A disruption involving help desk services for customs business numbers used by Canadian importers and customs brokers is leading to delays and increased storage fees, the Canadian Society of Customs Brokers said in a letter to the government this week. The group urged the Canada Revenue Agency and the Canada Border Services Agency to fix the issue, saying the disruption is causing days worth of delays for routine procedures that previously took minutes.
Canada on May 21 officially launched a public comment period as it considers potential new requirements under its Aluminum Import Monitoring Program. The country said it's considering aligning its aluminum import rules with its country of melt and pour information requirements for steel imports, which would “support supply chain transparency and help obtain a more comprehensive picture of the origins of imported aluminum goods.”
Companies with certain business activities in Canada have until May 31 to file with the Canadian government and publish a report on their supply chain due diligence procedures as part of that country's anti-forced labor law, ArentFox said in a client alert this week.
Mexico last week removed tariffs on certain aluminum imports because of a shortage in domestic production of raw unalloyed and alloyed aluminum. The country is revoking its 35% tariff on unalloyed aluminum and 20% tariff on alloyed aluminum imports from countries with which it doesn’t have a free trade deal. “The availability of said merchandise in countries with which Mexico has signed an international treaty on trade matters is insufficient to satisfy the supply of the automotive industries, auto parts, and electronics, among others, which is why it is necessary to delete” the tariffs, Mexico said in a notice published in its Diario Oficial de la Federacion May 8, according to an unofficial translation. The tariffs had been in place since April as part of a broader package of increased duties.
The Teamsters Canada Rail Conference will meet with Canadian National ahead of its strike deadline on May 13 and Canadian Pacific Kansas City on May 17, the teamsters said in a news release May 2. The teamsters voted on May 1 to strike if no deal is reached with both companies, and the earliest the union could strike would be on May 22, Canadian National said.
Masud Husain, a Canadian foreign service official, will replace Sheri Meyerhoffer as the new head of the government agency that investigates human rights concerns, including forced labor, in Canadian-linked supply chains, the country announced April 30. Husain will take over “later this year” in an interim role as the Canadian ombudsperson for responsible enterprise (CORE), Canada said.
The Aluminum Association cheered the Mexican decision to apply tariffs to 544 tariff lines in aluminum and aluminum products. The tariffs are as low as 5% or 10% on some products, but are 25% and 35% on most.
Costa Rica recently restored tariffs on non-U.S. origin rice, “instantly boosting U.S. rice competitiveness through preferential access negotiated in the Dominican Republic-Central America Free Trade Agreement (CAFTA-DR),” USDA's Foreign Agricultural Service said in a report last week. The 35% tariff had been removed in August 2022, but was restored April 11 after a court found against the removal. “Industry and government sources confirmed Costa Rican importers have already taken steps to import more U.S. rice in 2024,” the report said.
The Committee for the Implementation of Textile Agreements seeks comments by May 24 on a request by Canada to change the USMCA rules of origin for a fabric used in the production of fire hose. Canada says there is no commercial availability in the U.S., Canada or Mexico of “high-tenacity polyester yarn, single or multiple, multifilament, untwisted, untextured, and measuring more than 920 decitex, used in the production of fire hose, with or without lining, armor or accessories of other materials.” The yarn is classifiable in subheading 5402.20, and “end-use classification” for the fire hose is heading 5909.
The Canada Border Services Agency will delay its next deployment of its Customs Assessment and Revenue Management system until October, the agency said last week. CBSA had been scheduled to launch the automated duty collection system on May 13, but will now only do so internally, pushing back the release of the trade-facing aspects of CARM.