Mongolia Third Neighbor Trade Act

HR 6539, the Mongolia Third Neighbor Trade Act, would provide duty-free access to the U.S. market for certain Mongolian cashmere and textile products meeting specific criteria. It directly affects Mongolian exporters of cashmere apparel and textiles, requiring products to contain at least 23% cashmere by weight or 51% value, be wholly manufactured in Mongolia, and comply with U.S. environmental standards. The bill aims to boost trade by supporting Mongolia’s cashmere industry - which employs many women and faces challenges like livestock losses from climate disasters - and reduce reliance on Chinese processing. It includes verification requirements to prevent transshipment and expires in 2029.