President Barack Obama took executive action on Dec. 18 to stem trade flows between the U.S. and Crimea, the formerly Ukrainian peninsula that Russian absorbed militarily in March. The executive order bans U.S. imports from and exports to Crimea of goods, services or technology, said the White House in a letter to Congress (here). The measure also prohibits new U.S. investment in the territory and restricts transactions.
President Barack Obama signed into law the latest round of legislative authorizations for sanctions against Russia on Dec. 18. The measure, HR-5859 (here), gives guidelines for the Obama administration to put more restrictions on U.S. trade with Russian officials and companies in the defense, energy and banking sectors. The law does not authorize sanctions on imports into the U.S. market.
Federal Mediation is now “necessary” to bring about resolution in the ongoing labor contract dispute between International Longshore and Warehouse Union and Pacific Maritime Association, said American Association of Port Authorities President Kurt Nagle in a Dec. 17 letter to President Barack Obama (here). Industry groups have for months pressed the White House to involve the Federal Mediation and Conciliation Service in the negotiations (see 1411180015). "As the economy continues its recovery, America cannot afford disruptions nor a shutdown of any portion of its port system,” said the letter. “After seven months of negotiations without reaching an agreement, significant impacts are being felt throughout the supply chain, and uncertainty and concerns are mounting daily.”
President Barack Obama signed HR-83 (here), the fiscal year 2015 funding bill, into law on Dec. 16. The bill funds the federal government, aside from the Department of Homeland Security, through Sept. 30, 2015. Lawmakers agreed to extend FY14 appropriations to DHS until Feb. 27, in a show of Republican opposition to Obama’s executive action on immigration. The legislation gives small boosts to the International Trade Administration, the Bureau of Industry and Security, and the Consumer Product Safety Commission. CBP’s funding is frozen as part of the continuing resolution for DHS (see 1412150014). This legislation also extends funding for Trade Adjustment Assistance, and directs the Department of Agriculture to report to the Senate on its recommendations for country-of-origin labeling changes.
President Barack Obama and Japanese Prime Minister Shinzo Abe discussed aims to complete Trans-Pacific Partnership negotiations in 2015 during a Dec. 16 congratulatory call to the premier on his reelection in Japan, the White House said in a statement (here). Many observers consider Abe's election as a stamp of approval for his economic agenda and important to ongoing trade negotiations.
President Barack Obama is still reviewing the Russia sanctions legislation lawmakers advanced through the Senate on Dec. 13, said White House Press Secretary Josh Earnest in a briefing two days later. House Reps. Jim Gerlach, R-Pa., and Marcy Kaptur, D-Ohio, introduced the measure on Dec. 11, and the chamber quickly passed the bill.
President Barack Obama again went to the bully pulpit on Dec. 11 to showcase his support for Trade Promotion Authority and two huge U.S. free trade agreements currently in negotiation. The administration plans to work with Congress to enact TPA in the foreseeable future, said Obama, speaking before the administration’s Export Council. Those comments echo arguments Obama laid out before the Business Roundtable in early December (see 1412040025).
President Barack Obama supports passage of the omnibus appropriations bill released on Dec. 9, despite some concerns about specific riders in the legislation, said the White House on Dec. 11 (here). The vast majority of the federal government will shut down on Dec. 12 if a bill isn't signed into law beforehand. The House and Senate are expected to consider the legislation later in day on Dec. 11. The bill would fund the government through Sept. 30, 2015 at slightly boosted appropriations levels for the Commerce Department’s trade arms and other government agencies, but would only fund the Department of Homeland Security through late February (see 1412100012).
The Obama administration has an opportunity in the coming months to broker a breakthrough agreement with Iran over its nuclear enrichment program, and that compromise could further open the Iranian market to U.S. airplane, airplane parts, agriculture and other U.S. exports, said Iran expert Barbara Slavin at a National Foreign Trade Council event on Dec. 5. The interim deal struck between the two sides partially unlocked market access in Iran for those industry sectors, as well as petrochemicals. A more comprehensive, final accord is far from certain, however, and some lawmakers are threatening to eliminate progress in the talks by introducing more sanctions legislation, said Slavin, alongside NFTC President Bill Reinsch and USA*Engage Vice President Richard Sawaya. The Obama administration extended through June 2015 partial relief of the sanctions regime against Iran (see 1411280032). The two sides could reach a deal aimed at limiting enrichment capacity by March though, said Slavin, a nonresident senior fellow of the South Asia Center at the Atlantic Council. Senate Foreign Relations Chairman Bob Menendez, D-N.J., has long been hawkish in his stance on Iran, and the Obama administration may find a better partner in incoming committee chairman Bob Corker, R-Tenn., said Slavin. Obama has threatened to veto additional Iran sanctions measures.
President Barack Obama plans nominate the head of The Hershey Company, John Bilbrey, as a member of the Advisory Committee for Trade Policy and Negotiations, the White House said in recent days (here). The committee, comprised of 21 industry and union leaders, reports regularly to the Office of the U.S. Trade Representative (here). Bilbrey has served as president of Hershey since 2011.