Trade Law Daily is providing readers with the top stories from last week, in case you missed them. All articles can be found by searching on the title or by clicking on the hyperlinked reference number.
A North Carolina business owner pleaded guilty last week after trying to export accelerometer technology with military uses to China without a Bureau of Industry and Security license, DOJ said. David Bohmerwald, owner of the electronics resale business Components Cooper Inc., faces a maximum penalty of 20 years in prison
Raj Parekh, a DOJ lawyer who was named the Bureau of Industry and Security’s first chief of corporate enforcement in September (see 2409120007), is leaving BIS next week to join the law firm Sparacino, he announced on LinkedIn. Parekh said his departure from government is “entirely unrelated to current events,” adding that his one-year detail as the BIS corporate enforcement chief “would have continued if it were not for this unique opportunity in the private sector.”
President Donald Trump's recent expansion of Section 232 steel and aluminum tariffs likely would survive a judicial challenge, particularly in light of the string of cases challenging the Section 232 duties imposed during his first term, trade lawyers told us. Thomas Beline, partner at Cassidy Levy, said Trump's move to eliminate the country-specific arrangements and product exclusions is "likely defensible," since the statute lets the president take any action he deems necessary where an agreement is "not being carried out or is ineffective."
Trade Law Daily is providing readers with the top stories from last week, in case you missed them. All articles can be found by searching on the title or by clicking on the hyperlinked reference number.
The Commerce Department's Bureau of Industry and Security (BIS) improperly rejected 63 Section 232 steel tariff exclusion requests filed by California-based importer Mirror Metals, the company argued in a Dec. 20 complaint at the Court of International Trade. Mirror Metals said that if BIS applied the standards laid out in its regulations, the "only reasonable conclusion" it could have drawn was that the company "cannot obtain the subject steel in the U.S. market in a sufficient quantity or quality, on a timely basis to replace the steel it currently imports" (Mirror Metals v. United States, CIT # 24-00260).
The Court of International Trade on Dec. 19 declined to grant victory to G&H Diversified Manufacturing on the importer's claims that CBP previously, as part of its role in granting a Section 232 duty exclusion, already said the company's imports were subject to the exclusion. Judge Timothy Reif said open questions of fact still exist with regard to the extent of CBP's role in the exclusion process.
The Court of International Trade on Dec. 2 referred importer California Steel Industries' suit on its denied requests for Section 232 steel tariff exclusions to court-annexed mediation before Judge Leo Gordon. The action was previously referred to mediation, though the effort proved fruitless (California Steel Industries v. United States, CIT # 21-00015).
An Indian national violated U.S. export controls by lying on at least one export application for dual-use aerospace technology, telling the government the item would be exported to India when he actually planned to send it to Russia, according to a DOJ indictment unsealed last week and the sworn affidavit of a Bureau of Industry and Security special agent.
Richard Allen, a former Navy officer, was sentenced to 18 months in prison for his role in a scheme to steal more than $850,000 worth of military gear and sell it to bidders from China, Russia and dozens of other countries, DOJ announced last week.