President Donald Trump issued an executive order on May 15 that establishes a task force focused on forced labor issues under the U.S.-Mexico-Canada Agreement. “The Task Force shall be chaired by the Secretary of Homeland Security and shall be composed of representatives from the Department of State, the Department of the Treasury, the Department of Justice, the Department of Labor, and the Office of the United States Trade Representative,” it said. “The Chair may invite representatives from other executive departments or agencies, as appropriate, to participate as members or observers.” House Democrats recently complained that the task forced hadn't been created by the required April 28 deadline (see 2005120035).

When asked if he is satisfied with China's follow-through on phase one trade deal promises, President Donald Trump said May 6, “I will be able to report on that at the end of next week. They're buying a lot of farm product, but are they buying to the level that they were supposed to? You know, they were going to buy 50 billion dollars' worth. The most they ever did was 15 or 16, and now they're going to 50.” He said he would be able to report on purchases from many other industries in a week or two, as well. He declined to answer a question about whether he would use tariffs to punish China for its handling of the novel coronavirus outbreak, saying, “We're in the midst of some very big things, so I just don’t want to talk about that now.”

During a Fox News town hall held at the Lincoln Memorial May 3, President Donald Trump was asked if he would hike tariffs on Chinese goods as a punishment for its role in the coronavirus COVID-19 outbreak. “Well, it's the ultimate punishment, I will tell you that,” Trump said. He said he didn't want to say “because, you know, we're all playing a very complicated game of chess or poker. Name whatever you want to name, but it's not checkers -- that, I can tell you. We have a very complicated game going.”

On a day that news broke that the U.S. is considering punishing China for the way it handled the novel coronavirus outbreak by not honoring U.S. bonds held by that country, President Donald Trump said that idea is off the table, but that tariffs could accomplish the same goal. “Well, I can do it differently. I can do the same thing, but even for more money, just by putting on tariffs. So, I don't have to do that,” Trump told reporters April 30, according to a story from Reuters.

A former White House economic adviser said he's “very worried” about the possibility of an executive order that would expand Buy American rules to pharmaceutical purchases by the Veterans Administration or other government agencies. Currently, there is a waiver for federal procurement if supply is not available or if it would be much more expensive; in order for this to drive pharmaceutical production or medical device production to the U.S., that loophole would have to be closed.

Dozens of trade associations and 470 businesses, large and small, from around the country are asking the Trump administration to apply the duty deferral to all categories of tariffs, and to allow the deferral on imports that arrive in May and June. The coalition sent a letter, which also was sent to every member of Congress on April 28, that said: “While we understand the need to keep strong U.S. trade policies front and center, merely delaying the payment of these additional duties will not harm trade policy. The duties will still be paid, just at a later date.”

The Coalition for a Prosperous America sent a letter April 22 to the president arguing that textile workers benefit “from general tariff protection of 15-40% against low-wage foreign competition and trade cheating.” Companies that make automotive parts, ventilator parts, and glassware are hurt by foreign competitors when importers of those foreign goods don't have to pay tariffs for a few months, they said. “We know this crisis started in Wuhan, China. We know the Communist Party of China hid the virus from the world and from your administration. To now reward a cheap and below-market flood of Chinese imports only adds salt to the wounds of America’s workers,” the CPA wrote. And “we ask that no further import duty deferral or forgiveness be issued as a COVID remedy.”

Trade groups that represent importers are asking that restrictions to the products eligible for the Generalized System of Preferences benefits program from Thailand be delayed. The groups said in a letter to President Donald Trump that the changes, scheduled for April 25, “would increase costs for American employers [that] already are struggling to maintain employment levels in response to shutdowns and falling demand around the world” brought on by COVID-19 pandemic response measures. They asked for at least a six-month delay.

Export controls on masks used by medical workers -- an idea that had been floated (see 2004030063) -- have been averted, 3M announced the evening of April 6. The multinational company is producing 35 million masks a month in the U.S., and the president had said none of that production should be exported to Canada and Latin America, major recipients of that output. But now, the administration will address U.S. regulatory restrictions that prevented some Chinese masks from being used for medical workers, and 3M will import 166.5 million N95 masks, mostly from its China plant, over the next three months, the company said. “The plan will also enable 3M to continue sending U.S. produced respirators to Canada and Latin America, where 3M is the primary source of supply,” the press release noted.

The American Association of Exporters and Importers is asking the Trump administration to help importers and exporters deal with the impact of COVID-19 response measures, whether that impact is a cash crunch, the effects of telework or business decisions made in response to delays in shipments from China. The group is asking the administration to extend the time to respond to regulatory notices that are paper based, including entry filings deadlines, because telecommuting makes it more difficult to manage the paper flow. It is also asking CBP to extend the protest period for customs duties and decisions.