The president of the Information Technology and Innovation Foundation praised President Donald Trump’s recent decision to loosen restrictions on exports to Huawei, saying criticism of the announcement “misses the point.” In a blog post, Robert Atkinson said “it does not appear” that Trump agreed to permanently lift the Huawei ban, but only to temporarily allow Huawei to import U.S. products to ease trade tensions in the pursuit of a deal with China. “Presumably he has made it clear to [Chinese President] Xi [Jinping] that if China does not play ball, the ban could and would resume,” Atkinson said. “It is highly unlikely that Xi would have or could have agreed to reopen negotiations without this ‘concession.’” The statement followed Trump’s announcement at the G-20 Summit in Japan that he would be easing restrictions on Huawei, which includes allowing U.S. companies to sell “general merchandise” to the tech giant (see 1907010050).
A Los Angeles resident was found guilty of conspiring to illegally export semiconductor chips to China, violating the International Emergency Economic Powers Act, the Department of Justice said in a July 2 press release. Yi-Chi Shih faces a maximum prison sentence of 219 years.
The Agriculture Department is asking for comments on the sanitary and phytosanitary standard (SPS) setting activities at the Codex Alimentarius Commission from July 20, 2018, to June 21, 2019, and June 21, 2019, to May 31, 2020. The notice provides a list of the standard-setting activities, as well as other types of Codex standards like commodity standards, guidelines, codes of practice and revised texts. Attachment 1 to the notice sets forth the SPS standards under consideration or planned for consideration, as well as, for each SPS standard specified: (1) a description of the consideration or planned consideration of the standard; (2) whether the U.S. is participating or plans to participate in the consideration of the standard; (3) the agenda for U.S. participation, if any; and (4) the agency responsible for representing the U.S. with respect to the standard.
CBP will require ACE for reporting all in-bond exports, arrivals and diversions starting July 29, the agency said in a CSMS message. "CBP will no longer accept paper copies of the CBPF 7512 to perform arrival and export functionality," though air shipments will still be exempt from the requirements, it said. "An ACE edit will issue a rejection if these actions are not performed," CBP said. "At this time, no date is set for implementation of the provision requiring the 6-digit Harmonized Tariff Schedule number requirement for Immediate Transportation movements." The Automated In-Bond Processing Business Process document is the "official publication which provides both CBP and the trade community with guidance, requirements and responsibilities when processing in-bond cargo," the agency said.
The Treasury’s Office of Foreign Assets Control added one person and one entity to its Specially Designated Nationals List, OFAC said in a July 2 notice. In Federal Register notices, the State Department said Lebanon-based Husain Ali Hazzima and the Pakistan-based Balochistan Liberation Army are each designated as a Specially Designated Global Terrorist. Both pose "a significant risk of committing" acts of "terrorism that threaten” the U.S. or its national or economic security, State said. OFAC also added several aliases for Jundallah, an Iran-based militant organization, which maintained its State Department designation as a foreign terrorist organization (see 1907010011).
As the Commerce Department prepares to issue export controls on emerging technologies, U.S. industries are urging the agency to limit controls on artificial intelligence and 3D printing, according to industry comments gathered by Jessica Blum Sanchez, the trade compliance manager at Accenture Federal Services.
Export Compliance Daily is providing readers with some of the top stories for June 24-28 in case they were missed.
The World Customs Organization's "supreme decision-making body" recently adopted the 2022 version of the Harmonized System, the WCO said in a June 29 news release. During the June 27-29 meetings, the WCO Council discussed the changes to the HS, including "new headings or defining Notes for new or major technologies (3D printers, smartphones, drones and novel tobacco products), electronic waste (e-waste), various gases with high global warming potential, rapid diagnostic kits for Zika virus and other mosquito-borne diseases, new fentanyl opioid derivatives, cultural articles, edible oils produced by microbes, edible insect products and minimally processed quinoa," it said.
The World Customs Organization issued the following releases on commercial trade and related matters:
The Canada Border Services Agency signed Mutual Recognition Agreements with the Hong Kong Customs and Excise Department and with the New Zealand Customs Service, the CBSA said in a June 29 news release. The MRAs allow for participant countries to consider Trusted Trader programs administered by other countries as part of customs processing. "Each MRA signifies that the CBSA’s Partners in Protection program members will be recognized by, and receive trade facilitation benefits from, the Hong Kong Customs and Excise Department’s Authorized Economic Operator (AEO) programme and the New Zealand Customs Service’s Secure Exports Scheme (SES) program, respectively," the CBSA said. "The CBSA will reciprocate by providing similar benefits to members of Hong Kong’s AEO programme and New Zealand’s SES program." The countries signed the MRAs while at a World Customs Organization Council session in Brussels, Belgium, the agency said.