Shanghai recently introduced measures to improve its trade and customs environment, including an expedited two-step customs declaration for import and a “wider application” of “pre-arrival declaration” for export items at the city’s ports, according to a March 17 report from the Hong Kong Trade Development Council. The two-step declaration, which has been adopted by Chinese customs authorities in other regions (see 1910230051 and 1908160016), allows companies to make full declarations after picking up the imported goods. Under the wider application for pre-arrival declarations, companies can make customs declarations up to three days before the goods arrive at the customs supervision site, the report said, on the condition that the goods are “ready,” the container is loaded and all electronic data has been submitted to customs. Shanghai will also introduce a trial period for “ship-side delivery of export items” and “ship-side pick-up of imported goods” to speed up customs clearance, the HKTDC said.

As the coronavirus outbreak continues, Chinese authorities have approached companies committing trade violations with more leniency than in the past, according to a March 17 report from Reuters. China has rolled out several measures to forgive violations, including a reduction of penalties for delayed import declarations (see 2003120019), and has relaxed other regulations, such as waiving import duties on emergency vehicles and medical supplies (see 2002140028). Reuters said the relaxed penalties have also applied to forged value-added tax invoices, where China has only issued warnings instead of more severe punishments. China has told its authorities to avoid detaining or arresting business operators who are “not dangerous to society and who show remorse after giving themselves up,” Reuters said.

Australia announced a series of measures to support companies impacted by the coronavirus, including delays of penalties and quicker access to refunds of Goods and Services Taxes, according to a March 12 notice. Australia will allow companies to opt in to a monthly GST reporting cycle instead of a quarterly cycle, which will help them receive refunds faster, the notice said. Australia will also remit any interest and penalties relating to tax liabilities, incurred on or after Jan. 23. Australia also said it will be providing support to companies, who should contact the government to “discuss relief options.” The Australian Taxation Office “will work shoulder-to-shoulder with businesses to assist them through this difficult period and do what we can to ease the pressure.”

The U.S. Trade Representative notified Congress March 17 that it will be negotiating a trade agreement with Kenya. Negotiations cannot begin for at least 90 days. “Under President Trump’s leadership, we look forward to negotiating and concluding a comprehensive, high-standard agreement with Kenya that can serve as a model for additional trade agreements across Africa. Kenya is an important regional leader, a strategic partner of the United States, and a commercial hub that can provide substantial opportunities for U.S. trade and investment,” USTR Robert Lighthizer said in a statement.

The Environmental Protection Agency is proposing new reporting requirements for three chemicals under significant new use rules. The proposed SNURs would require notification to EPA at least 90 days in advance of a new use by importers, manufacturers or processors. Importers of chemicals subject to these proposed SNURs would need to certify their compliance with the SNUR requirements should these proposed rules be finalized, EPA said. Exporters of these chemicals would become subject to export notification requirements. Comments on the proposed SNURs are due April 17.

The Treasury’s Office of Foreign Assets Control added one entry to its Specially Designated Nationals List, removed 13 others and amended two additional entries, according to a March 17 notice. OFAC also deleted four entries from its Foreign Sanctions Evaders List. The agency added Ali Abdullah Ayoub, Syria’s defense minister, to its SDN List, while deleting several entries for entities based in the Democratic Republic of the Congo, Cyprus, Switzerland and Syria. Treasury did not immediately release more information on the sanctions.

The U.S. extradited an Iranian citizen from Georgia to face charges related to sanctions violations, money laundering and illegal exports to Iran, the Justice Department said in a March 17 press release. Merdad Ansari allegedly violated the Iranian Transactions Regulations by attempting to tranship cargo to Iran using his company, Dubai-based Gulf Gate Sea Cargo L.L.C. Ansari worked with co-defendant Mehrdad Foomanie between 2007 and 2011 to obtain more than 100,000 parts from companies across the globe valued at more than $2.5 million for more than 1,250 transactions, including nearly 600 transactions with U.S. companies. The scheme involved buying parts from those companies without informing the sellers they would be shipped to Iran, the Justice Department said. Both Ansari and Foomanie face a maximum 20-year prison sentence for conspiracy to violate the ITR, a 20-year prison sentence for conspiracy to launder money and five years in prison for conspiracy to commit mail fraud.

Export Compliance Daily is providing readers with some of the top stories for March 9-13 in case you missed them.

Senate Finance Committee Chairman Chuck Grassley, R-Iowa, said the export restrictions on masks, respirators, medicines and other goods needed for responding to the COVID-19 pandemic is “a bad cycle,” and he urged the president and world leaders “to work together on a coordinated response on the epidemic.” Grassley, who was speaking with reporters on a conference call March 16, said restrictions reduce global supply and lead to higher prices. “I was encouraged to see the G7 leaders' statement today,” he said, which mentioned support for global trade.

The head of the Commerce Department Bureau of Industry and Security revoked a shipping company’s export privileges for 15 years for export violations but ordered a review of the assessed fine, saying it was too high, according to a March 11 order. The company and its chairman -- Singapore-based Nordic Maritime Pte. Ltd and Morten Innhaug, respectively -- were originally fined more than $30 million by an administrative law judge, who also revoked the company’s export privileges until the fine was paid, according to the order. But Cordell Hull, BIS’s acting undersecretary, said the fine was too high, ordering the judge to review its decision to impose the penalty.