A report to Congress designed to reveal whether a stricter auto rules of origin in USMCA is effective says no conclusions can be drawn because of the effects of the pandemic and ensuing semiconductor shortage that has reduced production of automobiles worldwide. The auto industry told the Office of the U.S. Trade Representative that the semiconductor shortage meant 1,520,000 fewer vehicles were built in 2021, and that this year, they expected one million fewer vehicles to be built, because the shortages have not yet been resolved.

International Trade Today is providing readers with the top stories from last week in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.

The International Trade Commission posted Revision 6 to the 2022 Harmonized Tariff Schedule. The semiannual update to the HTS adds new 10-digit tariff numbers for a variety of products, including tomatoes and a wide range of other vegetables, cut flowers and beverages in aluminum cans. All changes take effect July 1, unless otherwise specified.

Treasury Secretary Janet Yellen, one of the most public voices for rolling back some of the Section 301 tariffs on Chinese goods to ease inflation, spoke with Chinese Vice Premier Liu He, the main trade contact, about "unfair, non-market [Chinese] economic practices," according to a readout of the July 4 call.

The Commerce Department on July 1 issued a proposed rule to implement the 24-month grace period announced by presidential proclamation in June (see 2206060014) for imports potentially subject to antidumping and countervailing duties on solar cells from Cambodia, Malaysia, Thailand and Vietnam. As announced in the proclamation, the proposal would exempt solar cells subject to the inquiries from AD/CV duties until June 6, 2024.

Solar panel exports were already facing heightened CBP scrutiny under a withhold release order affecting a major supplier of polysilicon, a material used to make ingots that are then made into cells, which are then made into panels. But the early results of the Uyghur Forced Labor Prevention Act enforcement suggest that the Biden administration is willing to strictly enforce UFLPA "despite impacts on [solar panel] supply and pricing," said Tim Brightbill, a trade lawyer at Wiley.

Global supply chain issues could be alleviated with better data sharing and processing, experts said during a June 29 meeting of the Advisory Committee on Supply Chain Competitiveness. But to overcome trust issues among companies reluctant to share data, some government intervention may be necessary, they said.

Of the top 15 exports from Russia last year to the U.S., three were already banned and only two of the others will see its tariff rate hiked to 35%, the rate President Joe Biden announced during his trip to Europe.

Spent catalysts used for chemical production in China then sent back to the U.S. for reprocessing are not substantially transformed by their use in China, and remain of U.S. origin upon re-importation, CBP said in ruling HQ H323601.

International Trade Today is providing readers with the top stories from last week in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.