The Footwear Distributors and Retailers of America (FDRA) said it applauds the addition of the Affordable Footwear Act's (AFA) 50th co-sponsor in the House of Representatives.  The strong support garnered by the bill is a testament to the popularity of the policy behind AFA.

“The entire footwear industry is grateful for the strong support given to the Affordable Footwear Act,” said Matt Priest, President of FDRA.  “Having strong bipartisan support from Ways and Means Committee members is key to moving this important legislation.  I want to personally thank all 50 of the bill’s supporters for their commitment to their constituents and American consumers everywhere.”
     
Facts & Implications of the Affordable Footwear Act:

  • Nearly 100 percent of the shoes sold across America are now imported.
  • The AFA seeks to give American consumers some relief by eliminating import duties on approximately 40 percent of the shoes sold in the U.S., including many popular styles such as those made of canvas, fabric, synthetic materials and children’s shoes and work shoes, among others.
  • The duties vary depending on what the shoe is made of, they can be as high as 67.5 percent, and have a dramatic impact on the consumer price of a pair of shoes.  For example, for a $15 pair of shoes subject to a 48 percent tax rate, $4-$5 of the price can be the result of the duty.  By contrast, more expensive shoes, uch as those made with leather uppers, often costing $200 or more, enjoy a much lower tax of between 8-10 percent.
  • If the act is repealed, it is estimated that the $800 million tax reduction would translate into about $2 billion in annual economic activity for the footwear sector. We expect the bulk of the tax benefit would be passed on to consumers through lower prices, ultimately helping to increase consumer-spending power.
  • AFA would not eliminate duties on any shoe types still manufactured in the United States.

“Shoes are a life necessity and this hidden, regressive tax presents an additional burden on hardworking American families at a time when they can least afford it,” Priest said.
    
In the 110th Congress, the bipartisan Affordable Footwear Act was co-sponsored by 158 Members of Congress, and in the 111th Congress the AFA was co-sponsored by 22 Senators. For a complete list of current co-sponsors, please visit http://thomas.loc.gov and search past Congresses using the keywords “affordable footwear.”

The Affordable Footwear Act is led by a Coalition dedicated to eliminating the hidden, regressive and high import tariffs on low- to moderate-priced footwear and children’s shoes.  To see a Jan. 19 letter the Coalition members sent to Congress, please see http://www.fdra.org/AFA/CoalitionLetter.html.  For more details please visit FDRA’s website, http://www.fdra.org/AFA.html.
    
As the largest footwear trade association in the United States, FDRA accounts for approximately 80 percent of all footwear sales, representing the industry’s leading retailers, brands and buying agents. Its services include lobbying and advocacy for industry causes, educational programs and trade publications.

    ###