WASHINGTON — U.S. Customs & Border Protection, Mexican Customs and the National Council of Textile Organizations are collaborating in a textile task force to crack down on import fraud, a growing problem that threatens the domestic textile industry’s nascent recovery.
Industry executives said the fraud is carried out primarily when foreign manufactures use phony affidavits — often copies of certificates — from legitimate U.S. textile companies to falsify that their yarn or denim fabric was made in the U.S. when it was actually produced in China or other countries. That allows them to take advantage of duty free benefits under U.S. trade pacts such as the Central American Free Trade Agreement and the North American Free Trade Agreement.
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