Guatemala will accelerate tariff elimination on exports of fresh, frozen and chilled chicken leg quarters, after officials from the nations negotiated since February on the matter, the Office of the U.S. Trade Representative said (here). U.S. poultry exports would have faced a 12.5 percent tariff in Guatemala without the agreement, USTR said. From now through Dec. 31, 2021, Guatemala will allow imports of 1,000 metric tons of processed chicken leg quarters to enter duty-free annually under a tariff-rate quota. The TRQ and all tariffs will be eliminated on Jan. 1, 2022. Chicken leg quarters composed $82 million, or approximately 8 percent, of the U.S.’s more than $1.1 billion in agricultural exports to Guatemala last year, and U.S. poultry exporters had a 98 percent market share of all imports of chicken leg quarters into Guatemala in 2016, USTR said.

U.S. and Thai trade officials met April 3 in Bangkok under the U.S.-Thailand Trade and Investment Framework Agreement to discuss outstanding issues and trade expansion, the Office of the U.S. Trade Representative said in a statement (here). U.S. officials underscored the Trump administration’s priority on strengthening ties with the Asia-Pacific region, including bilateral initiatives “aimed at promoting economic growth, job creation, and competitiveness,” as well as addressing unfair trade practices. Officials discussed customs, agricultural, intellectual property, labor, financial services and other barriers facing U.S. exports to Thailand, USTR said. The nation is the U.S.’s 21st-largest trading partner, as two-way goods trade totaled $40 billion in 2016.

The Office of the U.S. Trade Representative released its annual 2017 National Trade Estimate Report (here) on March 31. The report, which details trade barriers in some 60 countries and the European Union, highlights Canada’s de minimis limit of C$20, which it called “the lowest among industrialized nations,” and restrictions of U.S. seed and grain exports to Canada. The report also took issue with China’s protection of intellectual property rights and lack of transparency on trade-related measures. Concerns continue about Mexico’s customs administrative procedures, including “insufficient prior notification of procedural changes, inconsistent interpretation of regulatory requirements at different border posts, and uneven enforcement of Mexican standards and labeling rules,” it said.

U.S. trade officials met with Afghan counterparts on March 27 and 28 in Kabul to discuss customs, trade facilitation, government procurement procedures, intellectual property, U.S. assistance for Afghanistan's accession to the World Trade Organization, and other bilateral trade and investment issues, the Office of the U.S. Trade Representative (USTR) said in a statement (here). The U.S. and Afghanistan also talked about opportunities for Afghanistan's expanded use of the Generalized System of Preferences, the need for full implementation of the 2010 Afghanistan-Pakistan Transit Trade Agreement, and the role of women in growing trade. In 2016, the U.S. exported $913 million in goods to Afghanistan and imported $34 million in goods from the country, USTR said.

U.S. trade officials underscored the Trump administration’s commitment to expanding ties with the Asia-Pacific region during a meeting with Vietnamese officials March 27 and 28 in Hanoi, according to a press release from the Office of the U.S. Trade Representative (here). Officials from the nations met under the U.S.-Vietnam Trade and Investment Framework Agreement to discuss strengthening trade ties and outstanding trade issues, USTR said. The U.S. urged Vietnam to “promptly address” issues related to customs, agriculture, food safety, industrial goods, illegal wildlife trafficking, intellectual property, digital trade, transparency, and “good governance,” USTR said. Officials from both nations agreed to launch working groups focused on resolving bilateral issues, starting with groups on agricultural, food safety, industrial goods, IP, and digital trade issues, USTR said. Vietnam also updated the U.S. on plans to implement labor reforms.

The Office of the U.S. Trade Representative posted comments (here) on possible de minimis competitive needs limitation (CNL) waivers and possible re-designations of articles not eligible for Generalized System of Preferences (GSP) benefits because they exceeded CNL thresholds, as part of the executive branch's 2016/2017 GSP review. Comments were due at midnight March 22. The Trump administration is expected to make effective final decisions regarding the 2016/2017 GSP review by July 1. In another notice, the International Trade Commission said (here) that it won’t provide advice on withdrawn petitions that had requested CNL waivers for certain products under GSP, after USTR rescinded its request for advice on such petitions in a Feb. 17 letter to the ITC (see 1703020045).

U.S. and Lao officials on March 22 held the first meeting of their bilateral Joint Trade and Investment Committee under the U.S.-Laos Trade and Investment Framework Agreement (TIFA) in Vientiane, Laos, the Office of the U.S. Trade Representative said in a statement (here). Officials from the countries discussed the importance of quickly addressing key areas including digital trade, illegal logging, agriculture, sanitary and phytosanitary standards, intellectual property, automobiles, wildlife trafficking and labor, USTR said. Officials also reviewed Laos’ implementation of the World Trade Organization Trade Facilitation Agreement, of the WTO Information Technology Agreement, and of Laos’ WTO accession commitments, the agency said. The two nations also discussed opportunities to advance U.S.-Association of Southeast Asian Nations ties at the U.S.-ASEAN TIFA meeting on March 30. Bilateral trade grew more than fivefold over the past decade to $86 million, with U.S. exports increasing by more than 25 percent in the last year, USTR said.

U.S. Trade Representative nominee Robert Lighthizer vowed to engage with Canada over its "low de minimis level" and is “deeply concerned” about counterfeiting and piracy in China, he told the Senate Finance Committee in writing after a recent hearing (here). Lighthizer said he would consult with Congress and domestic stakeholders on developing a strategy to tackle U.S. export-related concerns with Canada's de minimis level of $20 Canadian dollars. He said an increase in the level could be a "significant issue" for U.S. bilateral and multilateral engagement with Canada. Lighthizer also cited potential negative the impacts of Chinese counterfeits on the U.S. economy, U.S. jobs, health, safety and national security. Lighthizer awaits committee advancement of his nomination to the Senate floor, after his March 14 confirmation hearing (see 1703150042). If confirmed, Lighthizer said, he will use all relevant trade policy tools, including the Special 301 report and “new procedures” provided under the Trade Facilitation and Trade Enforcement Act to address Chinese counterfeits.

President Donald Trump appointed Stephen Vaughn to serve as acting U.S. trade representative and USTR general counsel, according to the Office of the U.S. Trade Representative (here). Vaughn comes from King & Spalding’s International Trade Group, where he advised clients on matters including the relationship between U.S. trade laws and World Trade Organization obligations. Vaughn also represented domestic steel producers in AD and CV duty cases.

Petitioners withdrew the competitive need limitation (CNL) waiver petitions from the 2016/2017 Generalized System of Preferences (GSP) Annual Review for the following products that didn’t surpass CNL thresholds for 2016, the Office of the U.S. Trade Representative said (here):