The Department of Commerce denied a man export privileges after he was convicted of violating the International Emergency Economic Powers Act, Commerce said in a Sept. 30 notice. Kenneth S. Chait illegally exported “ceramic metal triggered spark gaps, also known as nuclear triggered spark gaps,” listed on the Commerce Control List. Chait was convicted November 13, 2018, and sentenced to one year and one day in prison, two years of supervised release and a $100 fine, the notice said. Commerce revoked Chait’s export privileges for five years from his date of conviction.
The Treasury’s Office of Foreign Assets Control announced a $2.7 million settlement with Boston-based General Electric for 289 violations of the Cuban Assets Control Regulations by three of GE’s current or former subsidiaries, OFAC said in an Oct. 1 notice. The subsidiaries -- Getsco Technical Services Inc., Bentley Nevada, and GE Betz -- accepted payments from The Cobalt Refinery Company, a U.S.-sanctioned company, “for goods and services provided to a Canadian customer” between 2010 and 2014, OFAC said.
Even as the U.S. Chamber of Commerce gives a nudge to House members by advertising for the U.S.-Mexico-Canada Agreement in 12 districts, a top official is expressing confidence that the negotiations are on track. Neil Bradley, the chief policy officer, told reporters Oct. 1, "Our conversations with Democrats and Republicans lead us to believe we are close." He added, "We’ve kind of set a deadline we believe that USMCA should be passed before Thanksgiving. We picked that based off where we thought the progress was in the negotiations."
Export Compliance Daily is providing readers with some of the top stories for Sept. 23-27 in case they were missed.
Japan has not issued a “single export approval” for hydrogen fluoride to South Korea in three months, South Korea said, saying Japan’s export restrictions are increasing supply chain uncertainties and damaging companies. “Japan’s export restrictions are an unfair and discriminatory export-restrictive measure that is directed only and unilaterally against Korea,” South Korea said in an Oct. 1 statement.
The Japan-South Korea dispute is unlikely to be resolved soon, and some blame should be placed on the U.S., trade experts said during a Center for Strategic and International Studies event on Sept. 30. While former U.S. ambassador to South Korea Kathleen Stephens said the Trump administration's use of export controls to address trade issues might have encouraged Japan and South Korea to take similar steps, former National Security Council staff member Michael Green said U.S. inaction is partly responsible for the escalating tensions.
The World Customs Organization issued the following releases on commercial trade and related matters:
South Korea will allow for beef imports from some EU states after a nearly 20-year ban was lifted, the European Commission said in a news release. "Producers from Denmark and the Netherlands are the first ones to be able to resume exports," it said. “This is a very welcome development and an important statement of confidence by the South Korean authorities in the safety and quality of European beef," said Phil Hogan, commissioner for agriculture and the next commissioner for trade. "Following confirmation of access for Danish and Dutch operators, I hope that it won't be long before operators in other EU Member States are approved for export to this important and valuable market. Securing access for other EU Member States will continue to be a priority for the European Commission in bilateral trade relations with Korea.” South Korea had imposed the restrictions as a result of bovine spongiform encephalopathy in 2001. South Korean authorities recently "provided assurances that the pending applications from EU Member States (others than Denmark and the Netherlands) would be processed in due time," the EC said.
The government of Canada issued the following trade-related notices as of Sept. 30 (note that some may also be given separate headlines):
Argentina extended for 360 days an export ban on certain iron and steel waste intended for consumption, according to a Sept. 30 report from the Hong Kong Trade Development Council. The extension is aimed at maintaining a “steady supply of raw materials for domestic manufacturers,” the report said.