CBP is asking solar companies about their corporate structure, overall supply chain, entries, accounting and financial practices, production, sales and sales and production reconciliations, law firm Morgan Lewis said in a March 13 blog post. The agency began sending the questionnaires in February to solar companies asking how they're guarding against the use of forced labor in their supply chains with the Uyghur Forced Labor Prevention Act top of mind for the agency (see 2402270061).
Members of the European Parliament this week disagreed on the best path forward for new EU-wide supply chain due diligence rules, although an official with the Belgian presidency said it believes the EU can reach a compromise before the end of the current parliament’s term in April.
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 White House is requesting $239 million in funding to hire an additional 1,000 CBP officers “to stop illicit fentanyl and other contraband from entering the U.S.,” it said in a fact sheet released March 11 alongside President Joe Biden’s FY 2025 budget request. The funding had already been sought in October as part of an emergency supplemental request but had gone unmet by Congress, the fact sheet said. The budget request also seeks “$34 million" for CBP and ICE "to combat child exploitation, forced labor, and human trafficking,” the fact sheet said.
International Trade Commissioners grappled with how they should fulfill the administration's request for a report on the export competitiveness of the Bangladeshi, Indian, Cambodian, Indonesian and Pakistani apparel sectors over the last 11 years -- is it to uncover how those countries' successes could offer lessons to other developing countries that want to industrialize? Is the success of Bangladesh, which is near to crossing the threshold into a middle-income country largely on the strength of its garment sector, a country with an "unnatural and unfair advantage," because of its suppression of unions and wages, as the AFL-CIO's Eric Gottwald asserted?
U.S. Trade Representative Katherine Tai said she will be bringing up China's overproduction of electric vehicles as part of the 2026 USMCA review process, implying that she expects Mexico to reject Chinese investment in its auto manufacturing sector.
The Wall Street Journal reported that a LAN transformer that allows cars to communicate to networks, made by Sichuan Jingweida Technology, was the reason Audis and Porsches couldn't enter the U.S. until that part was replaced. That firm is on the Uyghur Forced Labor Prevention Act's entity list.
A bipartisan bill has been introduced that would set country-by-country de minimis levels, instruct the administration to reconsider U.S. tariffs "with the focus on the principle of reciprocity" for most favored nation rates, and open a dialogue with Mexico and Canada on allowing Costa Rica and Uruguay to join USMCA.
Both co-sponsors of a bill to restrict Chinese goods from de minimis eligibility said that House Ways and Means Committee Chairman Rep. Jason Smith, R-Mo., who has the power to advance the bill, is interested in marking up the bill.
FloraTrace is launching new insurance coverage for importers facing unforeseen expenses due to enforcement of the Uyghur Forced Labor Prevention Act, it said in a March 4 news release. Offered through its subsidiary Rezylient, the coverage will be triggered by receipt of a UFLPA detention notice, with covered losses potentially including storage of a detained entry, attorney fees, consultant fees, demurrage, drayage fees, exam fees, and extra costs and expenses including supply chain tracing subject to agreement by underwriters, Rezylient said on its website. The insurance may also be paired with FloraTrace’s origin testing and verification services, providing “financial protection against unforeseen detentions and disruptions in the supply chain, while also offering importers a proactive tool for risk management,” the news release said.