The Bureau of Industry and Security published a set of frequently asked questions to provide industry guidance on its summer update to the foreign direct product rule, which increased restrictions on certain foreign-made items (see 2009170026). The guidance, issued this week, features FAQs that cover how the restrictions apply to companies and products, and how they impact prior exports, manufacturing plants, supply chains, prior licenses and more. BIS also outlined how the restrictions may apply to various scenarios faced by industry, including licensing responsibilities and due diligence requirements.
The Ottawa Group, which includes the European Union, Japan, Brazil, Korea, Mexico, Switzerland, Canada and others, is arguing that a coordinated global response is needed to COVID-19, including cooperating on vaccine distribution, and trade in other medical supplies, and says regulatory compatibility on these goods should be improved so that the world will be ready for the next pandemic.
The European Union and the United Kingdom endorsed a withdrawal agreement that will keep Northern Ireland in the EU single market for goods after the Brexit transition period ends Dec. 31, the EU said Dec. 17. The agreement ensures there will not be a “hard border on the island of Ireland,” and goods sold to and from Northern Ireland with the EU will continue to be treated the same as other cross-border goods within the EU, the European Commission said in a guidance. The guidance also addressed value-added tax provisions of the agreement, trade in specific products, export declarations and how long the provisions will remain in effect.
China released details for its upcoming free trade agreement with Mauritius, which it said will take effect Jan. 1, 2021, according to an unofficial translation of a Dec. 16 notice. The notice contains technical provisions of the deal, including measures surrounding rules of origin.
A New Jersey man who owned two U.S. companies involved in supplying naval goods and services, pleaded guilty to violating the Foreign Corrupt Practices Act after he bribed a South Korean government official, the Justice Department said Dec. 17. The agency said Deck Won Kang paid $100,000 in bribes to a Korean official to obtain and retain contracts with South Korea’s Defense Acquisition Program Administration (DAPA), a state-owned and -controlled defense agency.
The Federal Maritime Commission is seeking tips from industry on ocean carriers and terminal operators that are violating regulations on detention and demurrage fees, the FMC said Dec. 17. The information will be used to aid the commission’s investigation into the unfair charges (see 2011200024) that began after industry complained FMC’s May rule on detention and demurrage was being ignored (see 2009140045 and 2011170041).
In an interview with the BBC, U.S. Trade Representative Robert Lighthizer said that finishing the U.S.-United Kingdom free trade deal should be palatable to the next administration, with its language around labor standards and climate change, but U.K. resistance on agriculture standards is one of the obstacles to getting it finished in the next month. “We're both leaders in the world on digital trade, on financial services. And I think we could do an awful lot to write the rules together, the best rules together,” he said, according to a story published Dec. 17. “There's a short period of time they're going to have to try to wrap this up. But I think it's something that can happen. It'll require compromise on both sides.”
The Drug Enforcement Administration is proposing to list PMK glycidate, PMK glycidic acid, precursors used in the manufacture of methylenedioxymethamphetamine (MDMA) (also known as ecstasy), as well as alpha-phenylacetoacetamide (APAA), a precursor used to make amphetamine and methamphetamine, as schedule II substances under the Controlled Substances Act, it said in a notice released Dec. 18. “If finalized, this action would subject handlers (manufacturers, distributors, importers, and exporters) of PMK glycidate, PMK glycidic acid, and APAA to the chemical regulatory provisions of the CSA and its implementing regulations,” DEA said. Comments are due Feb. 19, 2021.
The United Kingdom’s Office of Financial Sanctions Implementation will publish a “bridging document” to help traders process changes to its sanctions list after the Brexit transition period, according to a Dec. 18 press release. The document is “designed to facilitate sanctions screening” and will update certain administrative fields, including identifying information for sanctions entries. The U.K. stressed that the bridging document is “not a substitute” for the U.K. sanctions list. “Use of the Bridging Document is voluntary and is provided after engagement with stakeholders to assist with updating automated screening processes,” the U.K. said. “It remains the responsibility of the person doing the sanctions screening to ensure that their screening is accurate.”
The European Union renewed sanctions against Russia for six months, until July 31, 2021, the European Council said Dec. 17. The sanctions target people and entities for Russian interference in Ukraine and include a ban on sending dual-use goods for military end-users or for end-uses in Russia.