The European Union will officially waive customs duties and value-added taxes on medical equipment imports from non-EU countries, the European Commission said April 3. The measure, signaled in a March 30 customs guidance (see 2003310030), was approved by the commission to help combat the COVID-19 pandemic after requests from member states. Import duties and VATs will be lifted for six months for masks, protective equipment, testing kits, ventilators and other medical equipment, the commission said, adding that the measure will take effect retroactively from Jan. 30. The EU may consider an extension after six months.
The Canadian government has sent its letter to the U.S. and Mexico certifying it is ready for the USMCA date of entry into force, Deputy Prime Minister Chrystia Freeland announced April 3, but a top Mexican official said his country did not certify it was ready by March 31, which means a June 1 date of entry into force is out of reach.
Companies involved in sanctions compliance should closely communicate with regulators during the COVID-19 pandemic and carefully document compliance procedures during work-from-home operations, according to Nicole Sayegh Succar, a trade lawyer with Crowell & Moring. Those steps could minimize scrutiny and potential sanctions penalties after the pandemic subsides, Succar said during an April 2 webinar hosted by the law firm.
The government of Canada issued the following trade-related notices as of March 30 (note that some may also be given separate headlines):
Imports of essential goods needed to combat the spread of COVID-19 will be exempt from import taxes and value-added taxes in South Africa, according to an April 1 alert from KPMG. The changes, announced by the South African Revenue Service in late March, will also provide a “full rebate” on customs duties for imports of certain goods, including those needed for “relief of distress” of persons during a natural disaster, KPMG said. The goods include certain foods, chemicals needed for production of food products, cleaning and personal hygiene products (and chemicals needed to produce them), hand sanitizers, disinfecting soap, medical products and hospital equipment, fuel and “basic goods,” such as electricity.
Qatar will exempt food and medical equipment imports from customs duties for six months to combat the coronavirus pandemic, according to an April 1 post from KPMG. The exemptions apply to 905 types of goods, including “basic food items and a number of medical devices,” KPMG said. The six-month exemption period took effect March 23.
Vietnam’s Ministry of Industry and Trade may propose strict limits on the amount of monthly rice exports, according to an April 1 report from CustomsNews, the mouthpiece for Vietnam Customs. The country previously temporarily suspended rice exports due to a domestic rice shortage after a global spike in rice demand due to the COVID-19 pandemic (see 2003270010). The exports would be allowed only through border gates where there is “sufficient network equipment” for the country’s customs authority to monitor the exports in “real time” to maintain domestic rice supplies.
India amended conditions for importing certain iron and steel goods, according to a March 31 notice from the country’s Directorate General of Foreign Trade. India is extending the validation of automatic registration numbers, which are required by certain steel and iron importers to import the goods into the country. The registration numbers generated until March 31 will remain valid for 135 days, the notice said.
The U.S. will continue sanctions against South Sudan due to the country’s human rights abuses, violence and “obstruction of humanitarian operations,” the White House said April 1. The sanctions were renewed for one year beyond April 3, 2020.
The United Nations Security Council renewed the mandate of the panel of experts advising the committee that oversees North Korea sanctions, the UN said March 31. The mandate, which was renewed until April 30, 2021, allows the panel to submit reports to the UN about North Korea’s compliance with international sanctions and oversee UNSC sanctions actions.