Export Compliance Daily is providing readers with some of the top stories for Feb. 10-14 in case you missed them.
President Donald Trump said he does not want to make it more difficult to export U.S. goods, adding that he has “instructed” his administration to make it easier for countries to do business with the U.S. “The United States cannot, & will not, become such a difficult place to deal with in terms of foreign countries buying our product, including for the always used National Security excuse, that our companies will be forced to leave in order to remain competitive,” Trump said in a series of Feb. 18 tweets. He added that the U.S. wants to sell to “China and other countries” and “We don’t want to make it impossible to do business with us. That will only mean that orders will go to someplace else.”
Discussions within the Commerce Department to expand U.S. export control jurisdiction over foreign exports to Huawei and beyond would have a chilling effect on the U.S. semiconductor industry, said John Neuffer, president of the Semiconductor Industry Association. Neuffer said current U.S. export restrictions on Huawei are already hurting the industry’s ability to sell to China -- which represents about 35% of U.S. semiconductor sales -- and more restrictions would further alienate Chinese customers who are weary of being added to Commerce’s Entity List. “Some of them are afraid they’re next,” Neuffer said during a Feb. 18 panel hosted by the Information Technology and Innovation Foundation.
The government of Canada issued the following trade-related notices as of Feb. 12 (note that some may also be given separate headlines):
Half the companies surveyed by the U.S.-China Business Council say that it's too soon to tell if the tariffs in the China trade war were worth it for the gains won at the negotiating table, even as 78 percent of respondents welcome the phase one deal. Companies see the phase one deal -- which takes effect Feb. 14 -- as something that will prevent more tariff hikes. Of those who are directly affected by the commitments in phase one -- 60 percent of the companies -- the purchase promises matter most, with 30 percent saying that's the most relevant plank. Protection of intellectual property was a close second, with 27 percent of companies saying that's most important.
Saudi Arabia’s customs authority launched a six-month window for importers to voluntarily correct past customs declarations without penalties, according to a Feb. 12 report from the Hong Kong Trade Development Council. The window, which began Jan. 1, is intended to help Saudi Arabia identify inaccurate customs information, such as under-declared import values, inaccurate freight charges, misclassification of goods and more. Importers are only eligible for the program if they have not already been chosen for a customs audit, the report said.
Brazil added 282 items to its list of foreign capital goods and information technology and telecommunications goods subject to duty-free treatment under the country’s Ex-Tarifario regime, according to a Feb. 11 Hong Kong Trade Development Council report. Among the additions, 241 items are capital goods and 41 are IT and telecommunications goods, the report said. The goods will benefit from duty-free treatment though Dec. 31, 2021. Brazil also updated its list of auto parts that qualify for duty exemptions, removing 19 items from the list and modifying several product descriptions, the HKTDC said.
Japan will allow traders to renew import and export documents and authorizations if they expire due to delays caused by the coronavirus outbreak, the country’s Ministry of Economy, Trade and Industry said in a Feb. 14 notice, according to an unofficial translation. Traders can apply to extend import and export approval certificates, import and export licenses, and customs quota certificates, Japan said. Japan said it is also automatically extending the deadline for traders to meet “conditions attached to the export license” for shipments to China. The country asked traders to fulfill their shipments and orders “as soon as possible.”
Australia’s Department of Foreign Affairs and Trade released guidance and resources to help traders benefit from the Australia-Peru free trade agreement, according to a Feb. 11 notice. The deal, which took effect Feb. 11, removes trade barriers and will allow Australian exporters of beef, sugar and dairy “historic access” to the Peruvian market, the notice said. Australia published a list of resources to help companies understand the outcomes of the deal, a guide to importing and exporting under the agreement, an online portal and a guide for doing business in Peru.
China’s Foreign Ministry condemned the U.S. decision to formally charge Huawei with theft of U.S. technology and racketeering (see 2002130045), saying the U.S. has “no proof of any wrongdoing.” The ministry urged the U.S. to “immediately stop” hurting Chinese businesses. The indictment is “economic bullying,” a ministry spokesperson said during a Feb. 14 press conference. “It severely undermines the reputation and credibility of the US, as well as the interests of American companies,” the spokesperson said, according to a transcript in English provided by the Chinese Embassy in the U.S.