The Office of the U.S. Trade Representatively should allow for goods that were subject to Section 301 tariffs at the time of entry to a foreign-trade zone to be tariffed at whatever rate is in effect when the goods are removed from the FTZ, the National Associations of Foreign-Trade Zones said in a recent letter to the USTR. The trade group offered support for the suspension on Section 301 duties that were related to digital services taxes, and said that "the notices confirm the application of Sec. 301 duty rates in effect at the time of Customs entry for subject merchandise admitted into a U.S. foreign-trade zone (FTZ) in mandated privileged-foreign (PF) status."
The following lawsuits were filed at the Court of International Trade during the week of Aug. 2-8:
CBP's plans to extend the Part 102 marking rules from NAFTA to USMCA determinations of country of origin for nonpreferential claims and procurement under USMCA (see 2107010045) lacks the legal justifications needed to finalize the proposal, Novolex Holdings, a packaging conglomerate owned by the Carlyle Group, said in comments to the agency. "As proposed, such origin determinations would no longer abide by the precedent developed in over a century of determinations by the federal courts," the company said. The comments were posted Aug. 11 in the docket.
While grain-oriented electrical steel is subject to Section 232 tariffs, the domestic GOES producer says that electrical steel laminations and cores produced in Mexico and Canada continue to imperil the jobs at their mills. Sen. Sherrod Brown, D-Ohio, and Sen. Bob Casey, D-Pa., represent the workers at those mills, and they, along with Sen. Bill Cassidy, R-La., have proposed an amendment to the bipartisan infrastructure bill that would instruct the Office of the U.S. Trade Representative to negotiate with Canada and Mexico in order to get them to agree to measures curtailing their exports if they are so numerous that they damage the business of Cleveland-Cliffs.
The following lawsuits were filed at the Court of International Trade during the week of July 26 - Aug. 1:
After the Commerce Department released the outstanding Section 232 reports (see 2107290039), the lawyers for a vanadium exporter cheered the outcome. The Trump administration initiated a national security investigation into vanadium imports, but the Biden administration made the decision that vanadium imports do not threaten national security.
The Commerce Department posted its Section 232 investigation reports on whether national security is threatened by imports of vanadium, transformers and transformer inputs made from grain-oriented electrical steel (GOES), titanium sponge and uranium. All the investigations were initiated under the Trump administration, but the most recently completed investigation on vanadium was finished after President Joe Biden took office (see 2103020027).
The following lawsuits were filed at the Court of International Trade during the week of July 19-25:
In a report accompanying the spending bill for the Department of Homeland Security, House appropriators said they still want a briefing on its efforts to improve automated cargo processing, including scanning at land ports of entry. The report directs the agency to provide the briefing within 60 days of the spending bill's signing. They also asked for a brief within 60 days on how CBP's two-year-old strategy to interdict opioids is going, and what they will do next. They noted that since 2018, Congress has provided more than $200 million in support of interdiction, including money for international mail and consignment facilities, and that it expects CBP and the U.S. Postal Service to have higher capture rates. They also asked for a report within 120 days on whether duties on imported aluminum are being properly assessed when the aluminum "exempt from certain tariffs" is entering the U.S. The report does not say whether they are concerned that aluminum from countries not covered by Section 232 is being wrongly taxed, or whether parties that have exclusions are not receiving the benefits of the exclusions. A press aide did not respond to questions on this part of the report by press time.
CBP issued the following releases on commercial trade and related matters: