Lawyers speaking at the Foreign Trade Association’s World Trade Week event said CBP is already drowning because of the consequences of the massive increase in post-importation tariff exclusions, and they're expecting it to get worse. Michael Roll, from Roll & Harris trade law firm, said he's betting that the Office of the U.S. Trade Representative will reopen the exclusion process for Section 301 tariffs before summer's over. But he expects it will take until late 2021 or early 2022 for exclusions to be granted, which means many imports that entered after exclusions expired, or that never had exclusions, will have been liquidated by the time the importers learn they didn't have to pay the tariff.

Sobel Network Shipping Co. acquired Sunshine Services International, an airline general sales agent “with an export-focused client base that will complement Sobel's expanding and diverse business footprint,” Sobel said in a May 3 news release. Terms of the deal weren't released.

The trade policy counsel at a free markets-oriented think tank said that the hike in tariffs on 70% of what we import from China has increased costs on consumers, led to an estimated 300,000 fewer jobs, and didn't achieve its aims. “That might have been worth it if China were making wholesale changes to its commercial policies, but the early indications are not positive,” Clark Packard said during an R Street Institute webinar April 9. Packard said that staffers on Capitol Hill accept his argument that tariffs are damaging to the U.S. economy, but they say that not doing anything to respond to China's quest for economic domination is not an answer.

The U.S.-Bangladesh Business Council aims to increase trade between the two countries, as Bangladesh is expected to graduate from the least-developed countries list by 2026. The U.S. is the largest importer of Bangladeshi products, and imported not quite $7 billion in 2019, according to the Office of the U.S. Trade Representative. A launch program hosted by the U.S. Chamber of Commerce said that Bangladesh imported more than $1 billion in American agricultural products.

The American Association of Port Authorities said that $17 billion dedicated to ports is “a substantial down payment on the $29 billion in federal investments necessary to modernizing our ports and ensuring that our trade infrastructure remains strong.” It said that more than a quarter of U.S. GDP is connected to imports and exports through the seaports.

Penny Naas, president of UPS's international public affairs, said one bright spot in logistics during the pandemic is that more countries accepted electronic documents as goods crossed borders. She gave the example of an inefficient paper-based process as a country requiring a stamp, or chop, on goods entering or exiting the country. “A lot of that was suspended during COVID-19, but we’re starting to see some of that creep back,” she said during an Atlantic Council webinar March 31 on logistics. Naas called for digitalizing the import processes for low-value shipments, as direct exports to consumers grow rapidly. “There’s a way to digitalize it; but it’s expensive, and it’s not necessarily the sexiest of issues to digitalize the border,” she said. But if countries did, it would be a tremendous opportunity to stop illicit trade and increase revenue collection, she said.

Alcohol trade groups and the retailers and restaurants that sell alcoholic beverages are asking for the tariffs on distilled spirits in connection with the Section 232 tariffs to be lifted and the pause in tariffs on wines and spirits in the aircraft subsidy case to be made permanent. Calling themselves the Toasts Not Tariffs Coalition, the 47-member coalition made the call March 23. They noted that European countries continue to tax bourbon and whiskey at 25%, and that that rate is set to double on June 1, because of U.S. tariffs on British and European Union-made steel.

Descartes Systems acquired QuestaWeb, Descartes said in a March 1 news release. Descartes said paid about $36 million with cash on hand for the company, a trade management software company and ACE developer. “In today’s complex and dynamic regulatory environment, technology is crucial to ensure that supply chains are compliant and efficient at each step along the way,” said Ken Wood, executive vice president-product management at Descartes. “The addition of QuestaWeb’s FTZ solution brings an important capability to our Global Logistics Network and will help our customers manage the entire foreign-trade zone process, allowing them to minimize duties, fees and taxes while remaining compliant with CBP regulations.” Descartes has made several acquisitions in recent years (see 1901280021 and 1612280024).

The U.S. Chamber of Commerce has warmly endorsed Katherine Tai to be U.S. trade representative. In a letter sent Feb. 23, Executive Vice President Myron Brilliant said her experience at the Office of the U.S. Trade Representative and as chief trade counsel for the House Ways and Means Committee, is invaluable. “She combines policy acumen, negotiating experience, and political savvy,” he wrote. “While one important aspect of USTR’s mission is to address unfair trading practices, the previous Administration’s dramatic expansion in the application of tariffs contributed directly to a manufacturing and agriculture recession well in advance of the [COVID-19] pandemic, and this experience illustrates the perils of an excessive reliance on tariffs. The next USTR must avoid the use of tariffs as a blunt instrument, and must avoid inaction on trade agreements as well,” he said, adding that Tai understands that.

International law firm Akin Gump has partnered with Palantir Technologies to create RegSpot, a digital services platform intended to help Akin Gump's clients address their legal needs and compliance issues, a Feb. 18 news release said. The platform's first module is designed to help with due diligence concerns involving U.S. export restrictions on transactions involving military end-use or end-users (MEU) in designated countries. Dubbed the “MEU Tool, powered by Palantir,” the module is intended to streamline the due diligence process of collecting and reviewing the relevant information while incorporating Akin Gump's assessment capabilities to respond to the legal risks posed by certain transactions, the release said. “With the increasing complexities of U.S. export controls, companies face the daunting task of conducting sufficient due diligence to identify and respond to red flags,” Tom McCarthy, Akin Gump’s head of international trade practice, said. “The MEU Tool helps provide an auditable process that promotes consistency, reduces human errors, and serves as a recordkeeping tool to demonstrate a company’s compliance efforts. This function is critical as companies face increasing scrutiny from regulators in an ever-changing legal landscape.”