The Trump administration told a number of Huawei suppliers that it planned to revoke their licenses to sell to the company and planned to reject “dozens” of other Huawei-related license applications, according to a Jan. 17 Reuters report. The actions impacted licenses used by Intel, Japanese chipmaker Kioxia Corp and others, the report said. Reuters said the action was taken as about 150 licenses were pending for $120 billion worth of goods and technology, which have been held up due to interagency disagreements. Another $280 billion in license applications have yet to be processed but are “likely” to be denied, the report said. The Commerce Department rejected a “flurry” of Huawei-related license applications last week, and an agency official said the pandemic has contributed to adjudication delays and a backlog of applications (see 2101150062). A Bureau of Industry and Security spokesperson said the agency continues to work with interagency partners to “apply consistently the licensing policies articulated” in the Export Administration Regulations “in a manner that protects U.S. national security and foreign policy interests.”
The U.S. should increase efforts to counter China’s unfair trading practices and human rights violations and work closer with allies on trade restrictions, two of President-elect Joe Biden’s Cabinet nominees told Congress. Janet Yellen, the Treasury secretary nominee, and Avril Haines, the nominee for the director of national intelligence, both said the incoming administration will continue to pressure China on unfair subsidies, intellectual property theft and other trade issues.
The government of Canada issued the following trade-related notices as of Jan. 18 (some may also be given separate headlines):
The World Trade Organization should rule on “unlawful” export restrictions imposed by Indonesia on raw materials used for the production of stainless steel, the European Union said in a Jan. 14 news release. The EU said Indonesia’s export ban on nickel ore and its “domestic processing requirements” on nickel ore and iron ore “illegally restrict access” of raw materials for EU steel producers. The processing requirements force businesses to subject their raw materials to “certain processing or purification operations in Indonesia prior to exporting them,” the EU said, which “unduly restricts exports of unprocessed raw materials.”
The government of Canada issued the following trade-related notices as of Jan. 15 (some may also be given separate headlines):
Brazil removed duties on certain syringes and needles to facilitate the imports of those goods to combat the COVID-19 pandemic, the Hong Kong Trade Development Council reported Jan. 11. Brazil also is requiring a license to export certain syringes, needles and other medical products, the report said.
Canada was to begin enforcing new lot code requirements for fresh fruit and vegetables Jan. 15, the U.S. Department of Agriculture Foreign Agricultural Service reported Jan. 12. Most prepackaged goods are required to have a “lot code or unique identifier” on the label, such as an alphabetic or alphanumeric “code to identify a lot of product.” The product’s harvest date, grower identification number, GPS coordinates or growing region can also be used as a lot code, FAS said.
The Defense Department on Jan. 14 released another list of Chinese companies with ties to the country’s military. The latest tranche includes nine companies, including businesses operating in the semiconductor, technology and aviation sectors. The companies will be subject to certain investment bans under an executive order President Donald Trump issued in November (see 2011130026). The latest list follows the release of several similar lists last year (see 2008300001, 2006250024 and 2012040008).
A Singaporean man was fined $6,000 (in Singapore dollars) and sentenced to 30 days in prison for submitting false documents to Singapore Customs, the agency said Jan. 14. Ekbal Din, who owns the freight forwarding business Turino Export Import, pleaded guilty to submitting false documents involving exports of cigarettes. Singapore said Turino exported two shipments to the United Kingdom that contained nearly 2,000 cartons of cigarettes, but the bills of lading described the contents as “milo powder.” Singapore said Ekbal submitted the false bills of lading “under the instructions of an unknown man” involved in smuggling cigarettes.
European Union Director General for Trade Sabine Weyand told an audience Jan. 15 that resolving punitive tariffs are “a prerequisite for creating a good atmosphere” so that the EU and the U.S. can coordinate on confronting China's trade abuses and creating a carbon border adjustment.