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Articles Of Interest
Bush Appeals
to Congress to Pass CAFTA
Page
1
300,000 Job Losses
Page
1
China Restricts Textile Exports
Page
1
Former Factory Owner Jailed
Page
1
Textile Safeguard Injunction Overturned
Page
2
South African Laborers Stage Massive Strike
Page
2
La Senza Pulls Out of U.S.
Page
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McPete Sez
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Vendors Form Coalition
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Sara Lee to Close Factory
in France
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Ask Andy
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Chico's to Expand
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Sak's to
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Public Debt
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Peepholes Found in VS Fitting Rooms
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Mone Accused of Sex Discrimination
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July 1, 2005
Issue
#148
23/24
Mcpete
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The
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Women's Wear Journal
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Bush Appeals to Congress
to Pass CAFTA
US President George Bush has formally appealed to Congress to give the go-ahead to the Central American
Free Trade Agreement (CAFTA) to signify the nation’s “commitment to democracy and prosperity for the entire
Western Hemisphere.”
Bush spoke as his administration prepared to pass legislation to Congress to implement the US trade pact
with five Central American countries and the Dominican Republic.
Bush stated, “Today, CAFTA presents us with an historic opportunity to advance a free and fair trading system
that will bring benefits to all sides".
He explained that the deal would secure trade benefits presently experienced by Central American and Dominican
Republic exporters, leading to “good jobs and higher labor standards for their workers.”
CAFTA would also mean that consumers in Central America and the Dominican Republic would gain access to
lower-priced US goods such as textiles.
Following the President’s remarks, US Trade Representative Rob Portman said that CAFTA would benefit
American exporters, particularly those in the agricultural and textile sectors.
However, the agreement – which received preliminary approval from the US House of Representatives earlier
this month – has been criticized by a number of US labor groups and textile companies, who are concerned
that the deal will damage their business.
13/24
300,000 Job Losses
Indonesia’s textile weaving industry saw approximately 300,000 job losses in 2004.
The decrease took the industry’s number of jobs to 1.1 million from 1.4m in 2003, as out-of-date machinery and
lack of financial support prevents development. The industry’s job losses contributed to a wider
downfall in job figures for the manufacturing sector from 11.50m in 2003 to 11.07m in 2004, a survey showed.
Textiles remains Indonesia’s number one export segment, totaling $7.60 billion last year.
A model wears a creation from Cia. Maritima's collection during
the Sao Paulo Fashion Week June 28 thru July 4.
20/24
China Restricts Textile Exports
The Chinese Ministry of Commerce has revealed a set of
provisional guidelines that dictate how much textile producers can export to overseas markets.
A notice on the Ministry’s website said that Chinese textile manufacturers which ship products to "countries
or regions that impose limitations on Chinese textile exports, or to those that have temporary quantity
limitations on Chinese textiles according to bilateral agreements" must apply for temporary export approval
permits from 20 July onwards.
The rules include a method for setting export quota amounts for certain categories of goods.
The guidelines come after China and the EU signed a deal this month restricting increases of Chinese garment
exports to European countries.
9/12
Former Factory Owner Jailed
A former clothing factory owner has been sentenced to 40
years in jail for enslaving, starving and beating employees.
Kil Soo Lee was also ordered to pay $1.8 million in restitution for crimes against workers at Daewoosa Samoa
Ltd in American Samoa, which made garments for retailers including US company J C Penney.
Kil Soo was convicted of conspiracy, money laundering, extortion, and 11 counts of involuntary servitude over
two years ago, representing the largest incident of human trafficking in US history.
Over 200 Chinese and Vietnamese laborers were held at the factory for over two years, until the National Labor
Relations Board and the Department of Labor launched investigations in 2001.
11/12
Candie's Inc Takes a New Name
US retail group Candie's Inc has revealed that it will change its corporate name to Iconix Brand Group Inc on
July 1.
The name change represents the final step of the transformation of the company's business from an
operating footwear and apparel company to a brand management business.
Iconix currently owns the Candie's, Bongo and Badgley Mischka brands, and has licensed them in a broad variety
of categories to retailers, wholesalers and distributors worldwide.
Allure
Leather  
5/24
Lacoste Expands in China
La Chemise Lacoste has announced that it plans to expand its operations in China, vowing to develop it into its largest market within 10 years. "We planned to increase our specialized boutiques and shops by five to ten in 10 years so that Chinese consumers will have easier access to Lacoste," stated CEO Bernard Lacoste. China is currently the company's second fastest growing global market, after the United States. Lacoste sales growth rate in China was 20% in 2003, and is expected to grow higher.
The company plans to not only focus on production to meet local market demand in China but also to consider technology transfer and product export. Lacoste has sought wider cooperation with the Chinese government.
See Tia Lyn Collections at
Lingerie Americas
3/3
July 31 - August 2 at Booth 17C
Calzedonia Opens Factory
in Croatia
Italy-based socks, underwear and swimwear maker Calzedonia has created 400 jobs with a new factory in
northern Croatia.
Calzedonia aims to open another factory in Croatia, which will make bathing suits, in the near future.
Italy is the fourth biggest investor in Croatia
My second favorite household chore is ironing.
My first being, hitting my head on the top bunk bed until I faint. -Erma
Bombeck-
2/3
China Pushes For Positive Relationship with Pakistan
Wang Shenyang, chairman of China Chamber of Commerce for Imports and Exports of Textiles, stated that Pakistan
and China need to work with each other to boost the development of textiles trade.
Wang emphasized the need for the two countries to share knowledge and views on current problems existing in
their trade relationship.
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