President Barack Obama will host Mexican President Enrique Peña Nieto in the White House on Jan. 6, and Vice President Joe Biden will then lead the second meeting of the U.S.-Mexico High-Level Economic Dialogue in Washington. Alongside Biden, U.S. Trade Representative Michael Froman and a number of cabinet officials will meet with their Mexican counterparts to push forward on the Trans-Pacific Partnership and the rest of the bilateral economic and trade agenda, the White House said in a fact sheet (here). The White House said the two sides already agreed to ease restrictions on trade in energy-related equipment as part of broader efforts to address climate change. Both the U.S. and Mexico are aiming to cut back on bottlenecks at the border and increase regulatory cooperation to facilitate more trade, the White House said. Mexican Finance Secretary Luis Videgaray, in joint remarks with Biden, said the two countries are making progress on trusted trader programs, according to a White House press pool report.
President Barack Obama authorized sanctions against North Korea on Jan. 2, several weeks after the Justice Department accused the Pyongyang regime of cyber hacking Sony Pictures. In an executive order, Obama said North Korea’s “destructive, coercive cyber-related actions during November and December 2014” violate UN resolutions (here). The U.S. does not import goods from North Korean due to restrictions already in place (here), so the executive action is unlikely to change the bilateral trade relationship.
The White House cut South Sudan and The Gambia from African Growth and Opportunity Act preferences through executive action on Dec. 23, but restored AGOA preferential status for Guinea-Bissau after two years of suspended benefits (here). South Sudan and The Gambia are not making the necessary progress to meet U.S. eligibility requirements, said President Barack Obama in a formal proclamation. Their benefits will be axed on Jan. 1, 2015.
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).