PUBLIC
CANADIAN INTERNATIONAL TRADE TRIBUNAL
Staff Report
(Inquiry No.: MN-2005-001)
REPORTED AVAILABILITY OF CERTAIN FABRICS
PRODUCED IN CANADA AND USED IN APPAREL
PRODUCTION
Research Team
Rose Ritcey ..........................................
Paul Berlinguette .................................
JO-Anne Smith......................................
S h a w Jefiey .......................................
Denise Roy ...........................................
Lise Lacombe ......................................
Tania Assaly .........................................
Anita Palcich ......................................
Approved by:
Date:
This report is public. White areas (
Director
.Lead Researcher
Researcher
Researcher
Consultant
. . .
.Lead Statistician
Statistician
. . .
..Statistician
&
2
irector General
February 2,2006
) indicate that protected information was taken out.
Picase dataReferencerWN-2ûû5-ûûl\WorkingFilesWesearchBtaff ReportsWinal Staff Report ENGLISH Public.doc
TEXTILE REFERENCE O N
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TABLE OF CONTENTS
PART 1 -
Page
1
INTRODUCTION
1. T'erms of Reference
Clrganization of this Report
Period Covered by the Inquiry
4. Product Coverage
5. Clonduct of the Inquiry to Date
6. hdethodology Used by Tribunal Staff
7. Future Inquiry Events
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3.
PART II -
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AVAILABILITY OF SUBJECT APPAREL FABRICS
1. T'ariff Item 51 12.19.91 - Woven fabrics of combed wool or of combed
fine animal hair, containing 85% or more by weight of wool or of fine
animal hair, of a weight exceeding 200 g/m2but not exceeding
300 g/m2.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
2. Tariff Item 5210.41.00 - Plain weave fabrics of Cotton, containing less
tlian 85% by weight of Cotton, mixed mainly or solely with man-made
fibres, weighing not more than 200 g/m2,of yams of different colours.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
3. Tariff Item 5407.52.90 - Woven fabrics of synthetic filament yarn,
including woven fabrics obtained from materials of heading 54.04,
containing 85% or more by weight of textured polyester filaments,
dyed.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
4. Tariff Item 5407.53.00 - Woven fabrics of synthetic filament yam,
including woven fabrics obtained from materials of heading 54.04,
containing 85% or more by weight of textured polyester filaments, of
yarns of different colours.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
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c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
ï'ariff Item 5407.54.00 - Woven fabrics of synthetic filament yarn,
including woven fabrics obtained from materials of heading 54.04,
containing 85% or more by weight of textured polyester filaments,
printed.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
Tariff Item 5407.61.99 - Woven fabrics of synthetic filament yarn,
including woven fabrics obtained from materials of heading 54.04,
containing 85% or more by weight of non-textured polyester
filaments.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
Tariff Item 5515.13.90 - Other woven fabrics of polyester staple
fibres, mixed mainly or solely with wool or fine animal hair.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
ï'ariff Item 5516.23.90 - Woven fabrics of artificial staple fibres,
containing less than 85% by weight of artificial staple fibres, mixed
mainly or solely with man-made filaments, of yams of different
colours.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
ïariff Item 5602.10.90 - Needleloom felt and stitch-bonded fibre
fabrics, whether or not impregnated, coated, covered or laminated.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Cornpetitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
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10. ïariff Item 5603.92.90 - Nonwovens, other than of man-made
fi.laments, whether or not impregnated, coated, covered or laminated,
weighing more than 25 g/m’ but not more than 70 g/m’.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
11. ïariff Item 5903.90.29 - Textile fabrics, containing man-made fibres,
impregnated, coated, covered or laminated with plastics other than
with poly(viny1 chloride) and polyurethane, other than those of
heading 59.02.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
12. ïariff Item 6004.10.90 - Knitted or crocheted fabrics of a width
exceeding 30 cm, containing by weight 5% or more of elastomeric
yarn but not containing rubber thread, other than those of heading
60.01.
a) Domestic Textile Manufacturers
b) Domestic Availability of Subject Apparel Fabrics
c) Competitive Products
d) Suggested Tariff Structure
e) Financial Significance of Subject Apparel Fabrics
RESEARCH B R A N C H
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LIST OF TABLES
Table 1 Domestic Availability of Subject Apparel Fabrics of Tariff Item No.
5112.19.91
Table 2 Domestic Availability of Subject Apparel Fabrics of Tariff Item No.
5210.41 .O0
Table 3 Significance of Subject Apparel Fabrics of Tariff Item No. 5210.41.00
Table 4 Domestic Availability of Subject Apparel Fabrics of Tariff Item No.
5407.52.90
Table 5 Signjificance of Subject Apparel Fabrics of Tariff Item No. 5407.52.90
Table 6 Domestic Availability of Subject Apparel Fabrics of Tariff Item No.
5407.53 .O0
Table 7 Significance of Subject Apparel Fabrics of Tariff Item No. 5407.53.00
Table 8 Domestic Availability of Subject Apparel Fabrics of Tariff Item No.
5407.54.00
Table 9 Significance of Subject Apparel Fabrics of Tariff Item No. 5407.54.00
Table 10 Domestic Availability of Subject Apparel Fabrics of Tariff Item No.
5407.61.99
Table 11 Significance of Subject Apparel Fabrics of Tariff Item No. 5407.61.99
Table 12 Dornestic Availability of Subject Apparel Fabrics of Tariff Item No.
55 15.13.90
Table 13 Significance of Subject Apparel Fabrics of Tariff Item No. 55 15.13.90
Table 14 Dornestic Availability of Subject Apparel Fabrics of Tariff Item No.
5516.23.90
Table 15 Significance of Subject Apparel Fabrics of Tariff Item No. 5516.23.90
Table 16 Domestic Availability of Subject Apparel Fabrics of Tariff Item No.
5602.10.90
Table 17 Significance of Subject Apparel Fabrics of Tariff Item No. 5602.10.90
Table 18 Dornestic Availability of Subject Apparel Fabrics of Tariff Item No.
5603.92.90
Table 19 Sigiiificance of Subject Apparel Fabrics of Tariff Item No. 5603.92.90
Table 20 Dornestic Availability of Subject Apparel Fabrics of Tariff Item No.
5903.90.29
Table 21 Significance of Subject Apparel Fabrics of Tariff Item No. 5903.90.29
Table 22 Dornestic Availability of Subject Apparel Fabrics of Tariff Item No.
6004.10.90
Table 23 Sigiiificance of Subject Apparel Fabrics of Tariff Item No. 6004.10.90
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LIST OF APPENDICES
Page
APPENDIX 1-
TERMS O F REFERENCE
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APPENDIX II -
REVISED TERMS O F REFERENCE
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APPENDIX III -
RATES O F DUTY FOR THE SUBJECT TARIFF
ITEMS
63
APPENDIX IV -
TEXTILE MANUFACTURERS SURVEYED
64
APPENDIX V
SUMMARY OF COMMENTS RECEIVED IN REPLY
T O THE QUESTIONNAIRES FROM TEXTILE
MANUFACTURERS OF SUBJECT FABRICS
65
DOMESTIC AVAILABILITY O F SUBJECT FABRICS
REPORTED BY TEXTILE MANUFACTURERS
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APPENDIX VI -
RESEARCH B R A N C H
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PART 1 - INTRODUCTION
1.
Terms of Reference
On October 27, 2005, the Minister of Finance (the Minister), referred to the
Canadian International Trade Tribunal (the Tribunal) pursuant to Section 19 of the
Canadian International Trade Tribunal Act, an inquiry into the availability from
Canadian production of apparel fabrics classified under certain tariff items in the Customs
T a r s The terms of reference for the inquiry are reproduced at Appendix 1.
In his, letter, the Minister noted that, on June 30, 2005, the Tribunal released its
Report on the Production in Canada of Certain Fibres, Yarns and Apparel Fabrics and
that the Tribunal did not receive sufficiently detailed production information during the
course of that inquiry to enable it to make tariff relief recommendations on a number of
tariff items ihat contain a wide variety of products. For 12 of these tariff items, the
Minister asked the Tribunal to carry out additional inquiry. The Minister indicated that it
is the government’s objective to retain duties only on those fabrics that the Tribunal
determines are sold to Canadian apparel producers or are produced in Canada for the
intemal production of apparel and for which the Tribunal provides detailed product
descriptions and associated new eight-digit tariff items. Fabrics not produced in Canada
would be classified under the related residual “other” provisions at a free rate of duty.
The Tribunal was also directed to estimate the total value of the fabrics sold to
Canadian apparel producers or, where applicable, the total value of the fabrics produced
for the intenial production of apparel, for each of the eight-digit tariff items and the
significance of these amounts to domestic textile manufacturers. Furthermore, the
Tribunal was also directed to report on any other matter that it determines to be of
relevance to this inquiry.
On November 23, 2005, the Minister further directed the Tribunal, where
appropriate, in identifying new eight-digit tariff items, to ensure that the scope of the
product descriptions reflects market realities by considering the nature of the
competition between products in the marketplace and the imminent production of any
fabric. The revised terms of reference are reproduced at Appendix II.
The ïribunal must submit its report to the Minister by April27,2006.
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Organization of this Report
This report is divided into 2 parts:
Part 1gives general information concerning the conduct of the inquiry.
Part II is comprised of 12 sections, one for each of the original 12 tariff items
subject to this inquiry. Each section lists the textile manufacturers reporting the
availability of the subject apparel fabrics (including sales to domestic apparel producers
or productioii for internal apparel manufacturing) in the period under review. It then
defines a nurnber of fabric groupings within the tariff item and provides information on
the dollar value of sales andor internal transfer for apparel manufacturing for each of the
groupings. Competitive products, as identified by the textile manufacturers, are then
reported. Next, the section identifies draft tariff structures based on the availability of the
subject apparel fabrics in the Canadian market. Finally, each section reports the financial
significance, in percentage terms, of domestic sales andor internal transfer value for
apparel manufacturing of the subject apparel fabrics under proposed new tariff items, in
relation to a Company’s total aggregate sales, including sales for non-subject goods and
sales for export markets.
3.
Period Covered by the Inquiry
The Minister directed the Tribunal to consider fabric availability since January 1,
2003. In exceptional circumstances, however, the Tribunal may also consider fabric
availability since January 1, 2002.
4.
Prodnct Coverage
The apparel fabrics subject to this inquiry are those described by the following
tariff items:
Chapter 51
WOOL, FINE OR COARSE ANIMAL HAIR; HORSEHAIR YARN
AND WOVE,N FABRIC
Tariff Item 5112.19.91 - Woven fabrics of combed wool or of combed fine
animal hair, containing 85% or more by weight of wool or of fine animal hair, of
a weight exceeding 200 g/m2but not exceeding 300 g/m2.
Chapter 52
COTTON
Tariff Item 5210.41.00 - Plain weave fabrics of Cotton, containing less than 85%
by weight of Cotton, mixed mainly or solely with man-made fibres, weighing not
more than 200 g/m2, of yarns of different colours.
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Chapter 54
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MAN-MADE FILAMENTS
Tariff Item 5407.52.90 - Woven fabrics of synthetic filament yarn, including
woven fabrics obtained fiom materials of heading 54.04, containing 85% or
more by weight of textured polyester filaments, dyed.
Tariff Item 5407.53.00 - Woven fabrics of synthetic filament yarn, including
woven fabrics obtained fiom materials of heading 54.04, containing 85% or
more by weight of textured polyester filaments, of yarns of different colours.
Tariff Item 5407.54.00 - Woven fabrics of synthetic filament yarn, including
woven fabrics obtained fiom materials of heading 54.04, containing 85% or
more by weight of textured polyester filaments, printed.
Tariff Item 5407.61.99 - Woven fabrics of synthetic filament yarn, including
woven fabrics obtained fiom materials of heading 54.04, containing 85% or
more by weight of non-textured polyester filaments.
Chapter 55
MAN-MADE STAPLE FIBRES
Tariff Item 5515.13.90 - Other woven fabrics of polyester staple fibres, mixed
maiiily or solely with wool or fine animal hair.
Tariff Item 5516.23.90 - Woven fabrics of artificial staple fibres, containing less
than 85% by weight of artificial staple fibres, mixed mainly or solely with manmade filaments, of yams of different colours.
Chapter 56
WADDING, FELT AND NONWOVENS; SPECIAL YARNS; TWINE,
CORDAGE, ROPES AND CABLES AND ARTICLES THEREOF
Tariff Item 5602.10.90 - Needleloom felt and stitch-bonded fibre fabrics,
whether or not impregnated, coated, covered or laminated.
Tariff Item 5603.92.90 - Nonwovens, other than of man-made filaments,
whether or not impregnated, coated, covered or laminated, weighing more than
25 g/m2 but not more than 70 g/m2.
Chapter 59
IMPREGNATED, COATED, COVERED OR LAMINATED TEXTILE
FABRICS; TEXTILE ARTICLES OF A KIND SUITABLE FOR INDUSTRIAL USE
Tariff Item 5903.90.29 - Textile fabrics containing man-made fibres,
impiregnated, coated, covered or laminated with plastics, other than with poly
(vin,ylchloride) and polyurethane, other than those of heading 59.02.
Chapter 60
KNITTED OR CROCHETED FABRICS
Tariff Item 6004.10.90 - Knitted or crocheted fabrics of a width exceeding
30 cm, containing by weight 5% or more of elastomeric yarn but not containing
rubber thread, other than those of heading 60.01.
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As of January 1,2006, the subject apparel fabrics covered by these tariff items are
dutiable at 114 percent ad vaIorem under the Most-Favoured-Nation (MFN) Tariff.’
Appendix III gives al1 the duty rates for the tariff items.
5.
Conduct of the Inquiry to Date
On November 14, 2005, the Tribunal notified al1 government departments and
associations known to have an interest in the commencement of the inquiry into the
availability of apparel fabrics subject to the inquiry. It published a notice in the
November 26, 2005, issue of the Canada Gazette.’ The Tribunal’s notice included a
detailed schledule of events, giving dates when parties were to file notices of
participation, make submissions and reply to the submissions of others. The notice also
advised that the Tribunal may hold a public hearing on the matter.
The preliminary information-gathering and analysis of the inquiry was based on a
questionnaire: survey of known producers of the subject apparel fabrics. The Tribunal
consulted primarily with the Canadian Textile Institute (the CTI) and the Canadian
Apparel Federation (CAF) in the development of the questionnaire. Tribunal staff also
visited several firms to provide them with technical advice and to explain the type of
information required by the Tribunal.
On November 14, 2005, and shortly thereafter, the Tribunal sent the notice and
questionnaire: to 3 1 potential domestic textile manufacturers. Appendix IV provides a list
of these firmi;. On December 1 and 2,2005, the Tribunal notified questionnaire recipients
that, pursuanit to the Minister’s revised terms of reference, respondents should also
include any imminent production of apparel fabrics. In total, 21 firms responded to the
Tribunal’s producers’ questionnaire and reported domestic sales andor imminent
production of the subject apparel fabrics as follows:
1. Tariff item No. 51 12.19.91 is dutiable at 14 percent ad valorem, but cannot exceed $5.17/kg under the
MFN Tariff.
2. C. Gaz. 2005.1.3888.
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Company Name
Domestic Availability
Barrday Inc, (Barrday)
5903.90.29
Canada Haii- Cloth Company (CHC)
52 10.41.O0
Consoltex Inc. (Consoltex)
5210.41.OO, 5407.52.90,
5407.53.00,5407.54.00,
5407.61.99, 5516.23.90
Doubletex Iinc. (Doubletex)
5210.41.00, 5407.52.90,
5407.53.00, 5407.61.99,
5516.23.90, 5602.10.90
Hafker Inc. (Hafher)
6004.10.90
Kute Knit Nianufacturing Inc. (Kute-bit)
6004.10.90
Les Lainages Victor Ltée (Victor)
5 112.19.91, 55 15.13.90
Les Tricots Interlock Knit Canada Inc. (Interlock)
6004.10.90
Lucratex Inc:. (Lucratex)
6004.10.90
Manoir Inc. (Manoir)
6004.10.90
Matador Co:nverters Co. Ltd. (Matador)
5602.10.90, 5603.92.90
Meridian Kriitting Ltd. (Meridian)
6004.10.90
Oratex Inc. (Oratex)
6004.10.90
Rentex Millis Inc. (Rentex)
6004.10.90
Roopa Sales,and Trading Ltd. (Roopa)
6004.10.90
Sinatex (Canada) Inc. (Sinatex)
6004.10.90
Stedfast Inc. (Stedfast)
5903.90.29
Texel Inc. (Texel)
5602.10.90
Tissus Knitrarna Fabrics Inc. (Knitrarna)
6004.10.90
Tricots Canada U.S. Knitting Inc. (Canada-U.S.)
6004.10.90
Tricots Liesse (1983) Inc. (Liesse)
6004.10.90
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Appendix V3 provides a summary of general comments received in reply to the
questionnaire from domestic manufacturers of the subject apparel fabrics. Appendix VI
provides a cietailed listing of the main characteristics of the subject apparel fabrics
reported by questionnaire respondents. The listing does not include information reported
by textile manufacturers for non-subject fabrics.
6.
Methodology Used by Tribunal Staff
In thle Tribunal’s questionnaire, textile manufacturers were asked to provide
detailed infoimation4 on the characteristics of domestically-available fabrics, e.g. weight,
types and percentages of fibres, weave, yam thickness, and range of apparel end-uses.
Using this detailed information, Tnbunal staff identified possible fabric groupings and
developed associated draft tariff items to encompass domestically-available apparel
fabrics and tlistinguish them from apparel fabrics not produced in Canada, and from
fabrics produced for non-apparel end-uses. These draft tariff items are preliminary and
are put fonvard for the purpose of discussion.
Tribunal staff generally added a margin of five percent (rounded to the nearest
multiple of ilve) to the reported ranges for key fabric characteristics. For example, if
textile manufacturers reported sales of apparel fabrics weighing from 100 g/m2 to
200 g/m2, the proposed new tariff item would include fabrics weighing from 95 g/m2 to
210 g/m2.
M i l e the issue of competitive products is noted in each of the detailed sections of
the report, the draft tariff structures are strictly based on demonstrated and imminent
production.
7.
Future Inquiry Events
Interested parties are invited to make written submissions on the draft tariff
structures contained in this report by February 13, 2006. Al1 parties may file reply
submissions by February 24,2006.
The Tribunal will inform parties by February 28, 2006, of its decision as to
whether a hearing is required. Should one be required, it will begin by March 6, 2006.
3. This Appenciix is intended to outline a number of key points made by the respondents to the Tribunal’s
questionnaire. Il: is not intended to be exhaustive.
4. In some instances, the information provided by textile manufacturers differs from that received during
the last inquiry (MN-2004-001).
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PART II - A.VAILABILITY O F SUBJECT APPAREL FABRICS
1.
Tariff Item 5112.19.91 - Woven fabrics of combed wool or of combed fine
animal hair, containing 85% or more by weight of wool or of fine animal
hair, of a weight exceeding 200 g/m2but not exceeding 300 g/m2.
a)
Domcestic Textile Manufacturers
Questionnaire respondents did not report production or sales of the subject
apparel fabrics under tariff item No. 5 112.19.91. However, Victor reported imminent
production of the subject apparel fabrics under this tariff item.
Domcestic Availability of Subject Apparel Fabrics
b)
Table 1 provides a description of the subject apparel fabrics under tariff item
5 112.19.91 on the basis of imminent production reported by Victor.
Victor provided evidence of imminent production in the form of a proposa1 to
SUPPlY
. Victor has recently made a
significant irivestment in
Table 1
Domestic Availability of Subject Apparel Fabrics of Tariff Item No. 5112.19.91
($000)
Sales of Subject Apparel Fabrics
Product DescriDtions
51 12.19.91 Other woven fabrics of combed wool or of
combed fine animal hair, containing 85% or more by
weight of wool or of fine animal hair, of a weight
exceeding 200 g/m2but not exceeding 300 g/m2
a. Solely of coimbed wool, twill weave, multiple
(folded) or cabled yam, of a weight not exceeding 300
g/m2
2003
IMM
2004
IMM
Note: "IMM" indicates imminent production, "O" means less than 1,000 and
Source: Reply to CITT Questionnaire.
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IMM
Total
IMM
means zero.
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Cornipetitive Products
Victor stated that it faces competition from low-wage countries, such as China
and India. Irriported products have an edge in pricing, whereas Victor is more competitive
in terms of dlelivery times, available quantities and arrangements for payment. Victor also
stated that, if the content of wool in a particular fabric were lowered to 50 percent, the
fabric would fa11 into tariff item No. 5515.13.90,’ another subject tariff item. However,
Victor indica.ted that one of its customers has specified a wool content of 70 percent and,
therefore, the: fabric falls into tariff item No. 51 12.30.91,6a non-subject tariff item.
Doubletex stated that, although none of its fabrics conform to the requirements of
tariff item No. 51 12.19.91, it produces fabrics that are direct substitutes for those covered
by this tariff item. For example, fabrics containing 65 percent polyester and 35 percent
wool are direct substitutes for fabrics containing 85 percent or more of combed wool.
Doubletex stated that price points are dictated primarily by the styling of the garment, not
the cost of the fabric. Therefore, the elimination of tariffs on fabric styles and
constructions; or blends that compete with its products would be devastating to its sales in
the current product range because customers would switch to imports in order to gain a
price advantage or pressure it to reduce prices which already reflect low or non-existent
margins.
d)
Suggested Tariff Structure
Baseci on the information received on imminent production reported by Victor,
staff prepareld the following tariff structure for the subject apparel fabrics covered by
tariff item No. 51 12.19.91.
New Tariff Description
---- Solely of combed wool, twill weave ,
51 12.19.98
multiple (folded) or cabled yarn, of a weight not
exceeding 300 g/m2
---- Other, of a weight not exceeding 300 g/m2,
for use in the manufacture of apparel
---- Other, of a weight not exceeding 300 g/mz
Tariff Treatment
Current rate
No duty
Current rate
5. Other woven. fabrics of polyester staple fibres, mixed mainly or solely with wool or fine animal hair.
6 . Woven fabrics of combed wool or of combed fine animal hair, mixed mainiy or solely with man-made
staple fibres, of a weight not exceeding 300 g/m2.
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2.
Tariff Item 5210.41.00 - Plain weave fabrics of Cotton, containing less than
85% by weight of Cotton, mixed mainly or solely with man-made fibres,
weighing not more than 200 g/m2,of yarns of different colours.
a)
Domestic Textile Manufacturers
Three: textile manufacturers, CHC, Consoltex and Doubletex, reported domestic
sales of the subject apparel fabrics between January 1, 2003 and September 30, 2005
under tariff item No. 5210.41.OO. Appendix VI provides a detailed listing of the domestic
availability of these fabrics as reported by these firms.
b)
Domestic Availability of Subject Apparel Fabrics
Table 2 provides a summary of the domestic availability of product categories
under tariff item No. 5210.41.00, established on the basis of the responses received from
domestic textile manufacturers.
RESEARCH BRANCH
FEBRUARY 2 , 2006
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Table 2
Domestic Availability of Subject Apparel Fabrics of Tariff Item No. 5210.41.00
($000)
Produet Descriptions
5210.4 I.O0 Plain weave fabncs of Cotton,
containing less than 85% by weight of Cotton,
mixed inainly or solely with man-made fibres,
weighiiig not more than 200 g / d , of yams of
different colours
Sales of Subject Apparel Fabrics
2004
2005
Jan.-Sei>t.
Total
a. Plain weave fabrics of carded Cotton, of yams
of different colours containing 55% or more by
weight of carded Cotton, mixed solely with
polyester filaments, weighing 135 glm' or more
but not exceeding 155 g/m'
b. Plain weave fabrics of carded Cotton, of yams
of different colours containing 55% or more by
weight of carded Cotton, mixed solely with
polyester staple fibres, weighing 150 g/m' or
more but not exceeding 190 glm2
c. Plain weave fabrics of carded Cotton, of yams
of different colours containing 5 1% or more by
weight of carded Cotton, mixed solely with
polyester staple fibres and polyester filaments,
weighiiig 1I O g/m' or more but not exceeding
180 glnn'
d. Plain weave fabric of carded Cotton, of yams
of different colours containing cotton mixed with
viscose, polyester and goat hair, weighing 170
g/m' or more but not exceeding 190 glm', for
use in the manufacture of interlining and under
collar products for suits and caps
e. Plain weave fabrics of carded Cotton, of yams
of different colours containing 5 1% or more by
weight of carded Cotton, mixed solely with
polyestlx filament or viscose staple fibres,
weighiiig 110 glm2 or more but not exceeding
160 g/ni', for use in the manufacture of
interlining and under collar products for suits
and caps
Note: "[MM" indicates imminent production, "O" means less than 1,000 and "-" means zero.
Source: Reply to CITT Questionnaire.
RESEARCH BRANCH
FEBRUARY 2 , 2006
TEXTILE REFERENCE ON
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c)
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S T A F F REPORT
Competitive Products
CHC indicated that the interlining market is very competitive and that imported
products fiorn England, Germany and Italy compete on quality, whereas products from
Mexico, China, Korea and Japan compete on value.
d)
Suggcested Tariff Structure
Basecl on the information received on domestic sales, staff prepared the following
tariff structure for the subject apparel fabrics reported under tariff item No. 5210.41.00.
New Tariff
-
5210.41.20
5210.41.30
New Tariff Description
--- Plain weave fabrics of carded Cotton, of yarns
of different colours, containing 55% or more by
weight of carded Cotton, mixed solely with
polyester filaments, weighing 135 s/m2 or more
but not exceeding 155 d m 2
--- Plain weave fabrics of carded Cotton, of yarns
of different colours , containing 55% or more by
weight of carded Cotton, mixed solely with
polyester staple fibres, weighing 150 g/m2 or
more but not exceeding 190 dm2
--- Plain weave fabrics of carded Cotton, of yarns
of different colours, containing 5 1% or more by
weight of carded Cotton, mixed solely with
polyester staple fibres and polyester filaments,
weighin 110 g/m2 or more but not exceeding
180 d m
--- Plain weave fabric of carded Cotton, of y m s
of different colours ,containing Cotton mixed
with viscose, polyester and goat hair, weighing
170 g/m2 or more but not exceeding 190 g/m2,
for use in the manufacture of interlining and
under collar products for suits and caps
--- Plain weave fabrics of carded Cotton, of yarns
of different colours ,containing 5 1% or more by
weight of carded Cotton, mixed solely with
polyester filament or viscose staple fibres,
weighin 110 g/m2 or more but not exceeding
160 g/m , for use in the manufacture of
interlining and under collar products for suits
and Cam
---- Other, for use in the manufacture of apparelÏ
---- Other
r-
Tariff Treatment
Current rate
Current rate
Current rate
5
5210.41.40
5210.41.50
Current rate
Current rate
5
w-
RESEARCH BRANCH
No dutv
Current rate
F E B R U A R Y 2 , 2006
~~~
TEXTILE REFERENCE O N
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e)
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S T A F F REPORT
Finaricial Significance of Subject Apparel Fabrics
The financial significance, in percentage terms, of domestic sales of the subject
apparel fabrics under the proposed new tariff items, in relation to a firm's total sales,
including non-subject goods and export sales, is reported in Table 3.
Table 3
Significance of Subject Apparel Fabrics of Tariff Item No. 5210.41.00
($000)
New Tariff Reporîing
Item
Firm
Total Company Sales
2003
2004
2005
Jan.-Sept.
Sales of Subject Apparel
Fabrics
Share of Total Company Sales (%)
2003
2004
2005
2003
2004
2005
Jan.-Seot.
Jan.-Sept.
-
5210.41.10 Doubletex
5210.41.20 Doubletex
5210.41.30 Doubletex
Constdtex
5210.41.40 CHC
5210.41.50 CHC
Note: "IMM" indicites imminent production, "O" means less than 1,000and "-" means zero.
Source: Reply to CITT Questionnaire.
P
RESEARCH BRANCH
P
FEBRUARY 2, 2006
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STAFF REPORT
3.
Tariff Item 5407.52.90 - Woven fabrics of synthetic filament yarn, including
wovein fabrics obtained from materials of heading 54.04, containing 85% or
more by weight of textured polyester filaments, dyed.
a)
Domestic Textile Manufacturers
Two textile manufacturers, Consoltex and Doubletex, reported domestic sales of
the subject apparel fabrics between January 1, 2003 and September 30, 2005 under tariff
item No. 5407.52.90. Doubletex also reported imminent production of the subject apparel
fabrics classified under this tariff item. Appendix VI provides a detailed listing of the
domestic availability of these fabrics as reported by these firms.
b)
Domistic Availability of Subject Apparel Fabrics
Table 4 provides a summary of the domestic availability of product categories
under tariff item No. 5407.52.90 established on the basis of the responses received from
domestic textile manufacturers.
Doubletex provided evidence of imminent production in the form of
RESEARCH BRANCH
FEBRUARY 2 , 2006
TEXTILE REFERENCE ON
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STAFF REPORT
Table 4
Domestic Availability of Subject Apparel Fabrics of Tariff Item No. 5407.52.90
($000)
Product Descriiptions
Sales of Subject Apparel Fabrics
2003
2004
2005
Jan.-Sept.
5407.52.00 Woven fabrics, containing 85%
or more by weight of textured polyester
filaments, dyed
a. Woven fabrics solely of textured polyester
filaments, measuring 70 decitex or more but
not exceeding 400 decitex or measunng 465
decitex or more but not exceeding 520
decitex or measunng 680 decitex or more but
not exceeding 7'60 decitex per single yam, of
a weight of 55 g/m2 or more but not
exceeding 335 g/m2
b. Woven fabrics, containing 90% or more
by weight of textured polyester filaments
mixed solely wiith viscose, measuring 140
decitex or more but not exceeding 195
decitex per single yarn, of a weight of 150
g/m2 or more but not exceeding 2 15 g/m2
c. Woven fabrics, containing 90% or more
by weight of textured polyester filaments
mixed solely wi th spandex, measuring 40
decitex or more but not exceeding 225
decitex per single yarn, of a weight of 150
g/m2 or more but not exceeding 200 g/m2
d. Woven fabrics, containing 95% or more
by weight of textured polyester filaments
mixed solely wi th carbon, measunng 85
decitex or more but not exceeding 95 decitex
per single yarn, of a weight of 95 g/m2 or
more but not exceeding 105 g/m2
Note: "IMM" iridicates imminent production, "O" means less than 1,000 and "-" means zero.
Source: Reply to CITT Questionnaire.
RESEARCH BRANCH
FEBRUARY 2, 2 0 0 6
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c)
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PUBLIC
S T A F F REPORT
Com,petitiveProducts
According to Consoltex, fabrics under this tariff item start as unbleached fabrics
and are classified under subheading 5407.5 1. Competition exists between fabrics made of
textured polyester filaments (subheadings 5407.5 1, 5407.52, 5407.53 and 5407.54), nontextured poliyester filaments (subheading 5407.61) andor a mixture of the two
(subheading 5407.69) or polyester staple fibres (subheadings 5512.11 and 55 12.19). The
importance of a fabric originates with the weave, the weight and other characteristics that
attract the atiention of the apparel rnanufacturers. Furthermore, the label of garments may
indicate 100 percent polyester fabric. However, this will mask different tariff items
depending on whether polyester filaments (textured or non-textured) or polyester staple
fibres are used.
Doubletex indicated that it produces fabrics that do not conform to the
requirements of tariff item No. 5407.52.90, but that are direct substitutes for the fabrics
covered by this tariff item. Further, Doubletex stated that it is developing 75 percent
polyester a n c l 25 percent Cotton outenvear fabric at a different price point that is a direct
substitute for fabrics containing 85 percent or more by weight of polyester.
d)
Sugglested Tariff Structure
Basecl on the information received on domestic sales,7 staff prepared the
following tariff structure for the subject apparel fabrics reported under tariff item No.
5407.52.90.
(New Tariff
5407.52.1O
New Tariff Description
Tariff Treatment
--- Woven fabrics solely of textured polyester
Current rate
filaments, measuring 70 decitex or more but not
exceeding 400 decitex or measuring 465 decitex
or more but not exceeding 520 decitex or
measuring 680 decitex or more but not
exceeding 760 decitex per single yarn, of a
weight of 55 g/m2 or more but not exceeding
335 rr/m2
--- Woven fabrics, containing 90% or more by
weight of textured polyester filaments mixed
solely with viscose, measuring 140 decitex or
more but not exceeding 195 decitex per single
yam, of a weight of 150 g/m2 or more but not
exceeding 2 15 g/m2
r5407.52.20
Current rate
7. Doubletex reported imminent production for fabrics already covered by new tariff item 5407.52.10 and
5407.52.30.
~~
RESEARCH BRANCH
FEBRUARY 2, 2006
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TEXTILE REFERENCE ON
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New Tariff
Item
5407.52.30
PUBLIC
STAFF REPORT
Tariff Treatment
New Tariff Description
--- Woven fabrics, containing 90% or more by
weight of textured polyester filaments mixed
solely with spandex, measuring 40 decitex or
more but not exceeding 225 decitex per single
yam, of a weight of 150 g/m2 or more but not
exceeding 200 g/m2
--- Woven fabrics, containing 95% or more by
5407.52.40
weight of textured polyester filaments mixed
solely with carbon, measuring 85 decitex or
more but not exceeding 95 decitex per single
yarn, of a weight of 95 g/m2 or more but not
- exceeding 105 g/m2
5407.52.50
--- Other. for use in the manufacture of amarel
5407.52.90
--- Other
e)
Current rate
Current rate
No dutv
Current rate
Finaricial Significance of Subject Apparel Fabrics
The financial significance, in percentage terms, of domestic sales of the subject
apparel fabrics under the proposed new tariff items, in relation to a firm's total sales,
including non-subject goods and export sales, is reported in Table 5.
Table 5
Significance of Subject Apparel Fabrics of Tariff Item No. 5407.52.90
($000)
New Tariff Repoi-ting
Item
Firm
5407.52.10
Consoltex
Doubletex
5407.52.20
Consoltex
5407.5230
Consoltex
Doubletex
5407.52.40
Consoltex
Share of Total Company Sales
Total Company Sales
2003
2004
2005
Jan.-SeDt.
Sales of Subject Apparel Fabrics
2003
2004
2005
Jan.SeDt.
__
2003
(%)
2004
2005
Jan.-Sept.
Note: "IMM" indicates imminent production, "O" means l a s than 1,000 and "-" means zero.
Source: Reply to C l ï T Questionnaire.
RESEARCH BRANCH
FEBRUARY 2 , 2 0 0 6
TEXTILE REFERENCE ON
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PUBLIC
S T A F F REPORT
4.
Tariff Item 5407.53.00 - Woven fabrics of synthetic filament yarn, including
woven fabrics obtained from materials of heading 54.04, containing 85% or
more by weight of textured polyester filaments, of yarns of different colours.
a)
Domestic Textile Manufacturers
Consoltex reported production and sales of the subject apparel fabrics under tariff
item No. 5407.53.00. Doubletex also reported imminent production of the subject apparel
fabrics classified under this tariff item. Appendix VI provides a detailed listing of the
domestic availability of these fabrics as reported by Consoltex and Doubletex.
b)
Domestic Availability of Subject Apparel Fabrics
Table 6 provides a summary of the domestic availability of product categones
under tariff item No. 5407.53.00 established on the basis of the responses received fiom
domestic textile manufacturers.
Doubletex provided evidence of imminent production in the form of
RESEARCH BRANCH
FEBRUARY 2, 2 0 0 6
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18
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PUBLIC
STAFF REPORT
Table 6
Domestic Availability of Subject Apparel Fabrics of Tariff Item No. 5407.53.00
($000)
Sales of Subject Apparel Fabrics
Product Descrbtions
2005
Jan.-Ser>t.
2 0 0 3 - 2004
5407.53.00 Woven fabrics, containing 85% or more by
weight of textured polyester filaments, of yams of
different colocirs
Total
a. Woven fabi-icssolely of textured polyester filaments,
measuring 70 decitex or more but not exceeding 395
decitex per single yam, of a weight of 85 g/m’ or more
but not exceeding 220 dm’
b. Woven fabirics, containing 90% or more by weight
of textured pol.yester filaments mixed solely with
viscose, measiiring 140 decitex or more but not
exceeding 525 decitex per single yam, of a weight of
130 g/m’ or more but not exceeding 230 glm’
c. Woven fabrics, containing 90% or more by weight of
textured polyester filaments mixed solely with spandex,
measuring 315 decitex or more but not exceeding 350
decitex per single yarn, of a weight of 155 g/m2 or more
but not exceeding 250 g/m2
IMM
IMM
IMM
IMM
d. Woven fabi-ics, containing 95% or more by weight
of textured polyester filaments mixed solely with
carbon, measuring 70 decitex or more but not exceeding
200 decitex per single yarn, of a weight of 90 g/m2 or
more but not exceeding 135 g/m’
Note: “IMM“ indicates imminent production, “O“ means less than 1,000 and
Source: Reply to CITT Questionnaire.
c)
“-”
means zero.
Cornpetitive Products
Consoltex re-iterated the same comments presented under tariff item No.
5407.52.90.
RESEARCH BRANCH
F E B R U A R Y 2 , 2006
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d)
-
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PUBLIC
S T A F F REPORT
Suggested Tariff Structure
Basecl on the information received on domestic sales and imminent production,
staff preparetl the following tariff structure for the subject apparel fabrics reported under
tariff item No. 5407.53.00.
New Tariff
Item
5407.53.10
5407.53.20
5407.53.30
5407.53.40
5407.53.50
5407.53.90
New Tariff Description
--- Woven fabrics solely of textured polyester
filaments, measuring 70 decitex or more but not
exceeding 395 decitex per single yam, of a
weight of 85 g/m2 or more but not exceeding
220 e/m2
--- Woven fabrics, containing 90% or more by
weight of textured polyester filaments mixed
solely with viscose, measuring 140 decitex or
more but not exceeding 525 decitex per single
yam, of a weight of 130 g/m2 or more but not
exceeding 230 sz/rn2
--- Woven fabrics, containing 90% or more by
weight of textured polyester filaments mixed
solely with spandex, measuring 3 15 decitex or
more but not exceeding 350 decitex per single
yarn, of a weight of 155 g/m’ or more but not
exceeding 250 g/m2
--- Woven fabrics, containing 95% or more by
weight of textured polyester filaments mixed
solely with carbon, measuring 70 decitex or
more but not exceeding 200 decitex per single
yarn, of a weight of 90 g/m2 or more but not
exceeding 135 g/m2
---0ther. for use in the manufacture of amarel
---0ther
RESEARCH BRANCH
Tariff Treatment
Current rate
Current rate
Current rate
Current rate
No dutv
Current rate
FEBRUARY 2 , 2006
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TEXTILE REFERENCE O N
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e)
PUBLIC
S T A F F REPORT
Finaiicial Significance of Subject Apparel Fabrics
The financial significance, in percentage terms, of domestic sales of the subject
apparel fabnics under proposed new tariff items, in relation to a firm's total sales,
including non-subject goods and export sales, is reported in Table 7.
Table 7
Significance of Subject Apparel Fabrics of Tariff Item No. 5407.53.00
($000)
New Tariff Reporting
Item
Firm
Sales of Subject Apparel Fabrics Share of Total Company Sales (Yo)
2003
2004
2005
2003
__
2004
2005
Jan.-SeDt.
Jan.-Sept.
Jan.-seDt.
Total Company Sales
2003
2004
-
2005
5407.53.1 O Consa ltex
5407.53.20
Consohex
5407.53.30
Doubletex
5407.53.40
Consoitex
IMM
IMM
IMM
IMM
IMM
IMM
Note: "IMM" indicates imminent produdion, "O" means less than 1,000 and "-" means zero.
Source: Reply ta CII7T Questionnaire.
RESEARCH BRANCH
~~~
FEBRUARY 2 , 2006
TEXTILE REFERENCE ON
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- 21 -
PUBLIC
S T A F F REPORT
5.
Tariff Item 5407.54.00 - Woven fabrics of synthetic filament yarn, including
woven fabrics obtained from materials of heading 54.04, containing 85% or
more by weight of textured polyester filaments, printed.
a)
Domestic Textile Manufacturers
Only Consoltex reported production and sales of the subject apparel fabrics under
tariff item No. 5407.54.00. Appendix VI provides a detailed listing of the domestic
availability of these fabrics as reported by Consoltex.
b)
Domestic Availability of Subject Apparel Fabrics
Table 8 provides a summary of the domestic availability of product categories
under tariff item No. 5407.54.00 established on the basis of the response received from
Consoltex.
Table 8
Domestic Availability of Subject Apparel Fabrics of Tariff Item No. 5407.54.00
($000)
Product Descriptions
5407.54.00 Wclven fabrics, containing 85% or
more by weight of textured polyester filaments,
printed
Sales of Subject Apparel Fabrics
2003
2004
2005
Jan.-Sept.
Total
a. Woven fabnics, solely of textured polyester
filaments, measuring 70 decitex or more but not
exceeding 195 decitex per single yarn, of a weight
of 30 g/m2 or more but not exceeding 195 g/m2
Note: "IMM" iiidicates imminent production, "O" means less than 1,000 and "-" means zero.
Source: Reply to CITT Questionnaire.
c)
Competitive Products
Consoltex re-iterated the same comments presented under tariff item No.
5407.52.90.
d)
Suggcrsted Tariff Structure
Baseci on the information received on domestic sales, staff prepared the following
tariff structure for the subject apparel fabrics reported under tariff item No. 5407.54.00.
RESEARCH BRANCH
FEBRUARY 2, 2006
l
TEXTILE REFERENCE O N
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New Tariff
Item
5407.54.1O
5407.54.20
5407.54.90
e)
- 22 -
New Tariff Description
--- Woven fabrics, solely of textured polyester
filaments, measuring 70 decitex or more but not
exceeding 195 decitex per single yam, of a
weight of 30 g/m2 or more but not exceeding
195 d m 2
--- Other, for use in the manufacture of apparel
--- Other
1
PUBLIC
STAFF REPORT
Tariff Treatment
Current rate
No duty
Current rate
Financial Significance of Subject Apparel Fabrics
The financial significance, in percentage tenns, of domestic sales of the subject
apparel fabrics under proposed new tariff items, in relation to a firm's total sales,
including non-subject goods and export sales, is reported in Table 9.
Table 9
Significance of Subject Apparel Fabrics of Tariff Item No. 5407.54.00
($000)
New Tariff Repoi-ting
Item
Firm
Total Company Sales
200s
2003
2004
Jan.-Sept.
Sales of Subject Apparel
Fabrics
Share of Total Company Sales (%)
2003
2004
200s
200s
2003
2004
Jan.-Sept.
Jan.-Sept.
5407.54.10 Conscltex
Note: "IMM" indicates imminent production, "O" means less thaii 1,000 and "-" means zero.
XTT Questionnaire.
RESEARCH BRANCH
FEBRUARY 2 , 2 0 0 6
TEXTILE REFERENCE O N
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- 23 -
PUBLIC
S T A F F REPORT
6.
Tariff Item 5407.61.99 - Woven fabrics of synthetic filament yarn, including
woven fabrics obtained from materials of heading 54.04, containing 85% or
more by weight of non-textured polyester filaments.
a)
Domestic Textile Manufacturers
Two textile manufacturers, Consoltex and Doubletex, reported domestic sales of
the subject apparel fabrics between January 1, 2003 and September 30, 2005 under tariff
item No. 5407.61.99. Appendix VI provides a detailed listing of the domestic availability
of these fabrics as reported by these firms.
b)
Domestic Availability of Subject Apparel Fabrics
Table 10 provides a summary of the domestic availability of product categories
under tariff item No. 5407.61.99 established on the basis of the responses received from
domestic textile manufacturers.
Table 10
Domestic Availability of Subject Apparel Fabrics of Tariff Item No. 5407.61.99
($000)
Product Descriiptions
Sales of Subject Apparel Fabrics
2005
2003
2004
Jan.-Sept.
Total
5407.61.99 Other woven fabrics, containing 85% or
more by weight of non textured polyester filaments.
a. Solely of non textured polyester filaments,
measuring 75 decitex or more but not exceeding 225
decitex per single yam, of a weight of 50 g/m2 or
more but not exceeding 130 g/m2
b. Woven fabrics, plain weave, containing 85% or
more by weight of non textured polyester filaments
mixed solely with non-textured polyester staple
fibres, measuring 80 decitex or more but not
exceeding 835 decitex per single yam, of a weight of
80 g/m2 or more but not exceeding 95 g/m2
Note: "IMM" indicates imminent production, "O" means less than 1,000 and "-" means zero.
Source: Reply I:O CITT Questionnaire.
RESEARCH BRANCH
FEBRUARY 2 , 2006
TEXTILE REFERENCE O N
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c)
-
24
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PUBLIC
S T A F F REPORT
Com:petitiveProducts
Consoltex re-iterated the same comments presented under tariff item No.
5407.52.90.
Doubletex indicated that its “Delite” lining, made of 100 percent polyester,
competes with nylon lining. According to Doubletex, both types of fabrics are identical in
end-use perfbrmance, regardless of some market perceptions to the contrary. The fashion
sector tends to use polyester, whereas the outenvear sector uses both fibres. In the
outenvear lining sector, nylon has traditionally been used but, because of price, nylon
users are switching to polyester.
d)
Suggested Tariff Structure
Based on the information received on domestic sales, staff prepared the following
tariff structure for the subject apparel fabrics reported under tariff item No. 5407.61.99.
New Tariff
Item
5407.61.a
5407.6 1.b
5407.6 1.XX
(5407.61.99)Retains the
same number
New Tariff Description
Tariff Treatment
---- Solely of non textured polyester filaments,
measuring 75 decitex or more but not exceeding
225 decitex, of a weight of 55 g/m2 or more but
not exceeding 170 g/m2
---- Plain weave, containing 85% or more by
Current rate
---- Other, for use in the manufacture of apparel
---- Other
No duty
Current rate
RESEARCH BRANCH
Current rate
FEBRUARY 2, 2006
TEXTILE REFERENCE O N
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e)
- 25 -
PUBLIC
S T A F F REPORT
Finanicial Significance of Subject Apparel Fabrics
The financial significance, in percentage terms, of domestic sales of the subject
apparel fabrics under proposed new tariff items, in relation to a firm's total sales,
including nori-subject goods and export sales, is reported in Table 11.
Table 11
Significance of Subject Apparel Fabrics of Tariff Item No. 5407.61.99
($000)
New Tariff Reporting
Total Company Sales
Sales of Subject Apparel Fabrics Share of Total Company Sales (%)
2004
2005
2003
2004
2005
2003
2004
2005
Jan.-Seat.
Jan.-Seat.
Jan.-Seat.
2003
5407.61.a
Doubli:tex
Consoitex
5407.61.b
Consoitex
Note: "IMM" indicates imminent production, "O" means less than 1,000 and "-" means zero
Source: Reply to ClTT Questionnaire.
RESEARCH BRANCH
FEBRUARY 2 , 2006
TEXTILE REFERENCE O N
CERTAIN A.PPAREL FABRICS
- 26 -
PUBLIC
S T A F F REPORT
7.
Tariff Item 5515.13.90 - Other woven fabrics of polyester staple fibres, mixed
mainly or solely with wool or fine animal hair.
a)
Domestic Textile Manufacturers
Only Victor reported production and sales and imminent production of the subject
apparel fabrics under tanff item No. 55 15.13.90. Appendix VI provides a detailed listing
of the domestic availability of these fabrics as reported by Victor.
b)
Domestic Availability of Subject Apparel Fabrics
Table 12 provides a summary of the domestic availability of product categories
under tariff item No. 5515.13.90 established on the basis of the response received from
Victor.
Victor has recently made a significant investment in
. With
respect to fah-ics made of polyester/wool/lycra blends (product category a), sales of over
weire reported for the last quarter of 2005 and January 2006.
$
RESEARCH BRANCH
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- 27 -
PUBLIC
S T A F F REPORT
Table 12
Domestic Availability of Subject Apparel Fabrics of Tariff Item No. 5515.13.90
($000)
Product Descriptions
55 15.13.90 Oiher woven fabrics of polyester staple
fibres, mixed inainly or solely with wool or fine animal
hair.
Sales of Subject Apparel
Fabrics
_ _
2005
2003
2004
- Jan.-Sept.
a. Containing 50% or more by weight of polyester staple
fibres, 40% or more by weight of wool and 3% or more
by weight of spandex, twill weave, multiple (folded) or
cabled yam, of a weight of230 g/m2 or more but not
exceeding 305' g/m2
IMM
IMM
IMM
IMM
b. Containing 50% or more by weight of polyester staple
fibres mixed solely with wool, plain weave, multiple
(folded) or cabled yam, of a weight of 190 s/m2 or more
but not exceecling 2 15 g/m2
IMM
IMM
IMM
IMM
c. Containing 65% or more by weight of polyester staple
fibres mixed solely with wool, multiple (folded) or cabled
yam, of a weight of 175 g/m2 or more but not exceeding
280 g/m2
Note: "IMM" indicates imminent production, "O" means less than 1,000 and "-" means zero.
Source: Reply to C I ï T Questionnaire.
c)
Cornipetitive Products
Doubletex indicated that, although none of its fabrics conform to the requirements
of tariff item No. 5515.13.90, it produces fabrics that are direct substitutes for those
covered by this tariff item. For example, fabrics containing 57 percent wool and 43
percent polyester are direct substitutes for fabrics covered by this tariff item.
RESEARCH BRANCH
FEBRUARY 2 , 2 0 0 6
TEXTILE REFERENCE O N
CERTAIN APPAREL FABRICS
d)
- 28
-
PUBLIC
S T A F F REPORT
Suggested Tariff Structure
Basedi on the information received on domestic sales and imminent production,
staff preparetl the following tariff structure for the subject apparel fabrics reported under
tariff item No. 5515.13.90.
New Tariff
Item
5515.13.91
55 15.13.92
55 15.13.93
55 15.13.94
55 15.13.99
e)
New Tariff Description
---- Containing 50% or more by weight of
polyester staple fibres, 40% or more by weight
of wool and 3% or more by weight of spandex,
twill weave, multiple (folded) or cabled yam, of
a weight of 230 g/m2 or more but not exceeding
305 d m 2
---- Containing 50% or more by weight of
polyester staple fibres mixed solely with wool.
plain weave, multiple (folded) or cabled yam, of
a weight of 190 g/m2 or more but not exceeding
215 d m 2
---- Containing 65% or more by weight of
polyester staple fibres mixed solely with wool,
multiple (folded) or cabled yam, of a weight of
175 d m 2 or more but not exceeding 280 d m 2
----Other. for use in the manufacture of amarel
----Other
Tariff Treatment
Current rate
Current rate
Current rate
No dutv
Current rate
Finacicial Significance of Subject Apparel Fabrics
The financial significance, in percentage terms, of domestic sales of the subject
apparel fabncs under proposed new tariff items, in relation to a firm’s total sales,
including nori-subject goods and export sales, is reported in Table 13.
RESEARCH BRANCH
FEBRUARY 2 , 2 0 0 6
- 29 -
TEXTILE REFERENCE O N
CERTAIN APPAREL FABRICS
PUBLIC
S T A F F REPORT
Table 13
Significance of Subject Apparel Fabrics of Tariff Item No. 5515.13.90
($000)
New Tariff Repoi-ting
Item
Firm
Total Company Sales
2003
Sales of Subject Apparel Fabrics Share of Total Company Sales (“h
2003
2004
__
2005
2003
2004
2005
Jan.-Sent.
Jan.-Sent.
Jan.-Sent.
2 0 0 4 -2005
Victoi
IMM
IMM
IMM
IMM
IMM
IMM
5515.13.92 Victor
IMM
IMM
IMM
IMM
IMM
IMM
5515.13.91
5515.13.93 Victor.
Note: “IMM” indicnites imminent production, “O“ means less than 1,000 and ”-“ means zero.
Source: Reply to CITT Questionnaire.
RESEARCH BRANCH
FEBRUARY 2 , 2 0 0 6