The Commerce Department hasn't granted a steel or aluminum tariff exclusion since Dec. 17, 2021, and its last denial was posted Oct. 29, 2021. A lobbyist in the trade world said he has unsuccessfully tried to get to the bottom of why the Bureau of Industry and Security doesn't seem to be processing the applications at the moment. He said the Commerce Department told one office on Capitol Hill "there is no problem" and "that it's all functioning normally."
Senate Majority Leader Chuck Schumer, D-N.Y., and Senate Minority Leader Mitch McConnell, R-Ky., are negotiating to begin conference on the China package this work period, a Senate aide said by email. The work period is scheduled to end April 8.
CBP should recognize imports of goods under the $800 de minimis threshold as entries, as a way to help prevent low value goods made with forced labor from coming into the U.S., the National Customs Brokers & Forwarders Association of America said in comments to DHS on implementing the Uyghur Forced Labor Prevention Act. "By treating the commercial de minimis exemption instead as an entry of merchandise, the Government can continue to promote the administrative ease that section 321 affords legitimate gift and personal use shipments, while also ensuring goods imported under the commercial de minimis exemption are eligible and admissible and pose no threat to our country’s economy, safety, health, or security and particularly are free of forced labor," the trade group said.
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A Mexican factory that was shut down by the government doesn't need to include costs incurred during the time it was inoperative in the parent company's computed value calculations, CBP said in a newly released Jan. 7 ruling. The facility, which is owned by Chamberlain, was shut down in March 2020 by state authorities in Sonora, Mexico, as part of an emergency decree closing all nonessential businesses in response to COVID-19. CBP's ruling hinged on the fact that the costs incurred during the time of the government-mandated shutdown were "not employed in the production of the imported merchandise."
Though the Uyghur Forced Labor Prevention Act (UFLPA) designates polysilicon as a “high-priority enforcement sector,” the polysilicon produced in Xinjiang, and elsewhere in China, “currently does not meet the extremely high levels of purity required for semiconductor-grade polysilicon,” the Semiconductor Industry Association commented in docket DHS-2022-0001. The comments were in response to a DHS notice on how best to comply with UFLPA measures for preventing goods produced with forced labor in China from being imported into the U.S. CBP, under the direction of the Forced Labor Enforcement Task Force (FLETF), is scheduled to begin enforcing the statute’s “rebuttable presumption” measures June 21.
CBP posted an updated guidance document on proving admissibility for goods that are stopped due to the withhold release order aimed at silicon produced by Hoshine Silicon Industry, a company located in China's Xinjiang province, and its subsidiaries (see 2106240062). The guidance is "intended to provide information to the trade community including contact information on where to seek guidance on admissibility packages, tips for admissibility package submissions, processing expectations after initial supply chain verification, and advance rulings," CBP said in its description. The agency previewed much of the document during a recent webinar (see 2203070075).
The U.S., Japan, the United Kingdom and the European Union announced together that they no longer will give Russian goods the same tariff treatment as other members of the World Trade Organization. Canada, the other member of the G-7, had already hiked tariffs on all Russian goods to 35%.
While the consumer tech industry “condemns the use of forced labor” and “unequivocally supports” the Biden administration’s efforts “to end this scourge around the world,” there are concerns with the timing of new requirements, the Consumer Technology Association commented in docket DHS-2022-0001. The comments were due March 10 in response to a January DHS notice on how best to comply with the Uyghur Forced Labor Prevention Act (UFLPA) by preventing goods produced with forced labor in China from being imported into the U.S.
CBP should take an approach to implementing the Uyghur Forced Labor Prevention Act that is different than the current withhold release order regime, the American Association of Exporters and Importers said in comments to DHS. "The solution to forced labor does not lie with seizing goods at time of arrival," the trade group said. "Rather, it lies in timely information about suspected problem parties being shared at the time they are reliably identified."