Senate Finance Committee Chair Ron Wyden, D-Ore., asked Lear Co., a multinational auto parts supplier, to defend its leather supply chain from Brazil, and, in a footnote in the letter, cited a Reuters story that said 1,324 workers had been rescued from slavery-like conditions while cutting down forests in Brazil from 1995 to 2021. However, that article also said Brazil defines slave labor as not just forced labor -- where workers are not free to leave jobs -- but also working in degrading work conditions, or working such long hours that it's a health risk.
Africa is a good location for producing labor-intensive apparel, The Children's Place's former chief supply chain and sourcing officer told an interagency committee tasked with considering countries' eligibility for the African Growth and Opportunity Act. The committee, chaired by Jeremy Streatfeild, director of African Affairs at the Office of the U.S. Trade Representative, held an online public hearing on AGOA July 24.
Approximately $32 million in Section 232 duties on steel or aluminum should have been paid between March 2018 and Nov. 10, 2021, but weren't because of data errors in the transmissions between the Bureau of Industry and Security and CBP, or because CBP had not caught up to the fact that the exclusion had been filled. According to an analysis by the Government Accountability Office, more than 90% of the unpaid duties were due to CBP not realizing that exclusion volumes for a particular product and firm had been surpassed at the time of the entry, and the agency did not realize that fact until after the 90-day reliquidation period.
The government correctly classified counterweights for mini-excavators as "backhoe" parts, rendering them ineligible for a Section 301 tariff exclusion, CIT Judge Jane Restani ruled in a July 21 opinion.
The chairman of the House Ways and Means Committee and the chairman of the House Select Committee on China told Ford its response to its earlier letter "did not provide the level of detail sought by the Committee," and they continue to have questions about whether Ford's partnership with a Chinese electric vehicle battery maker will obscure Chinese imports in the EV batteries produced in Michigan, and whether those inputs will be produced with forced labor.
The House Select Committee on China, having heard from witnesses advocating a punitive approach to Chinese trade and investment (see 2305180064), asked to hear from advocates for both that approach and a more moderate one in a debate on Capitol Hill.
The Biden administration will complete its review of the Section 301 tariffs "this fall," U.S. Trade Representative Katherine Tai wrote to senators, and while she did not commit to any course of action, she wrote: "As part of the 4-Year Review of the Section 301 tariffs, USTR is reviewing the effectiveness of the tariffs in achieving the objectives of the investigation, as well as the effect of the tariffs on consumers, workers, and the U.S. economy at large. As part of this review, we are considering the existing tariffs structure and how to make the tariffs more strategic in light of impacts on sectors of the U.S. economy as well [as] the goal of increasing domestic manufacturing."
The rejection of a settlement led to a short-lived resumption of a strike by the International Longshore and Warehouse Union Canada at Canadian West Coast ports, but the strike is again on hold after the Canada Industrial Relations Board ruled the strike illegal and ILWU Canada issued a 72-hour notice that the strike will begin again July 22.
A bill that says the Taiwan trade initiative can't take effect until the administration submits an economic analysis of its effects and answers questions from Congress on implementation has passed both chambers of Congress. The bill also says the next deal between Taiwan and the U.S. must gain congressional approval.
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