International Trade Today is providing readers with the top stories from last week in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.
Florida's two U.S. senators, Marco Rubio and Rick Scott, introduced a bill that would require publicly traded companies to report any transactions with Chinese companies on the entity list or that are designated as military-industrial complex companies, and report their sourcing and due diligence activities for supply chains if their imported products have been "directly linked to products utilizing forced labor from Xinjiang, China." The senators, both Republican, announced the bill April 29, and said they have four other Republican co-sponsors.
Sen. Marco Rubio, R-Fla., asked the chairman of the board of Volkswagen to justify joint ventures with Chinese companies, arguing that they are involved in child forced labor in Congolese cobalt mines, and the destruction of rainforest habitat in Indonesia. He also referred to a two-year-old non-governmental organization's report that said Highbroad Advanced Material Co. accepts transferred Uyghur labor, and that the company sells to Volkswagen for its electronic displays, and said that the two companies that are now in joint ventures are also implicated in Uyghur forced labor. He said Huayou Cobalt and Tsingshan Holding Group "are implicated in grotesque human rights abuses." Rubio announced the letter on April 28 in a press release.
International Trade Today is providing readers with the top stories from last week in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.
Cargill confirmed its suspension of purchases of palm oil from Sime Darby Plantation following CBP's forced labor finding on Sime Darby's palm oil goods (see 2204180015). After CBP issued the finding, Cargill "urged Sime Darby Plantation Berhad to provide information on how they have addressed the CBP forced labor allegations," Cargill said in an email. "Sime Darby Plantation Berhad has not yet come forward with sufficient information that enables Cargill to assess if the actions Sime Darby Plantation Berhad is taking meet the requirements set out in Cargill’s Policy on Sustainable Palm Oil. Therefore, Cargill has decided to suspend all new sourcing of palm oil and derivative products from Sime Darby Planation Berhad." It said it will review its decision when more information becomes available.
EU Trade Commissioner Valdis Dombrovskis said he asked American officials this week for more flexibility in how the tariff rate quotas for European steel products are administered. He said that while actions of the Biden administration have "put things, tradewise, on a more positive track," in his view "the current system [for TRQs] seems to be quite rigid."
The director of CBP's Office of Trade told an audience that importers who are considering importing a good that has a new supply chain and are concerned about running afoul of the ban on imports of goods made with forced labor can submit a request for a binding ruling that the product's supply chain is free of forced labor. CBP Executive Assistant Commissioner AnnMarie Highsmith, speaking at a webinar hosted by the University of Illinois Chicago School of Law on April 20, noted she was not presenting CBP's official position in her remarks.
Upcoming and much anticipated guidance on compliance with the Uyghur Forced Labor Prevention Act (UFLPA) could very well be less detailed than the trade community would like, so importers should treat it like “gravy” and focus on starting now on due diligence efforts in preparation for the new law’s effective date in June, customs lawyer Richard Mojica of Miller & Chevalier said.
The CBP collected about $85.5 billion in duties in the fiscal year that ended Sept. 30, 2021, a 14.9% increase from the previous fiscal year, a recent report shows. The annual report also noted that there were 36.9 million entries during the fiscal year, which was higher than before the pandemic.
Agricultural trading giant Cargill has stopped purchasing palm oil products from Malaysian firm Sime Darby Plantation following the U.S. withhold release order on Sime Darby's palm oil goods (see 2012300007), Bloomberg reported April 18. The WRO was placed on Sime Darby relating to evidence of forced labor in the company's operations. Cargill told Bloomberg purchases of Sime Darby palm oil ceased Feb. 25.