Retaliatory tariffs for U.S. tariffs on steel and aluminum were delayed again by India, the U.S. Department of Agriculture noted Aug. 8. The retaliatory tariffs, first announced in May (see 1805180064), are aimed at agricultural products, motorcycles, steel products and phosphoric and boric acid, and are aimed at offsetting the $241 million in duties India expects its U.S. customers to pay on its steel and aluminum exports. The tariffs were originally expected in June, but have been delayed twice. Many of the items already face high tariffs -- walnuts are taxed at 100 percent, fresh apples at 50 percent, chickpeas at 60 percent, motorcycles at 100 percent -- but the actions would add 10 percent more to many ag products, 20 percent to walnuts and almonds, and 50 percent more to motorcycles.
Customs Duty
A Customs Duty is a tariff or tax which a country imposes on goods when they are transported across international borders. Customs Duties are used to protect countries' economies, residents, jobs, and environments, by limiting the flow of imported merchandise, especially restricted and prohibited goods, into the country. The Customs Duty Rate is a percentage determined by the value of the article purchased in the foreign country and not based on quality, size, or weight.
The International Trade Commission will begin an investigation into what barriers the United Kingdom has to small and medium businesses seeking to export from the United States. U.S. Trade Representative Robert Lighthizer sent a letter Aug. 3 requesting that a report be reproduced no later than July 31, 2019. The letter said barriers could include burdensome customs procedures, low de minimis thresholds for duties or value added tax, arbitrary standards and lack of transparency on regulations. Lighthizer suggested the ITC consult its report from 2014 on similar barriers in the European Union.
CBP posted updated Customs-Trade Partnership Against Terrorism Minimum Security Criteria to the CTPAT portal and is seeking comments from CTPAT members, CBP said in a document posted ahead of the Aug. 1 Commercial Customs Operations Advisory Committee (COAC) meeting. "In late July, CTPAT Members received an email from the program outlining the key elements of the socialization strategy -- including the development of Workbooks for each of the entities eligible for CTPAT membership which have been uploaded to the CTPAT Portal; the delivery of live webinars; and an agenda outlining a series of workshops that are being delivered throughout the United States by CTPAT field personnel," CBP said.
In recent editions of the Official Journal of the European Union the following trade-related notices were posted:
A slightly changed Miscellaneous Tariff Bill passed the Senate unanimously July 26, but it likely will not take effect until the fall, because the House of Representatives has left for a five-week August recess. Once the revised version passes the House and is signed by the president, it will take effect in 30 days. The House passed its version of the bill Jan. 16, by a 402-0 vote (see 1801170012).
Roanoke Trade has seen a recent increase in the number of CBP notices mandating increased customs bond amounts, Patrice Lafayette, assistant vice president-client services at Roanoke, said during a July 25 webinar. "On average we normally see anywhere from 30 to 60 mandated increases issued on a monthly basis, but I can tell you that since the new tariffs have come out, this number practically tripled ... in June," she said. CBP has been expected to start taking a more aggressive stance on bond sufficiency as new tariffs take effect (see 1807020017).
The Consumer Technology Association wants the Office of the U.S. Trade Representative to remove 54 tariff lines from the list of imports from China targeted for a second tranche of 25 percent Trade Act Section 301 duties, said Sage Chandler, vice president-international trade, in comments filed July 23 in docket USTR-2018-0018. Chandler also testified at the USTR’s public hearing on July 24. The 54 tariff lines were well more than double the 22 Harmonized Tariff Schedule product codes that Chandler said CTA members had identified nearly four weeks ago for exclusion from the new list of duties (see 1807100025). Tariffs on the proposed products “will harm the very industries they seek to protect, all while failing to influence China's behavior or help the administration's stated goal of eliminating China’s discriminatory trade practices,” Chandler said in her latest comments.
Power Tek Tool and Lyke Industrial Tool used evasion to avoid antidumping duties on diamond sawblades from China, CBP said in a July 20 final determination. The final determination stems from an allegation filed by the Diamond Sawblades Manufacturer Coalition (DSMC) under the Enforce and Protect Act (EAPA) and the follow-up investigation started by CBP (see 1709250035). CBP found that "substantial evidence" showed the companies imported diamond sawblades from China "but did not declare the AD order upon entry; and, as a result, no cash deposits were applied to the merchandise."
CBP is extending the comment period to Aug. 23 on an existing information collection related to the entry/immediate delivery applications and ACE cargo release, it said in a notice.
It’s “difficult to read the tea leaves,” or “glean” any lessons, from why the Office of the U.S. Trade Representative removed certain tariff lines from the initial list of Section 301 tariffs, said David Cohen, a lawyer with Sandler Travis, during Sports & Fitness Industry Association (SFIA) webinar July 18. The USTR on June 15 announced it deleted 40 percent of the product lines from its first list of proposed Section 301 tariffs on Chinese imports (see 1806150003). The rationale behind those changes isn't apparent, he said.