U.S. Trade Representative Robert Lighthizer said that the trade facilitation agreement that the U.S. and Brazil signed Oct. 19 is very similar to the USMCA trade facilitation chapter, and that traders should expect more incremental progress in coming months. “There’s a lot more that needs to be done,” Lighthizer said during a U.S. Chamber of Commerce program Oct. 20. “We have ongoing negotiations on ethanol. Brazilians like to talk about sugar. There’s a variety of things in the agriculture area.”
Brazil's president, Jair Bolsonaro, told a business audience that his country and the U.S. have completed a trade facilitation agreement, an agreement on best regulatory practices, and an anti-corruption agreement. He said these treaties would “slash red tape and bring about even more growth to our bilateral trade with beneficial effects to the flow of investments as well.”
As trade and labor attorneys wait to see which company is the target of a promised AFL-CIO rapid response complaint, Warren Payne, a senior adviser for Mayer Brown's public policy and international trade practices, said there can be informed speculation on who might be first.
The World Customs Organization issued the following release on commercial trade and related matters:
Japan announced the launch of a government-sponsored export control program for small and medium-sized companies, which includes “briefing sessions” and guidance from export control experts on complying with regulations surrounding sensitive technologies. The program, a collaboration of the country’s Ministry of Economy, Trade and Industry, the Japanese Chamber of Commerce and the chambers of commerce in Tokyo, Nagoya and Osaka, will create a “security trade control system … to prevent the outflow of sensitive technologies” by smaller companies, the ministry said Sept. 15, according to an unofficial translation. It will feature a free “specialized consultation desk” for export control issues, Japan said, and company visits by export control experts to help with in-house compliance programs. It said the resources will be available to companies operating in Tokyo, Nagoya and Osaka, but the program may expand to other regions.
The 10% tariffs on Canadian non-alloyed unwrought aluminum will be refunded back to Sept. 1, and the tariffs won't return unless Canadian exporters exceed either 70,000 tons or 83,000 tons in that category (see 2009150040), the Office of the U.S. Trade Representative said on Sept. 15. The office said the limits start at 83,000 for the current month, then go to 70,000, then back to 83,000, then back to 70,000 for December. USTR did not say the tariffs would definitely return if Canadian exporters exceed these numbers by at least 5%, and suggested that if Canadian exporters reduced the next month's shipments by the same amount of the overage, that would satisfy USTR.
While industry welcomed the U.S. June decision to allow companies to more easily participate in standards-setting bodies in which Huawei is a member (see 2006160035), the administration should expand the rule to exempt all businesses on the Entity List, companies and trade groups said in comments last month. If the Bureau of Industry and Security does not expand the rule, companies will still be hampered at international standards bodies and could continue to cede technology leadership to China, they said.
Taiwan plans to lift import restrictions on U.S. pork and beef, President Tsai Ing-wen said Aug. 28, adding that some Taiwanese restrictions, including in the agricultural sector, are blocking Taiwan from forming a “closer bond” with the U.S.
The Commerce Department published its spring 2020 regulatory agenda for the Bureau of Industry and Security. The agenda includes a new mention of a rule to control “software” for the operation of “automated nucleic acid assemblers and synthesizers” capable of designing and building “functional genetic elements from digital sequence data.” BIS said the software can be used in the production of pathogens and toxins, with the potential for those to make their way into biological weapons if export controls on the software are lacking. The notice of proposed rulemaking, part of BIS’ effort to control emerging and foundational technologies (see 2005190052), will request industry comments about how the controls might affect “legitimate commercial or scientific applications.” BIS said it aims to issue the proposed rule this month.
Trade groups are asking top Mexican politicians to change Mexico's tariff treatment of packages that are under the $117 de minimis level and informal entries. The groups, including the U.S. Chamber of Commerce, the Express Association of America and its Mexican counterpart, and the National Retail Federation, wrote the economy secretary, finance secretary and the head of Mexico's equivalent of the IRS on July 7, because of June 30 amendments to Mexico's Reglas Generales de Comercio Exterior regulations.