maintain the ability to source high-quality, innovative textile materials, apparel, and personal equipment from a vibrant U.S. textile industrial base.”

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NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available

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Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

kellis@ncto.org  |  202.684.3091

October 3, 2024

WASHINGTON, D.C.—National Council of Textile Organizations (NCTO) President and CEO Kim Glas sent a letter to President Joseph Biden today asking his administration to intervene in the East and Gulf Coast ports strike that is exacerbating the economic distress facing the U.S. textile industry, which has been hit hard by Hurricane Helene.

See the full letter here.

“We respectfully ask that you urge the parties to reach a reasonable, fair, and expeditious conclusion given your role as a key negotiator and intermediary. The strike at East Coast and Gulf ports threatens not only our domestic competitiveness but also that of the broader Western Hemisphere textile and apparel co-production chain, which supports 2 million workers and $40 billion in annual two-way trade,” the letter reads.

Seventy percent of U.S. textile exports are shipped to the industry’s Western Hemisphere free trade agreement partners, who in turn produce finished apparel and home textile products for the U.S. market. 

“The strike comes at a particularly difficult time when American textile manufacturers are reeling from the destruction of Hurricane Helene. Several companies have been hard hit as a result of this tragedy—some with severe structural damage and others with idled plants” the letter continues. “The industry’s main concern right now is prioritizing the safety and well-being of its employees and their families.  This strike couldn’t come at a worse time as the industry has seen the closure of 21 plants in the last 18 months. We appreciate your leadership in helping mitigate supply chain challenges, as well as your work in support of working families and your work on behalf of the U.S. textile industry. We ask for your urgent assistance in helping to end these widespread supply chain disruptions so that our industry can have a fighting chance to regain its footing amid other serious and ongoing challenges.”

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NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available.

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CONTACT:

Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

kellis@ncto.org |  202.281.9305

September 13, 2024

WASHINGTON, D.C. – National Council of Textile Organizations (NCTO) President and CEO Kim Glas issued a statement on today’s White House announcement and fact sheet that outlined executive actions to curtail de minimis shipments in addition to other key measures on enforcement and domestic procurement.

Statement by NCTO President and CEO Kim Glas:

“We appreciate the administration’s actions announced today, which represent a step forward in helping mitigate the impact of the de minimis provision.

“We have called on the administration to use its existing executive authorities to limit the severe damage to our industry created by the de minimis loophole. Today, the administration announced rulemaking to limit de minimis treatment for all imported products subject to U.S. trade remedies and penalties, including the Section 301 tariffs. This is an important, common-sense reform and critical first step. We amplify the need to expedite rulemaking to the fullest extent possible and appreciate their strong engagement with our industry. The administration also announced requirements for additional information on de minimis shipments and other enforcement measures.

“Further, the administration underscored the need for a comprehensive solution beyond this action announced today – underscoring the magnitude of the problem, and the inability to effectively enforce our laws with the flood of de minimis packages coming in daily and the need for an urgent solution. We share that same sense of urgency. We are calling on Congress and the administration to work together to immediately close this disastrous loophole once and for all. 

“The U.S. textile industry, a strategic supplier of goods to the U.S. military and PPE is experiencing severe demand destruction fueled by de minimis shipments flooding our market with cheap, illegal imports because of this nonsensical outdated trade loophole. De minimis has facilitated illegal and forced labor products to our doorsteps at the cost of American jobs and our manufacturing sector.

“The flood of boxes coming into the United States under an outdated 1930s trade provision rewards Chinese e-commerce platforms and cheaters with a free trade agreement. It makes detecting illegal products effectively impossible. De minimis hides a black market of goods and puts people and consumers at risk. Half of the 4 million de minimis boxes a day are estimated to be textile and apparel goods – which is why we greatly appreciate the administration calling for the global exclusion of trade sensitive items – including textiles and apparel – from de minimis treatment given the sensitivity of the sector and rampant cheating. If enacted and effectively enforced, this will help significantly bring down the volume of these goods to better detect fentanyl and other illicit and dangerous products and help U.S. Customs and Border Protection (CBP) do its important work in the field with our law enforcement officers. Time is of the essence because there is so much at stake.

“We also underscore the need for Congress and the administration to immediately eliminate this disastrous loophole once and for all in the coming weeks. We will continue pressing for comprehensive reform given the urgency of the crisis – not just for our industry which has lost 19 plants this last year – but for all industries and consumers and families impacted by this loophole.

“Finally, we applaud the administration’s directive on developing a plan for immediate textile and apparel procurement. This is critical to our industry, and we stand ready to supply more goods to the U.S. government. We also appreciate the administration’s stepped-up textile and apparel enforcement efforts over the last few months and their ongoing engagement with this critical industry. Today they announced their efforts to date.  We want to thank Department of Homeland Security Secretary Alejandro Mayorkas, DHS, and the CBP team for prioritizing this at such a critical time.”

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NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available.

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CONTACT:

Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

 |  202.281.9305

August 21, 2024

WASHINGTON, D.C. – National Council of Textile Organizations (NCTO) President and CEO Kim Glas issued the following statement today on news of the passing of Congressman Bill Pascrell (D-NJ) this morning.

Statement by NCTO President and CEO Kim Glas:

“The entire U.S. textile industry is mourning the loss of Congressman Bill Pascrell (D-NJ), a true leader and advocate for critical manufacturing policies aimed at bolstering the domestic supply chain and confronting ongoing threats from predatory trade practices.

“We commend his significant contributions – not just to the U.S. domestic industry—but for American manufacturers and workers everywhere.

“Rep. Pascrell had served as co-chair of the House Textile Caucus with Rep. Patrick McHenry (R-NC) since 2013 and was an ardent fighter for the U.S. textile industry and beyond.”

In April, Congressman Pascrell championed a bill titled the Import Security and Fairness Act led by Rep. Earl Blumenauer (D-OR) that would exclude all Chinese imports from de minimis treatment, as highlighted in our blog post on a House Ways & Means markup.

He also penned an op-ed with Congressman McHenry highlighting the urgent need to drive investment and for onshoring and nearshoring textile and apparel production and to not weaken the critical U.S. and Central America  Dominican Republic-Central America Free Trade Agreement (CAFTA-DR).

In addition, he co-sponsored legislation aimed at strengthening the American PPE supply chain which would expand the Berry Amendment to nearly all federal purchases of PPE.

“As is evidenced above, Congressman Pascrell took on every policy battle in support of U.S. textiles and manufacturing in general as an unwavering supporter of maintaining and expanding a vital domestic manufacturing chain.  He worked closely with Rep. McHenry on critical textile issues to advance the cause for our domestic industry and its workforce.

“He will be missed deeply by the industry and to all who knew him. We extend our gratitude to a manufacturing warrior and express our condolences to the entire Pascrell family and his staff and team.”

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NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available.

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CONTACT:

Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

kellis@ncto.org |  202.281.9305

Aug. 8, 2024

WASHINGTON, D.C. – National Council of Textile Organizations (NCTO) President and CEO Kim Glas issued the following statement today welcoming the introduction of the bipartisan “FIGHTING for America Act, a bill that would eliminate de minimis exemptions for import-sensitive products and goods subject to trade remedies, including the majority of textile and apparel imports, while helping staunch the flow of millions of low value duty-free shipments entering the United States daily.

Statement by NCTO President and CEO Kim Glas:

“We commend Senate Finance Committee Chairman Ron Wyden (D-OR), and Senators Sherrod Brown (D-OH), Bob Casey (D-PA), Susan Collins (R-ME), and Cynthia Lummis (R-WY) for their leadership and support for this bipartisan legislation that would tighten the rules for the entry of millions of imported packages coming through the de minimis loophole each day and help level the playing field for domestic textile and apparel manufacturers severely harmed by the onslaught of these shipments.

“This bill eliminates de minimis for the most import-sensitive products and goods subject to trade remedies, including the vast majority of textile and apparel imports from China and the rest of the world. It is a major step in the right direction toward closing the loophole. De minimis shipments have grown exponentially due to the explosion of e-commerce and the growth of companies like Shein and Temu that have built their business models around this duty-free loophole. As a result, the U.S. market has been inundated with a flood of low value, subsidized and often illegal and tainted imports that are endangering U.S. consumers and undermining the U.S. textile and apparel production chain.

“We believe Senator Wyden’s legislation will go a long way toward thwarting bad actors who have been profiting from this unchecked gateway by sending in goods made with forced labor, counterfeits, toxic goods, and illicit narcotics.

“This bill is the most comprehensive approach to de minimis reform to date. It would not only close de minimis to the vast majority of textile and apparel imports, but also impose new penalties for violations, require additional data reporting on all de minimis packages, and impose small customs user fees on packages. We are encouraged by this strong legislative approach and believe it will help shield and support the vital domestic textile and apparel manufacturing supply chain that employs more than 501,000 workers and produces $64.8 billion in output.”

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NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available.

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CONTACT:

Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

kellis@ncto.org |  202.281.9305

May 16, 2024

WASHINGTON, DC—National Council of Textile Organizations (NCTO) President and CEO Kim Glas issued a statement today praising the U.S. Department of Homeland Security (DHS) for adding 26 Chinese textile companies to the Uyghur forced Labor Prevention Act (UFLPA) Entity List, bringing the total number of entities whose goods are banned from being imported into the U.S. market to 65.  

Statement by NCTO President and CEO Kim Glas

“We commend DHS for significantly expanding the critical UFLPA Entity List and stepping up enforcement of entities that are egregiously trading in slave labor cotton sourced from Xinjiang, China. Slave labor cotton as well as man-made fibers produced in Xinjiang are feeding into clothing made in China and numerous other countries around the world that is destined for the U.S. market, severely undermining U.S. domestic producers.

“Today’s announcement marks an important step forward in following through on anti-forced labor legislation and sends a strong message to known offenders, enterprises and governments that the U.S. government is increasing its enforcement activities and dedication to cracking down on imports of goods made with forced labor.

“Chinese cotton produced with forced labor in Xinjiang is flooding the global marketplace and entering the U.S. market as downstream products. Some 76 percent of all Chinese cotton products contain Xinjiang cotton, which leads to textiles and apparel made with forced labor bleeding into global supply chains, most notably in Asia but also in our free trade agreement regions.  The scourge of slave labor in Xinjiang involves not only cotton but extends to man-made fiber products as well.

“As a result, American textile plants have been forced to close and lay off workers. We have lost 17 textile plants in the past several months due in part to these illegal trade practices that are undermining the industry’s competitiveness.

“While the expanded Entity List is a positive step to increasing enforcement of goods made with forced labor, the list should include more companies outside of China that may be trading in goods and inputs made with forced labor.

“The U.S. also needs to close the de minimis loophole that is facilitating imported slave labor goods, toxic products and illicit fentanyl and other narcotics. Since the vast majority of de minimis imports are uninspected by CBP, this mechanism allows China and others to ship goods with impunity directly to U.S. consumers that violate our slave labor prohibitions and skirt consumer safety standards. 

“In addition, we have recommended to DHS and Customs and Border Protection (CBP) other essential actions to mitigate the economic harm and to maximize civil and criminal penalties against trade predators.

They include:

• Increased UFLPA enforcement and inspections of imports to prevent textile and apparel goods from entering our market, including in the de minimis environment
• Immediate expansion of isotopic testing of suspected shipments and other targeting tools
• Ramped up textile and apparel enforcement with regard to the Western Hemisphere trade partner countries, including onsite production verification visits and other targeting measures to enforce rules of origin and address backdoor UFLPA violations

“The U.S. textile industry is experiencing one of the worst downturns in its history. We welcome today’s actions as part of the robust DHS textile enforcement plan that Secretary Alejandro Mayorkas has announced and begun to implement. It is critical to have all these actions in place to act as an effective deterrent to China and other entities that are harming our domestic manufacturing base.”

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NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available.

CONTACT:

Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

kellis@ncto.org |  202.281.9305

April 26, 2024

WASHINGTON, DC—The National Council of Textile Organizations (NCTO), representing the full spectrum of U.S. textiles from fiber through finished sewn products, held its officer elections for fiscal year 2024 at its annual meeting April 9-11.

NCTO has elected Charles Heilig, President of Parkdale Mills, as Chairman; and Chuck Hall, President and CEO of Barnet, as Vice Chairman.

In addition to the appointment of a new chairman and vice chairman, NCTO elected chairs for each of its five councils. NCTO is comprised of five councils to ensure a broad representation of the industry supply chain. Each council has an allotted number of members who are elected to the association’s Board of Directors, in addition to the Executive Committee.

“I am pleased to announce our new officers, council chairs, and board and executive committee members for NCTO’s 2024 fiscal year,” said NCTO President and CEO Kim Glas. “I want to thank our new Chairman Charles Heilig and Vice Chairman Chuck Hall for stepping into these critical roles and their vital contribution to the Board and NCTO. As we navigate the challenging times ahead, their input and leadership will be invaluable, and we will work together to advocate for policies that help bolster the U.S. textile industry and our Western Hemisphere partners and deter policies that are detrimental to this vibrant domestic supply chain, employing more than 500,000 workers. “

Elected as NCTO Chairman and Vice Chairman for 2024:

• Chairman – Charles Heilig President of Parkdale Mills

Mr. Heilig is President of Parkdale Mills, based in Gastonia, North Carolina, a leading American manufacturer of yarn and cotton consumer products.

• Vice Chairman – Chuck Hall, President and CEO of Barnet based in Spartanburg, South Carolina, a 125-year-old manufacturer of technical textiles.

Elected to the NCTO Board of Directors during the various Council meetings were the following:

Fiber Council – David Adkins of Lenzing; John Freeman of Nan Ya Plastics; and Melissa Stewart of The LYCRA Company

Yarn Council-Justin Ferdinand of Kentwool; Peter Iliopoulos of Gildan; Eddie Ingle of Unifi; Eric Noe of Buhler Quality Yarns; Marvin Smith of Shuford Yarns; and Jay Todd of Service Thread

Fabric and Home Products Council – David Smith of Milliken & Company; James McKinnon of Cotswold Industries; Blake Millinor of Valdese Weavers; Leib Oehmig of Glen Raven; Dan Russian of Sage Automotive Interiors; and Walter Spiegel of Standard Textile

Finished Textiles and Apparel Products Council – Marisa Fumei-South of Two-One-Two New York (Alternate: Gabrielle Ferrara of Ferrara Manufacturing)

Industry Support Council – Todd Bassett of Fi-Tech; Greg Duncan of American Truetzschler; and Jim Reed of YKK Corp.

Elected by their respective Councils to serve on the Executive Committee:

David Adkins, Lenzing; Eddie Ingle, Unifi; Marvin Smith, Shuford Yarns; David Smith, Milliken & Company; James McKinnon, Cotswold Industries; Marisa Fumei-South, Two-One-Two New York; Gabrielle Ferrara, Ferrara Manufacturing; and Todd Bassett, Fi-Tech.

NCTO Chairman Charles Heilig has elected additional executives to serve on the Executive Committee: Anderson Warlick of Parkdale Mills; Norman Chapman of Inman Mills; John Maness of Gildan; Amy Bircher Bruyn of MMI Textiles; and Jackie Ferrari of American Fashion Network.

Elected to chair the Councils:

Fiber Council: David Adkins of Lenzing

Yarn Council: Justin Ferdinand of Kentwool

Fabric and Home Products Council: David Smith of Milliken & Company

Finished Textiles and Apparel Products Council: Marisa Fumei-South of Two-One-Two New York.

Industry Support Council: Todd Bassett of Fi-Tech

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NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available.

DOWNLOAD RELEASE

CONTACT:

Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

kellis@ncto.org | 202.281.9305

April 17, 2024

WASHINGTON, D.C. – National Council of Textile Organizations (NCTO) President and CEO Kim Glas issued a statement on today’s House Ways and Means markup of de minimis trade legislation, H.R. 7979.

Statement by NCTO President and CEO Kim Glas:

“We recognize Chairman Jason Smith (R-MO) and Rep. Greg Murphy (R-NC) and the Ways and Means Committee for highlighting China’s systematic abuse of U.S. trade laws in order to put American manufacturers and workers out of business and support its forced labor regime in the Xinjiang Uyghur Autonomous Region under our current de minimis law. This is a crisis of disproportionate impacts that needs urgent comprehensive solutions.  Today’s markup is an initial step, but we underscore with urgency that a comprehensive solution is desperately needed now.  We are strongly committed to working with the committee and with members on both sides of the aisle to urgently close this disastrous loophole once and for all.

While we appreciate the start of this long-overdue conversation, we maintain that congressional action on de minimis must not result in half-measures that do not adequately address the complex aspects of this multifaceted issue and the many unique challenges it poses. Doing so risks leaving the door open to further abuse, as we know that China will continue to exploit any available means to destroy American industries and our social fabric. 

We appreciate Chairman Jason Smith’s statement today on the bill and his work highlighting the impact of de minimis. We appreciate his commitment.  He notes ‘the work doesn’t end here. I am committed to working with members on both sides of the aisle to ensure that we see this issue to the end and make all the necessary reforms to prevent de minimis shipments that violate our law or give an unfair advantage to foreign interests.’  We couldn’t agree more and are committed to doing everything possible to work with Chairman Jason Smith, Ranking Member Richard Neal (D-MA) and the entire committee to help fully address this once and for all.

In that regard, NCTO, which has long called for aggressive de minimis reforms, believes that the bill as introduced needs to be strengthened to comprehensively and effectively restructure this extremely flawed tariff waiver mechanism. Specifically, we do not believe the bill goes far enough in restricting China’s enormous privileges under de minimis. In addition, we strongly believe the bill, at the very least, should preclude de minimis treatment for trade-sensitive sectors, such as textiles and apparel, which according to U.S. Customs and Border Protection accounts for a full 50 percent of all de minimis entries.

America’s textile industry has shuttered a staggering 14 manufacturing plants in the past few months, citing the overwhelming and growing flow of direct-to-consumer, duty-free fast fashion products from Chinese e-commerce retailers like Shein and Temu as a major contributing factor.  Beyond exploiting U.S. manufacturing and our free trade partners, these products have also been shown to contain materials made with Uyghur slave labor. As a result, U.S. textile manufacturing is experiencing a historic economic downturn which can only be described as a five-alarm fire.  NCTO continues to call for real reform of the de minimis loophole with a comprehensive solution that is robust, effective, and enforceable. 

China’s abuse of the de minimis loophole impacts not only American workers and consumers but has also displaced over 100,000 textile and apparel workers throughout the Western Hemisphere, where our free trade partners are forced to compete with China’s unfair de minimis access. This is in addition to concerns outside of U.S. manufacturing, where the de minimis environment is a hotbed of trafficking in illicit goods, illegal products, and other contraband, including deadly fentanyl and its precursors which contribute to approximately 80,000 U.S. fentanyl poisonings each year.

This is a critical moment for action.  We recognize many in Congress who have demonstrated leadership in highlighting and developing strong solutions to this existential threat, including Ways and Means Trade Subcommittee Ranking Member Earl Blumenauer (D-OR) whose own Import Security and Fairness Act would block all Chinese products from qualifying for de minimis benefits.  However, Congress must not let this moment—when comprehensive reform is within reach—slip by.  NCTO is fully committed to working with the House and Senate to strengthen this bill with the necessary updates and safeguards to fully end the abuse of the de minimis loophole by China and others.’’

###

NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers.

• U.S. employment in the textile supply chain was 501,755 in 2023.
• The value of shipments for U.S. textiles and apparel was $64.8 billion in 2023.
• U.S. exports of fiber, textiles and apparel were $29.7 billion in 2023.
• Capital expenditures for textiles and apparel production totaled $2.27 billion in 2021, the last year for which data is available.

CONTACT:

Kristi Ellis

Vice President, Communications

National Council of Textile Organizations

kellis@ncto.org |  202.281.9305