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Textile Trade: Operations of the Committee for the Implementation of Textile Agreements

NSIAD-96-186 Published: Sep 19, 1996. Publicly Released: Sep 30, 1996.
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Highlights

Pursuant to a congressional request, GAO reviewed the U.S. Committee for the Implementation of Textile Agreements' (CITA) role in administering the U.S. textile program, focusing on: (1) CITA authority, functions, resources, and costs under the Multifiber Arrangement (MFA) and the 1994 Agreement on Textiles and Clothing (ATC); (2) the CITA process for imposing quotas; (3) CITA use of data to make quota decisions; (4) CITA use of ATC temporary import quota safeguards in 1995; (5) European Union (EU), Canadian, and Japanese use of quotas under MFA and ATC and their processes for imposing quotas; and (6) the U.S. International Trade Commission's (ITC) safeguard process.

Recommendations

Matter for Congressional Consideration

Matter Status Comments
If Congress is dissatisfied with the amount of transparency in CITA operations, it may wish to consider such measures as requiring CITA to publish its operating procedures, the minutes of its meetings (edited to protect proprietary or other sensitive information), and voting records.
Closed – Implemented
Congress gave consideration to this recommendation but it found the recommendation was no longer relevant as CITA imposed very few quotas on textile and apparel following the issuance of GAO's report.
In the area of decisionmaking, Congress may wish to consider establishing threshold levels for import increases or production declines that would prompt consideration of imposing quotas.
Closed – Implemented
Congress gave consideration to this recommendation but it found the recommendation was no longer relevant as CITA imposed very few quotas on textile and apparel following the issuance of GAO's report.
In the area of decisionmaking, Congress may wish to consider directing CITA to make quota decisions on the basis of consensus among its members.
Closed – Implemented
Congress gave consideration to this recommendation but it found the recommendation was no longer relevant as CITA imposed very few quotas on textile and apparel following the issuance of GAO's report.
In the area of oversight, Congress may wish to consider establishing a high-level interagency body to review CITA decisions to impose quotas. This body could be similar to the Textile Trade Policy Group that existed between 1975 and 1987.
Closed – Implemented
Congress gave consideration to this recommendation but it found the recommendation was no longer relevant as CITA imposed very few quotas on textile and apparel following the issuance of GAO's report.

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Topics

Clothing industryData collectionImport regulationInternational agreementsInternational tradeInternational trade restrictionRestrictive trade practicesTrade policiesTextile industryImport quotas