Washington, D.C. – The National Council of Textile Organizations (NCTO) has voiced strong support for the House Ways and Means Committee’s budget reconciliation bill, which includes a provision to permanently eliminate de minimis exemptions for commercial shipments from all countries by 2027.
Industry Praise for Legislative Action Kim Glas, President and CEO of NCTO, commended the committee’s leadership for addressing the de minimis loophole, which has negatively impacted U.S. textile manufacturers and contributed to illicit fentanyl trafficking.
“We applaud the committee’s inclusion of this crucial provision in the broader budget reconciliation bill, marking a significant step toward ending the harmful de minimis access for commercial shipments worldwide,” said Glas. “The current loophole enables four million duty-free, virtually uninspected shipments daily—often containing dangerous and illegal products. Permanently closing this pathway will restore fair competition and bolster our fight against illicit trade.”
Support for Swift Implementation While NCTO supports the proposed 2027 timeline, the organization urges policymakers to accelerate the ban’s implementation given its impact on manufacturers, retailers, and public safety.
“Express shippers have already adapted to processing all Chinese imports through advanced logistics systems, demonstrating their ability to comply with new regulations,” Glas noted. “A faster transition would further strengthen domestic production and investment.”
Acknowledging Executive Action NCTO also recognized the executive actions taken by the Trump administration to curtail de minimis shipments of Chinese goods, which account for approximately two-thirds of all such imports. Glas emphasized the need for continued executive action while Congress works on a legislative solution.
About NCTO
The National Council of Textile Organizations represents the full U.S. textile supply chain, advocating for policies that promote domestic manufacturing and job growth.
- In 2024, U.S. textile supply chain employment totaled 471,046.
- The U.S. textile and apparel industry recorded $63.9 billion in shipments in 2024.
- Fiber, textile, and apparel exports reached $28.0 billion in 2024.
- Capital investments in textile and apparel production amounted to $2.98 billion in 2022.
