How do we transition out of the COVID-19 crisis? It’s the most important question of our time, as a smooth one can set the fashion, apparel, footwear, and travel goods industry – and all industries, really – up for revival and future growth.

Today, the American Apparel & Footwear Association (AAFA), the CFDA, and the Travel Goods Association sent a letter to Congress outlining recommendations for future stimulus measures to help American businesses as the country emerges from the COVID-19 pandemic.

Among the recommendations are:

• Suggested modifications to programs in the CARES Act to provide liquidity to more companies and to help companies keep more Americans on payroll.
• Requests for the extension of duty payment deferrals and tariff relief to include those products that have been excluded to date, such as those hit with duties under the Section 301 tariffs.
• Renewal of trade preference programs, including the Caribbean Basin Trade Partnership Act and the Generalized System of Preferences, which provide trade preferences to countries that meet specific requirements.
• Expansion of tax credits, business interruption insurance, and liability protection.
• Support for childcare funding to help families get back to work.

“The COVID-19 pandemic is a health crisis that is leaving an economic crisis in its wake,” said Steve Lamar, president and CEO of the American Apparel & Footwear Association. “As companies have closed stores and limited operations in line with public health guidance to protect workers and consumers, they have been unable to bring in the revenue they need to pay their employees and the bills that come with running a business.

“While the CARES Act and other measures have provided the liquidity and cash flow to fill a few of the gaps, there are many more that need to be addressed, particularly to help companies who have been on the front lines of repurposing factories and supply chains to make and distribute items of personal protective equipment,” Lamar added. “We are providing Congressional leadership with an overview of what is on our industry’s mind and what our members need to retain and re-activate as many Americans as possible in the workforce, so that we can recover quickly.”

The letter was sent to House Speaker Nancy Pelosi, Senate Majority Leader Mitch McConnell, House Minority Leader Kevin McCarthy, and Senate Minority Leader Charles Schumer.

“While Congressional action put in place programs that provide support for businesses during the pandemic, additional relief is needed,” said CFDA President and CEO Steven Kolb. “As fashion and retail look to reopen in the near future, the ability to rehire workers is critical. There is more that Washington can do, starting with changes to the CARES Act while considering other steps outlined by our organizations.”

Read the full letter here.