President Obama has been trying to get the Trans-Pacific Partnership through Congress for a while now. Unfortunately for him, it seems to be going nowhere. Both Bernie Sanders and Hillary Clinton are among those who have opposed the deal.
Another opponent has now entered the arena. Shoemaker New Balance has said that the Trans-Pacific Partnership will make it harder for the company to keep making shoes in the United States.
Unlike Nike and Adidas, New Balance still has shoes that are assembled in the United States from foreign parts and shoes that are 100% made in the country. A shoe has to be made from at least 70 percent U.S. parts in order to qualify as Made in the USA.
An employee of the company said that TPP will remove the tariff that Nike and other companies pay for making shoes outside of the United States. This effectively penalizes New Balance for manufacturing in the country.
Brendan Melly, director of U.S. operations, said that manufacturing in the States caused New Balance to get innovative and more efficient. It also allows them to send customized pairs of shoes to your doorstep faster than companies that manufacture in Vietnam or China.
The company alleges that representatives from the Obama administration tried to persuade them to not speak out against TPP in exchange for an opportunity to supply the United States military. The military must have all of its uniforms made in the United States.
Unfortunately, New Balance could never get a meeting with the military, which is why they are speaking out now. CEO Rob DeMartini said:
“We reached a point of frustration where we said we have to speak up, because we’re not getting the treatment we believe American workers need or deserve.”
Most shoemakers support the TPP because it will allow them to save money, and they say these savings will be passed on to the consumer.
Watch:
https://www.youtube.com/watch?v=qkqz8pEnhF0
Featured image via Reddit
