The Trade Subcommittee of the House Ways and Means Committee will hold an online hearing Sept. 10 at 2 p.m. EDT on what Congress should consider as it looks to renew the Caribbean Basin Trade Partnership Act. The act expires at the end of the month (see 2009020060 and 2008310026). No witnesses were announced.
Senate Finance Committee Chairman Chuck Grassley, R-Iowa, acknowledged that the tightening of Brazilian quotas on semi-finished steel exports is intervening in the private sector (see 2008310010), and he said the committee will be watching what the outcome is. “I’m not an advocate for [using Section] 232, because I think in too many instances, [the assertion of] national security has been misused,” he said during a call with reporters Sept. 1. He said he still thinks Congress ought to limit the power of the president to restrict trade without congressional input. His former chief trade counsel said recently that she didn't think that could happen any time soon (see 2008250049).
Twenty-three senators from both political parties urged U.S. Trade Representative Robert Lighthizer and Agriculture Secretary Sonny Perdue to press Canada to uphold its promises to give U.S. dairy exporters more market access. In a letter, released by Sen. Tina Smith, D-Minn., Aug. 26, they said that they agree with concerns about enforcement of USMCA dairy provisions expressed in a July letter sent by House members (see 2007020040), and that they are concerned that Canada's plans to fill its quotas are not consistent with those provisions. “Canada must not be permitted to effectively recreate the harmful impacts of Canada’s highly trade-distortive Classes 6 and 7 milk pricing programs,” the Aug. 25 letter said. “Canada must ... clearly establish prices for any new classes based on the end use of dairy products, and ensure that export surcharges for certain dairy products are implemented properly.”
Although bills renewing the Caribbean Basin Trade Partnership were offered in the last Congress without action, and this year's bill has been waiting 11 months, Senate Finance Committee Chairman Chuck Grassley, R-Iowa, said advocates of the program shouldn't worry it will expire at the end of September. Grassley, in response to an International Trade Today question during a conference call with reporters Aug. 27, said renewal is probably something that can pass the Senate by unanimous consent.
Rep. Suzan DelBene, D-Wash., and Rep. Dave Schweikert, R-Ariz., introduced a bill called the Advancing America's Interests Act, which would provide limits on how the International Trade Commission considers Section 337 complaints to bar imports over patent violations. DelBene said in a press release Aug. 14 that patent licensing entities have abused the 337 process for financial gain. She said that complaints would not be allowed on American goods unless the company whose goods are patented is voluntarily named on the complaint. The ITC would also be required “to consider that public interest is paramount” in their remedial exercise and to determine that any import exclusion serves the public interest.
Senate Finance Committee Chairman Chuck Grassley, R-Iowa, said Taiwan's an attractive free trading partner but not as important to exporters as China is. “I'm for a free trade agreement with Taiwan, but I wouldn't want that to stand in the way of a phase two deal with China,” he told reporters on a conference call Aug. 17. China sees Taiwan as a breakaway province, and considers it part of China, not an independent country. Taiwan's president recently said he'd like negotiations to begin on an FTA (see 2008130010), and 161 House members have argued for opening negotiations with Taiwan (see 1912200014).
The leaders of the House Ways and Means and Senate Finance committees would like the International Trade Commission to provide more information about imported goods involved in the response to the COVID-19 pandemic, they said in an Aug. 13 letter to the ITC. The ITC released a report on the subject in May (see 2005040062) and the lawmakers would like “more detailed information on COVID-related industry sectors and particular products identified in the Commission’s previous report,” they said. The report should be produced by Dec. 15, they said. The committees intend to make the report available to the public, so it “should not include confidential business information,” the letter said.
U.S. Trade Representative Robert Lighthizer should end the Section 301 tariffs on food and drink from the European Union, more than a dozen senators said in an Aug. 7 letter. “Hiked prices on cheese, wine, meat, fruit, olive oil and other food and beverages from the EU have caused an increased financial strain on families trying to put food on their tables and restaurants trying to keep their doors open during the economic crisis caused by the pandemic,” said Sen. Thom Tillis, R-N.C., in an Aug. 10 news release about the letter.
The International Trade Commission is recommending that 2,695 petitions for tariff reductions be included in a Miscellaneous Tariff Bill, and 705 petitions be rejected, it said in a news release Aug. 10. Another 42 petitions were ineligible for a decision, either because they were incomplete, or because of the company that submitted them. The recommendations were within a final report to be considered by Congress as part of the MTB process. “The submission of today’s report marks the completion of the second and final petition cycle required by the law,” the ITC said.
Sen. Bob Menendez, D-N.J., introduced a bill with 12 Democratic Finance Committee co-sponsors, to establish an inspector general at the Office of the U.S. Trade Representative. The bill, introduced Aug. 6, would require the president to appoint an IG within 120 days of passage. A companion bill is expected to be introduced Aug. 7 in the House of Representatives by Rep. Bill Pascrell, D-N.J. In a press release, Pascrell said, “Sunlight remains the ultimate disinfectant, and that is especially true when it comes to our trade policy. Our nation’s trade policies impact virtually every aspect of our economy and so Americans deserve to know that they are being formulated free of tainting influences and double-dealing. The opaqueness and outright corruption of Trump’s regime has revealed the need for a watchdog in all corners of our government. Our bill will ensure our trade policy will not be wielded for personal or political gain.” The bill says that within 180 days, the IG is to begin an audit of the process of granting Section 301 exclusions for Chinese goods.