Related Keywords: apply to signatory countries, fabric produced from yarn, fiber manufacturing operations, involves twelve countries, made by TPP country, PSF, qualify duty free status, starting up or expanding, Trade agreement, Trans Pacific Partnership, under negotiation, United States led, US Trade Representative, Vietnamese companies, Yarn forward rule
United States led trade agreement Trans-Pacific Partnership (TPP) which involves twelve countries, is presently under negotiation. A key part of the proposed TPP is a rule known as “yarn forward” which would require that only fabric produced from yarn made by a TPP country would qualify for the trade agreement’s duty-free status. The rule is intended to ensure that the trade benefits of the TPP only apply to signatory countries rather than outside players such as China. However, the rule also likely to have major effects on signatory countries, such as Vietnam.
