AAFA appeals to Biden as shipping crisis worsens

23/09/2021
AAFA appeals to Biden as shipping crisis worsens
The American Apparel & Footwear Association (AAFA) has asked US president Joe Biden to take immediate action to end the shipping crisis that is impacting the economy – as it is elsewhere in the world.

The association, which represents more than 1,000 brands, described it as an existential crisis, particularly for small businesses.

In a letter, AAFA CEO Steve Lamar said: “Unless immediate steps are taken, this holiday season will be marked by empty shelves, inflation and lost jobs.”

It said shipping container rates are achieving record highs - members are reporting rates as high as eight times what they paid this time last year. Contracts are “routinely ignored”, it claimed, with many containers being removed from ships and left behind despite payment of exorbitant container fees. Containers that are successfully shipped face significant delays in getting into many US ports. 

“The actions taken by the administration so far – while all steps in the right direction – have failed to move the needle to address the quickly worsening crisis. Much more needs to be done, including aggressive enforcement actions and providing immediate relief. I urge you to bring all stakeholders to the table immediately, and keep them there, to develop and implement short-term solutions to the shipping crisis. 

“Beyond these actions, we need immediate relief. Your administration can provide immediate relief by offsetting out-of-control freight cost increases by removing the temporary tariff costs, such as the government’s punitive Section 301 tariffs on China that our industry still must pay. 

“We need you to take action to end the shipping crisis, and provide immediate relief, now. Our industry, and our economy, cannot afford for you to wait any longer.”


 

Photo: Unsplash



Photo: Unsplash
Photo: Unsplash