Imports of palm oil and palm oil products from the Sime Darby plantation in Malaysia may be seized by CBP starting Jan. 28 under a finding that the company uses forced labor, CBP said in a notice. "Through its investigation, CBP has determined that there is sufficient information to support a Finding that Sime Darby Plantation and its subsidiaries are using forced labor on Sime Darby’s plantations in Malaysia to harvest fresh fruit bunches, which are used to extract palm oil and produce derivative products, and that such palm oil and derivative products produced by the company are likely being imported" into the U.S., the agency said. CBP's finding follows a December 2020 withhold release order aimed at the company's palm oil.
The Biden administration's interagency task force to monitor and combat human trafficking had its first meeting this week, and U.S. Trade Representative Katherine Tai said they will launch "a thorough interagency review of our existing trade policies and tools used to combat forced labor, including forced child labor, to determine areas that may need strengthening and gaps that need to be filled."
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The Coalition for a Prosperous America is asking the House Ways and Means Committee to move Democratic bills to curtail the use of de minimis and the Miscellaneous Tariff Bill and to pass the Democratic version of a Generalized System of Preferences benefits program bill. Whatever the committee recommends will be subject to a cross-Capitol compromise, as part of a larger China package called the U.S. Innovation and Competition Act. The Senate’s Trade Act of 2021, part of that package, also included requirements to reopen a broad exclusion process for Section 301 tariffs on China.
Six Democratic and two Republican senators are asking President Joe Biden to overrule the International Trade Commission and allow the safeguard tariffs on solar panels and cells to lapse in February, as they were originally scheduled to do. Three Republican and two Democratic senators are asking the president to retain the tariffs for another four years, and to restore tariffs on bifacial solar panels, which were collected for about a year, until the Court of International Trade said applying tariffs to bifacial solar panels after they were originally excluded was unlawful. That decision, from November (see 2111160032), is being appealed.
The public comment period for input on how to implement the Uyghur Forced Labor Prevention Act will begin Jan. 24, DHS said in a notice. Within the notice, DHS offers 18 questions that commenters may want to address as part of the process. Comments on the implementation will be due March 10. Effective June 21, the law will impose a new rebuttable presumption that goods linked to Xinjiang province are made with forced labor and are prohibited from being imported (see 2112280048).
House Ways and Means Trade Subcommittee Chairman Rep. Earl Blumenauer said Congress would never have raised the minimis level to $800 if it had known how many products would be sold through e-commerce channels from China and shipped directly to customers. "It was never intended to be anything like this, and not only are they evading payment of duty, but they are escaping any sort of meaningful oversight," he said in a phone interview from Oregon with International Trade Today. "And as you know, we're deeply concerned about forced labor."
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.
The House Ways and Means Trade Subcommittee chairman's bill that would restrict the use of de minimis for Chinese sellers has already inspired a coalition of opponents, including the U.S. Chamber of Commerce, the Express Association of America, National Retail Federation and others. The Import Security and Fairness Act was introduced Jan. 18.
After the first USMCA deputies meeting, Mexico, Canada and the U.S. issued a joint statement saying that they are scrutinizing the implementation of the prohibition on importing goods made with forced labor. They also discussed environmental law enforcement cooperation, and training planned this year for small businesses so they can access the treaty's benefits. All said "though there have been challenges, progress continues to be made under the Agreement."