International Trade Today is providing readers with some of the top stories for July 1-5 in case they were missed.
The International Trade Commission posted its revised version of the Harmonized Tariff Schedule July 2, reflecting Generalized System of Preferences and other changes from proclamation 8997 (see 13070202), as well as technical amendments and new statistical suffixes for several subheadings. HTS 2013 Revision 1 also implements the U.S. Trade Representative’s March determination that Cote d’Ivoire qualifies for African Growth and Opportunity Act textile and apparel benefits (see 13031821). Most of the changes (here) are effective July 1.
As Ecuador surfaced as a possible asylum destination for NSA leaker Edward Snowden, two U.S. Senators challenged the country’s Generalized System of Preferences (GSP) eligibility, in statements released June 27. Senate Finance Committee Chairman Max Baucus (D-Mont.) (here) and U.S. Senator Orrin Hatch (R-Utah) (here) accused Ecuador of violating preferential status terms. The press releases followed an Ecuadorian government call to sever the preferential trade relationship, manifested through the Andean Trade Preference Act .
CBP said its Harmonized System Update (HSU) 1303 was created July 1, containing 1,303 ABI records and 190 harmonized tariff records. The update contains modifications made as a result of the June 27 Presidential Proclamation 8997, To Modify Duty-Free Treatment to the Generalized System of Preferences and for Other Purposes (see 13070202). It said changes also include those mandated by the 484 F Committee, Committee for Statistical Annotation of Tariff Schedules, effective July 1. Adjustments required by the verification of the 2013 Harmonized Tariff Schedule (HTS) are also included, CBP said in a CSMS message. The modified records can be retrieved electronically via the procedures indicated in the CATAIR. Further information: Jennifer Keeling, Jennifer.Keeling@dhs.gov.
International Trade Today is providing readers with some of the top stories for June 24-28 in case they were missed.
President Obama published Proclamation 8997 and its related annexes in the Federal Register July 2, making changes to the Generalized System of Preferences program, including suspension of eligibility for Bangladesh, as well as other minor changes to the Harmonized Tariff Schedule. Revocation for Bangladesh is effective Sept. 3. All other changes to the HTS, which include GSP changes from the U.S. Trade Representative’s 2012 annual review, as well as amendments to tariff provisions in Chapter 85 and a technical change to Chapter 99, are effective July 1.
Correction: The withdrawal of Generalized System of Preferences benefits for Bangladesh will take effect Sept. 3, according to a Presidential Proclamation set for publication in the July 2 Federal Register.
The Obama administration will suspend Generalized System of Preference benefits for Bangladesh for worker’s rights violations, effective Aug. 30, according to a presidential proclamation that has yet to be published in the Federal Register (here). The proclamation sets forth changes to the GSP resulting from the 2012 annual review, including new competitive need limitation (CNL) waivers and the withdrawal of GSP coverage for a corn product from Brazil and passenger tires from Indonesia. The proclamation also makes changes to the HTS related to the World Trade Organization’s Information Technology Agreement (ITA) and the U.S.-Colombia Trade Promotion Agreement (CTPA).
Powerful lawmakers vowed to stop giving Ecuador preferential trade treatment if the country agrees to grant asylum to Edward Snowden, who leaked classified information on a National Security Agency program. "Our government will not reward countries for bad behavior," said Senate Foreign Relations Committee Chairman Robert Menendez, D-N.J (here). "If Snowden is granted asylum in Ecuador, I will lead the effort to prevent the renewal of Ecuador's duty-free access under GSP and will also make sure there is no chance for renewal of the Andean Trade Promotion and Drug Eradication Act. Trade preferences are a privilege granted to nations, not a right. I urge [Ecuador's] President Correa to do the right thing by the United States and Ecuador, and deny Snowden's request for asylum."
India’s recent trend towards trade and investment barriers -- disregarding intellectual property rights, barring market access, closing investment sectors -- represent a troubling trend President Obama should address at next week’s U.S.-India Strategic Dialogue, 35 members of the House Ways and Means Committee said in a June 20 letter to Obama and other trade-related agency heads. The meeting provides a “timely opportunity to encourage India to pursue market-based policies and reforms instead of erecting barriers that hurt U.S. exporters, investors, and workers, as well as its own citizens,” the letter said (read it here). The Obama administration should focus on reducing tariffs -- India’s are some of the highest in the world -- as well as reducing opaque, discriminatory procedures, the letter said. Such regulations include local content requirements on electronic good procurement, compulsory licenses or revoking of pharmaceutical patents, and “paltry” market access for U.S. agricultural goods, the letter said.