CBP has released its May 7 Customs Bulletin (Vol. 59, No. 19). While it contains no ruling notices, it includes nine Court of International Trade slip opinions and five U.S. Court of Appeals decisions.
An exemption from reciprocal tariffs for U.S. content that rises above 20% should be calculated only on the basis of a good’s physical characteristics, CBP said in an update to its FAQ on International Emergency Economic Powers Act tariffs. “Non-physical elements” like research and development, intellectual property rights and royalties can’t be included toward exempt U.S. content, CBP said.
The Commerce Department is beginning a Section 232 investigation on possible tariffs on commercial aircraft and jet engines, including parts, it said in a notice released May 9. The agency will consider “the effects on national security of imports of commercial aircraft and jet engines, and parts for commercial aircraft and jet engines,” as well as “whether additional measures, including tariffs or quotas, are necessary to protect national security,” among other things. Comments are due June 3.
The U.S. Court of Appeals for the Federal Circuit on May 9 upheld the Court of International Trade's classification of 14 mixtures of frozen fruits and vegetables under Harmonized Tariff Schedule subheading 0811.90.80, the residual category for "other" frozen fruit.
The only two countries in the world whose trade deals with the U.S. are still being honored are Mexico and Canada, a Mexican trade expert said, meaning the impact of fentanyl tariffs, steel and aluminum Section 232 tariffs, and auto and auto parts tariffs on Mexico's exports to the U.S. is not as dramatic as initially feared. Still, nearly 30% of the $505.9 billion in goods exported to the U.S. last year would face 25% additional tariffs now, either because the goods are subject to a Section 232 action, or they are goods that cannot meet USMCA rules of origin, an expert said.
President Donald Trump said on social media early May 9, "80% Tariff on China seems right! Up to Scott B." He was referring to Treasury Secretary Scott Bessent, who will meet with China's vice premier in Switzerland on Saturday and Sunday to talk trade.
The Commerce Department is beginning a Section 232 investigation into possible tariffs on commercial aircraft and jet engines, including parts, it said in a notice released May 9. The agency will consider “the effects on national security of imports of commercial aircraft and jet engines, and parts for commercial aircraft and jet engines,” as well as “whether additional measures, including tariffs or quotas, are necessary to protect national security,” among other things. Comments are due June 3.
The 10% tariff on the first 100,000 autos exported annually from the U.K. will be "all-in," according to the Office of the U.S. Trade Representative. CBP couldn't clarify whether that would be done by removing most favored nation duties on U.K. autos and then applying a 10% tariff rate, or whether the additional tariff rate for in-quota autos would be 7.5%.
Ashlande Gelin, a former attorney at the Commerce Department's Office of the Chief Counsel for Trade Enforcement and Compliance, left the agency to join Sidley Austin as a managing associate, she announced May 8 on LinkedIn. Gelin joined Commerce in 2021 after serving as a law clerk and attorney in the Office of the U.S. Trade Representative.
PKDC LLC, a Colorado-based furniture distributor, accused China-based ocean carrier Cosco Shipping Lines Co. of charging “hundreds of thousands of dollars” in unfair demurrage and detention fees, according to a complaint filed with the Federal Maritime Commission this month.