SEMI, a global electronics manufacturing and design industry association, applauded a Senate bill introduced last week (see 2006110038) that would provide funding for the U.S. semiconductor industry. The legislation would help U.S. semiconductor research, increase U.S. competitiveness and bolster national security, SEMI said June 12. It would help the U.S. keep up with foreign competitors that benefit from “robust incentives,” SEMI said. “The lack of a federal U.S. incentive [has helped drive] the location of semiconductor manufacturing facilities overseas,” the group said, calling the bill a “significant step forward.” The Semiconductor Industry Association also praised the measure.
A Chinese national was sentenced to three years in prison after trying to illegally export a radio designated as a defense article to China, the Justice Department said in a June 12 press release. Qingshan Li bought the export-controlled radio -- a U.S. military Harris Falcon III AN/PRC 152A -- in the U.S. and picked it up from a San Diego storage unit last year. Li intended to take the radio to Tijuana, Mexico, in order to ship it to China from there because of Mexico’s lack of export control rules. Li was eventually stopped by U.S. authorities, who found the radio and other military equipment in his bag, the Justice Department said. Li said he knew the radio was export controlled, the agency said.
China could and should be buying more U.S. products, according to a letter Sen. Rick Scott, R-Fla., sent to U.S. Trade Representative Robert Lighthizer, asking him what he's intending to do about it. Scott cited research from the Peterson Institute for International Economics that shows China, through April 2020, has purchased roughly 45 percent of what it promised, if purchases were to build at the same pace through the remainder of this year.
The Law Society of England and Wales recently issued guidance on working with clients on sanctions lists, a June 12 EU Sanctions blog post said. Attorneys should first ensure they do not have a “false-positive identification” and work to confirm their client is on a sanctions list, the society said. If the client is confirmed to be subject to sanctions, “suspend the transaction” and report it to the government or a money laundering compliance officer, the society said. Attorneys are required to “report sanctions-related information” to the United Kingdom’s Office of Financial Sanctions Implementation, the guidance said: not doing so could lead to a penalty or criminal prosecution. Licenses may be available in certain situations, it added.
A new Russian law giving that country's courts “exclusive” jurisdiction over disputes involving sanctioned entities could affect “a lot” of business deals, a June 12 Baker McKenzie post said. The law, effective June 19, will give Russian commercial courts jurisdiction over disputes “directly or indirectly” involving sanctioned entities that “fall within the scope of Russian legislation,” the post said, including if one of the parties “cannot get access to justice [outside of Russia] because of sanctions.” Baker McKenzie advises companies to review their dispute resolution mechanism in contracts with Russian parties and to double-check the ownership structure of Russia-related business partners.
The Commerce Department’s increased restrictions on shipments to military end-users is causing widespread confusion and could cripple exporters struggling to survive during the global COVID-19 pandemic (see 2005010037), industry groups said. The Bureau of Industry and Security's April 28 final rule (see 2004270027), set to take effect June 29, is too complex and was released with “poor” timing and without industry input, the National Customs Brokers & Forwarders Association of America said.
The United Kingdom updated its guidance on tariffs that it will impose beginning Jan. 1, 2021, after it formally leaves the European Union, a June 11 notice said. The update “added text to explain that some inconsistencies” in the U.K.’s new “global tariff” were corrected. The guidance also provides information on how the tariffs will apply, how industry can check tariffs, and details for tariff relief on certain goods due to the COVID-19 pandemic.
The Canadian Food Inspection Agency “is now in a position to gradually resume some inspection services that were temporarily suspended because of the COVID-19 pandemic,” the agency said in a recent news release. “The CFIA will continue to monitor developments regarding COVID-19 and make adjustments to its service delivery plans as needed.” The CFIA didn't specify what inspections will restart, but said it “will adopt a risk-based approach to prioritize the resumption of its activities,” and that the resumed services will vary by region depending on local public health guidance.
Sri Lanka revised a range of import duties and updated a duty that affects U.S. fruit exports, according to a U.S. Department of Agriculture Foreign Agricultural Service report released June 10. While the changes “mainly affect U.S. fruit exports” through an increased “special commodity levy,” other U.S. agricultural goods also are affected, including categories of dried and shelled peas, chickpeas, yogurt and maize, USDA said. The information was retrieved from a Ministry of Finance, Sri Lanka website notification, USDA said, and not independently verified. The notice became effective May 22 for six months.
India amended certain items under its export and import policy for Special Chemicals, Organisms, Materials, Equipment and Technologies, a June 11 notice said. India published the updated list June 6. The changes affect a range of chemicals, valves, components, fermenters, missile system components, and other materials and substances, the notice said.