NEW ORLEANS -- CBP is considering a role for customs brokers to help point out importers that may be skirting antidumping or countervailing duties as part of President Donald Trump's March 31 executive order, National Customs Brokers & Forwarders Association of America President Geoff Powell said during an April 3 panel discussion at the NCBFAA annual conference. CBP wants to get "the brokers' assistance in bonding" and figuring out "how to identify potential AD/CVD companies that are getting around it." CBP will "develop implementation plans to provide security for AD/CVD liability through bonds" within 90 days, the Department of Homeland Security said in a fact sheet about the executive order (here).
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.
CBP will lead implementation of President Donald Trump’s March 31 executive order addressing unpaid antidumping and countervailing duties (see 1703310076), the agency said in a fact sheet (here). The executive order (here) designates the Department of Homeland Security as the head government entity to develop plans by June 29 to require importers deemed a risk to U.S. revenue to “provide security” for AD and CV duty liability through bonds and “other legal measures”; to start implementing a strategy to counter violations of U.S. trade and customs laws; and to interdict and dispose of inadmissible merchandise. Interdiction and disposal plans would include “methods other than seizure,” according to the executive order.
The Commerce Department issued Federal Register notices on its recently initiated antidumping duty investigations on silicon metal from Australia (A-602-810), Brazil (A-351-850) and Norway (A-403-805) (here), and countervailing duty investigations on silicon metal from Australia (C-602-811), Brazil (C-351-851) and Kazakhstan (C-834-808) (here).
The World Customs Organization published a report on e-commerce (here), based on a survey of its members, which analyzes global customs practices and initiatives related to low-value e-commerce processing, the WCO said. The recent increase in de minimis e-commerce processing has spurred several challenges in the global trading environment, the WCO said. The continuous increase in online trading necessitates a broad, international customs approach to deal with questions regarding regulation, consumer protection, revenue collection and national security, the organization said. The study outlines several countries’ e-commerce approaches to de minimis shipments, and notes that proper risk management of such e-commerce shipments requires large personnel allocations, which several customs administrations lack.
First-time importers and importers delinquent on antidumping and countervailing duties may be subject to enhanced bonding and “other legal measures,” under an executive order signed by President Donald Trump on March 31 (here).
The Trump administration is considering a push for new World Trade Organization trade facilitation commitments as part of NAFTA renegotiations, according to a draft notice from Acting U.S. Trade Representative Stephen Vaughn (here). That would mean new rules requiring NAFTA countries to conduct "customs operations with transparency, efficiency, and predictability, and that customs laws, regulations, decisions, and rulings are not applied in a manner that would create unwarranted procedural obstacles to international trade," it said. Those commitments were included in a list of three main "customs matters" in the draft. Congress earlier this week (see 1703290038) received the draft, which, once finalized, would formally initiate a consultation period ahead of NAFTA discussions.
President Donald Trump signed two executive orders on trade on March 31, said a White House official. The first requires a country-by-country report on the causes of U.S. trade deficits, according to a report by the Associated Press (here). The report will be due in 90 days. The second executive order will address shortfalls in collections of antidumping and countervailing duties, the AP report said. That order will establish more effective bonding requirements, among other measures, the AP report said. The executive orders were not available as of press time.
A group of domestic steel producers recently filed a petition with the Commerce Department and the International Trade Commission requesting new antidumping duties on carbon and alloy steel wire rod from Belarus, Italy, South Korea, Russia, South Africa, Spain, Turkey, Ukraine, the United Arab Emirates and the United Kingdom, and new countervailing duties on carbon and alloy steel wire rod from Italy and Turkey. Commerce will now decide whether to begin AD/CVD investigations on steel wire rod from these countries.
The Commerce Department issued Federal Register notices on its recently initiated antidumping and countervailing duty investigations on aluminum foil from China (A-570-053/C-570-054). The agency will determine whether imports of Chinese aluminum foil are being sold in the U.S. at less than fair value or are illegally subsidized. The CV duty investigation covers entries Jan. 1, 2016, through Dec. 31, 2016. The AD duty investigation covers entries July 1, 2016, through Dec. 31, 2016.
CBP sees additions of national monthly statements and line-level liquidations among the top recommendations within the agency's simplified processes initiative, said Randy Mitchell, director of the Commercial Operations and Entry Division, during a March 24 webinar sponsored by the National Customs Brokers & Forwarders Association of America. National monthly statements, which would consolidate port-specific entry statements into a single statement, would likely be phased in, he said. Line-level liquidation would be a "longer-term" goal due to some "legal and regulatory factors" involved, Mitchell said. Other "top recommendations" include monthly entry summaries and the elimination of the separate 09 entry type for reconciliation by allowing for Post-Summary Corrections instead, he said.