A centrist think-tank says that red tape at the border costs U.S. exporters more than twice what they pay in tariffs, and says that the U.S. should continue to push for trade facilitation measures. The World Trade Organization passed a Trade Facilitation Agreement, but developing countries did not have to implement it immediately, and even five years after it went into force about 23% of its provisions have not been implemented. Only half of signatories have established a single window, which helps exporters and importers file most documents electronically. The WTO estimated that full implementation would reduce trade costs by 14.3%.
Kazakhstan recently announced the second stage of its 2022 meat and poultry tariff rate quotes, the USDA Foreign Agricultural Service said in a July report. The country “approved the distribution” of 8,505 tons of beef and 94,500 tons of poultry, USDA said, unchanged from the 2021 volumes and rates.
South Korea recently adjusted its tariff rate quotas on seven “key” agricultural goods for the second half of this year, the USDA Foreign Agricultural Service said in a report last week. The new expanded quotas, meant to stabilize food prices, will affect soybean oil, sunflower seed oil, pork, wheat, wheat flour, processed egg products and fodder, the agency said. The changes took effect July 1.
Kenya recently approved a new finance act that placed or increased duties on a range of imports, including various electronics, cosmetics, jewelry and other luxury goods, the Hong Kong Trade Development Council reported July 19. The country imposed new 10% duties on mobile phones and a 40% tariff on electronic cigarettes and other “nicotine devices,” HKTDC said. Kenya increased import duties on various beauty products and jewelry from 10% to 15%, and raised rates for sugar, spirits, fruit and vegetable juices and others. It eliminated the 25% import duty on furniture.
Although climate advocate Sen. Sheldon Whitehouse, D-R.I., has hopes of introducing a bipartisan carbon border adjustment tax, he said it may take American exports being hit with carbon border tariffs in Europe to get Congress to move.
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The European Council liberalized trade in seven Moldovan agricultural products in a July 18 regulation, the council announced. The move allows Moldova to "at least" double its exports of tomatoes, garlic, table grapes, apples, cherries, plums and grape juice to the EU tariff-free for one year. The lifting of restrictions is meant to ease the impact of Russia's war in Ukraine on Moldova, whose export industry relies on Ukrainian infrastructure, the council said. Due to the war, Moldova has lost access to Ukrainian, Russian and Belarusian markets, the council said.
Just as the U.S. trade representative declined to continue work toward a traditional free trade agreement with the U.K. begun during the previous administration, current USTR Katherine Tai announced July 14 that trade talks with Kenya will deal with trade facilitation, digital trade, science-based sanitary and phytosanitary rules and rooting out forced labor in supply chains -- not reducing tariffs on either side.
Mexico recently postponed a planned tariff reduction on certain imported steel products, the Hong Kong Trade Development Council reported July 11. The country had planned a series of staggered duty reductions for the steel goods starting June 30, but Mexico delayed one of the dates to June 1, 2023, the report said. On that date, Mexico will reduce duties on certain steel products from 15% to 10%. Other planned duty reductions are expected to continue on schedule, HKTDC said.
China recently extended its Section 301 retaliatory tariff exclusion period for sorbitol and other non-U.S. agricultural goods, the USDA Foreign Agricultural Service said in a July 8 report. The exclusion period was scheduled to expire June 30 but now will remain in effect until Feb. 15, 2023. USDA said this is the fourth time China has extended the exclusion period for sorbitol, adding that the U.S. has historically ranked as the second-largest supplier of sorbitol to China, behind Germany.