President and CEO of the American Apparel & Footwear Association, Steve Lamar, has written to US Trade Representative Ambassador Katherine Tai, requesting relief from Section 301 tariffs, which are a relic of the Trump administration’s trade war and are threatening the survival of thousands of businesses facing unprecedented shipping disruption.
This follows a letter submitted to President Joseph R. Biden on Monday highlighting the shipping situation, according to a news release from the organisation.
“Out-of-control freight rates and historic log jams at US ports are causing delays and prices that are wreaking havoc on supply chains,” Lamar wrote. “Every American company, whether directly or indirectly involved in overseas trade, is affected by the chaos and expense hikes generated by the shipping crisis.”
AAFA is urging USTR to exercise its authority to give immediate and short-term relief by reinstating expiring Section 301 exceptions and postponing Section 301 tariff collection going ahead.
According to AAFA, the millions of dollars made available by these steps would benefit those companies severely afflicted by the shipping crisis and will assist ease the truck chassis shortage, which is being exacerbated in part by Section 301 tariffs imposed on imported chassis.