President Barack Obama officially assigned the authority to enter into foreign trade agreements to U.S. Trade Representative Michael Froman, pursuant to signed Trade Promotion Authority legislation and Executive Order 13701, according to a Jan. 29 presidential memo (here). The TPP will be signed by representatives from all 12 member states on Feb. 4 in New Zealand.
President Barack Obama on Jan. 19 continued his campaign to sell the perceived benefits of the Trans-Pacific Partnership before he and Australian Prime Minister Malcolm Turnbull met at the White House, saying (here) that, when implemented, TPP’s “rules-based” system that both countries helped develop should steer Western relations with Asian Pacific countries in a collaborative, economically prosperous direction. “It reaffirms that in order for us to thrive in the 21st century, particularly economies that are respectful of rule of law and concerned about labor rights and environmental rights, it’s important for us to be making the rules in this region, and that’s exactly what TPP does,” Obama said in published remarks.
The U.S. and Iran reached “Implementation Day” for the Joint Comprehensive Plan of Action on Jan. 16, after the International Atomic Energy Agency verified that Tehran implemented nuclear-related prerequisites dictated by the JCPOA, Secretary of State John Kerry said during a speech announcing the deal’s official initiation (here). The U.S. has lifted certain nuclear sanctions on the country, as OFAC released related guidance and documents, which can be found (here). OFAC has also submitted for implementation a final rule (here) that would add a general license under Iran sanctions regulations, 31 C.F.R. part 560, relating to importation of Iranian-origin carpets and foodstuffs, to become effective when published in the Federal Register. Furthermore, the office has also published information regarding actions to implement other JCPOA commitments, including removals from the Specially Designated Nationals and Blocked Persons List, the Foreign Sanctions Evaders List, and the Non-SDN Iran Sanctions Act List (here).
The White House released a list of HTS subheadings for agricultural products that are set for suspension of African Growth Opportunity Act benefits when imported from South Africa (here). Included as Annex I to Presidential Proclamation 9388, the list includes various subheadings in HTS chapters 1-41. The suspension would be implemented by adding new SPI “D*” to the HTS, similar to the Generalized System of Preferences SPI “A*” for excluded products, and adding a new subdivision (c) to General Note 16 containing a list of product-country pairs ineligible for AGOA treatment. Currently, the list would include only South African agricultural products. The changes would not take effect until March 15. South Africa says it has resolved the underlying poultry dispute with the U.S., and President Barack Obama will revoke the HTS changes before they take effect (see 1601120033).
President Barack Obama during his State of the Union address on Jan. 12 urged Congress to pass the Trans-Pacific Partnership, claiming that it will open markets, advance U.S. leadership in Asia, and protect workers and the environment. Obama also touted the agreement’s 18,000 proposed tariff cuts on U.S.-made products and asserted that TPP would preclude China from setting the economic rules in the Pacific Rim region. “You want to show our strength in this new century?” Obama told the joint session of Congress. “Approve this agreement. Give us the tools to enforce it. It’s the right thing to do.” Opinions vary on timing for a TPP vote, though several staffers on Capitol Hill said a vote isn’t expected in the near future (see 1601060027).
President Barack Obama in late April will visit Germany to discuss advancement of negotiations on the Transatlantic Trade and Investment Partnership with German Chancellor Angela Merkel, the White House announced on Dec. 30 (here). Obama, who will be the first U.S. president to attend the annual Hannover Messe industrial technology trade show, plans to showcase “American innovation and ingenuity” and tout the U.S. as a sound investment destination. “This visit, which will be the President’s fifth to Germany, underscores the enduring political and economic ties between Americans and Germans and highlights the U.S. commitment to trade and investment as drivers of job creation and economic growth on both sides of the Atlantic,” the White House said.
President Barack Obama on Dec. 28 signed into law the “Microbead-Free Waters Act of 2015” (here), which would prohibit the manufacture and entry into interstate commerce of rinse-off cosmetics containing “intentionally-added” plastic microbeads (see 1512210001).
President Barack Obama modified the U.S. harmonized tariff schedule through a Dec. 23 presidential proclamation (here). Tax extender legislation included with the omnibus appropriations bill gives the President the authority to "reduce any rate of duty on certain environmental goods included in Annex C of the APEC Leaders Declaration issued on September 9, 2012, if (and only if) the President" notifies "Congress of the negotiations relating to the agreement and the specific United States objectives in the negotiations” (see 1512170013).
President Barack Obama on Dec. 21 announced a number of changes under various trade agreements, including the removal of Burundi from the African Growth and Opportunity Act list, to take effect Jan. 1 (here). Another adjustment Obama made was the addition of tariff lines to Chapter 99 of the HTS to avoid disruption to sugar marketing and to encourage electronic administration of the quota classifications of sugars, syrups, and molasses, said Obama. Other changes were largely technical adjustments under existing FTAs.
President Barack Obama signed the Fixing America’s Surface Transportation (FAST) Act into law on Dec. 4, the White House, said (here). The law (here), which authorizes budgetary resources for surface transportation programs for fiscal years 2016-2020, includes an increase to customs users fees to help pay for the programs. Among the fees set to increase are the merchandise processing fee (MPF) and broker permit fees. The fee changes will be based on the Consumer Price Index and the first adjustment will occur April 1 (see 1512040024).