Mexico is still a few weeks away from an updated list of retaliatory tariffs on U.S. goods, Mexican Undersecretary for Foreign Trade Luz Maria de la Mora said in a recent interview, according to a report from the Mexican TV network Multimedios. The updated list will include agricultural and industrial goods as well as steel products, she said. That’s similar to the current composition of the current tariffs, imposed in June 2018 in response to U.S. Section 232 tariffs (see 1903140025). Mexico will apply the updated tariffs for a few months, then see what the result is, hoping that the U.S. eliminates its Section 232 tariffs on Mexico, she said.
A recent ruling issued by the Mexico Secretariat of Economy clarifies an exemption from requirements to demonstrate compliance with Mexican product standards for certain products under a Mexican Sectoral Promotion Program (PROSEC), the Confederation of Mexican Customs Broker Associations (CAAAREM) said in a circular. Though many goods are required to have a certificate of compliance on file at entry beginning June 3, that requirement does not apply for (1) entries for consumption (2) by an importer with a PROSEC in effect, if (3) the imported merchandise will be used in the production of merchandise listed in article 4 of the PROSEC regulations, said the circular, as provided by trade consultancy AJR Comercio Exterior. That means that goods may be exempt even if they aren’t listed in paragraph 5 of the PROSEC decree, CAAAREM said.
An updated free trade agreement entered into effect May 1 between Argentina and Chile, complementing an existing agreement that has been in effect for more than 20 years, the Chilean Ministry of Foreign Relations said in a press release. While the existing trade agreement provides for duty-free trade in goods, the new agreement includes modern rules on investment, services, procurement, telecommunications and e-commerce.
The Mexican Tax Administration Service issued a bulletin April 26 detailing the current state of implementation of its automated cargo lanes initiative at Mexican ports. According to the bulletin, posted by trade consultancy AJR Mexico, SAT is currently in the implementation period for automated cargo lanes for export cargo at the ports of Toluca, Tijuana, and Juarez (Zaragoza); for import cargo at the ports of Guanajuato, Ojinaga and Queretaro; and for import and export cargo at the ports of Puebla and Tampico. The initiative is currently in a pilot phase for import cargo at Mexico City International Airport, Mazatlan, Ensenada, Dos Bocas, Guadalajara (intermodal rail cargo) and Colombia, and for import and export cargo at Monterrey. The system allows for automated screening using radiofrequency technology, the bulletin said.
Mexico recently amended its regulations on payment of duties on goods subject to estimated prices for valuation purposes to add new tariff subheadings covering textiles, apparel and footwear and change estimated price amounts. The April 29 notice in the Mexican Diario Oficial adds 545 new tariff provisions to the lists of goods subject to estimated prices, 234 of which were recently added to the Mexican tariff schedule (see 1904110057), according to a circular from the Confederation of Mexican Customs Broker Associations (CAAAREM). For footwear, reference prices were increased for four subheadings and decreased for seven. For textiles and apparel, reference prices were increased for 498 subheadings and decreased for 51, said the circular, which was posted by trade consultancy AJR Comercio Exterior.
The government of Canada recently issued the following trade-related notices as of May 1 (note that some may also be given separate headlines):
Global Affairs Canada released information on seven categories of tariff rate quotas under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership on May 1. The TRQs apply to:
While the Canada Revenue Agency may seek broad financial records from non-resident companies, those companies aren't necessarily required to provide records of transactions not involving Canada, said Cyndee Todgham Cherniak, a lawyer with LexSage, in a blog post. "We are aware of at least one situation where a Canada Revenue Agency (“CRA”) auditor has demanded that a non-resident (U.S.) company to provide a complete electronic copy of their financial records for the purposes of a goods and services tax/harmonized sales tax audit," she said. "The CRA’s request covers financial records of all U.S. transactions and all world-wide transactions that have no connection whatsoever with Canada (in addition to Canadian sales transactions). In other words, the CRA is not permitting non-resident company to isolate transactions involving Canada -- they want everything."
Plant importers will be able to apply for permits electronically starting in June, the Canadian Food Inspection Agency said in a May 1 notice. "Removing the hard-copy requirement makes the electronic application process easier, faster and cheaper, and reduces the administrative burden," the CFIA said. "This updated process promotes electronic access to CFIA services in line with the Agency's priority to offer digital-first tools and services."
Recent editions of Mexico's Diario Oficial list trade-related notices as follows: