On Thursday, a Florida congressman scored a win for the American travel goods industry by opening new opportunities in Asia, namely in the Philippines, Indonesia and Thailand, and making some travel goods duty-free.
When the Generalized System of Preferences (GSP) program -- which provides commercial opportunities to developing countries -- was launched in 1974, travel goods were exempted. Earlier this year, U.S. Rep. Ander Crenshaw, R-Fla., introduced a bill to let companies petition the Office of the U.S. Trade Representative to request items be added to the GSP program.
Crenshaw teamed up with U.S. Sen. Roy Blunt, R-Mo., and U.S. Rep. Adrian Smith, R-Neb., to propose the legislation. Back in 2013, Crenshaw and Smith filed similar legislation.
On Thursday, the House included Crenshaw’s legislation as part of the Trade Preferences Extension Act of 2015 which passed on a vote of 397 -- 32. The Trade Preferences Extension Act also renews the African Growth and Opportunity Act and adds incentives for trade with Haiti.
Crenshaw took to the House floor on Thursday to talk about his proposal.
“These are tough economic times, and Congress must do all it can to promote economic growth and job creation. My measure accomplishes that goal for the travel goods industry in Florida, Missouri, Nebraska, and across the nation, and is a key piece of the Trade Preferences Extension Act,” said Crenshaw. “Providing duty-free importation of more than 5,000 products from developing nations, as the GSP Update Act does, updates our trade policy and helps out companies in Florida and across the nation. Add in a lowering of U.S. tariffs on exports for particular African nations and enhancing trade benefits for Haiti, and we promote long-term economic development, trade, and investment that will benefit America now and for generations to come.
“American businesses need tools to help them move forward. The GSP program is a long successful global initiative for our critical partners and allies,” Crenshaw continued. “Travel goods such as purses, briefcases, and backpacks can now be considered for approval. That’s a ‘win-win’ for companies like Coach in Jacksonville, Florida, as well as our national security strategy in countries around the globe. As a result, the travel goods industry [is a] viable market alternative to China which is not a GSP country.”
As Crenshaw noted, Coach, which has some corporate operations in Jacksonville, is clearly behind his bill.
"Coach supports the efforts of Congressmen Crenshaw and Smith in making a positive change to U.S. trade policy through the GSP Update Act, said Angus McRae, the executive vice president of operations for Coach, when Crenshaw brought out the bill earlier this year. “This important initiative seeks to bring the GSP program in line with the modern realities of our industry. The GSP Update Act will open new and much-needed sourcing opportunities, promote our competitiveness and benefit our employees in Jacksonville and across the United States."
Reach Kevin Derby at kderby@sunshinestatenews.com or follow him on Twitter: @KevinDerbySSN
