Japan’s Ministry of Economy, Trade and Industry announced that Japan, China, and Korea reached an accord on their trilateral investment agreement at a follow-up meeting held in Beijing on March 21. METI states that that the three countries agreed to forward necessary work toward signing of the agreement at an early stage, and that the agreement will promote discussion on a China-Japan-Korea FTA.
Brian Feito
Brian Feito is Managing Editor of International Trade Today, Export Compliance Daily and Trade Law Daily. A licensed customs broker who spent time at the Department of Commerce calculating antidumping and countervailing duties, Brian covers a wide range of subjects including customs and trade-facing product regulation, the courts, antidumping and countervailing duties and Mexico and the European Union. Brian is a graduate of the University of Florida and George Mason University. He joined the staff of Warren Communications News in 2012.
At the Bureau of Industry and Security’s Regulations and Procedures Technical Advisory Committee (RPTAC) meeting on March 6, a Census Bureau official updated attendees on the status of its draft final rule to revise the Automated Export System regulations, including post-departure filing requirements (referred to as Option 4), the steps that must be taken before the final rule is issued, and an informed compliance period once it is published.
Japan’s Ministry of Economy, Trade and Industry (METI) announced March 22 that Japan and Kuwait signed an investment agreement, the first such agreement between Japan and a member state of the Cooperation Council for the Arab States of the Gulf (GCC). Key provisions of the agreement include: (1) national treatment and most-favored nation treatment for investment (except in certain sectors); (2) extensive prohibition of performance requirements; (3) the obligation to observe any contracts concluded by the signatory state with investors; (4) investment protection provisions, including compensation for expropriations, etc.; and (5) the settlement of investment disputes between investors and the signatory state.
Under Secretary of Commerce for International Trade Francisco Sanchez said that, as a result of the U.S.-Korea Free Trade Agreement (KFTA), 98% of Korea’s tariff lines, accounting for about 73% of U.S. textile and apparel exports to Korea by value, receive duty-free treatment immediately, and virtually all footwear exports to Korea are duty-free immediately as well. In his March 22 remarks to the American Apparel and Footwear Association, Sanchez also said the International Trade Administration is working with the U.S. Trade Representative to deal with issues such as India’s recent export ban on cotton and the tariff and non-tariff barriers in Brazil, Argentina, and Turkey.
Sources at the Food and Drug Administration state that a working group from the New York district office is currently reviewing the import filer evaluation process and will be making changes in the next few months. This follows a statement by the FDA that they recognize that the filer evaluation process currently does not distinguish between serious mistakes or omissions and typographical errors, and is working to improve this process. The FDA is also exploring procedures that would speed up this re-evaluation, which would provide an incentive for filers to improve their outcomes quickly.
The Food Safety and Inspection Service reports that the 44th Session of Codex Committee on Food Additives (CCFA) concluded March 16 in Hangzhou, China, and despite the efforts of an electronic Working Group (eWG), once again, the CCFA failed to resolve the issue of Note 161 to the General Standard of Food Additives (GSFA). The use of this Note has become a critical issue because many countries view the inclusion of national legislation in Codex standards as a trade barrier and contrary to the spirit of Codex. The CCFA also discussed work relating to other revisions of the GSFA.
The International Trade Administration issued Federal Register notices on its recently initiated antidumping and countervailing duty investigations on drawn stainless steel sinks from China (A-570-983 and C-570-984, respectively). The ITA will determine whether imports of stainless steel sinks from China are being, or are likely to be, sold in the U.S. at less than fair value, and whether manufacturers, producers, or exporters of stainless steel sinks from China receive countervailable subsidies.
The International Trade Administration issued its final affirmative antidumping duty determination on galvanized steel wire from China (A-570-975), which increases the AD rates for all respondents1 by 94%, and maintains the AD rate of 235% for the China-wide entity. This final determination, which is effective March 26, 2012, is expected to be implemented by U.S. Customs and Border Protection soon.
The International Trade Administration has issued its final affirmative countervailing duty determination on galvanized steel wire from China (C-570-976), which reduces the CV rates for two firms and “all-others”, and increases the CV rates for two firms. As CV liquidation is no longer suspended, ITA will only require cash deposits of estimated CV duties at the revised rates if it issues a CV order.
The International Trade Administration made a preliminary affirmative countervailing duty determination that countervailable subsidies are being provided to producers and exporters of crystalline silicon photovoltaic cells from China (C-570-980). The ITA found preliminary CV rates of 2.9% to 4.73% which, as a result of its preliminary determination of critical circumstances for both respondents and “all-others”, are effective on or about December 27, 2011. U.S. Customs and Border Protection is expected to implement these CV cash deposit/bond requirements soon.