Section 301 China tariff changes outlined by the Office of the U.S. Trade Representative May 14 will take effect approximately 90 days after a request for comments that will be issued next week. That includes a 100% tariff on Chinese-origin electric vehicles, as well as the jump to 25% Section 301 tariffs on steel and aluminum products, ship to shore cranes, lithium-ion electric vehicle batteries, battery parts for non-lithium-ion batteries, "some critical minerals" and face masks, and a bump to 50% tariffs on solar cells, syringes and needles, the White House said in a fact sheet.
The Office of the U.S. Trade Representative is seeking comments, requests to testify and written testimony on which countries should be included in the African Growth and Opportunity Act. Comments are due June 6, ahead of a June 27 hearing, at regulations.gov, docket number USTR-2024-0006. Parties may ask for the removal of any of the 32 countries currently covered by the AGOA trade preference, or argue for the reinstatement of countries that have been removed from the program, or have never been part of it, such as Ethiopia, Burkina Faso, Burundi, Cameroon, the Central African Republic, Equatorial Guinea, Eritrea, Gabon, Guinea, Mali, Niger, Seychelles, Somalia, South Sudan, Sudan, Uganda or Zimbabwe.
U.S. Trade Representative Katherine Tai issued a statement of disappointment more than a week after Mexico announced that a panel decision had agreed with its argument that labor violations at a zinc mine in San Martín were not subject to the USMCA rapid response labor mechanism, because they occurred before USMCA replaced NAFTA (see 2404260055).
Customs lawyer John Foote, speaking at the Washington International Trade Association during a panel on import bans, investments and export controls, questioned whether the Biden administration is ready to coordinate forced labor import bans with allies, given how the Uyghur Forced Labor Prevention Act is still in its infancy.
Rep. Sheila Cherfilus-McCormick, D-Fla., and Rep. Jonathan Jackson, D-Ill., introduced a bill, the U.S.-Africa Strategic Trade and Investment Partnership Act of 2024, that directs the U.S. to develop a strategy to promote the African Continental Free Trade Agreement's implementaiton, and to promote trade and investment in Africa for industries where the U.S. has a comparative advantage relative to other non-African countries.
Trade groups, companies and a union that represent the aluminum and steel sectors told the Office of the U.S. Trade Representative that they need more protection from import competition, by expansion of the scope of Section 232 tariffs, and by re-negotiation of the rules of origin in both trade agreements and the Section 232 exclusion for Canada and Mexico.
Former Deputy U.S. Trade Representative Jayme White will join Kelley Drye as a senior international trade adviser starting May 13 in the international trade practice group, the firm announced. White joined USTR in 2021, engaging with nations in the Western Hemisphere, Europe and the Middle East. USTR noted his departure in October, saying he led the enforcement of the USMCA, along with the global deal on sustainable steel and aluminum and negotiations on a critical minerals agreement. Prior to joining USTR, White worked in the office of then-Rep. Jim McDermott, D-Wash., and as chief adviser for international competitiveness and innovation for the Senate Finance Committee.
House Ways and Means Committee Chairman Rep. Jason Smith and Trade Subcommittee Chairman Rep. Adrian Smith called out U.S. Trade Representative Katherine Tai for the lengthy wait for the Section 301 tariffs review, which officially started in July 2022 after a round of comments that year in May in favor of extending the action.
Representatives from the domestic textiles industry testified at an Office of the U.S. Trade Representative hearing May 2 regarding ways to promote supply chain resilience, especially after many were disrupted by the COVID-19 pandemic (see 2404290057).
Canadian Solar, which is ramping up a 5-gigawatt solar panel manufacturing factory in Texas, told the Office of the U.S. Trade Representative that tariff rate quotas on solar cells under the current safeguard action and Section 301 tariffs on machinery that helps make solar panels and cells are harming solar manufacturers. Canadian Solar also is working on opening a solar cell plant in Indiana, but it won't open until late 2025. It imports cells made in Thailand. The TRQ only allows five gigawatts' worth of tariff-free cells in annually.