USITC VOTES TO CONTINUE INVESTIGATIONS CONCERNING FLUID END BLOCKS FROM CHINA, GERMANY, INDIA, AND ITALY

The United States International Trade Commission (USITC) today determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of fluid end blocks from Germany, India, and Italy that are allegedly sold in the United States at less than fair value and subsidized by the governments of China, Germany, India, and Italy. 

Chairman David S. Johanson and Commissioners Rhonda K. Schmidtlein, Jason E. Kearns, Randolph J. Stayin, and Amy A. Karpel voted in the affirmative. 

As a result of the Commission’s affirmative determinations, the U.S. Department of Commerce will continue with its antidumping and countervailing duty investigations concerning imports of this product from China, Germany, India, and Italy, with its preliminary countervailing duty determinations due on or about March 13, 2020, and its preliminary antidumping duty determinations due on or about May 27, 2020.

The Commission’s public report Fluid End Blocks from China, Germany, India, and Italy (Inv. Nos. 701-TA-632-635 and 731-TA-1466-1468 (Preliminary), USITC Publication 5017, February 2020) will contain the views of the Commission and information developed during the investigations.

The report will be available after March 12, 2020; when available, it may be accessed on the USITC website at:  httsps://www.usitc.gov/commission_publications_library.

UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436

FACTUAL HIGHLIGHTS

Fluid End Blocks from China, Germany, India, and Italy
Investigation Nos. 701-632-635 and 731-TA-1466-1468 (Preliminary)

Product Description:  Fluid end blocks are steel forgings of a particular chemistry and certain dimensional ranges that are an essential part of a well service pump. Fluid end blocks are incorporated into a fluid end module, which is used in well stimulation processes and are responsible for pressurizing the pumped fluid into the well. Pumps incorporating fluid end blocks are primarily used for drilling or hydraulic fracturing in the oil and gas industry. Some fluid end blocks are incorporated into mud pumps, which use lower pressures and primarily pump water or a mud mixture. Most fluid end blocks are made from stainless steel or non-stainless alloy steel, and many fluid end block producers experiment with different steel chemistries in an effort to improve fluid end block hardness, toughness, strength, and machinability. 

Status of Proceedings:

1.   Type of investigation:  Preliminary phase antidumping and countervailing duty investigations.
2.   Petitioner:  Ellwood City Forge Company, Ellwood Quality Steels Company, and Ellwood National Steel Company, Ellwood City, PA; A. Finkl & Sons, Chicago, IL; and FEB Fair Trade Coalition, Cleveland, OH.
3.   USITC Institution Date:  Thursday, December 19, 2019.
4.   USITC Conference Date:  Thursday, January 9, 2020.
5.   USITC Vote Date:  Friday, January 31, 2020.
6.   USITC Views to Commerce Date:  Monday, February 10, 2020.

U.S. Industry in 2018:

1.   Number of U.S. producers:  10.
2.   Location of producers’ plants:  Illinois, Michigan, Pennsylvania, Texas, Wisconsin.
3.   Production and related workers:  [1]
4.   U.S. producers’ U.S. shipments:  1 
5.   Apparent U.S. consumption:  1 
6.   Ratio of subject imports to apparent U.S. consumption:  1  

U.S. Imports in 2018:

1.   Subject imports:  $256.4 million.
2.   Nonsubject imports:  1 
3.   Leading import sources:  China, Germany, India, and Italy.

[1] Withheld to avoid disclosure of business proprietary information.

# # #

https://www.usitc.gov/press_room/news_release/2020/er0131ll1248.htm

USITC VOTES TO CONTINUE INVESTIGATION CONCERNING 4TH TIER CIGARETTES FROM KOREA

The United States International Trade Commission (USITC) today determined that there is a reasonable indication that a U.S. industry is threatened with material injury by reason of imports of 4th tier cigarettes from Korea that are allegedly sold in the United States at less than fair value. 

Chairman David S. Johanson and Commissioners Rhonda K. Schmidtlein, Jason E. Kearns, Randolph J. Stayin, and Amy A. Karpel voted in the affirmative. 

As a result of the Commission’s affirmative determination, the U.S. Department of Commerce will continue with its antidumping duty investigation concerning imports of this product from Korea, with its preliminary antidumping duty determination due on or about February 10, 2020.

The Commission’s public report 4th Tier Cigarettes from Korea (Inv. No. 731-TA-1465 (Preliminary), USITC Publication 5016, February 2020) will contain the views of the Commission and information developed during the investigation.

The report will be available after March 3, 2020; when available, it may be accessed on the USITC website at:  https://www.usitc.gov/commission_publications_library.

UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436

FACTUAL HIGHLIGHTS

4th Tier Cigarettes from Korea
Investigation No. 731-TA-1465 (Preliminary)

Product Description:  Cigarettes are combustible tobacco products rolled in paper and delivering nicotine. They may or may not have a filter and are sold in packs of 20 cigarettes in either 100's (100mm) or King's (85mm) lengths. The packaging and lengths are regulated by the U.S. Food and Drug Administration ("FDA"). While there is no single definition for a fourth tier cigarette, there is a consensus that fourth tier cigarettes are deeply discounted products. Fourth tier cigarettes may contain a higher percentage of tobacco stems, consisting of 10 to 40 percent tobacco stems compared with non-fourth tier cigarettes which typically contain less than 10 percent stems. Additionally, fourth tier cigarettes typically use a single-component filter while non-fourth tier cigarettes may use multi-segmented filters.

Status of Proceedings:

1.   Type of investigation:  Preliminary phase antidumping duty investigation.
2.   Petitioners:  Xcaliber, Pryor, OK; Cheyenne International, Grover, NC.
3.   USITC Institution Date:  Wednesday, December 18, 2019.
4.   USITC Conference Date:  Wednesday, January 8, 2020.
5.   USITC Vote Date:  Friday, January 31, 2020.
6.   USITC Notification to Commerce Date:  Monday, February 3, 2020.

U.S. Industry in 2018:

1.   Number of U.S. producers:  4.
2.   Location of producers’ plants:  Florida, New York, North Carolina, and Oklahoma.
3.   Production and related workers:  [1]
4.   U.S. producers’ U.S. shipments:  1
5.   Apparent U.S. consumption:  1
6.   Ratio of subject imports to apparent U.S. consumption:  1

U.S. Imports in 2018:

1.   Subject imports:  1
2.   Nonsubject imports:  1
3.   Leading import sources:  Canada, Korea.

[1] Withheld to avoid disclosure of business proprietary information.

# # #

https://www.usitc.gov/press_room/news_release/2020/er0131ll1247.htm

Proclamation on Adjusting Imports of Derivative Aluminum Articles and Derivative Steel Articles into the United States

1.  On January 11, 2018, the Secretary of Commerce (Secretary) transmitted to me a report on his investigation into the effect of imports of steel articles on the national security of the United States, and on January 19, 2018, the Secretary transmitted to me a report on his investigation into the effect of imports of aluminum articles on the national security of the United States.  Both reports were issued pursuant to section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. 1862).

2.  In Proclamation 9704 of March 8, 2018 (Adjusting Imports of Aluminum Into the United States), and Proclamation 9705 of March 8, 2018 (Adjusting Imports of Steel Into the United States), I concurred in the Secretary’s findings that aluminum articles and steel articles were being imported into the United States in such quantities and under such circumstances as to threaten to impair the national security of the United States.  I therefore decided to adjust the imports of aluminum articles, as defined in clause 1 of Proclamation 9704, as amended, by imposing a 10 percent ad valorem tariff on such articles imported from most countries, beginning March 23, 2018.  I also decided to adjust the imports of steel articles, as defined in clause 1 of Proclamation 9705, as amended, by imposing a 25 percent ad valorem tariff on such articles imported from most countries, beginning March 23, 2018.

3.  In Proclamation 9758 of May 31, 2018 (Adjusting Imports of Aluminum Into the United States), I decided to further adjust imports of aluminum articles by imposing quotas on such articles from the Argentine Republic (Argentina).  In Proclamation 9740 of April 30, 2018 (Adjusting Imports of Steel Into the United States), I decided to adjust imports of steel articles by imposing quotas on such articles from the Republic of Korea (South Korea), and in Proclamation 9759 of May 31, 2018 (Adjusting Imports of Steel Into the United States), I decided to adjust imports of steel articles by imposing quotas on such articles from Argentina and the Republic of Brazil (Brazil).

4.  In Proclamation 9704 and Proclamation 9705, I directed the Secretary to monitor imports of aluminum articles and steel articles, respectively, and inform me of any circumstances that in the Secretary’s opinion might indicate the need for further action under section 232 of the Trade Expansion Act of 1962, as amended.

5.  The Secretary has informed me that domestic steel producers’ capacity utilization has not stabilized for an extended period of time at or above the 80 percent capacity utilization level identified in his report as necessary to remove the threatened impairment of the national security.  Stabilizing at that level is important to provide the industry with a reasonable expectation that market conditions will prevail long enough to justify the investment necessary to ramp up production to a sustainable and profitable level.  Capacity utilization in the aluminum industry has improved, but it is still below the target capacity utilization that the Secretary recommended in his report.  Although imports of aluminum articles and steel articles have declined since the imposition of the tariffs and quotas, the Secretary has informed me that imports of certain derivatives of aluminum articles and imports of certain derivatives of steel articles have significantly increased since the imposition of the tariffs and quotas. The net effect of the increase of imports of these derivatives has been to erode the customer base for U.S. producers of aluminum and steel and undermine the purpose of the proclamations adjusting imports of aluminum and steel articles to remove the threatened impairment of the national security.

6.  The derivative articles the Secretary identified are described in Annex I (aluminum) and Annex II (steel) to this proclamation.  For purposes of this proclamation, the Secretary determined that an article is “derivative” of an aluminum article or steel article if all of the following conditions are present:  (a) the aluminum article or steel article represents, on average, two-thirds or more of the total cost of materials of the derivative article; (b) import volumes of such derivative article increased year-to-year since June 1, 2018, following the imposition of the tariffs in Proclamation 9704 and Proclamation 9705, as amended by Proclamation 9739 and Proclamation 9740, respectively, in comparison to import volumes of such derivative article during the 2 preceding years; and (c) import volumes of such derivative article following the imposition of the tariffs exceeded the 4 percent average increase in the total volume of goods imported into the United States during the same period since June 1, 2018.  The modifications to subchapter III of chapter 99 of the Harmonized Tariff Schedule of the United States described in Annex I (aluminum) and Annex II (steel) to this proclamation implement the Secretary’s determinations in this regard. More →

https://www.whitehouse.gov/presidential-actions/proclamation-adjusting-imports-derivative-aluminum-articles-derivative-steel-articles-united-states/

Economic and Trade Agreement Between the Government of the United States and the Government of the People’s Republic of China

DRIED TART CHERRIES FROM TURKEY DO NOT INJURE U.S. INDUSTRY, SAYS USITC

The United States International Trade Commission (USITC) today determined that a U.S. industry is not materially injured or threatened with material injury by reason of imports of dried tart cherries from Turkey that the U.S. Department of Commerce (Commerce) has determined are subsidized and sold in the United States at less than fair value.

Chairman David S. Johanson and Commissioners Rhonda K. Schmidtlein, Jason E. Kearns, Randolph J. Stayin, and Amy A. Karpel voted in the negative.

As a result of the USITC’s negative determinations, no antidumping and countervailing duty orders will be issued.

The Commission’s public report Dried Tart Cherries from Turkey (Inv. Nos. 701-TA-622 and 731-TA-1448 (Final), USITC Publication 5014, January 2020) will contain the views of the Commission and information developed during the investigations.

The report will be available by February 18, 2020; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp. More → 

https://www.usitc.gov/press_room/news_release/2020/er0114ll1214.htm

DHS Issues Strategy to Combat Human Trafficking, the Importation of Goods Produced with Forced Labor, and Child Sexual Exploitation

WASHINGTON – Today, the Department of Homeland Security (DHS) is publishing its first Strategy to Combat Human Trafficking, the Importation of Goods Produced with Forced Labor, and Child Sexual Exploitation.

“After years of work and close coordination within the Administration, I’m pleased to announce that the Department of Homeland Security has developed a first-of-its-kind strategy to leverage all our authorities and resources in this fight,” said Acting Secretary of Homeland Security Chad F. Wolf. “Let me be clear: this strategy isn’t just about leveraging resources, it’s about ending human trafficking. DHS’s Strategy to Combat Human Trafficking, the Importation of Goods Produced with Forced Labor, and Child Sexual Exploitation is our formal recognition of this issue as a Departmental priority. This strategy is a framework to communicate the Department’s priorities, ensure resources are allocated, and to monitor progress, so that we can save more lives and bring criminals to justice.”

The Strategy articulates the Department’s priorities over the next five years to combat the growing threat of human trafficking, the importation of goods produced with forced labor, and child sexual exploitation by focusing on:

  • Preventing exploitative crimes;

  • Protecting victims;

  • Investigating and prosecuting perpetrators;

  • Partnering with the homeland security enterprise; and

  • Enabling DHS through organizational improvements to combat these illicit activities.

Developing this strategy involved assessing the Department’s initiatives and aims to harmonize efforts and leverage the Department’s authorities and resources in a comprehensive and cohesive manner to more effectively combat human trafficking, the importation of goods produced with forced labor, and child sexual exploitation.

Our understanding of the threat from these horrible crimes has improved, but sadly it is also proving to be greater than previously known. In 2018, the U.S. National Human Trafficking Hotline was contacted 41,088 times and reported 10,949 cases of human trafficking, a number that has grown each year. In 2018, the National Center for Missing and Exploited Children’s CyberTipline received over 18.4 million reports of suspected child sexual exploitation and abuse, an all-time high that grows exponentially each year. Combatting these threats demands a coordinated, comprehensive approach.

The strategy can be found here.

In 180 days, the Department will publish an implementation plan that includes specific deliverables, timelines, and metrics for key results.

https://www.dhs.gov/news/2020/01/15/dhs-issues-strategy-combat-human-trafficking-importation-goods-produced-forced-labor

USITC TO INVESTIGATE EXTENT OF ILLEGAL, UNREPORTED, AND UNREGULATED SEAFOOD IMPORTS AND IMPACT ON U.S. COMMERCIAL FISHERMEN

The U.S. International Trade Commission (USITC) is seeking input for an investigation of the extent to which seafood products obtained from illegal, unreported, and unregulated (IUU) fishing are imported into the United States and the potential economic effects on U.S. fishermen of competition with such imports.  IUU seafood includes products obtained in contravention of fisheries management regulations or in violation of labor laws.

The investigation, Seafood Obtained via Illegal, Unreported, and Unregulated Fishing: U.S. Imports and Economic Impact on U.S. Commercial Fisheries, was requested by the House Committee on Ways and Means in a letter received on December 19, 2019.

As requested, the USITC, an independent, nonpartisan, factfinding federal agency, will:

  • provide a review of the existing data and literature on the prevalence of IUU products in the U.S. import market, and an overview of international mechanisms for monitoring and enforcement to address IUU fishing;

  • provide a description of the size and structure of the U.S. commercial fishing industry;

  • provide a description of the major global producers of IUU products, including but not limited to China, and country practices related to IUU production and exports;

  • provide an analysis of the extent to which IUU product is imported into the United States, as well as major U.S. import sources and the global supply chains of such products; and

  • provide a quantitative analysis of the economic impact of IUU imports on U.S. commercial fishermen and U.S. commercial fishing production, trade, and prices.

The USITC expects to deliver the report to the Committee by December 21, 2020. More →

https://www.usitc.gov/press_room/news_release/2020/er0127ll1215.htm

2020 BOAT SHOW SCHEDULE

Here are some of the 2020 Boat Shows. If you need assistance Importing / Exporting / Transporting your boat, give us a call.

Baltimore Boat Show

January 23rd-26th

https://www.baltimoreboatshow.com/

 

Seattle Boat Show

January 24th- February 1ST

www.seattleboatshow.com

 

Vancouver Boat Show

February 5th-9th

https://www.vancouverboatshow.ca/

 

Miami Boat Show

February 13th-17th

https://www.miamiboatshow.com/

 

Newport Boat Show

April 23rd-26th

https://www.sandiegointernationalboatshow.com/

 

Anacortes Boat Show

May 14th-17th

https://anacortesboatandyachtshow.com/

 

San Diego Boat Show

June 11th-14th

https://www.sandiegointernationalboatshow.com/

 

Fort Lauderdale Boat Show

October 28-November 1st

https://www.flibs.com/en/home.html

 

ECONOMIC AND TRADE AGREEMENT BETWEEN THE UNITED STATES OF AMERICA AND THE PEOPLE’S REPUBLIC OF CHINA

On January 15, 2020, the United States and China signed an historic and enforceable agreement on a Phase One trade deal that requires structural reforms and other changes to China’s economic and trade regime in the areas of intellectual property, technology transfer, agriculture, financial services, and currency and foreign exchange. The Phase One agreement also includes a commitment by China that it will make substantial additional purchases of U.S. goods and services in the coming years. Importantly, the agreement establishes a strong dispute resolution system that ensures prompt and effective implementation and enforcement. The United States has agreed to modify its Section 301 tariff actions in a significant way.

Information on specific chapters of the Phase One agreement is provided below:

• Intellectual Property: The Intellectual Property (IP) chapter addresses numerous longstanding concerns in the areas of trade secrets, pharmaceutical-related intellectual property, geographical indications, trademarks, and enforcement against pirated and counterfeit goods.

• Technology Transfer: The Technology Transfer chapter sets out binding and enforceable obligations to address several of the unfair technology transfer practices of China that were identified in USTR’s Section 301 investigation. For the first time in any trade agreement, China has agreed to end its long-standing practice of forcing or pressuring foreign companies to transfer their technology to Chinese companies as a condition for obtaining market access, administrative approvals, or receiving advantages from the government. China also commits to provide transparency, fairness, and due process in administrative proceedings and to have technology transfer and licensing take place on market terms. Separately, China further commits to refrain from directing or supporting outbound investments aimed at acquiring foreign technology pursuant to industrial plans that create distortion.

• Agriculture: The Agriculture chapter addresses structural barriers to trade and will support a dramatic expansion of U.S. food, agriculture and seafood product exports, increasing American farm and fishery income, generating more rural economic activity, and promoting job growth. A multitude of non-tariff barriers to U.S. agriculture and seafood products are addressed, including for meat, poultry, seafood, rice, dairy, infant formula, horticultural products, animal feed and feed additives, pet food, and products of agriculture biotechnology.

• Financial Services: The Financial Services chapter addresses a number of longstanding trade and investment barriers to U.S. providers of a wide range of financial services, including banking, insurance, securities, and credit rating services, among others. These barriers include foreign equity limitations and discriminatory regulatory requirements. Removal of these barriers should allow U.S. financial service providers to compete on a more level playing field and expand their services export offerings in the Chinese market. More →

https://ustr.gov/sites/default/files/files/agreements/phase%20one%20agreement/US_China_Agreement_Fact_Sheet.pdf

The new 2022 Edition of the Harmonized System has been accepted

HS 2022, which is the seventh edition of the Harmonized System (HS) nomenclature used for the uniform classification of goods traded internationally all over the world, has been accepted by the all Contracting Parties to the Harmonized System Convention.  It shall come into force on 1 January 2022.

The HS serves as the basis for Customs tariffs and for the compilation of international trade statistics in 211 economies (of which 158 are Contracting Parties to the HS Convention).  The new HS2022 edition makes some major changes to the Harmonized System with a total of 351 sets of amendments covering a wide range of goods moving across borders.  Here are some of the highlights:

Adaption to current trade through the recognition of new product streams and addressing environmental and social issues of global concern are the major features of the HS 2022 amendments.

Visibility will be introduced to a number of high profile product streams in the 2022 Edition to recognise the changing trade patterns.  Electrical and electronic waste, commonly referred to as e-waste, is one example of a product class which presents significant policy concerns as well as a high value of trade, hence HS 2022 includes specific provisions for its classification to assist countries in their work under the Basel Convention.  New provisions for novel tobacco and nicotine based products resulted from the difficulties of the classification of these products, lack of visibility in trade statistics and the very high monetary value of this trade.  Unmanned aerial vehicles (UAVs), commonly referred to as drones, also gain their own specific provisions to simplify the classification of these aircraft.  Smartphones will gain their own subheading and Note, which will also clarify and confirm the current heading classification of these multifunctional devices.

Major reconfigurations have been undertaken for the subheadings of heading 70.19 for glass fibres and articles thereof and for heading 84.62 for metal forming machinery.  These changes recognize that the current subheadings do not adequately represent the technological advances in these sectors, leaving a lack of trade statistics important to the industries and potential classification difficulties.

One area which is a focus for the future is the classification of multi-purpose intermediate assemblies.  However, one very important example of such a product has already been addressed in HS 2022.  Flat panel display modules will be classified as a product in their own right which will simplify classification of these modules by removing the need to identify final use.  Health and safety has also featured in the changes.  The recognition of the dangers of delays in the deployment of tools for the rapid diagnosis of infectious diseases in outbreaks has led to changes to the provisions for such diagnostic kits to simplify classification.  New provisions for placebos and clinical trial kits for medical research to enable classification without information on the ingredients in a placebos will assist in facilitating cross-border medical research.  Cell cultures and cell therapy are among the product classes that have gained new and specific provisions.  On a human security level, a number of new provisions specifically provide for various dual use items.  These range from toxins to laboratory equipment. More →

http://www.wcoomd.org/en/media/newsroom/2020/january/the-new-2022-edition-of-the-harmonized-system-has-been-accepted.aspx

Commerce Initiates Antidumping Duty and Countervailing Duty Investigations of Imports of Forged Steel Fluid End Blocks from Germany, India, and Italy; and...

COUNTERVAILING DUTY INVESTIGATION OF IMPORTS FROM CHINA

• On January 9, 2020, the Department of Commerce (Commerce) announced the initiation of antidumping duty (AD) and countervailing duty (CVD) investigations of imports of forged steel fluid end blocks from China (CVD only), Germany, India and Italy.

• The AD and CVD laws provide U.S. businesses and workers with a transparent, quasi-judicial, and internationally accepted mechanism to seek relief from the market-distorting effects caused by injurious dumping and unfair subsidization of imports into the United States, establishing an opportunity to compete on a level playing field.

• For the purpose of AD investigations, dumping occurs when a foreign company sells a product in the United States at less than its fair value. For the purpose of CVD investigations, a countervailable subsidy is financial assistance from a foreign government that benefits the production of goods from foreign companies and is limited to specific enterprises or industries or is contingent either upon export performance or upon the use of domestic goods over imported goods.

• The petitioners are the FEB Fair Trade Coalition (Cleveland, OH), Ellwood City Forge Company, Ellwood Quality Steels Company, and Ellwood National Steel Company (collectively, the Ellwood Group) (Ellwood City, PA), and A. Finkl & Sons (Finkl Steel) (Chicago, IL).

• The scope of these investigations is provided in Appendix I.

• The petitioners estimated that 2018 imports of forged steel fluid end blocks China, Germany, India, and Italy were valued at approximately $17.8 million, $23.3 million, $44.4 million, and $46.4 million, respectively.

• The Initiation Decision Checklists are on file electronically via Enforcement and Compliance’s Antidumping and Countervailing Duty Centralized Electronic Service System (ACCESS). ACCESS is available to registered users at https://access.trade.gov, and to all parties in the Central Records Unit, Room B8024 of the main Department of Commerce building. Please refer to case numbers: A-428-847 and C-428-848 for the AD and CVD investigations for Germany, respectively; A-533-893 and C-533-894 for the AD and CVD investigations for India, respectively; A-475-840 and C-475-841 for the AD and CVD investigations for Italy, respectively; and C-570-116 for the CVD investigation for China. More →

https://enforcement.trade.gov/download/factsheets/factsheet-multiple-forged-steel-fluid-end-blocks-ad-cvd-initiation-010920.pdf

Updates to China Customs requirements

On November 15, 2019, the General Administration of Customs of the People’s Republic of China (GACC) issued Decree No.144, updating the mandatory data elements required for airfreight shipments destined to or transiting through mainland China on or after Nov. 15, 2019. Please note, Hong Kong is not in scope. The decree removes four of the six previously mandatory data elements, pictured in the table below:

Updates to China Customs Requirements.GIF

Notice of Product Exclusions: China's Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation

SUMMARY:

In September of 2018, the U.S. Trade Representative imposed additional duties on goods of China with an annual trade value of approximately $200 billion as part of the action in the Section 301 investigation of China's acts, policies, and practices related to technology transfer, intellectual property, and innovation. The U.S. Trade Representative initiated a product exclusion process in June 2019, and interested persons have submitted requests for the exclusion of specific products. This notice announces the U.S. Trade Representative's determination to grant certain exclusion requests, as specified in the Annex to this notice, and corrects a ministerial error in a previously announced exclusion.

DATES:

The product exclusions announced in this notice will apply as of the September 24, 2018, effective date of the $200 billion action, to August 7, 2020. The amendment announced in this notice is retroactive to the date the original exclusion was published.

FOR FURTHER INFORMATION CONTACT:

For general questions about this notice, contact Assistant General Counsels Philip Butler or Megan Grimball, or Director of Industrial Goods Justin Hoffmann at (202) 395-5725. For specific questions on customs classification or implementation of the product exclusions identified in the Annex to this notice, contact traderemedy@cbp.dhs.gov. More →

https://www.federalregister.gov/documents/2020/01/06/2019-28506/notice-of-product-exclusions-chinas-acts-policies-and-practices-related-to-technology-transfer

Additional Action Taken to Provide Relief to U.S. Washing Machine Manufacturers

Washington, DC –  U.S. Trade Representative Robert Lighthizer announced today that President Trump has approved recommendations by the USTR, in consultation with the interagency Trade Policy Staff Committee, to modify the safeguard measure on imported large residential washing machines that took effect on February 7, 2018.

The President’s action will shore up the effectiveness of the relief provided in 2018 to U.S. manufacturers injured by surging imports of large residential washers by allocating the annual tariff-rate quota of 1.2 million units by quarter beginning in February 2020.

President Donald Trump is continuing to fulfill a promise he made in June 2016 to take all necessary action under our trade laws to stand up for America’s workers and manufacturers. The President’s decision was based on developments in the U.S. washers industry since the tariff-rate quota went into effect, as recently noted by the independent, bipartisan U.S. International Trade Commission.  The President’s decision will make the safeguard more effective and will continue to create jobs and spur growth in the U.S. manufacturing sector.        

###

https://ustr.gov/about-us/policy-offices/press-office/press-releases/2019/december/additional-action-taken-provide-relief-us-washing-machine-manufacturers

Fact Sheet: Japan Free Trade Agreement

The United States and Japan have achieved a trade agreement regarding market access for certain agricultural and industrial goods, with plans to pursue subsequent negotiations for an expanded free trade agreement.

Timeline

  • On October 17, 2019, the United States and Japan reached an agreement on market access for certain agriculture and industrial goods. The Japanese Legislature approved the agreement on December 5, 2019.

  • Presidential Proclamation 9974 was issued on December 26, 2019 establishing an entry into force date of January 1, 2020. On December 30, 2019 the Federal Register Notice (84 FR 72187) was issued to implement the Agreement.

Imports into the United States

  • The United States will provide tariff elimination or reduction on 241 tariff lines. The affected agricultural products include perennial plants and cut flowers, persimmons, green tea, chewing gum, and soy sauce. The United States will also reduce or eliminate tariffs on certain industrial goods from Japan such as certain machine tools, fasteners, steam turbines, bicycles, bicycle parts, and musical instruments.

Import Compliance

  • U.S. Customs and Border Protection (CBP) issued CSMS Message #41149692 on December 31, 2019. Additional compliance guidance will be made available as soon as possible.

Exports to Japan

CARBON AND ALLOY STEEL THREADED ROD FROM TAIWAN INJURES U.S. INDUSTRY, SAYS USITC

The United States International Trade Commission (USITC) today determined that a U.S. industry is materially injured by reason of imports of carbon and alloy steel threaded rod from Taiwan that the U.S. Department of Commerce (Commerce) has determined are sold in the United States at less than fair value.

Chairman David S. Johanson and Commissioners Rhonda K. Schmidtlein, Jason E. Kearns, Randolph J. Stayin, and Amy A. Karpel voted in the affirmative.

As a result of the USITC’s affirmative determination, Commerce will issue an antidumping duty order on imports of this product from Taiwan.

The Commission’s public report Carbon and Alloy Steel Threaded Rod from Taiwan (Inv. No. 731-TA-1443 (Final), USITC Publication 5013, January 2020) will contain the views of the Commission and information developed during the investigation.

The report will be available by February 13, 2020; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.

UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436

FACTUAL HIGHLIGHTS

Carbon and Alloy Steel Threaded Rod from Taiwan
Investigation No. 731-TA-1443 (Final)

Product Description:  Threaded rod is generally threaded along its entire length and is produced from low carbon, medium carbon, or alloy steel wire rod or bar. It is used primarily in commercial (non-residential) construction to suspend electrical conduits; pipes for plumbing; heating, ventilation, and air-conditioning (HVAC) ductwork; and sprinkler systems for fire protection, among other applications. Threaded rod can also be used as a headless screw in general fastener applications or for bolting together pipe joints.

Status of Proceedings:

1.   Type of investigation:  Final phase antidumping duty investigation.
2.   Petitioner:  Vulcan Threaded Products, Inc., Pelham, AL.
3.   USITC Institution Date:  Thursday, February 21, 2019.
4.   USITC Hearing Date:  Tuesday, October 15, 2019.
5.   USITC Vote Date:  Friday, January 10, 2020.
6.   USITC Notification to Commerce Date:  Thursday, January 23, 2020.

More →

https://www.usitc.gov/press_room/news_release/2020/er0110ll1211.htm

USITC INSTITUTES SECTION 337 INVESTIGATION OF CERTAIN DISSOLVING MICRONEEDLE PATCHES FOR COSMETIC AND PHARMACEUTICAL USE

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain dissolving microneedle patches for cosmetic and pharmaceutical use.  The products at issue in the investigation are described in the Commission’s notice of investigation.

The investigation is based on a second amended complaint filed by TheraJect, Inc., of Fremont, CA, on December 19, 2019.  The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain dissolving microneedle patches for cosmetic and pharmaceutical use that infringe a patent asserted by the complainant.  The complainant requests that the USITC issue a limited exclusion order and a cease and desist order.

The USITC has identified the following as respondent in this investigation:

Raphas Co., Ltd., of Seoul, Republic of Korea.

By instituting this investigation (337-TA-1189), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission.

The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation.  USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

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https://www.usitc.gov/press_room/news_release/2020/er0110ll1212.htm

U.S.-Japan Trade Agreement: Information on Claiming Preferential Treatment

The US-Japan Trade Agreement (“Agreement”) will enter into force on January 1, 2020.  This message is to inform the trade community of the requirements for claiming preferential treatment under this new Agreement. 

In order to receive preferential treatment, a good must be originating and meet all the requirements of the U.S.-Japan Agreement. 

Annex II to the Agreement specifies the rules of origin used to determine if a good qualifies for preferential tariff treatment or “originates” under the Agreement.  The product-specific rules (Annex II to the Agreement) specify the level of change of tariff classification that non-originating materials must undergo.  General Note 36 will be added to the HTSUS and will include the requirements of the Agreement. The links to the US-Japan Trade Agreement text and related documents are below.

FILING INSTRUCTIONS:

  • From January 1, 2020 through January 13, 2020, importers must pay duties on qualifying goods under the Agreement and request a preferential tariff retroactive claim by filing a post summary correction (PSC) to request the duty refund.  The Automated Commercial Environment (ACE) will accept the new special program indicator ‘JP’ as a prefix to the eligible tariff number on January 14, 2020.

  • On or after January 14, 2020, ACE will accept the new special program indicator ‘JP’ as a prefix to the eligible tariff number. Importers claiming preferential treatment under the Agreement must include on the entry, the special program indicator “JP” as a prefix to the eligible tariff number for each qualifying good requesting such preference.

To claim preferential tariff treatment under the U.S.-Japan Trade Agreement, the following requirements must be met:

  • Country of Origin must be ‘JP’

  • Country of Export must be ‘JP’

  • Once programmed in ACE, the Special Program indicator 'JP' must be placed before the eligible tariff number to make the claim. 

  • Claims for preferential treatment under this Agreement are not exempt from the merchandise processing fee (class code 499 and class code 311).

  • The tariff-rate quota allocation for beef from Japan is modified as follows:

Additional Action Taken to Provide Relief to U.S. Washing Machine Manufacturers

Washington, DC –  U.S. Trade Representative Robert Lighthizer announced today that President Trump has approved recommendations by the USTR, in consultation with the interagency Trade Policy Staff Committee, to modify the safeguard measure on imported large residential washing machines that took effect on February 7, 2018.

The President’s action will shore up the effectiveness of the relief provided in 2018 to U.S. manufacturers injured by surging imports of large residential washers by allocating the annual tariff-rate quota of 1.2 million units by quarter beginning in February 2020.

President Donald Trump is continuing to fulfill a promise he made in June 2016 to take all necessary action under our trade laws to stand up for America’s workers and manufacturers. The President’s decision was based on developments in the U.S. washers industry since the tariff-rate quota went into effect, as recently noted by the independent, bipartisan U.S. International Trade Commission.  The President’s decision will make the safeguard more effective and will continue to create jobs and spur growth in the U.S. manufacturing sector.

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To view full article, go to: https://ustr.gov/about-us/policy-offices/press-office/press-releases/2019/december/additional-action-taken-provide-relief-us-washing-machine-manufacturers

Request for Comments Concerning the Extension of Particular Exclusions Granted Under the March 2019 Product Exclusion Notice From the $34 Billion Action Pursuant to Section 301: China's Acts…

AGENCY:

Office of the United States Trade Representative.

ACTION:

Notice and request for comments.

SUMMARY:

Effective July 6, 2018, the U.S. Trade Representative imposed additional duties on goods of China with an annual trade value of approximately $34 billion as part of the action in the Section 301 investigation of China's acts, policies, and practices related to technology transfer, intellectual property, and innovation. The U.S. Trade Representative initiated the exclusion process in July 2018 and granted multiple sets of exclusions. The second set of exclusions was granted in March 2019, and are scheduled to expire on March 25, 2020. The U.S. Trade Representative has decided to consider a possible extension for up to 12 months of particular exclusions granted in March 2019. The Office of the U.S. Trade Representative (USTR) invites public comment on whether to extend particular exclusions.

DATES:

January 15, 2020 at 12:01 a.m. ET: The docket (USTR-2019-0024) will open for submitting comments on the possible extension of particular exclusions.

February 15, 2020 at 11:59 p.m. ET: To be assured of consideration, submit written comments by February 15, 2020. More →

https://www.federalregister.gov/documents/2019/12/30/2019-28088/request-for-comments-concerning-the-extension-of-particular-exclusions-granted-under-the-march-2019