The U.S. trade representative is telling the World Trade Organization that the case China brought against the U.S. for Section 301 tariffs should be dropped. "China’s decision to launch this dispute is hypocritical. China is currently retaliating against the United States by imposing duties on most U.S. exports -- over $100 billion of trade. China cannot legitimately challenge measures at issue for being 'unilateral' and WTO-inconsistent, while at the same time openly adopting its own unilateral tariff measures in connection with the very same matter."

CBP created Harmonized System Update (HSU) 1915 on Sept. 3, containing 64 Automated Broker Interface records and 12 Harmonized Tariff Schedule records, it said in a CSMS message. The update includes adjustments required by the fourth tranche Section 301 tariffs. Modifications required by the verification of the 2019 HTS and to support Partner Government Agency message set functionality are included as well.

Former Rep. Beto O'Rourke's presidential campaign released a detailed trade agenda that talked about how he would undo some of what he called President Donald Trump's "disastrous trade war," and how he would advance trade liberalization, if he were elected.

International Trade Today is providing readers with some of the top stories for Aug. 26-30 in case they were missed.

As the 15 percent List 4A Section 301 tariffs took effect Sunday on $52 billion worth of TVs, Bluetooth headphones, smartwatches and other China-sourced consumer tech goods, the Consumer Technology Association marked the development by renewing its call for congressional legislation to rein in presidential authority to wage tariff actions. The U.S. president “does not have unilateral authority on trade,” CTA CEO Gary Shapiro said.

Movado Group downgraded its forecast Wednesday in virtually all financial metrics for fiscal 2020 ending Jan. 31, blaming market volatility it sees worsening with the 15 percent List 4A Section 301 tariffs taking effect Sunday on fashion watches and smartwatches imported from China. Movado also faces “currency headwinds” from sharp fluctuations in the euro and the British pound, said Chief Financial Officer Sallie DeMarsilis on a fiscal Q2 call. It now expects sales for the year to be $725 million-$740 million, down from $750 million-$765 million in its May 30 forecast, she said. Gross margin will be flat to “slightly down” from last year, compared with flat to “slightly improved” in the previous forecast, she said. It projects operating income of $67 million-$70 million compared with $82 million-$85 million in the previous guidance, she said. The outlook “assumes no further changes in prevailing tariff rates,” she said. Shares closed 0.2 percent lower Thursday at $21.17. It's “very early on in the process” to forecast with any precision the impact of the List 4A tariffs taking effect in a few days, said CEO Efraim Grinberg. The tariffs will “definitely have an impact, I believe, on U.S. business,” he said. “We will take certain actions in terms of pricing initiatives, in terms of working with our suppliers,” to mitigate the fallout, he said. “Some will have an effect to gross profits.” Due for fall introduction is the new Movado Connect 2.0 powered by Google's OS Wear, said Grinberg. It’s “our first smartwatch available in two sizes for men and women,” he said.

Comments are due Sept. 20 on the Trump administration’s proposal to hike the first three rounds of Section 301 tariffs on Chinese goods to 30 percent, from 25 percent, effective Oct. 1, says an Office of the U.S. Trade Representative notice Thursday for Tuesday's Federal Register. President Donald Trump tweeted last week he would hike the tariffs after China said it will impose retaliatory duties on $75 billion in U.S. goods (see 1908230006). The notice doesn't mention a public hearing on the proposed hike, and was the first time in the various tariff notice and comment periods that a specific effective date was mentioned. The three lists of tariff subheadings are unchanged from those already in effect, it says. The tariff increases won’t affect any exclusions already granted, it says. USTR wants comments to “address specifically” whether increasing the tariffs to 30 percent “would be practicable or effective to obtain the elimination” of China's allegedly unfair trade practices, it says. It also wants to know if hiking the tariffs “would cause disproportionate economic harm to U.S. interests, including small- or medium-sized businesses and consumers,” it says.

Former Rep. Beto O'Rourke's presidential campaign released a detailed trade agenda that talked about how he would undo some of what he called President Donald Trump's "disastrous trade war," and how he would advance trade liberalization, if he were elected.

Protests in Hong Kong could cut off an escape route U.S. importers have been using to avoid the Section 301 tariffs on Chinese goods, blogged trade consultant David Trumbull Wednesday. The 1992 Hong Kong Policy Act “gives Congress and the President, or the President alone by Executive Order, the power to suspend U.S. recognition of the separate Hong Kong Customs Territory if the U.S. determines that Mainland China has suppressed Hong Kong's autonomy,” Trumbull said. “The current tension in Hong Kong, with protesters saying that China is attempting to do just that[,] could trigger President Trump to invoke the Hong Kong Policy Act and subject goods of Hong Kong origin to the Section 301 tariffs,” he said. “Companies relocating production from Mainland China to Hong Kong to avoid the Section 301 tariffs on China are getting the jitters” over concerns the U.S. could use the law to end Hong Kong’s status as a separate customs territory from China, he said.

Movado Group downgraded its forecast Wednesday in virtually all financial metrics for fiscal 2020 ending Jan. 31, blaming market volatility it sees worsening with the 15 percent List 4A Section 301 tariffs taking effect Sunday on fashion watches and smartwatches imported from China. Movado also faces “currency headwinds” from sharp fluctuations in the euro and the British pound, said Chief Financial Officer Sallie DeMarsilis on a fiscal Q2 call. It now expects sales for the year to be $725 million-$740 million, down from $750 million-$765 million in its May 30 forecast, she said. Gross margin will be flat to “slightly down” from last year, compared with flat to “slightly improved” in the previous forecast, she said. It projects operating income of $67 million-$70 million compared with $82 million-$85 million in the previous guidance, she said. The outlook “assumes no further changes in prevailing tariff rates,” she said. Shares closed 0.2 percent lower Thursday at $21.17. It's “very early on in the process” to forecast with any precision the impact of the List 4A tariffs taking effect in a few days, said CEO Efraim Grinberg. The tariffs will “definitely have an impact, I believe, on U.S. business,” he said. “We will take certain actions in terms of pricing initiatives, in terms of working with our suppliers,” to mitigate the fallout, he said. “Some will have an effect to gross profits.” Due for fall introduction is the new Movado Connect 2.0 powered by Google's OS Wear, said Grinberg. It’s “our first smartwatch available in two sizes for men and women,” he said.