ITC posts recommended modifications to the HTS

On November 17, 2020, the US International Trade Commission (ITC) published in the Federal Register a notice of proposed recommendations and solicitation of public comments on Investigation No. 1205-13, Recommended Modifications in the Harmonized Tariff Schedule, 2020, which the ITC instituted on October 1, 2019. The ITC’s proposed recommendations relating to Investigation No. 1205-13 have been posted on the ITC Web site.

See https://www.govinfo.gov/content/pkg/FR-2020-11-17/pdf/2020-25305.pdf

BIS amends Export Administration Regulations to implement export enforcement provisions of ECRA

On November 17, 2020, the US Department of Commerce’s Bureau of Industry and Security (BIS) issued a final rule (“Final Rule”) amending and clarifying certain provisions of the Export Administration Regulations (EAR) to make them consistent with the Export Control Reform Act of 2018 (ECRA). The Final Rule also amends certain provisions of the EAR (not strictly concerning ECRA implementation) regarding the issuance of export licenses and denial orders and the payment of civil penalties.

See https://www.bis.doc.gov/index.php/documents/regulations-docs/federal-register-notices/federal-register-2020/2660-85-fr-73411-enforcement-provisions-0694-ah81/file

BIS amends Export Administration Regulations to implement export enforcement provisions of ECRA

On November 17, 2020, the US Department of Commerce’s Bureau of Industry and Security (BIS) issued a final rule (“Final Rule”) amending and clarifying certain provisions of the Export Administration Regulations (EAR) to make them consistent with the Export Control Reform Act of 2018 (ECRA). The Final Rule also amends certain provisions of the EAR (not strictly concerning ECRA implementation) regarding the issuance of export licenses and denial orders and the payment of civil penalties.

See https://www.bis.doc.gov/index.php/documents/regulations-docs/federal-register-notices/federal-register-2020/2660-85-fr-73411-enforcement-provisions-0694-ah81/file

Regional Comprehensive Economic Partnership signed simultaneously in 15 nations

On November 15, 2020, the Regional Comprehensive Economic Partnership (RCEP) was signed by China and 14 other nations — the 10 countries of the Association of Southeast Asian Nations (Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam plus Australia, China, Japan, New Zealand and South Korea. Many of the products for which tariffs are eliminated are already duty-free. RCEP was originally proposed by China as a counter to the Trans-Pacific Partnership (TPP), which became the Comprehensive and Progressive Agreement on the Trans-Pacific Partnership (CPTTP) after the Trump Administration withdrew from the TPP in 2017. While it is a more limited trade agreement than the CPTPP, it covers an area with 2.2 billion people and includes many of the same countries of the CPTPP.

See https://www.internationaltradecomplianceupdate.com/2020/11/16/regional-comprehensive-economic-partnership-signed-simultaneously-in-15-nations/

USTR issues technical amendment to a product exclusion on Tranche 3 ($200 Bn.)

On November 13, 2020, the Office of the United States Trade Representative (USTR) published in the Federal Register a notice that announces the USTR’s determination to make one technical amendment to a previously announced exclusion. As stated in a September 20, 2019 notice, product exclusions will apply from September 24, 2018 to August 7, 2020. The amendments announced in the notice are retroactive to the date the original exclusions were published and do not further extend the period for the original exclusions.

See https://www.govinfo.gov/content/pkg/FR-2020-11-13/pdf/2020-25068.pdf

President signs Executive Order prohibiting US Persons from purchasing securities of certain Chinese companies

On November 12, 2020, President Trump signed Executive Order 13959, “Addressing the Threat from Securities Investments that Finance Communist Chinese Military Companies” (the “China Securities EO”), which aims to prevent US investors from financing the development of the People’s Republic of China’s military, intelligence, and security capabilities by prohibiting purchases of securities of certain “Communist Chinese military companies.”

See https://www.govinfo.gov/content/pkg/FR-2020-11-17/pdf/2020-25459.pdf

USTR announces results of 2020 annual GSP review

On November 9, 2020, the Office of the United States Trade Representative (USTR) published in the Federal Register a notice announcing the results of the 2020 Annual Generalized System of Preferences (GSP) Review with respect to: products considered for the addition to, and removal from, the list of eligible products for certain beneficiary countries; and decisions related to competitive need limitations (CNLs), including petitions for waivers of CNLs.

See https://www.govinfo.gov/content/pkg/FR-2020-11-09/pdf/2020-24824.pdf

EU announces countermeasures against US products as a result of WTO large aircraft arbitration

On 9 November 2020, the Official Journal published Commission Implementing Regulation (EU) 2020/1646 of 7 November 2020 on commercial policy measures concerning certain products from the United States of America following the adjudication of a trade dispute under the Dispute Settlement Understanding of the World Trade Organization. On 11 April 2019, the Dispute Settlement Body of the World Trade Organization (‘WTO’) adopted its recommendations and rulings in the dispute DS353 United States – Measures Affecting Trade in Large Civil Aircraft (Second complaint) – Recourse to Article 21.5 of the DSU by the European Union, confirming that the United States has failed to bring its measures, found to be inconsistent with the Agreement on Subsidies and Countervailing Measures (‘SCM Agreement’), into conformity with its obligations under that Agreement.

See https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv%3AOJ.L_.2020.373.01.0001.01.ENG&toc=OJ%3AL%3A2020%3A373%3ATOC

Commerce amends National Security License Review Policy for items destined to China, Russia, and Venezuela

On October 29, 2020, the Commerce Department’s Bureau of Industry and Security (BIS) issued a final rule (the “final rule”) amending the license review policy under the Export Administration Regulations (EAR) for items controlled for national security (“NS”) reasons when destined to China, Russia, or Venezuela.

See https://www.federalregister.gov/documents/2020/10/29/2020-23962/amendments-to-national-security-license-review-policy-under-the-export-administration-regulations