The Biden administration announced a slew of appointments to the Office of the U.S. Trade Representative that do not require Senate confirmation, allowing the agency to get its agenda underway as U.S. trade representative nominee Katherine Tai awaits a hearing and a floor vote.
One of the largest impacts felt from the drastic change in mandate and reach of the Committee on Foreign Investment in the U.S. in the last few years is how lawyers, business people and investors are viewing the committee. Speaking at a Capitol Forum webinar on Feb. 4, three CFIUS industry experts highlighted how far more resources are being exerted on CFIUS compliance measures than at any time since its inception. This is largely due to the Foreign Investment Risk Review Modernization Act of 2018, which greatly overhauled CFIUS's responsibilities, including introducing certain mandatory filings for certain foreign transactions (see 1910310053).
The National Customs Brokers & Forwarders Association of America issued several tips for industry dealing with unfair detention and demurrage fees. In a Feb. 1 email to industry, the group said shippers and traders should try to work out a “satisfactory arrangement” with the billing party and should reference the Federal Maritime Commission’s guidance on fees (see 2009140045 and 2011170041). If a “reasonable solution” can’t be reached, the NCBFAA recommends reaching out to FMC’s Office of Consumer Affairs and Dispute Resolution Services and sending a report to the FMC, which is reviewing the COVID-19 pandemic's impact on ocean transportation (see 2012180038 and 2011200024). The group also recommends bringing a formal case before the FMC if fees climb higher than six figures.
The Bureau of Industry and Security last week published an updated version of its senior management team. BIS now lists Jeremy Pelter as acting undersecretary; G. Nagesh Rao as acting chief information officer; and Opher Shweiki as acting chief counsel.
The U.S. placed a temporary freeze on certain pending arms sales made under the State Department’s Foreign Military Sales and Direct Commercial Sales programs, according to a Jan. 27 Reuters report. The review includes a freeze on arms sales to Saudi Arabia, according to The Wall Street Journal, which added that the new administration is also “scrutinizing” recent purchases made by the United Arab Emirates. The State Department didn’t comment.
The Commerce Department on Jan. 25 announced 17 appointees to lead within the agency under the Joe Biden administration. The initial list includes Christopher Hoff, deputy assistant secretary for services at the International Trade Administration; Meghan Maury, a senior adviser at the Census Bureau; and Feras Sleiman, a congressional affairs specialist at the Bureau of Industry and Security.
The U.S. and the United Kingdom agreed to formally recognize each other's authorized economic operator (AEO) programs, CBP said in a Jan. 21 news release. “This arrangement will take U.S.-UK cooperation on supply chain security to the next level,” said William Ferrara, executive assistant commissioner of the CBP Office of Field Operations. “Mutual recognition of the U.S. and UK authorized economic operator programs will mitigate risks, improve information sharing, and eliminate red tape for our partners in the trade community.” The agreement means CBP “will accept the validation of UK Authorised Economic Operators (AEO) and grant them approval status in the Customs Trade Partnership Against Terrorism (CTPAT),” it said. “Her Majesty’s Revenue and Customs will likewise accept the validation of CTPAT members and grant them approval status as AEOs.”
The State Department withdrew a proposed rule that would have permanently amended the International Traffic in Arms Regulations to allow employees involved in ITAR-related activity to work remotely. The rule, which was sent for interagency review Dec. 3 (see c), was withdrawn Jan. 20, according to the Office of Information and Regulatory Affairs. The White House on Jan. 20 announced a withdrawal of pending rules issued by the previous administration to allow incoming officials to review and approve them. The State Department’s Directorate of Defense Trade Controls had considered making the telework change permanent because it proved popular with industry (see 2004240017, 2007280014 and 2012100009). A DDTC spokesperson declined to comment.
The Census Bureau deleted the country code for Western Sahara, EH, in the Automated Export System, according to a Jan. 19 Census email to industry. Census said questions should be directed to the agency’s Trade Data Collection Branch.
The Defense Department on Jan. 14 released another list of Chinese companies with ties to the country’s military. The latest tranche includes nine companies, including businesses operating in the semiconductor, technology and aviation sectors. The companies will be subject to certain investment bans under an executive order President Donald Trump issued in November (see 2011130026). The latest list follows the release of several similar lists last year (see 2008300001, 2006250024 and 2012040008).