With a month left to go before the expiration of the Caribbean Basin Trade Partnership Act benefits program, some lobbyists are starting to worry that a renewal won't get done. Beth Hughes, vice president of trade and customs policy for the American Apparel and Footwear Association, said Aug. 31 that her organization has been contacting the trade staffers at the Senate Finance Committee and House Ways and Means Committee since April or May, reminding them that the expiration is coming up. About a month ago, the trade staffers from both chambers were telling her that while they are aware of the deadline, they wanted to make sure that the administration supports renewal.
Recent Treasury Department sanctions and Commerce Department entity list additions imposed for the use of forced labor in China's Xinjiang Province could indicate coming action by CBP to restrict imports from the region, Arent Fox lawyers posted Aug. 25. Among those sanctioned by Treasury was the “Xinjiang Production and Construction Corps (XPCC), which reportedly produces more than 7 percent of the world’s cotton,” the firm said. “[D]ue to the tie-in, the Administration has drawn between the entity and forced labor in the Xinjiang Province, there is a risk that garments made from cotton produced by XPCC could be subject” to CBP withhold release orders (WROs). Similarly, Commerce added multiple Chinese textile and apparel companies to the entity list, which means “there is a risk that garments made from Entity List entities who are listed due to forced labor allegations could be subject to a CBP WRO.” CBP didn't comment.
International Trade Today is providing readers with some of the top stories from Aug. 17-21 in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.
International Trade Today is providing readers with some of the top stories from Aug. 10-14 in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.
CBP issued a withhold release order for imported "seafood harvested by the Da Wang, a Vanuatu-flagged, Taiwan-owned distant water fishing vessel," CBP said in a news release . Effective Aug. 18, CBP will stop seafood from the vessel at all U.S. ports of entry, it said.
The stevia importer that paid CBP $575,000 over allegations of using forced labor (see 2008140016) said the payment was the result of a settlement with the agency and didn't include any admission of guilt. CBP touted the enforcement action against PureCircle U.S.A. as the first such penalty the agency issued since the forced labor laws were changed in 2016. “Rather than engage in extensive litigation requiring travel to China during the COVID-19 pandemic to challenge the penalty notices, PureCircle instead settled the matter with the U.S. government for less than 7% of the amount sought by CBP in penalties,” the company said in a news release Aug. 14.
CBP has collected its first penalty for imports produced with forced labor, the agency said in a news release. Pure Circle U.S.A. paid $575,000 for importing stevia processed in China using prison labor. The action stems from an investigation into Chinese stevia produced by Inner Mongolia Hengzheng Group Baoanzhao Agricultural and Trade LLC that resulted in a withhold release order in May 2016 (see 1605310019).
CBP issued a withhold release order for imported garments produced by the Hero Vast Group, the agency said in an Aug. 11 news release. Effective Aug. 11, CBP will stop goods produced by Hero Vast, which includes “Shanghai Hero Vast International Trading Co., Ltd.; Henan Hero Vast Garment Co., Ltd.; Yuexi Hero Vast Garment Co., Ltd.; Ying Han International Co., Ltd.; and Hero Vast Canada Inc.,” CBP said. It said the WRO is based on information that “that reasonably indicated the use of prison labor in the production of those garments.” Under the WRO, CBP will detain such cargo at all ports of entry. Importers of the goods can either re-export the detained shipments or provide information to CBP to demonstrate the goods are not produced with forced labor.
CBP posted a list of “helpful hints” for submitting proof of admissibility for goods subject to withhold release orders due to possible forced labor involvement. The fact sheet also includes information on how to request a WRO revocation or modification. “WROs/findings may be revoked or modified if evidence shows the subject merchandise was not made with forced labor, is no longer being produced with forced labor, or is no longer being, or likely to be, imported,” into the U.S., CBP said. Suggested helpful documentation includes copies of “recent unannounced third party audits,” company policies and “evidence of their implementation,” and remediation plans, CBP said. Also helpful are “supply chain maps that specify locations of manufacturers, factories, farms, processing centers,” it said.
CBP updated its withhold release order on tobacco from Malawi so “tobacco imported from Limbe Leaf Tobacco Company Ltd. (LLTC) will be admissible at all U.S. ports of entry” as of July 31, the agency said in an Aug. 1 news release. CBP issued the original WRO in 2019 (see 1911010026). CBP “modified the WRO based on a rigorous evaluation of LLTC’s social compliance program and efforts to identify and minimize the risks of forced labor from its supply chain,” it said. “These actions produced evidence that sufficiently supports LLTC’s claims that tobacco from its farms is not produced and harvested using forced labor.” The update is proof of “the power of WROs to induce positive change in U.S. supply chains,” said Brenda Smith, executive assistant commissioner of CBP’s Office of Trade. CBP previously updated the WRO for another company for similar reasons (see 2006030037). “The WRO continues to apply to imports of tobacco from Malawi by any company that has not demonstrated to CBP that there is no forced labor in its supply chain,” CBP said.