Footwear trade set to benefit from US-Chile FTA

11/04/2003

The United States government has published an 800 page free trade treaty between the United States and Chile. When signed, the treaty will cover both footwear and apparel.

 

All footwear coming from Chile, except 17 certain types of rubber/fabric and plastic protective footwear, will see tariff reductions immediately.

On the 17 specified items, duties will be reduced over a period of 10 year, with most of the duties continuing until the last three years of the 10-year period.

The North Atlantic Free Trade Agreement (NAFTA) rules on footwear will apply.

As to apparel, when the treaty is signed, all duties on apparel will be dropped immediately. However, to receive the duty-free exemption on apparel coming from Chile, manufacturers must use yarn and fabric produced in the United States.