CBP is planning to create a “best practices” guide for the auto export trade industry “about the documentation and submission of title validation under section 192,” according to a letter from CBP provided by the Los Angeles Customs Brokers and Freight Forwarders Association. CBP is also planning to hold a question-and-answer session “to address any export concerns,” specifically relating to the “current Auto Export process” in the Los Angeles/Long Beach port, the letter said. The session is designed to help CBP gather a best-practices guide to “expedite trade while allowing CBP to focus on deterring the export of stolen” cars, according to the letter. The meeting is scheduled for May 21 in Long Beach, California.
Export Compliance Daily is providing readers with some of the top stories for May 6-10 in case they were missed.
China plans to hit a wide range of goods from the U.S. with 20 percent tariffs in response to the Trump administration's increase in tariffs on Chinese goods (see 1905130002) Among the major items by value targeted by the Chinese on its 20 percent tariff list are machines and mechanical appliances in 8479.89.99; parts of diodes, transistors and similar semiconductor devices in 8541.90.00; other optical instruments in 9031.49.90; and North American hardwood in 4403.99.60. The tariffs will take effect June 1.
China’s recently issued exclusion process for duties on more than 5,000 tariff lines of U.S. products (see 1905130043) shows it is prepared for a “long-term fight” and may be getting ready to “hunker down” in the trade war with the U.S., said Pete Mento, vice president for Crane Worldwide Logistics.
E2open will buy Amber Road for about $425 million, the companies said in a news release. The all-cash deal was approved by the Amber Road board of directors and remains subject to "customary closing conditions," the companies said.
Descartes bought CORE Transport Technologies of New Zealand for about $21 million, with a future performance-based earn-out of as much as $9 million, the companies said in a news release. CORE is "an electronic transportation network that provides global air carriers and ground handlers with shipment scanning and tracking solutions."
Argentina increased the value-added tax rate on certain imports, from 10 percent to 20 percent, according to a notice from Argentina’s tax authority and a May 10 report from KPMG. The change, which took effect April 17, will apply to taxpayers that cannot show that they are exempt from VATs or “in situations when the imported goods are regarded by the importer as fixed assets for accounting purposes,” KPMG said. KPMG said the change may cause some importers to “experience a substantial increase of VAT credit balances -- and these may be difficult to offset against output VAT.”
Singapore Customs arrested three Chinese nationals who were driving Singapore-registered trucks with a total of more than 9,000 cartons of smuggled cigarettes, according to a May 10 notice. The shipment, split into two trucks at separate locations, evaded more than a combined $930,000 in Singapore’s duties and Goods and Services Tax, the notice said. Violators of the customs duty and GST laws can be fined up to 40 times the amount of evaded duties and tax, and could have a maximum six-year prison sentence added.
Indonesia is expanding the list of exports services subject to a 0 percent value-added tax rate, according to a May 10 notice from KPMG. The rate will apply to a variety of broad export-related services, including freight forwarding, rental of transportation equipment for international shipping, technology and information services, business and management consulting services, trading services and communications data services, KPMG said. The broadening of the list of services to which the rate is applied is "with the basic understanding that these services must be utilized offshore," KPMG said. In a May report, KPMG said the move is part of an effort by Indonesia to boost growth in its export sector. The new list, effective March 29, 2019, replaces the old set of regulations, which only covered three export services, KPMG said: “contract manufacturing, repairs and maintenance and construction services.”
The Commercial Customs Operations Advisory Committee (COAC) for CBP will next meet May 30 in Laredo, Texas, CBP said in a notice.