Reciprocal Trade Agreement with Guatemala Reinforces U.S. Textile–Western Hemisphere Partnership

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WASHINGTON, D.C. – The National Council of Textile Organizations (NCTO), which represents the full U.S. textile supply chain from fiber and yarn to fabrics and finished sewn products, welcomed today’s announcement of a reciprocal trade agreement between the United States and Guatemala.

National Council of Textile Organizations President and CEO Kim Glas:

“The reciprocal trade agreement with Guatemala marks an important step toward strengthening the U.S. textile supply chain. We commend the administration for taking decisive action to remove reciprocal tariffs and provide preferential treatment to qualifying textile and apparel products from Guatemala under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR).

“NCTO and the broader U.S. textile industry are grateful to President Trump, U.S. Trade Representative Ambassador Jamieson Greer, and the administration for concluding this agreement with Guatemala, following on the heels of the recently announced agreement with El Salvador.

“Guatemala is a key partner in the CAFTA-DR region, with nearly $2 billion in two-way textile and apparel trade. Together, the region operates as an integrated co-production platform that is essential to the U.S. textile supply chain. In 2024, this production network generated $11.3 billion in two-way trade and supported more than 470,000 American jobs in the domestic textile industry alone.

“The U.S.–Western Hemisphere textile and apparel supply chain remains a critical strategic alternative to China and other Asian producers. We look forward to continued collaboration with the Trump administration to further solidify this vital regional partnership and appreciate this important announcement.”

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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 471,046 in 2024.
  • The value of shipments for U.S. textiles and apparel was $63.9 billion in 2024.
  • U.S. exports of fiber, textiles and apparel were $28 billion in 2024.
  • Capital expenditures for textiles and apparel production totaled $2.98 billion in 2022, the last year for which data is available.

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CONTACT:

Kristi Ellis

National Council of Textile Organizations

kellis@ncto.org| P: 202.281.9305

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