President Donald Trump withdrew his threat of tariffs over Greenland in a social media post. "Based upon a very productive meeting that I have had with the Secretary General of NATO, Mark Rutte, we have formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region. This solution, if consummated, will be a great one for the United States of America, and all NATO Nations. Based upon this understanding, I will not be imposing the Tariffs that were scheduled to go into effect on February 1st. Additional discussions are being held concerning The Golden Dome as it pertains to Greenland."
The language of the African Growth and Opportunity Act and the Haitian trade program was changed from the versions that passed the House of Representatives with more than 85% support to what the White House supported -- just a one-year renewal. Refunds still will be available for duties paid on eligible goods under AGOA or Haiti HELP from Oct. 1 until the bill becomes law. The tariff breaks will last through Dec. 31, 2026.
Only 10 days remain before the House of Representatives no longer will have a procedure in place to block votes on ending emergencies underlying reciprocal tariffs, fentanyl tariffs or the additional Brazil tariffs. Last year, the House tucked provisions into rules that blocked the votes, but the Rules Committee didn't do that on the bills that passed the House Jan. 21; the last rule before the House leaves for a weeklong recess will be for a spending package expected to come to the floor Jan. 22.
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The restoration of one of the Haitian trade preference programs and the African Growth and Opportunity Act, both of which expired Sept. 30, have been added to a package of annual spending bills that will head to the House floor this week, according to a spokesperson for the House Ways and Means Democrats.
France's President Emmanuel Macron, speaking at a conference in Davos, Switzerland, called the deal reached last summer to drop tariffs on U.S. exports to the EU while acceding to 15% tariffs on European exports a deal which "openly aim[s] to weaken and subordinate Europe," and added that unless the EU stands up, there will be "an endless accumulation of new tariffs that are fundamentally unacceptable, even more so when they are used as leverage against territorial sovereignty."
President Donald Trump, in a more than hourlong speech at the White House, said it'll be very sad if the Supreme Court rules against the use of tariffs under the International Emergency Economic Powers Act. "We're waiting for that case anxiously," he said. He argued that the IEEPA statute allows the government to require licenses for imports, and tariffs are "probably less severe." If the Supreme Court rules against him, "It's possible we're going to do the best we can in paying it back," he said, though he said it would be hard.
Steel industry executives told a bipartisan panel of House members that Canada and Mexico shouldn't be allowed an exemption from Section 232 tariffs, and a representative of Nucor, the largest U.S. steel manufacturer, asked the members to "vocally oppose any efforts to weaken these measures, whether through carve-outs for countries like Canada and Mexico or through gamesmanship like under-reporting the value of steel and steel products."
Senate Finance Committee Chairman Mike Crapo, R-Idaho, told International Trade Today that the fact that the House of Representatives already passed two spending packages complicates his desire to attach trade preferences to a spending bill, but that it is not necessarily an insurmountable hurdle. Both bills, which fund a number of departments through Sept. 30, must pass both chambers before Jan. 30. The Senate voted on the first of the two packages -- which funds Commerce Department, the International Trade Commission, and the Office of the U.S. Trade Representative -- a few hours after Crapo spoke. That leaves only one funding bill that could serve as a vehicle for the trade bills.
Despite a clamor from the trade community for guidance on how to calculate metal content value for Section 232 duty purposes, CBP seems hesitant to issue a customs ruling on the subject, according to trade attorney Mollie Sitkowski. The agency already has punted on the issue several times this fall, claiming that Section 232 tariffs are a Department of Commerce issue, she said.