U.S. tariff policy and export dynamics in Peru’s apparel and clothing industry during the 1990s

This article examines the impact of U.S. tariff policy on Peruvian apparel exports during the 1990s. It seeks to determine whether these policies—specifically the measures adopted under the Caribbean Basin Initiative—affected Peru’s export performance, in a context where U.S. apparel imports underwent significant changes. The analysis is based on apparel export data from 1990 to 2001, and a descriptive approach is used to evaluate Peru’s growth rates and market share relative to direct competitors, such as Mexico and Central American countries. The results indicate that, although Peruvian exports grew significantly overall, the preferential access granted to Caribbean nations negatively impacted the competitiveness of Peruvian exports to the United States, especially beginning in 2001, when broader benefits were implemented under the CBTPA. The implications suggest that U.S. policy not only affects bilateral trade but must also take into account the design of tariff policies to strengthen Peru’s position in the U.S. textile market. (Abstract and audio: Department of Economic Publications)