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Priority Trade Issue: Textiles

CBP’s efforts in the textile area focus on promoting legitimate trade, while also encouraging a strong domestic manufacturing base.  As one of the largest manufacturing employers in the United States, the textile sector is a key component of the U.S. economy.  The goal of the Textiles Priority Trade Issue is to ensure that textile imports, which generated 41 percent of the duties collected by CBP in fiscal year 2013, fully comply with applicable laws, regulations, quotas, Trade Preference Program requirements and Intellectual Property provisions.

CBP facilitates the legitimate importation of textiles and apparel, while combating the rising number of textile imports that are undervalued, misclassified, or illegally transshipped or entered. The enforcement of Free Trade Agreements (FTA) and legislative mandates continues to make textiles a politically sensitive industry. The average duty rate for textiles is 16% and more than $17 billion of entered textiles and wearing apparel claim preferential tariff treatment, placing textiles and apparel at a high risk for non-compliance. The key areas of textile fraud include:  undervaluation, underreporting of quantity, misdescription and misuse of a trade preference program or FTA. 

Through capacity building with industry partners, developing actionable trade intelligence, and conducting international verifications and enforcement operations, CBP has created an effective textile enforcement strategy.  In FY 2013, CBP’s enforcement efforts led to the seizure of approximately $5.6 million worth of textile products and recovered revenue of $4.5 million. 


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