Mexican Economy Secretary Raquel Buenrostro said in Mexico this week that if the U.S. reimposes 25% tariffs on Mexican steel exports over alleged surges, Mexico will retaliate. Mexico's steel exports are only 2.5% of the U.S. market, and U.S. steel exports are 14% of the Mexican market, so the U.S. has more to lose if Section 232 tariffs on Mexican steel return, she said.
Sen. Josh Hawley wants the baseline tariff on cars made by Chinese companies to be 100%, not 2.5%, and to apply whether those cars are assembled in China, Thailand, Brazil, Hungary or Mexico.
A CBP headquarters official, chosen to help shape national policy on de minimis, said that while the trade community welcomed the opportunity for electronic clearance of packages that require partner government agency review, importers are often not following the reasonable care standard required for Type 86 entries. The Type 86 test is for packages that are low enough value to avoid duties under the de minimis statute, but are not eligible for de minimis because they contain goods that PGAs inspect. If importers participate in the test -- and there were more than 623 million packages last fiscal year that were covered -- they must provide a 10-digit Harmonized Tarff Schedule code.
Allowing large numbers of electric vehicles from Chinese companies assembled in Mexico would be an "extinction event," warned the Alliance for American Manufacturing, a nonprofit co-founded by large domestic manufacturers and the United Steelworkers union.
Sens. Ted Budd, R-N.C., and Thom Tillis, R-N.C., have sent a letter to Secretary of Commerce Gina Raimondo and U.S. Trade Representative Katherine Tai urging them to take action to “immediately and meaningfully limit the volume of Mexican steel concrete reinforcing bar (rebar) being imported into the United States.”
House Ways and Means Trade Subcommittee Chairman Rep. Adrian Smith, R-Neb., said both retroactivity and the length of renewal are being debated as lawmakers try to reach consensus on re-authorizing the Generalized System of Preferences benefits program.
The top Democrat on the House Ways and Means Trade Subcommittee said that getting Chinese shipments banned from the de minimis program is how he'd like to close out his congressional career. Rep. Earl Blumenauer, D-Ore., is retiring at the end of 2024. "I think we will see this moving forward, if only for the animus toward China" in Congress, he said.
National Association of Manufacturers CEO Jay Timmons said that all of his 250 members want liberalized trade, and said he didn't understand why a simple issue like the Miscellaneous Tariff Bill has been hung up in partisan conflict for three years.
For proponents of the Strengthen Wood Product Supply Chains Act, requiring the federal government to tell importers a specific reason the goods were detained and provide information that "may accelerate the disposition of the detention" would increase transparency and save importers money on demurrage fees. For the bipartisan bill's opponents, the bill's planks, including allowing importers to move the wood to a bonded warehouse after the first 15 days of detention, would undermine law enforcement.
Consultants and associations that support international trade in Africa, Asia, Western Europe and the Western Hemisphere agreed that the shift in trade policy in the U.S. has trading partners questioning whether America will meet its commitments, or, in the words of the German Marshall Fund's Heather Conley, enter a "nationalistic economic crouch" that will be difficult to end. The panel spoke at a Washington International Trade Association event Feb. 12.