U.S. imports got a boost in December and are likely to be elevated in January compared with year-ago levels, according to the National Retail Federation, as retailers brought in spring merchandise early to hedge against the potential of a labor strike at East Coast and Gulf Coast terminals -- a strike threat that was averted this week (see 2501090003).
The Coalition for a Prosperous America, an advocacy group aligned with President-elect Donald Trump's trade and manufacturing policies, is calling on his administration to reinstate Section 232 tariffs on Mexican steel. "If Mexico continues to breach its commitments, CPA urges the Trump administration to reconsider Mexico’s participation in USMCA altogether," the group wrote in a release issued Jan. 10.
Reps. Tom Suozzi, D-N.Y., and Neal Dunn, R-Fla., introduced a bill to change the scope of packages eligible for de minimis. No bill text was available Jan. 10 from Suozzi's office, but former Rep. Earl Blumenauer, D-Ore., said before he retired that Suozzi would be taking over his push to curtail de minimis.
The U.S. District Court for the Southern District of New York on Jan. 3 dismissed a False Claims Act suit against Amazon, which alleged that the online retail giant conspired with Chinese manufacturers to avoid paying fees and tariffs on fur products. Judge Edgardo Ramos held that importer Henig Furs, the company that brought the suit on behalf of the U.S., failed to adequately allege that Amazon knowingly violated the FCA or was engaged in a conspiracy to violate the statute (United States, ex rel. Mike Henig v. Amazon.com, S.D.N.Y. # 19-05673).
Rep. Henry Cuellar, a Democrat who represents Laredo, Texas, said that if Donald Trump, once he becomes president, were to impose 25% tariffs on Mexico, it would be very disruptive to business in his district. Trump re-upped the threat of those tariffs in a press conference earlier this week (see 2501070027). He had said he would hike tariffs on all Mexican and Canadian goods if Mexico and Canada don't crack down to his satisfaction on migration and drug trafficking into the U.S.
American consumers should take President-elect Donald Trump seriously, but not literally, when it comes to his threats on tariff rates, said Jan Hatzius, chief economist at Goldman Sachs.
Textile industry representatives questioned the logic of the Section 301 investigation on Nicaragua's human rights and labor rights violations, arguing that while they deplore the despotism of Nicaragua's leaders, none of the actions burden or restrict U.S. commerce. Rather, if the government were to decide that Nicaragua's violations merited the withdrawal of tariff benefits for its apparel exports, that action is what would burden U.S. commerce.
House Ways and Means Committee Chairman Jason Smith, R-Mo., knocked down speculation that tariffs could be part of a tax-cut package in order to offset the costs of extending or expanding individual and business tax cuts passed eight years ago (see 2411120026).
Senate Finance Committee Chairman Mike Crapo, R-Idaho, said his trade priorities for the next two years are supporting the negotiation of comprehensive free trade deals that expand market access for American producers, supporting the negotiation of digital trade rules and intellectual property protections, and reauthorizing key trade programs.
The U.S. Court of Appeals for the Federal Circuit on Jan. 8 heard oral argument in the massive Section 301 litigation, primarily probing the litigants' positions regarding how to interpret the term "modify" in the statute and whether the statute allows the U.S. trade representative to impose duties in response to retaliatory measures from China (HMTX Industries v. United States, Fed. Cir. # 23-1891).