Mexican textile industry supports the principle of "origin of yarn"
Release date:2016-01-22
In the 19th round of the Trans-Pacific Partnership (TPP) negotiations concluded in Brunei last week, the Mexican textile sector expressed its support for the “Yarn Origin” principle.
Moises Karakh, president of the National Chamber of Commerce for the Textile Industry, said that the principle of “origin of yarn” is currently applied under the Treaty of the North American Free Trade Area (NAFTA), which stipulates that clothing must have free trade from North America. The certificate of origin, the yarns and fabrics used in the circulation of clothing must be produced in the United States, Canada and Mexico.
If this rule is copied and adopted by the TPP, the domestic textile industry in Mexico will no longer be affected, Moises said.
If the principle of “origin of yarn” is not applied in TPP member countries, countries such as Vietnam will use imported yarn and imported fabrics to make garments and then export them duty-free to other TPP member countries, which is of great benefit to Vietnam, but Will greatly affect the Mexican textile industry, Moises said.
In Mexico's textile and apparel industry chain, there are about 500,000 employees, earning about $9 billion annually, while Vietnam's clothing and textile industry exports $17 billion, and the textile and apparel industry provides jobs for 2.2 million people. .
Moises Karakh, president of the National Chamber of Commerce for the Textile Industry, said that the principle of “origin of yarn” is currently applied under the Treaty of the North American Free Trade Area (NAFTA), which stipulates that clothing must have free trade from North America. The certificate of origin, the yarns and fabrics used in the circulation of clothing must be produced in the United States, Canada and Mexico.
If this rule is copied and adopted by the TPP, the domestic textile industry in Mexico will no longer be affected, Moises said.
If the principle of “origin of yarn” is not applied in TPP member countries, countries such as Vietnam will use imported yarn and imported fabrics to make garments and then export them duty-free to other TPP member countries, which is of great benefit to Vietnam, but Will greatly affect the Mexican textile industry, Moises said.
In Mexico's textile and apparel industry chain, there are about 500,000 employees, earning about $9 billion annually, while Vietnam's clothing and textile industry exports $17 billion, and the textile and apparel industry provides jobs for 2.2 million people. .
