French Finance Minister Bruno Le Maire issued a readout of his call with Treasury Secretary Janet Yellen, saying they heartily agree a multilateral global solution should be found on taxing multinational firms, and that American officials will engage at the Organization for Economic Cooperation and Development to that end. He also said they both think trade tensions between France and the U.S. should be reduced, and said he emphasized the damaging tariffs on French wines. Those are part of the 25% tariff target list to punish the European Union for subsidizing Airbus aircraft launches. The Treasury Department did not issue its readout of the call.
Economics Professor Mary Lovely, who studies multinationals' operations in China, told the U.S.-China Economic and Security Review Commission that the trade war didn't make the U.S. less reliant on China, and that export controls designed to isolate China have not been effective, either. She noted that China is still the top exporter to the U.S., and their goods make up 17% of U.S. imports. The Commission met online Jan. 28.
Trade advocates and a trade scholar discussed how effective U.S.-Asia sectoral agreements could be, as well as the possible downsides of such agreements, during an Asia Society Policy Institute webinar Jan. 26. The Japan mini-deal was not exactly a sectoral deal because it lowered tariffs on a variety of products across different categories, but the agreement's digital trade plank is one that negotiators could consider as a template for a digital trade accord across more Asian countries.
The European Union wants to work with America on ways to develop Artificial Intelligence standards, design a carbon adjustment border mechanism and stockpile medicines and personal protective gear in a way that lessens dependency on certain Asian countries, its ambassador to the U.S. said on a webinar hosted by the European American Chamber of Commerce
Fashion trade groups are asking Congress to ensure that withhold release orders are administrable, and that CBP is fully funded so that it can implement effective WROs to fight forced labor in Xinjiang. The American Apparel and Footwear Association, the Footwear Distributors and Retailers of America, the National Retail Federation, the Retail Industry Leaders Association and the U.S. Fashion Industry Association wrote to leaders of both chambers of Congress from both parties saying they support legislation that builds on private sector efforts to root out forced labor in supply chains.
More than 70 trade groups from Europe and the U.S. asked President Joe Biden and European Commission President Ursula von der Leyen to remove or suspend tariffs on goods outside of aerospace and steel and aluminum that have been targets in those trade disputes. “Suspending these tariffs is urgently needed to address the economic harms our industries are currently facing and will also be a positive step to help re-establish a cooperative Trans Atlantic trading relationship,” they wrote in a Jan. 25 letter. COVID-19-related shutdowns made 2020 a tough year for business, they said, and “the ongoing EU-U.S. trade disputes and additional tariffs which continue to plague Trans-Atlantic trade have made a bad situation worse.” Signers include food, wine and spirits interests on both sides of the Atlantic; European tool, cosmetics and perfume industries; and a broad array of U.S. trade groups, among them the American Chemistry Council, the National Retail Federation, the American Apparel and Footwear Association, and the American Association of Port Authorities.
Robert Lighthizer, immediate past U.S. trade representative, said that during his time in office, every decision was based on “how it brings manufacturing jobs back to the United States,” and, he said, “I think you’re hearing the same kind of language out of the Biden administration, for which I’m grateful.”
At her confirmation hearing in the Senate, Rhode Island Gov. Gina Raimondo, President Joe Biden's nominee for commerce secretary, was asked about rolling back Section 232 tariffs on steel and aluminum, and ending Section 201 tariffs on solar panels, which will increase to 18% on Feb. 7 if no action is taken (see 2010130028) and if a court doesn't stop it (see 2012300045).
Daniel Ujczo, a USMCA expert who has worked on compliance for automotive, advanced manufacturing, chemical and tech sectors so that their products meet rules of origin, is joining Thompson Hine's international trade and transportation practices as senior counsel in its Columbus, Ohio, office. Ujczo was the Canada-U.S. practice group chair at Dickinson Wright. In addition to his rules of origin expertise, the firm said he provides advice on tariff mitigation and exclusions, antidumping and countervailing duties, and procurement under Buy American rules.
Trade groups representing intellectual property rights holders are telling the U.S. Patent and Trademark Office that secondary trademark infringement liability has not been effective in getting e-commerce platforms to police themselves, and several said Congress needs to define the parameters of this doctrine by passing a law.