The world could soon see increased export restrictions on food supplies due to the COVID-19 pandemic, said Simon Evenett, a trade and economics professor at the University of St. Gallen in Switzerland. Although export restrictions so far have been mostly limited to medical supplies, the upcoming harvesting season in Western Europe and the U.S. could be impacted because of a lack of labor due to coronavirus-related travel restrictions, Evenett said. This could lead to protectionist-style policies regarding food as well as medicine.
CBP and the Federal Emergency Management Agency are expected to issue formal guidance in coming days on the recently announced export ban on personal protective equipment, a CBP official said during an April 16 conference call. “It's undergoing final U.S. government review before publication,” he said. “There's still discussions being held at the highest levels in terms of some of the points. We're hoping we can get this resolved today.” A recent internal CBP memo about the ban has created confusion around the issue (see 2004150051).
The United Kingdom’s Department for International Trade updated its licensing data for its strategic export controls, according to an April 15 notice. The update provides new licensing data and statistics from 2017 through 2019.
The United Kingdom will import nearly 3 million packets of the pain killer paracetamol from India to stock U.K. supermarkets and retailers during the COVID-19 pandemic, the U.K.’s Department for International Trade said April 14. In a statement, U.K. Trade Secretary Elizabeth Truss said it is “imperative that we work together to continue global trade and keep supply chains open” during the public health crisis.
The European Council approved a system that will allow the European Union and other World Trade Organization members to solve trade disputes despite the paralysis of the WTO’s dispute settlement body (see 2001240027), according to an April 15 press release. The new “multi-party interim appeal arbitration agreement” will be temporary and mirror the “main features of the WTO appeal system,” the council said. The system will establish a “binding resolution” for trade disputes and give countries access to an “independent and impartial appeal review of panel reports.” The council said the EU remains committed to finding a “permanent and urgent solution” to the current inability of the WTO appellate body to operate due to insufficient members.
Costa Rica introduced restrictions on exports of certain medical products due to the COVID-19 pandemic, according to an April 14 post by KPMG. The restrictions, which took effect April 10, apply to mono glasses, N95 masks, disposable surgical masks, nitrile gloves and disposable robes, the post said. The restrictions do not apply to companies located in free-trade zones.
Singapore Customs reduced customs duties for four items to combat the COVID-19 pandemic, according to an April 15 notice. The changes apply to certain “medicated samsu” and “other samsu,” Singapore said. The changes will eliminate customs duties for those items.
The State Department approved a potential $62 million military sale to Morocco, the Defense Security Cooperation Agency said April 14. The sale includes 10 “air launched missiles” and equipment. The prime contractor is Boeing.
The State Department approved two potential military sales to India worth $63 million and $92 million, respectively, the Defense Security Cooperation Agency said April 13. The first sale includes 19 torpedoes and equipment, and the second sale includes 10 harpoon “air launched missiles.” The principal contractor for the first sale is Raytheon Integrated Defense System, and the contractor for the second is Boeing.
Senate Armed Services Committee Chairman Jim Inhofe of Oklahoma and five other Senate Republicans urged the departments of Commerce, Defense, Energy and State Tuesday to “issue regulations as soon as possible confirming that U.S. participation in 5G standards-setting is not restricted by export control regulations” in order to ensure U.S. technology “continues to form the core of 5G foundational technology.” U.S. tech leaders “have been constrained from full participation in 5G standards-setting bodies” since Commerce's Bureau of Industry and Security’s addition of Chinese equipment maker Huawei to its entity list, the senators wrote Energy Secretary Dan Brouillette, Defense Secretary Mark Esper, Secretary of State Mike Pompeo and Commerce Secretary Wilbur Ross. “We are deeply concerned about the risks to the U.S. global leadership position” in 5G “as a result of this reduced participation, and the economic and national security implications of any diminished U.S. role in 5G.” When U.S. export controls “restrict U.S. companies from participating in standards-setting bodies,” Huawei “is well positioned to fill any gaps,” the senators said. The other GOP senators signing the letter were: John Cornyn of Texas, Tom Cotton of Arkansas, Mike Crapo of Idaho, Marco Rubio of Florida and Todd Young of Indiana.