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Textiles are a sensitive sector in the Trans-
In 2015, the U.S. textile industry directly employed about 232,000 Americans, accounting for approximately 2% of all U.S. factory jobs. TPP has the potential to affect U.S. textile exporters in at least three ways:
1. It could enable some Asian apparel producers, principally Vietnam, to export clothing to the United States duty-
2. The TPP would allow Western Hemisphere apparel manufacturers to use yarn and fabric made anywhere in the TPP region and still enjoy preferential access to the U.S. market. Thus, an enlarged Vietnamese textile industry could, at some future time, compete with U.S. exporters in Mexico and Central America.
3. On the upside, U.S. exports of these products could increase because the agreement would eliminate tariffs on industrial fabrics that are currently as high as 20% in some TPP countries. Responding to concerns from domestic textile manufacturers, the proposed TPP agreement includes a “yarn-