The government of Canada issued the following trade-related notices as of July 22 (note that some may also be given separate headlines):
Brazil is establishing tariff rate quotas on a range of imports and reducing import tariffs “to correct a lack of supply in the Brazilian market,” according to a July 19 report from the Hong Kong Trade Development Council. Certain products -- including insecticides, “monochloroacetic acid,” polyester yarn, acrylic filament tow and certain vaccines -- will have their tariff rates reduced to 2 percent for one year, the report said. The reduced rates for each item will take effect at different times, ranging from July to December.
The head of the agriculture committee for the Comprehensive Economic and Trade Agreement between Canada and the European Union initiated a review earlier this year of how Canada is running its tariff rate quota system for imported cheeses, according to a report in the National Post in Canada.
India announced several changes in duty rates as part of its 2019 budget, including tariff cuts to certain electrical-related imports and tariff increases on certain auto parts and metals, according to a July 22 report from the Hong Kong Trade Development Council. India announced exemptions on import tariffs for certain electrical “components,” including “e-drive assemblies, on-board chargers, e-compressors and charging guns,” the report said. The items will not be subject to the 10 percent customs duty in an effort to spur electric vehicle production in India, the report said. The country also increases tariff rates on certain auto-related goods, including rear-view mirrors, car locks, oil filters and air conditioner units, the report said. Those changes were made to “curtail the level of non-essential imports and boost domestic production” in India, the report said. The changes took effect July 6.
Cambodia’s new trade portal is expected to “streamline export procedures and curb corruption,” according to a July 18 report from the Hong Kong Trade Development Council. The portal, called the country’s National Single Window system, is expected to allow traders to file import and export documents and pay fees and taxes online, the report said. The system will also help speed up “cargo clearance procedures,” and manage export and import licenses and “permits for the transit/Import of goods for re-export,” the report said. Businesses will only be required to submit “key information” once because the information will be shared with the country’s other relevant agencies.
Microsoft will pay a total of about $25 million in penalties, including a nearly $9 million criminal fine, to resolve an investigation into violations of the Foreign Corrupt Practices Act, the Department of Justice said in a July 22 press release. The violations arose from Microsoft's subsidiary in Hungary, Microsoft Magyarország Számítástechnikai Szolgáltató és Kereskedelmi Kft, which was involved in a “bid rigging and bribery scheme” related to the sale of Microsoft software licenses to government agencies, the press release said. The DOJ also released the non-prosecution agreement and statement of facts.
The U.S. Department of Agriculture is giving $100 million to 48 trade associations and organizations in an effort to help U.S. agriculture exporters find new markets, the USDA said in a July 19 press release. Representatives from the U.S. agricultural industry have repeatedly told Congress that the U.S. trade war with China and the delay in ratifying the U.S.-Mexico-Canada Agreement are significantly hurting U.S. exports. Some fear they will not be able to regain certain export markets in China. Others said trade mitigation programs are not the solution (see 1905290041).
Xinhua, China's official state-run news agency, reported July 21 that some Chinese firms have requested that retaliatory tariffs on U.S. agricultural goods be lifted, and have made inquiries with U.S. producers about purchasing those goods. The report did not say which commodities are being considered, or in what quantities. However, it noted that the U.S. recently "expressed willingness to encourage U.S. businesses to continue providing supplies for Chinese enterprises," a potential reference to Huawei, and that the government exempted 110 industrial products from Section 301 tariffs. President Donald Trump tweeted July 11 that "China is letting us down in that they have not been buying the agricultural products from our great Farmers that they said they would. Hopefully they will start soon!"
The Census Bureau emailed a tip on how to address “the most frequent messages that were generated in [the Automated Export System] for this month." Response code 835 is a verify message for value of goods that are “too high for commodity reported,” Census said. This occurs when the value of the goods is higher than expected “based on historical statistical values for the particular goods,” Census said. This might indicate a “keying error or misclassification of the product.” Census advises filers to “[v]erify the Value of Goods and Schedule B/HTS Number, correct the shipment and resubmit (if necessary). If the line item is verified correct as reported, no action is necessary.” For a complete list of commodity filing fatal error response codes for June 2019, check this CBP document.
The Treasury's Office of Foreign Assets Control announced sanctions on a Chinese national and a Chinese entity under OFAC’s Iran-related sanctions regime, the agency said in a notice. OFAC is sanctioning Youmin Li and Zhuhai Zhenrong Company Limited, an entity with addresses in Beijing and Guangdong, OFAC said. Both Youmin and Zhuhai Zhenrong were added to OFAC’s Specially Designated Nationals List.