The U.S. Trade Representative (USTR) released a summary of U.S. objectives of the Trans-Pacific Partnership (TPP) that could have wide ranging and potentially profound impact on the sporting goods industry.

Many of the objectives laid out in the Textile, Labor and Environment sections of the report are supported by the country’s major apparel, footwear, sporting goods and textile trade groups, which imports a significant and growing percentage of apparel, backpacks, footwear and other products from Vietnam and 10 other countries negotiating the trade agreement with the U.S.

U.S. textile and apparel manufacturers sold more than $10 billion worth of products to TPP countries in 2013, an increase of 5.4 percent from the previous year. Many U.S. yarns, fabrics and apparel currently face very high tariffs upon entering some TPP countries.

USTR’s goal in the TPP negotiations is to remove tariff and non-tariff barriers to textile and apparel exports to enhance the competitiveness of producers in the Asia-Pacific region.

The summary listed the following objectives for textile trade:

  • Eliminate tariffs on textile and apparel exports to TPP countries.
  • Secure a “yarn forward” rule of origin, which requires that textile and apparel products be made using U.S. or other TPP country yarns and fabrics to qualify for the benefits of the Agreement.
  • Establish a carefully crafted “short supply” list, which would allow fabrics, yarns and fibers that are not commercially available in TPP countries to be sourced from non-TPP countries and used in the production of apparel in the TPP region without losing duty preference.
  • Secure strict enforcement provisions and customs cooperation commitments that will provide for verification of claims of origin or preferential treatment, and denial of preferential treatment or entry for suspect goods if claims cannot be verified.
  • Establish a textile specific safeguard mechanism that will allow the U.S. and other TPP countries to re-impose tariffs on certain goods if a surge in imports causes or threatens to cause serious damage to domestic producers.

The Environment portion of the report notes the U.S. is also seeking “trailblazing, first-ever conservation proposals to address some of the region’s most urgent environmental challenges.”

The full report details U.S. objectives in 19 areas, including Investment, State-owned Enterprises, Intellectual Property Rights and Dispute Settlement.