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Interview: U.S. baby accessories vendor says tariffs pose safety concern

WASHINGTON
2019-06-26 08:44

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WASHINGTON, June 25 (Xinhua) -- Safety issues in baby accessories cannot be compromised and Chinese suppliers have the expertise to guarantee both the quality and safety of their products, a U.S. vendor, whose commodities are facing potential additional tariffs by the U.S. government, has said.

After testifying in a hearing in Washington, Katherine Gold, president and CEO of Goldbug, said that with regard to baby products, Chinese manufacturers have "a lot of know-how on the production lines," making them reliable and irreplaceable suppliers for her company.

Based in Denver, Colorado, Goldbug mainly focuses on toddler shoes and socks, as well as some travel gear, according to Gold, who inherited the company from her father and transformed it into a major supplier of baby footwear to retail giants such as Target Corporation and Walmart Inc.

Issues like choking hazards and toe or finger entanglement, coupled with varying work environments under which the products are made, make safety a matter of paramount importance for the baby product industry, Gold said.

Gold added her Chinese partners understand that in order to make the shoes and socks safe for babies to wear, "the threads can't be loose and cause entanglement issues for the toes" since they have been doing "the stitch and turn" for so many years.

Goldbug is the largest importer of children's accessories in the U.S. market and 80 percent of its imports come from China, said Gold.

She traveled from Denver to Washington to attend the hearing held by the U.S. Trade Representative's office (USTR) to solicit public comments on the Trump administration's proposed additional tariffs of up to 25 percent on some 300 billion U.S. dollars' worth of Chinese imports.

The hearing lasted seven business days and concludes on Tuesday, during which witnesses representing companies and industries covering a variety of sectors have showed up, mostly asking for exemption of their products from the suggested tariff list.

"We feel emotionally responsible for the safety of the infants and toddlers who wear our shoes and we would not want to potentially compromise safety by moving the factories in countries that have never produced similar products," Gold said in a written testimony submitted to the USTR.

"Our products are priced to provide baby shoes to new parents across the income spectrum, including in rural and less advantaged areas for American consumers," Gold wrote. "It does not make sense for us to raise prices or lower the safety and quality for this vulnerable group of consumers."

Gold said she "totally values" her Chinese suppliers, calling them "very strong" and "lifelong" partners -- many of whom she has worked with for about 20 years.

"I value the relationship deeply, and we have a lot of trust in each other, and the ability to (maintain) strong communication" on a daily basis, she said.

Gold said her company looks forward to continuing to operate with its Chinese partners, even in the face of the 25 percent tariffs, since neither the pricing nor the capacity can be found elsewhere.

She lamented the fact that the proposed duties will not only result in U.S. consumers buying less, but also -- in some extreme cases -- lead to the extinction of some products.

Prior to Gold, witnesses testifying during previous days -- such as those on behalf of providers of baby carriers and life jackets used in recreational maritime activities -- also made safety concerns the key argument against the tariff hike.

"I think it's of the highest concern, which is why we are petitioning today, because we have a concern about the safety and quality of the baby products that we put into the marketplace," Gold said.

The additional tariffs on her company's products, Gold said, are regressive as they will hit the most economically disadvantaged consumers in the marketplace.

Gold said she doesn't know what a final resolution to the U.S.-China trade frictions would look like, but hopes that company representatives like her won't need to continue this discussion on tariffs for much longer.

Gold said she expects Washington and Beijing will "come to some kind of a cooperative agreement."

"Reasonable minds will prevail," she said.

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