In terms of looks, it’s really hot. Think “48th” – but a state, it’s not. No spoonful of sugar needed today, just open wide and gently spray. It has two names, and both are boys’ – but all pint-size travelers will feel the joy. So, riddle me this and register there. And if you’re not in the HUB, then…where?
On May 26, TGA joined hundreds of organizations in urging Congress to press the Biden administration to reinstate, and improve, the product exclusion process for the China Section 301 tariffs. There were dozens of product exclusion petitions for travel goods during the previous process, many of which were arbitrarily rejected. A reinstated and improved product exclusion process might provide new opportunities for the industry to eliminate the punitive tariffs on certain U.S. travel goods imports from China. U.S. travel goods imports from China remain subject to 25% punitive tariffs. These tariffs are in addition to the normal 17-20% tariffs paid on U.S. travel goods imports from China, leading to an effective tariff rate of around 42-45%.
Last week, Senate Finance Committee Chair Ron Wyden (OR) introduced legislation to update and reauthorize three expired trade programs: the Generalized System of Preferences (GSP), the Miscellaneous Tariff Bill (MTB) and the American Manufacturing Competitiveness Act (AMCA). For GSP, the legislation would retroactively extend GSP from Dec. 31, 2020 until January 1, 2027, add new mandatory eligibility criteria for beneficiary countries, including human rights and the environment, add new discretionary criteria on the environment, women’s economic empowerment, rule of law, and digital trade, and require regular country reviews. It remains unclear whether Senator Wyden will be able to hotline the legislation in the Senate, which requires unanimous consent from all 100 Senators. Note that the new eligibility requirements and required review could put into jeopardy GSP benefits for key travel goods suppliers like Myanmar and Cambodia. GSP expired on December 31, 2020, meaning that U.S. travel goods imports from a wide range of developing countries, including Thailand, Cambodia, Burma (Myanmar), Indonesia, Sri Lanka, the Philippines, and Pakistan have paid full duties since January 1, 2021. U.S. Customs and Border Protection (CBP) has issued instructions on how importers can retain the right to collect refunds of duties paid if GSP is retroactively renewed. In 2020, U.S. travel goods imports from GSP countries increased 8.4%. GSP countries supply 16.3% of all U.S. travel goods imports today. TGA continues to lobby Congress for immediate and retroactive renewal of GSP. TGA urges you to write your members of Congress to urge them to retroactively renew GSP as soon as possible. It only takes a couple of minutes.
From retail to manufacturing and up and down the supply chain, imports fuel U.S. workforce, a trade group study shows. The study also examines how imports support jobs in each state and evaluates the potential impact of pending trade policy initiatives on import-related jobs. READ MORE
Senate Finance Chair Ron Wyden released legislation earlier this week that would revive a series of lapsed tariff-reduction programs designed to promote trade with developing countries and make certain imports less expensive for U.S. firms. READ MORE
COVID-19 has precipitated “the most profound change in travel since the airplane,” says Brian Chesky, chief executive officer and co-founder of Airbnb. Speaking over Zoom shortly after presenting a site revamp consisting of 100 (mostly granular) improvements, Chesky detailed his vision of just what he means by that. READ MORE
Memorial Day this year is colliding with soaring travel prices just as millions of Americans are eager to enjoy their first holiday weekend with scaled-back coronavirus restrictions. READ MORE
HARVARD BUSINESS REVIEW
What can retailers do to stay relevant in the post-pandemic world while still retaining the advantages of tried-and-true strategies? In this piece, the authors discuss forthcoming research that suggests that the “Buy Online, Pick Up In-Store” model may be the best option, as it provides many of the advantages of online shopping without many of the downsides of other types of digital shopping experiences. READ MORE
To fix the “leadership bubble” problem, leaders must surround themselves with the right people to stay grounded, get the 360-degree information required to make decisions, and take actions that result in lasting change. Here are seven people that are vital to a leader’s success. READ MORE
BUSINESS 2 COMMUNITY
It is important to understand the differences between social media and digital marketing, so people can go to the right resources for their campaigns. Both social media advertising and digital advertising are crucial aspects of today’s industry and products. Here, we take a deep look at both. READ MORE
We forecast that the total number of U.S. proximity mobile payment users will jump from 101.2 million in 2021 to 125 million in 2025, which will also be the first year that over 50% of all U.S. smartphone users will transact using this method. Data suggests adults plan to continue to use touchless payment methods after the pandemic is over. READ MORE
TRAVEL + LEISURE
The Centers for Disease Control and Prevention has approved the first Royal Caribbean test cruise to set sail in a new step in a restart to cruising. The CDC set a June 20 return for Royal Caribbean sailings a few days after the cruise line submitted their initial test cruise plans to the agency. The CDC will require all cruises in the U.S. to complete test cruises unless 98% of crew and 95% of all passengers are fully vaccinated. READ MORE
Missed last week’s issue? See which articles your colleagues read most.
- Biden Administration Supports Renewal of GSP (TGA)
- Calling All Sustainable Products for Eco-conscious Travelers (TRAVEL GOODS MAGAZINE)
- A Sandman, a Carnivore, and a Shapeshifter Walked Into the HUB This Week… (TGA)
- Airline Carry-on Luggage Size Restrictions: What You Need to Know (TRAVEL + LEISURE)
- TGA Sister Organization Publishes Updated Restricted Substances List (RSL) (TGA)