INTERNATIONAL
Women still pay more for clothing under US tariff system
The current tariff disparity is a legacy of policies shaped in the 1930s and 1940s- File pic by AP
New York: Women in the United States continue to pay more for clothing than men due to enduring disparities in the federal tariff system, which imposes higher import taxes on women's apparel- a phenomenon critics call the 'pink tariff'.
CNN reported that according to the Vice President and Director for trade and global markets at the Progressive Policy Institute, Edward Gresser, the tariff gap costs women over $2 billion annually, with an average of one dollar more paid per garment compared to men.
"Most manufactured apparel and footwear are classified by gender in the US Harmonized Tariff Schedule (HTS), which sets out the tariff rates for all categories of merchandise imported into the United States.
"Tariff rates on women’s clothing were, on average, 16.7% in 2022 — 2.9 percentage points higher than the 13.6% average tariff rate for men’s clothing," said Gresser.
Itemised comparisons reflect the same trend. In 2017, women’s suits were taxed at 15.1%, while men’s suits faced a 13.3% tariff.
Meanwhile, women’s underwear faced a 12.8% tariff rate, compared to 8.6% for men’s.
There is no single explanation for this disparity, but trade experts say it stems from policies established decades ago.
It came from a legacy of policies shaped in the 1930s and 1940s, when the United States played a key role in establishing the global free trade system.
At the time, men’s clothing was a dominant industry and a major source of employment, prompting U.S. textile and apparel manufacturers to focus their lobbying efforts on reducing tariffs for men’s apparel.
In contrast, women’s clothing represented a smaller market segment and received less attention, leaving behind a tariff structure that persists to this day.
CNN reported that according to the Vice President and Director for trade and global markets at the Progressive Policy Institute, Edward Gresser, the tariff gap costs women over $2 billion annually, with an average of one dollar more paid per garment compared to men.
"Most manufactured apparel and footwear are classified by gender in the US Harmonized Tariff Schedule (HTS), which sets out the tariff rates for all categories of merchandise imported into the United States.
"Tariff rates on women’s clothing were, on average, 16.7% in 2022 — 2.9 percentage points higher than the 13.6% average tariff rate for men’s clothing," said Gresser.
Itemised comparisons reflect the same trend. In 2017, women’s suits were taxed at 15.1%, while men’s suits faced a 13.3% tariff.
Meanwhile, women’s underwear faced a 12.8% tariff rate, compared to 8.6% for men’s.
There is no single explanation for this disparity, but trade experts say it stems from policies established decades ago.
It came from a legacy of policies shaped in the 1930s and 1940s, when the United States played a key role in establishing the global free trade system.
At the time, men’s clothing was a dominant industry and a major source of employment, prompting U.S. textile and apparel manufacturers to focus their lobbying efforts on reducing tariffs for men’s apparel.
In contrast, women’s clothing represented a smaller market segment and received less attention, leaving behind a tariff structure that persists to this day.