As long as the trade talks are limited to industrial goods -- which does include fisheries under World Trade Organization rules -- European Union Trade Commissioner Cecilia Malmstrom said she thinks the talks could conclude before the current commission leaves office in late October. Malmstrom was visiting Washington to talk to her counterpart, U.S. Trade Representative Robert Lighthizer, and to give a speech at the Georgetown Law International Update.
Rep. Norma Torres, D-Calif., said in a letter on March 5 that she is seeking support from other members for her bill that will “maintain current firearm export policies” instead of adopting a proposal by the Trump administration that she said would create less oversight for gun exports. The administration's proposal, Torres wrote, would transfer oversight for firearms exports from the Department of State to the Department of Commerce, which would not require American gun and ammunition manufacturers to register with the State Department. “Firearms sales would be approved with little to no congressional oversight,” wrote Torres, who introduced the Prevent Crime and Terrorism Act that she said would nix the proposal. “If we are not careful, some of those firearms could end up in the hands of dictators, terrorists, and narco-traffickers.”
A recent fine on a U.S. company while simultaneously penalizing the manager of the company's foreign subsidiary after both violated sanctions on Iran seems reflective of the increasingly aggressive nature and number of U.S. enforcement actions taken on sanctions violations during the last few months, according to several Washington trade lawyers. The fine was called “unprecedented” in early February by the Department of the Treasury. After distributing just one penalty through the first eight months of 2018, the Office of Foreign Assets Control doled out six penalties during the last four months of 2018, according to the office's records. And two months through 2019, OFAC already has administered four penalties worth more than $7 million, according to the agency, including a $5.5 million penalty against the German subsidiary of an Illinois-based company on Feb. 14.
Brazil has notified the World Trade Organization that it intends to put in place $180 million in tariffs on certain goods from the European Union in retaliation for the EU’s steel safeguards. The tariff would apply to certain goods of heading 0402 at 15%, of 0703 at 19%, of 2402 at 11%, of 4202 at 19% or 11%, of 4203 at 11%, of 6403 at 19%, of 8113 at 10%, of 8703 at 19%, of 9004 at 11%, of 9403 at 10%, of 9503 at 19%, of 9504 at 11%, of 9506 at 11%, and of 9614 at 10%. Affected goods include milk, cigars and cigarettes, jewelry, certain motor vehicles, playing cards, sports equipment, garlic, purses, apparel, footwear, sunglasses, wooden furniture and toys. Not all goods within those subheadings would be affected. The amount of the tariffs is equal to the harm Brazil says will result from an EU tariff rate quota on Brazilian steel with an out-of-quota rate of 25%. Brazil may impose the tariffs beginning 30 days after notification, which was dated Feb. 18.
A deal is shaping up with China that would lift most of the Section 301 tariffs on Chinese imports, according to a report from The Wall Street Journal. The article cautioned it could still fall apart over enforcement, or over political pressures on either side that the deal is too favorable to the other country. President Donald Trump tweeted that "I have asked China to immediately remove all Tariffs on our agricultural products (including beef, pork, etc.) based on the fact that we are moving along nicely with Trade discussions.... and I did not increase their second traunch [sic] of Tariffs to 25% on March 1st. This is very important for our great farmers - and me!"
Welcome to the inaugural issue of International Trade Today’s Export Compliance Daily. The International Trade Today editorial staff is pleased to deliver this complimentary launch preview to our community of trade readers for a limited time. This service was developed in response to strong market feedback indicating a dearth of reliable single-source export compliance information.