In testimony in Canada's House of Commons, former government chief negotiator Steve Verheul told politicians that there is no surge in Canadian aluminum exports to the U.S., so a return to 10% tariffs on Canadian exports is not warranted. He said the product mix shifted, but the total exports are not up.
After the Supreme Court declined to hear a case about the constitutionality of Section 232 tariffs (see 2006220034), the director of the Cato Institute's trade policy studies center asked if there's any chance other cases could restrict the administration's power to levy tariffs on national security grounds. Gary Horlick, an attorney who was part of the team that brought the case the Supreme Court declined, noted there are cases still pending (see 2003260056 and 2007080055), but a fellow lawyer on the case, Don Cameron Jr., of Morris, Manning & Martin, said the chances are remote.
The Mexico Institute asked whether it was a mistake for Mexico's president to visit President Donald Trump four months ahead of Election Day, particularly since Trump has been so hostile to Mexican immigrants.
A three-judge panel at the Court of International Trade will hear a recently filed Section 232 challenge that opens a new front in the battle of steel importers against the tariffs. Maple Leaf Marketing (MLM), distributor of oil industry pipe that is exported from the U.S. to Canada for processing before being re-imported in improved form, says that CBP in April illegally expanded Section 232 tariffs to cover U.S. goods returned under subheading 9802.00.0050 (see 2004130056).
2020 outpaced even the active 2019 in terms of the frequency of Harmonized Tariff Schedule updates. Most of the updates implemented new Section 301 exclusions and changes and extensions for existing ones. Other major changes included new Section 232 tariffs on steel and aluminum "derivatives" and the withdrawal of Generalized System of Preferences benefits for many goods from Thailand In all, 13 revisions were issued prior to the mid-year Revision 14, as follows:
The International Trade Commission posted Revision 14 to the 2020 Harmonized Tariff Schedule. The semiannual update to the HTS implements USMCA, which took effect July 1, and adds new tariff numbers for a variety of products, including diagnostic reagents and personal protective equipment. All changes take effect July 1, unless otherwise specified.
Importers continue to ask CBP what they should do about importing used cars that were built in Canada, the U.S. or Mexico, when they cannot know if those vehicles meet the new regional value content standards.
CBP issued the following releases on commercial trade and related matters:
Senate Finance Committee Chairman Chuck Grassley, R-Iowa, celebrated the switchover from NAFTA to the U.S.-Mexico-Canada Agreement -- coming July 1 -- but also talked about a trade irritant with Canada and one with Mexico in a conference call with reporters June 30.
The following lawsuits were filed at the Court of International Trade during the week of June 22-28: