'Restrained Enforcement' of USMCA to End Dec. 31 as Planned, Acting CBP Commissioner Says

CBP's “restrained enforcement” of the USMCA provisions will end as previously planned after Dec. 31 (see 2011040039), acting CBP Commissioner Mark Morgan said during the Dec. 16 Commercial Customs Operations Advisory Committee (COAC) meeting. “Starting with the new year, CBP will enforce the USMCA as it does all other trade agreements,” he said. The agency allowed for lax enforcement of certifications of origin requirements for six months after the deal took effect so industry could adjust to the changes (see 2006020023). The CBP USMCA Center, created to help with USMCA implementation (see 2005120042), will remain in place for another three to five years, he said.

Morgan also said there will be “plenty of continuity in the CBP leadership for all trade programs” through the presidential transition. The recent efforts by CBP and the COAC “will absolutely continue, I have no doubt on that,” he said. Deputy Commissioner Robert Perez said CBP will hold the next virtual COAC meeting on March 17, 2021, and has shifted the dates for a planned in-person trade symposium in Anaheim, California, from March to July.

Meanwhile, the Department of Homeland Security is working on a legislative proposal that includes revisions to Section 321 exemptions for low-value goods “to better plug whatever loopholes there might be,” said Michael Ding, DHS acting deputy assistant secretary for strategy, policy and plans. The proposal will also seek to improve the enforcement process and allow for more information sharing, he said. The effort is a result of an October presidential memorandum that called for new ways to stem counterfeit imports through e-commerce platforms and asked for a formal legislative proposal by February 2021 (see 2010130051), he said.