Pacific trade pact hurts local garment exports the most
Santo Domingo.- Garments top the list of 13 Dominican export products that would be most affected in the US market by competition from the Trans-Pacific Partnership (TTP) countries, according to an analysis by the Dominican trade think tank, IADG.
The list also includes products and plastic packaging, jewelry, footwear and parts and fresh and processed foods, said researcher Pavel Isa, who headed the study.
During the presentation at the Santo Domingo Technological Institute (Intec), Isa said the export products’ annual average value tops US$1.5 billion, or 34% of total exports of goods to the US market from 2012 to 2014, and 17% of all Dominican exports.
“Garments will account for 88% of the expected increase in exports from TTP countries. Dominican Republic’s main competitors in textiles would be Vietnam and Malaysia,” the economist said.
The analysis predicts that just as a result of tariff rollback, exports from TTP countries of those products to the US market would jump by US$432 million (31%), from US$1.38 billion to US$1.8 billion.
He said the research found evidence that the TPP’s impact will not jeopardize the Dominican Republic severely, but “there’s always will be minor but negative effects.”
July 6, 2016
Category: DR News |