H.R. 1625: Haiti Economic Lift Program Extension Act of 2025

This bill, titled the Haiti Economic Lift Program Extension Act of 2025, aims to extend the benefits of duty-free treatment for imports from Haiti under the Caribbean Basin Economic Recovery Act. Here’s a breakdown of what it proposes:

Duty-Free Treatment Extension

The bill proposes to continue and amend certain provisions related to duty-free access for goods imported from Haiti. Specifically, it seeks to:

• Modify Applicable Percentage: Adjust the definition of the "applicable percentage" which determines how much of a product must be made in Haiti to qualify for duty-free treatment, setting it at 60 percent or more from December 20, 2017, onward.
• Change Quantitative Limitations: Allow up to 1.25 percent of the total apparel articles imported into the U.S. to be eligible for preferential duty-free treatment during each subsequent period after an initial one-year eligibility period.
• Flexible Renewal Instead of Fixed Periods: Allow the duty-free treatment to be renewed in any of the succeeding one-year periods, rather than only under strict, successive conditions.
• Extend Deadline for Duty-Free Status: Ensure that the duty-free treatment remains effective until September 30, 2035.

Restoration of Eligibility for Certain Articles

The bill also aims to restore the eligibility of certain articles for duty-free treatment that were previously eligible under the Caribbean Basin Economic Recovery Act but lost their status due to updates to the Harmonized Tariff Schedule. The relevant provisions include:

• Presidential Proclamation: The President would need to adjust the Harmonized Tariff Schedule to allow specific articles that qualify for restoration to regain their duty-free treatment.
• Conditions for Restoration: Articles eligible for restoration are those that were duty-free prior to December 20, 2006, and became ineligible afterward due to tariff schedule revisions.
• Proclamation Effectiveness: Changes proposed by the bill will come into effect only two business days after the President informs relevant congressional committees about the modifications made.

Objective of the Bill

The overall goal of the bill is to support economic development in Haiti by promoting trade and encouraging imports from the country, thereby helping to improve economic conditions and potentially create jobs in both Haiti and the United States.

Relevant Companies

• NKE (Nike, Inc.): As a major apparel company, Nike may benefit from reduced costs on Haitian-made goods, allowing for potentially lower prices or increased profit margins.
• ADBE (Adobe Inc.): If Adobe seeks to engage with apparel or textile manufacturers in Haiti for marketing solutions, they could benefit indirectly from a healthier apparel market.
• FL (Foot Locker, Inc.): Foot Locker might gain from lower import costs on footwear produced in Haiti, potentially improving their retail margins.