DR Apparel Export Decrease
DR Apparel exports continue to decrease even after numerous U.S. Aid programs. After six years, the programs have not provided sufficient incentives to help curb the decline in DR apparel exports to the U.S. The main program is designed to help import unlimited amounts of duty-free apparel when mixing in both U.S.-produced fibers at a ratio of 2-for-1. For every two units of qualifying “wholly formed” fabric purchased for apparel production in the DR, a one-unit credit is received that can be used toward the duty-free importation of apparel into the U.S. that has been manufactured using third-country fabric. The recommendations for improving the program that weresubmitted by industry and other sources this year, were virtually the same as those received during the previous five annual reviews. According to the ITC these recommendations are: lowering the 2-for-1 ratio of U.S. to foreign fabric to a 1-for-1 ratio, expanding the program to include other types of fabrics and apparel items, and eliminating the requirement that dyeing and finishing of eligible fabrics occur in the United States.
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