Global manufacturers call on US buyers for shared tariff shock responsibility

Global garment manufacturers called on US buyers for shared responsibility on Monday, as tariffs are putting the industry, workers, and sustainability at risk.

They further urged brands and retailers to honor existing commitments to responsible purchasing practices (RPP), including fair payment terms, predictable and transparent order planning, shared risk especially in times of crisis, and no last-minute cancellations or retroactive discounts.

The latest escalation of punitive tariffs by the US administration risks destabilizing the global garment and textile industry, manufacturers united under the International Apparel Federation (IAF), the Sustainable Textiles of the Asian Region (STAR) Network, and the joint IAF-STAR Program, Sustainable Terms of Trade Initiative (STTI) said in a joint statement

Starting from August 07, most apparel imports from key producing countries will face additional US tariffs, mostly in the range of 15 percent to 25 percent.

Even though this is lower than the previously announced on April 02, they still represent a sharp increase in costs.

They added, "Combined with a higher level of uncertainty for business, this creates a more challenging environment for workers' rights and progress on environmental sustainability." "Tariffs hurt everyone, including Americans. Buyers must uphold responsible purchasing practices now more than ever," read the joint statement.

The garment and textile sector is one of the most globalised industries in the world, employing over 75 million people-most of them women.

The current US tariffs will not bring jobs back to the US, nor will they strengthen the domestic industry. They would increase clothing prices for US consumers, disproportionately affecting low-income households while negatively impacting sales and profits for companies.

They would further push production to happen in a rushed and unsustainable way and undermine ongoing commitments to fair labor and environmental protection while risking job losses and factory closures in manufacturing countries.

"These measures mirror the uncertainty of the COVID period," it said, adding, "Only this time, it's man-made." Suppliers operate on thin margins, with wages fixed by national regulations and rising costs for materials and logistics.

With little-to-no room to absorb a cost increase of up to 40 percent, suppliers warn that passing these shocks onto them could undo years of progress on decent work, wages, and sustainability.

Munni_fe@yahoo.com