Specialty Fabrics Review January 2020 - 49

BERRY AMENDMENT THREAD
The United States Industrial Fabrics
Institute (USIFI) and the Narrow Fabrics
Institute (NFI), both Industrial Fabrics
Association International divisions,
advocate for the industry's legislative and
regulatory needs in Washington, D.C. In
itself, representing the very diverse interests
and priorities of the industry brings its own
complexity, as the members represented cover a
range of sizes and market interests from highly
specialized niches to broad market segments.
"Over 90 percent of what we import are
finished goods, rather than intermediate
imports necessary for the sector," says Beatty.
Having items going on and coming off tariff
lists again causes difficulty.
In the push to bring manufacturing
back on shore, it is essential to maintain
investment in new equipment and
technology to remain competitive on the
global, as well as the national, stage. Much of
this is not being produced in North America,
so there is no choice but to import, and as
the list currently stands, manufacturers must
bear the cost of tariffs.
In some instances, materials components
are not produced by the U.S. One example is
rayon, which is not available in the U.S., so
it has to be imported. Having it on the tariff
list would seem to make little sense. There are
undoubtedly "gray areas" where a material
or component may be available in the U.S.,
but not in the form or to the scale required.
Exhibitors and delegates at Expo offered
their thoughts on trade issues, revealing
insights borne out by experience. There are
glitches that manufacturers were keen to
see addressed. Participants at Expo agreed
with presenter Tantillo that China's currency
devaluation has ensured it remains cheaper
for coated fabrics, despite the tariffs. Thomas J.
Olsen, senior director of product marketing at
Berry Global Inc. in Charlotte, N.C., used the
company's filtration products as an example.
Much of it is sold to China, and so it is subject
to a double tariff.
Further, Olsen said that tariffs are applied
by weight, which can cause problems for
low-cost materials carrying through to
finished products. This is especially true
when comparing tariffs that may be applied
to a lighter material, which is then used in
high-value end products.

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Specialty Fabrics Review January 2020

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