PGAs Look Set to Increase Chemical Restrictions, Reform Section 232 Process in Latest Regulatory Agenda

Regulatory agencies with import authorities listed several new rules in their first regulatory agenda since the arrival in office of President Joe Biden. New rulemakings listed by the agencies include new restrictions on chemicals, a slate of regulatory amendments related to Section 232 investigations, and a new proposal on administrative destruction of medical devices refused entry.

The Environmental Protection Agency looks set to be more active during the Biden administration, with its Office of Chemical Safety and Pollution Prevention, which administers the Toxic Substances Control Act and the Federal Insecticide, Fungicide and Rodenticide Act, listing seven new proposed rules banning or restricting toxic chemicals under TSCA Section 6(a). Chemicals subject to the proposed restrictions include trichloroethylene, chrysotile asbestos and C.I. violet pigment 29.

EPA also for the first time lists a proposal to amend its composite wood formaldehyde standards to update voluntary standards incorporated into the regulations. “In addition, EPA intends to propose an amendment that would address inspections by accrediting bodies and third-party certifiers at overseas facilities operated by firms subject to EPA's regulations,” the agency said. Overall, the EPA chemical office lists about 50% more proposed rules than did the final regulatory agenda of the Trump administration in the fall of 2020.

The Commerce Department's Bureau of Industry and Security lists several rulemakings related to Section 232 investigations. One of them “establishes the process by which a section 232 investigation may be terminated. This rule is designed to provide stability to the investigation process should such circumstances arise that the termination of an investigation is warranted. This will ensure that a standard process for ending an investigation, which can govern all investigation terminations, is in place going forward,” the agency said.

BIS also plans to eliminate some generally approved exclusions from Section 232 tariffs on steel and aluminum it created in an interim rule it issued in December 2020 (see 2012100047), based on comments received in response to that rule. BIS also lists a proposed rule to create some new generally approved exclusions for steel products.

The agenda put out by Commerce’s International Trade Administration, which administers antidumping and countervailing duties, is relatively unchanged from the previous administration. ITA does list a new proposed rule that would set procedures for binational panel reviews of AD/CV duty determinations under USMCA Chapter 10, but said the new regime is “virtually unchanged” from NAFTA Article 1904 procedures, and that changes would include updates to references and outdated service and protective order procedures.

The Food and Drug Administration's regulatory agenda includes a new proposed rule on devices refused entry. The proposal would amend the agency’s administrative destruction regulations to include devices valued at $2,500 or less. “These refused devices include illegal medical devices that are being imported to diagnose or treat COVID-19 such as test kits, respirators, and face masks. Other illegal devices that pose significant public health concern include illegal contact lenses,” FDA said. FDA also lists a proposal to ban the use of menthol as a flavoring in cigarettes.