A Louisiana chemical manufacturer agreed to forfeit nearly $2 million for illegally exporting controlled chemicals, the Department of Justice said in a June 10 news release. Natural Advantage, controlled by Carol Callahan Byrne and Brian Byrne, distributed and exported more than 1,500 kilograms of controlled chemicals within the U.S. and worldwide without the required Drug Enforcement Administration registrations and despite DEA warnings, DOJ said. Company executives knew about the unlicensed sales and arranged to use other U.S. companies to sell the controlled List 1 chemicals -- including piperonal, heliotropine and phenylacetic acid -- to foreign customers.
While most of the focus on the U.S.-Mexico-Canada Agreement has been on the changes to the auto rules of origin and enforcement measures aimed at Mexico, Crowell & Moring lawyers explained that importers and exporters of textiles and chemicals also can take advantage of rules that changed from NAFTA for inclusion in the updated agreement.
The negotiations toward a U.S.-United Kingdom trade agreement, which are happening online, are starting with the commonalities, but Britain's North American trade commissioner and consul general in New York said he thinks they will be able to find a way forward even on the sensitive issues in agriculture.
The State Department officially updated its Cuba Restricted List with entities that support the Castro regime (see 2006040014), a notice said. Entries on the list are generally blocked from completing U.S. financial transactions and will not be eligible for U.S. export licenses. The changes take effect June 12.
President Donald Trump issued an executive order authorizing sanctions and visa restrictions against the International Criminal Court for “harassment” and “abuse” of officials of the U.S. government and its partner governments. The order, issued June 11, authorizes the State Department and the Treasury Department to sanction any person who works with the ICC to investigate, detain, arrest or prosecute any U.S. or partner government’s “personnel” without consent from that person’s national government. The order also authorizes sanctions against people who provide the ICC support, including the provision of goods and services. An ICC spokesperson said the court is aware of the sanctions and is still reviewing the order.
Lawmakers introduced legislation this week to incentivize U.S. semiconductor manufacturing and provide more federal support for research and development. The bill includes refundable investment tax credits, a $10 billion federal match system to match state and local incentives, and the establishment of a new semiconductor program within the Commerce Department.
The World Customs Organization issued the following release on commercial trade and related matters:
The United Kingdom plans to implement measures to support its technology industry, expand export markets and further integrate tech companies into free trade agreements, said a June 9 news release. The measures will “increase tech exports to fast-growing international markets,” including Asia, the U.K. said. “Trade agreements we are negotiating with key partners will go further than others in addressing barriers to digital trade, opening up huge opportunities for our exporters,” International Trade Secretary Liz Truss said in a statement.
Germany will temporarily reduce value-added tax rates, a June 9 KPMG post said. The measure, in effect July 1-Dec. 31, will reduce the standard VAT rate from 19% to 16% and the VAT “reduced rate” from 7% to 5%, the post said. The reductions aim to help mitigate impacts of the COVID-19 pandemic.
Brazil added 141 items to its list of foreign capital goods and information technology and telecommunications goods subject to duty-free treatment under the country’s Ex-Tarifario regime, said a June 9 Hong Kong Trade Development Council report. Among the additions, 129 items are capital goods and 12 are IT and telecom goods, the report said. The goods will benefit from duty-free treatment though Dec. 31, 2021. Brazil also renewed tariff-rate quotas on imports for five products: aluminum phosphide insecticides, polyester yarn, nickel cathodes, black printing ink and other printing ink.