AAFA expresses concern over ‘on-again, off-again’ tariff policy

Steve Lamar, the president and chief executive officer of the American Apparel & Footwear Association (AAFA), has expressed concern over what he called an “on-again, off-again tariff policy” that he says “is forcing companies to careen between chaos and costs”.

While Lamar and the organisation welcomed the current 90-day pause on certain tariffs “to give negotiators in the US and dozens of trading partners a chance to hammer out sustainable outcomes”, Lamar noted this was “only a first step in a policy that needs to be more comprehensive, predictable, and durable if we want to encourage the kind of investments that will support more US jobs”.

The AAFA head particularly addressed the “extreme tariff” placed on US imports from China, currently sitting at 125 percent, which he said “will lead to higher prices for everyday apparel, footwear, and accessories and higher costs for US manufacturers who rely on materials and items they can only source from China”. China has now introduced a reciprocal tariff on all US imports of 84 percent.

Lamar’s statement continued: “It is our hope that this limited pause can be extended to all countries so that US companies, now caught in the crosshairs of a frenzied trade war, can focus their energies on encouraging the US and its key trading partners to negotiate an end to both US and foreign trade barriers. We further urge the Administration to work closely with Congress, and with all stakeholders, so that we can forge a more durable trade policy that is based on partnership of reciprocal trade, not fear of crushing tariffs.”