The Office of Foreign Assets Control fined the United Kingdom-based Bank of China more than $2.3 million for processing more than 100 transactions that violated then-U.S. sanctions against Sudan, according to an enforcement order. The bank illegally exported financial services from the U.S. when it processed about $40 million worth of transactions through the U.S. financial system on behalf of parties in Sudan, OFAC said Aug. 26.
Sen. Chuck Grassley, R-Iowa, told reporters on a press call that his constituents are saying they're concerned there is a "lack of a trade agenda in this administration." He said that in the months since Katherine Tai was confirmed as U.S. trade representative, "I haven't seen any movement on trade agreements."
Several Republican lawmakers criticized the Biden administration this week for reportedly (see 2108250018) granting export licenses for companies to ship hundreds of millions of dollars worth of auto chips to Huawei. The licenses reportedly were approved within the past several months and authorized only exports of auto chips, which are viewed as less sensitive than other types of semiconductor-related items.
Instead of imposing more sanctions against the Taliban, the U.S. will likely try to repurpose existing regimes to better target the group, sanctions and security experts said. The task, which the experts expect to be “very” challenging, will aim to update a U.S. sanctions program that was originally intended to target terrorists but will need to now target the Taliban-controlled Afghan government. The efforts should be coordinated with allies, the experts added, but could be slowed by the delayed nominations of two senior Treasury Department sanctions officials, who have not yet cleared the Senate.
A former assistant U.S. trade representative for services and investment is joining Rock Creek Global Advisors as a managing director. A founder of the firm noted that Daniel Bahar led in digital trade policy and negotiations and represented USTR on the Committee on Foreign Investment in the United States (CFIUS). "His experience in negotiating investment rules with China, developing cutting-edge digital trade policy, and dealing with the intersection of national security and global commerce will be of great benefit to our clients," Daniel Price said.
The Mexican government has asked the Office of the U.S. Trade Representative for formal consultations under USMCA's dispute resolution process over a disagreement on how the auto rules of origin should work. Mexico says that when it agreed to a 75% regional value content standard at the end of the phase-in period, its negotiators were assuming that once a part is considered originating, its value should count as North American as you move to assemblies, and ultimately, to the vehicle as a whole. So, Mexico says that in the text on the rules of origin, if a core part is originating, its full value is counted in a super-core part, such as an engine, and if that engine is originating, its value counts in the RVC for the vehicle as a whole.
China's top legislative body, the National People's Congress, on Aug. 20 will discuss extending an anti-sanctions law to Hong Kong, local Chinese media outlet TVB News quoted NPC Standing Committee delegate Tam Yiu-chung as saying, Reuters reported. Hong Kong's Chief Executive Carrie Lam said she has no timeline for the implementation of the mainland Chinese law meant to retaliate against foreign sanctions.
The Committee on Foreign Investment in the U.S. should review all U.S. investment transactions by Brazilian meatpacking conglomerate JBS S.A., its holding company J&F Investimentos and any entity owned by the company’s owners Wesley and Joesley Batista, two senators said. The companies use “criminal practices to obtain the funds to acquire U.S. companies,” which may jeopardize U.S. economic security and undermine U.S. efforts to combat corruption, Sens. Bob Menendez, D-N.J., and Marco Rubio, R-Fla., said in an Aug. 13 letter to Treasury Secretary Janet Yellen. “With JBS S.A. planning further U.S. acquisitions in the near future,” the senators said, “the need for a thorough investigation is urgent.”
Mi-Yong Kim, former chair of the Operating Committee for Export Administration at the Commerce Department's Bureau of Industry and Security, joined Bass Berry as counsel in its Washington, D.C.-based International Trade Practice, the firm announced Aug. 10. Kim worked at Commerce for over 18 years, nearly 10 of them as a senior attorney with the Office of Chief Counsel for Industry and Security. Kim will work on national security issues, including matters involving the Export Administration Regulations, the International Traffic in Arms Regulations and the Committee on Foreign Investment in the U.S., the firm said.
Several companies recently disclosed their filings with the Committee on Foreign Investment in the U.S. or updated the status of their ongoing CFIUS reviews. Transactions involve Chinese technology companies, an agricultural technology business and a workplace learning technology provider.