This article utilises a 'commodity chains' approach in order to examine the growth in the role of Caribbean offshore assembly operations in the North American apparel production complex. It specifically focuses on the recently enacted Caribbean Basin Trade Partnership Act (CBTPA), which was designed to address the diversionary consequences of the North American Free Trade Agreement (NAFTA) in terms of apparel-related investment in the Caribbean. In the process, it highlights the domestic coalition of forces within the USA which have been actively pushing for NAFTA parity for the Caribbean since 1993. In particular, it notes that contradictions within this NAFTA parity coalition account for the skewed nature of the CBTPA, as it was eventually passed. For this reason it is ultimately argued that, while this legislation is likely to enhance regional integration and further the competitiveness of US apparel firms, any developmental consequences accruing to the Caribbean from this package are likely to be fairly limited, given the restrictive nature of the legislation as well as the competitive logic of the export processing zones (EPZs) in which Caribbean apparel assembly is invariably located.