China announced antidumping duties on imports of polyphenylene sulfide from the U.S., Japan, South Korea and Malaysia, the Chinese Ministry of Commerce said Oct. 16, according to an unofficial translation. Beginning Oct. 17, Chinese “import operators” must “provide the corresponding deposits” to Chinese customs authorities at rates between 23.3% and 220.9%, the notice said. Polyphenylene sulfide is a “high-performing engineering thermoplastic” used in the textile, auto, aerospace and electronics industries, according to CGTN, a Chinese state-controlled media outlet, in a report Oct. 16.
The CEO of a sanctions-evading financial services company in Iran was sentenced to 23 months in prison for violating U.S. sanctions, the Justice Department said Oct. 15. Seyed Sajjad Shahidian, CEO of Payment24, helped Iranians conduct illegal transactions with businesses in the U.S., which included illegal exports of computer software, software licenses and computer servers. Shahidian was charged in May along with Payment24 Chief Operating Officer Vahid Vali for violating U.S. sanctions (see 2005190022). Shahidian pleaded guilty in June (see 2006170005).
Two House Republicans applauded the White House’s national technology strategy for emerging and critical technologies, saying the strategy will help better coordinate agency efforts against China. Reps. Greg Walden of Oregon and Cathy McMorris Rodgers of Washington said the strategy prioritizes U.S. efforts to maintain a “competitive edge” over China in emerging technologies. “This national strategy will streamline and better coordinate the federal government’s efforts in this space, ensure emerging technologies are created and deployed based on Western values, and set an example for fellow freedom-loving nations to follow suit,” Walden and Rodgers said in an Oct. 16 statement.
A bipartisan letter from 33 House members representing pecan-growing states asks U.S. Trade Representative Robert Lighthizer to argue for lower tariffs on U.S. pecans imported by India as part of an agreement to reinstate that country's participation in the Generalized System of Preferences benefits program. The Oct. 15 letter, led by Georgia Reps. Austin Scott (R) and Sanford Bishop (D), said the 36% tariff on pecans makes it difficult for American producers to compete in the market.
The United Kingdom Office of Financial Sanction Implementation added one person to its Libya sanctions regime, an Oct. 15 notice said. The designation targets Yevgeniy Viktorovich Prigozhin, a Russian businessman with close links to the Wagner Group, for violating the United Nations arms embargo against Libya. The European Union sanctioned Prigozhin last week (see 2010150010).
The European Union sanctioned seven Syrian government officials for the “violent repression” of the Syrian population, the European Council said in an Oct. 16 news release. The designations target Syria’s Trade Minister Talal Al-Barazi, Culture Minister Loubana Mouchaweh, Education Minister Darem Taba’a, Justice Minister Ahmad Sayyed, Water Resource Minister Tammam Ra’ad, Finance Minister Kinan Yaghi and Transport Minister Zuhair Khazim. The EU’s Syria sanctions include a ban on oil trade, investment restrictions, asset freezes and export restrictions on certain equipment and technology to Syria.
If elected, Joe Biden will likely continue the U.S.’s strict export control and sanctions policy against China, Venezuela and Russia but may reverse U.S. sanctions against Iran, said Johann Strauss, a trade lawyer with Akin Gump. Biden would also approach trade restrictions more multilaterally as opposed to Trump’s tendency to pursue unilateral restrictions, Strauss said.
The Bureau of Industry and Security is allowing exporters to request a six-month extension for their export licenses, due to the COVID-19 pandemic, BIS said in an Oct. 17 notice. Licenses are eligible for the extension if they expire on or before Dec. 31, BIS said, adding that extensions will be granted in “most cases.” Exporters can apply for the extension by emailing LicenseExtensionRequest@bis.doc.gov and can expect to hear back from BIS within two to three business days.
Even though companies that make cars in North America are going to have to change sourcing to meet stricter rules of origin under USMCA, the director of international public policy for Toyota and the head of Canada's auto parts trade group say they expect carmakers to do so to keep the tariff benefits. Toyota's Leila Afas noted that automakers don't have to comply with trade agreements to import, but said, “I believe many will choose to comply with USMCA.” Afas and others discussed USMCA issues during an Oct. 14 webinar hosted by Rice University.
Foreign direct investment coming into South Korea during the third quarter of 2020 rose by more than 40% compared with the same time last year, the country’s Ministry of Trade, Industry and Energy said Oct. 13. South Korea said the numbers reached a “record-high” amount for the third quarter as the country saw spikes in investment from China and other Asian regions, including Hong Kong, Singapore, Taiwan and Malaysia. The investments from those countries, which rose by about 50% from the previous year, targeted parts and research and development in “high-tech materials,” South Korea said. Meanwhile, U.S. direct investment into South Korea fell about 20%. The U.S. has stressed more stringent investment screening mechanisms with its trade partners, particularly against China (see 2002260042).