The International Trade Commission (ITC) is conducting its annual review of a scheme designed to boost US imports of apparel from the Dominican Republic.

The so-called Earned Import Allowance Program (EIAP) provides a duty-free benefit for US imports of certain woven cotton bottoms (including trousers, overalls, shorts and skirts skirts) wholly assembled in the Dominican Republic.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Discover B2B Marketing That Performs

Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.

Find out more

To qualify, manufacturers must initially purchase a certain quantity of qualifying US fabric to produce the garments – and for every two square metre equivalents (SME) of qualifying fabric that are used, they receive a one SME credit to ship eligible apparel made with third-country fabric into the US free of duty.

The ITC is required to review this programme annually to evaluate its effectiveness and make recommendations for improvements. Its report will be submitted to the House Ways and Means and Senate Finance committees by August.

Launched nine years ago, the scheme has consistently been found to lack enough incentives to boost Dominican apparel exports to the US market.

Last year’s annual review found that only five of the 12 registered firms are currently using the programme – the same number reported in the last two reviews.

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

In 2016, US imports of woven cotton bottoms from the Dominican Republic fell 57% by value to $3.5m from $8.2m in 2015 and fell 61% by quantity to 745,000 SMEs from 1.9m SMEs in 2015.

US government sources and a user of the programme in the Dominican Republic attributed the decline in US imports under the EIAP to increased imports from Haiti and increased competition from other Western Hemisphere suppliers.

Dominican Republic apparel scheme still fails to lift exports

Just Style Excellence Awards - The Benefits of Entering

Gain the recognition you deserve! The Just Style Excellence Awards celebrate innovation, leadership, and impact. By entering, you showcase your achievements, elevate your industry profile, and position yourself among top leaders driving apparel and textile industry advancements. Don’t miss your chance to stand out—submit your entry today!

Nominate Now