PolicyBrief
S. 742
119th CongressFeb 26th 2025
Haiti Economic Lift Program Extension Act of 2025
IN COMMITTEE

Extends duty-free treatment for certain apparel articles from Haiti under the Caribbean Basin Economic Recovery Act until September 30, 2035, and restores preferential trade treatment for specific articles that became ineligible due to tariff schedule revisions.

Bill Cassidy
R

Bill Cassidy

Senator

LA

LEGISLATION

Haiti Trade Deal Gets a 10-Year Extension: Duty-Free Access Expanded Through 2035

The Haiti Economic Lift Program Extension Act of 2025 is essentially giving a major boost to trade between the US and Haiti. The core of the bill is straightforward: it extends existing trade benefits for Haiti, allowing a range of goods to enter the US duty-free, all the way through September 30, 2035. It also fixes a glitch that made some products ineligible for these benefits due to tariff schedule changes.

Stitching Together Trade Benefits

This act does a few key things. First, it clarifies that the "applicable percentage" for duty-free treatment is 60% or more, a detail that's been in place since 2017 (Section 2). It also sets a cap on how much apparel can come in under these special rules: no more than 1.25% of total US apparel imports in any given year (Section 2). This keeps things balanced and prevents a flood of just one type of product. Finally, the bill makes sure that certain items that lost their duty-free status because of changes in the tariff schedule get that status back (Section 3). The President will adjust the Harmonized Tariff Schedule to reflect this, after providing a report to Congress.

Real-World Impact

For Haitian businesses, this means a longer runway to plan and invest, knowing they'll have preferential access to the US market. Think of a Haitian clothing manufacturer – they can now confidently invest in new equipment or hire more workers, knowing they have a decade of duty-free access ahead. For US consumers, it could mean continued access to Haitian-made goods, potentially at lower prices. For example, if you've been buying Haitian handicrafts or certain apparel items, this bill helps ensure those products remain available and affordable.

Restoring What Was Lost

Beyond the extension, the bill also fixes a past problem. Some Haitian products lost their duty-free status because of technical changes to the US tariff system. This bill (Section 3) tells the President to restore that status. This matters because it levels the playing field. It's like fixing a loophole that unfairly penalized certain Haitian exports. This restoration ensures that products that were originally intended to benefit from duty-free access will continue to do so.