Sen. Marco Rubio, co-author of the Uyghur Forced Labor Prevention Act, along with the leaders of the House Homeland Security Committee and the House Select Committee on China, have provided detailed supply chain maps for lithium-ion battery makers CATL (Contemporary Amperex Technology Co.) and Gotion High Tech, linking them to companies that transfer Uyghur workers and companies that mine minerals or make aluminum in Xinjiang.
Although Sen. John Cornyn, R-Texas, happily described a trade preferences hearing as a "pro-trade love fest," comments from the panel's top Republican and its chair revealed why the Generalized System of Preferences benefits program, which has broad support, has spent years stalled in Congress.
Barely more than half of the pharmaceuticals' value consumed in the U.S. is domestically produced, but re-shoring is not the answer to vulnerabilities in the supply chains for drugs or medical equipment, panelists said at a think tank event.
U.S. Trade Representative Katherine Tai, when asked about the U.S. views on reviving dispute settlement at the World Trade Organization, said that countries need to reflect on how the previous system provided incentives for the U.S. and EU to "continue fighting for almost 20 years about state support for Boeing and Airbus, caused us to fight with each other, and pick at each other while the PRC [People's Republic of China] built up its own large civil aircraft industry under our noses."
CBP's Acting Commissioner Troy Miller said the agency "has suspended multiple customs brokers from participating in the Entry Type 86 Test after determining that their entries posed an unacceptable compliance risk," and that it will continue to take action against those who "abdicate their customs compliance responsibilities." The statement also said: “Any broker that has been suspended will be considered for reinstatement if it demonstrates to CBP that it has developed and implemented a remedial action plan."
A final rule that will allow the FDA to dispose of low-value medical devices and medicines more easily will take effect June 30. Currently, importers of medical devices valued at $2,500 or less have the option of re-exporting the device if it is barred from entering the U.S. In the case of drug shipments under that dollar threshold, the FDA has to prove the medicines are counterfeit, misbranded, adulterated or not approved in the U.S.; with the change, the agency will be allowed to destroy the drugs if it appears they are counterfeit, etc., unless the owner or consignee asks to testify on the medicines' admissibility.
World Shipping Council CEO Joe Kramek said that his trade group doesn't take a position on whether Chinese practices to support its commercial shipbuilding industry are actionable under Section 301, but it "strongly opposes" the petitioners' proposal that a $1 million fee be levied on Chinese-built ships docking in U.S. ports.
Government subsidies for domestic manufacturing in strategic sectors tend to then need trade protections, former top U.S. trade representative officials from the Trump and Biden administrations agreed.
A Kelley Drye attorney, who used to be part of the Forced Labor Enforcement Task Force due to his role at the U.S. Trade Representative's Office of Labor Affairs, said the recent 26 additions to the FLETF's Uyghur Forced Labor Prevention Act entity list are significant because they are not companies directly employing Uyghurs harvesting cotton or in fabric mills or cut and sew operations.
The Office of the U.S. Trade Representative decided that 164 exclusions from Section 301 China tariffs -- including for fabrics, bras, electric motors, sterile drapes, hunting stands, bicycle trailers, auto rearview mirrors and more -- will continue to avoid the tariffs through May 31, 2025, while 265 exclusions will expire June 14.