The National Council of Textile Organizations is arguing that the yarn-forward rule for the Dominican Republic-Central America Free Trade Agreement must be retained, because it is driving what it calls "massive investment" in the countries in Central America. The letter it sent to Vice President Kamala Harris on May 31 is timed to her attendance at the Summit of the Americas, and recognizes her role to try to mitigate the poverty and corruption that leads Central Americans to migrate to the U.S. without visas.
Section 301 (too broad)
International Trade Today is providing readers with the top stories from last week in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.
An aggressive timeline that aims to file a conference report by June 21 for the House and Senate China packages has lobbyists speculating that none of the proposals in the trade titles will be in the final bill because the two chambers are too far apart. The two chambers have relatively similar renewals of the Generalized System of Preferences benefits program and a big difference in their renewals of the Miscellaneous Tariff Bill. Each chamber has proposals the other doesn't, such as directing the administration to reopen Section 301 exclusions (Senate only); changing antidumping and countervailing duty laws (House only); removing China's eligibility for de minimis benefits (House only); and renewing and expanding Trade Adjustment Assistance (House only).
The Office of the U.S. Trade Representative will extend the exclusions from Section 301 China tariffs on goods used to treat COVID-19 for another six months, it said in a notice posted on the agency's website. The exclusions were set to expire May 31, but USTR said it will extend the 81 product exclusions to Nov. 30.
The Office of the U.S. Trade Representative will extend the exclusions from Section 301 China tariffs on goods used to treat COVID-19 for another six months, it said in a notice posted on the agency's website. The exclusions were set to expire May 31 (see 2111100037), but USTR said it will extend the 81 product exclusions through Nov. 30.
Six Republican and three Democratic senators are urging President Joe Biden "to substantially maintain the tariffs in their current form," though they also said in a letter that exclusions are necessary for importers who cannot buy from elsewhere, but said Biden shouldn't lift or reduce tariff rates, because that would reduce U.S. leverage to address Chinese economic abuses.
As companies work to move assembly out of China so that the goods they export to the U.S. won't be hit with Section 301 tariffs, they have to grapple with the fact that CBP may still consider a good made in Mexico, Malaysia, Vietnam or elsewhere to be a product of China if enough of its innards were made in China.
Almost 40 agricultural trade groups, along with two port and perishable logistics trade groups, asked the U.S. trade representative to reduce, lift or suspend tariffs so that China would lift its retaliatory tariffs on U.S. crops. “Tariff relief could not come at a more important time,” the trade groups said in a letter. “Rural America and small businesses are facing significant challenges due to the lingering impacts of the COVID-19 pandemic, logistical and supply chain disruptions, record levels of inflation, and the increasing impacts of Russia’s war on Ukraine. "
Greta Peisch, general counsel at the Office of the U.S. Trade Representative, said that the USTR will spell out in an upcoming Federal Register notice what opponents to Section 301 tariffs should address as they critique the effectiveness of the tariffs on the vast majority of imports from China, and what information the office would find useful as they undertake the review of the tariffs.
Although utilities that are installing wind and solar operations and wind turbine manufacturers would like antidumping duty and countervailing duty laws to change to take public interest into account, panelists at Georgetown Law's International Trade Update acknowledged it will probably never happen.