Sponsors (7)
The bill lowers import costs and sustains market access for Haitian and Caribbean suppliers while improving some predictability and oversight, but it limits the scale of benefits through tight caps, reduces tariff revenue, increases competition for some domestic producers, and raises compliance complexity.
Importers and U.S. businesses that source apparel and specified Caribbean Basin goods regain or keep preferential duty-free treatment, lowering their import costs.
Provisions preserve market access for Haitian and other Caribbean Basin suppliers, helping sustain jobs and supplier income in those countries/communities.
The bill increases predictability and oversight by clarifying eligibility rules (e.g., 60% applicable percentage) and requiring a pre‑proclamation report to congressional tax/trade committees, aiding business planning and transparency.
The Haiti preference is quantitatively capped (1.25% of U.S. apparel imports per period), which limits market access for Haitian exporters and could raise prices for U.S. buyers if demand exceeds the cap.
Restoring tariff preferences reduces federal tariff revenue, which could worsen deficits or require offsetting revenue/cut measures.
Domestic producers of competing goods may face increased import competition from products receiving renewed preferential treatment, putting pressure on U.S. firms and workers in affected sectors.
Based on analysis of 3 sections of legislative text.
Revises and extends Haiti’s apparel tariff preferences: sets a 60% applicable threshold, caps each period’s quota at 1.25% of U.S. apparel imports, extends duty‑free treatment to Sept 30, 2035, and restores HTSUS eligibilities.
Introduced February 26, 2025 by Bill Cassidy · Last progress February 26, 2025
Amends U.S. tariff rules to extend and adjust preferential duty treatment for apparel from Haiti. It sets the required "applicable percentage" for eligible apparel at 60% (effective Dec 20, 2017), caps the annual quota for preferential treatment at 1.25% of total U.S. apparel imports per period, extends the program’s termination date to September 30, 2035, and requires the President to amend the Harmonized Tariff Schedule to restore eligibility for items that lost eligibility solely because of HTS revisions. The President must submit a report describing any HTS changes and the reasons for them to the House Ways and Means Committee and the Senate Finance Committee; any proclamation restoring tariff eligibility may become effective no earlier than two business days after that report is submitted.