Southern Textile Association and Fiber Buyers 2016 Joint Meeting - - PowerPoint PPT Presentation

Southern Textile Association and Fiber Buyers 2016 Joint Meeting

June 21, 2016 General Session

Value of Shipments

$66.9 $71.0 $74.2 $73.6 $74.7 $75.5 $76.0 $60 $65 $70 $75 $80 2009 2010 2011 2012 2013 2014 2015

2015 Value of Shipments $76 Billion for Textiles, Apparel, & Manufactured Fibers

Value for 313 Textile Mills, 314 Textile Product Mills, 315 Apparel, and 32522 Artifical & Synthetic Fibers and Filaments

Source: Census Bureau Annual Survey of Manufactures. 2014 data for NAICS 32522 used to compute 2015 figure.

2015 Value of Shipments Con’d

$30.7 $23.2 $13.9 $8.2

Value of Shipments in $ Billions by Category

313 Textile Mills 314 Textile Product Mills 315 Apparel 32522 Artificial & Synthetic Fibers & Filaments

Source: Census Bureau Annual Survey of Manufactures. Data for NAICS 32522 is for 2014 b/c 2015 data is n/a.

2015 Employment

116.4 116.4 136.8 116.3 67.8 25.6

579K Jobs in Textile Supply Chain in 2015

313 Textile Mills 314 Textile Product Mills 315 Apparel Cotton Farming & Related Industry Wool Growing & Related Industry 32522 Artificial & Synthetic Filaments & Fibers

Jobs in Thousands

Sources: Bureau of Labor Statistics, Dept. of Agriculture, Nat’l Cotton Council, and American Sheep Ind. Assoc.

Exports of Fiber, Textiles & Apparel

$16.6 $19.7 $22.4 $22.7 $23.7 $24.4 $23.7 $3.5 $5.8 $8.5 $6.3 $5.7 $4.5 $4.0 $0 $5 $10 $15 $20 $25 $30 2009 2010 2011 2012 2013 2014 2015

Trend for U.S. Exports of Fiber, Textiles, and Apparel in $ Billions

Textile & Apparel Cotton, Wool, & Other Fine Animal Hair

Total = $27.75 B

Sources: U.S. Dept. of Commerce and U.S. Int’l Trade Commission. Man-made fibers in Textile & Apparel data.

2015 Exports Cont’d

$4.0 $4.9 $9.0 $3.7 $6.1

2015 Exports $27.75 Billion – Breakout by Category in $ Billions

Cotton, Wool & Fine Animal Hair Yarns Fabrics Made-Up Articles Apparel

Source: U.S. Department of Commerce and U.S. International Trade Commission

Capital Investment

$960 $1,112 $1,215 $1,236 $1,558 $1,798 $405 $293 $361 $323 $287 $248 $0 $400 $800 $1,200 $1,600 $2,000 2009 2010 2011 2012 2013 2014

Capital Investment in U.S. Textile Manufacturing Up $838 Million in Last 6 Years – Data in $ Millions

313, 314 Textile Mills and Textile Product Mills 315 Apparel

Source: U.S. Census Bureau Annual Capital Expenditures Survey (ACES)

Policy Review

TPP

• TPP objectives achieved

– Yarn-forward rule of origin mirrors NAFTA/CAFTA – Duties for most sensitive items phased out over 10-12 years – Most sensitive items for Western Hemisphere covered by yarn-forward and afforded 10-12 year tariff phase-outs – Customs language captures the stronger enforcement provisions from previous agreements

• NCTO endorsed agreement in January

TPP Congressional Outlook

• Congress will have a very limited agenda between now and

November’s general election – Only 30 legislative days scheduled from now until the election

• A lame duck session of Congress is scheduled for late November

through mid-December

• Will the newly-elected President ask Congress to vote on TPP

during the lame duck?

TTIP: Status & Challenges

• The US & EU are holding quarterly negotiating rounds

– Next round scheduled for July 11-15 in Brussels

• Unlikely that an agreement can be reached during Obama

presidency

• EU favors a fabric-forward rule of origin instead of yarn-forward
• EU is pressing for access to U.S. military contracts

Defending the Berry Amendment

• Berry Amendment Textile Coalition defeated attack on Berry

– NCTO, NCC, AFMA, ASI, SCMA, GAM, USIFI, AAFA and

• thers in coalition that preserved Berry
• Opponents tried to raise contract threshold to trigger Berry from

$150,000 to $500,000 in both FY 2016 & 2017 NDAA

• If threshold had gone to $500K, almost 20 percent of Berry

contracts would have been exempt; roughly $340 million

• New attack on Berry in Senate NDAA bill; effort to exclude

certain “commercial items” from Berry coverage

RFT-MII

• DoD launched Revolutionary Fibers and Textiles Manufacturing

Institute of Innovation on April 1, 2016

• Government and private sector initiative to accelerate next

generation of textiles

• Consortium led by MIT selected as hub
• Total funding expected to be roughly $320 million

Public Relations Campaign

Industry Partners

• American Fiber Manufacturers Association
• The National Cotton Council
• The Industrial Fabrics Association International
• Glen Raven, Inc.

Campaign Objectives

• Paint an accurate picture of the 21st century U.S. textile and

apparel industry

• Correct outdated and misleading impressions of the industry
• Establish a baseline appreciation for the industry as a major

employer, investor, innovator, and competitor in the global market

Video

How to Contribute to Campaign

• Campaign open to trade associations, organizations and

companies willing to contribute $$$

• Please contact NCTO President & CEO Auggie Tantillo for further

details at (202) 822-8025 or atantillo@ncto.org

Thank you!