Monday, June 7, 2010

CPSC Takes Over Detention Notices

(Apparelnews.net)

The Consumer Product Safety Commission will begin sending detention notices to importers found to have violated CPSC statutes.

Previously, detention notices were sent by the U.S. Customs and Border Protection.
The two agencies recently held a joint webinar to explain the shift, which begins June 14.

Going forward, detention notices will be sent by a CPSC compliance investigator or field officer. The notices will include information about the violation, including a description of the violation and the corresponding statute, as well as CPSC contact information. The importer will have five days to resolve the initial detention with test results or other relevant information.

According to Grunfeld, Desiderio, Lebowitz, Silverman & Klestadt LLP, CPSC hopes to resolve these issues within 30 days. However, the law firm, which specializes in customs and export issues, cautions importers against waiting for the 30 days to pass.

According to a release from the law firm, “Goods will not be deemed excluded if CPSC fails to make a determination within 30 days. This is significant as the importer will not be able to file a protest on the 31st day as is the case when goods are detained by CBP.”

Additional information about the CPSC and the 2010 Consumer Product Safety Improvement Act is available at the CPSC’s website.

Chinese Exporters Ditch Wounded Euro For Dollars

(Reuters)

Chinese exporters who made a big push only a year ago to bill in euros are increasingly turning their backs on the wounded European currency and demanding dollars instead.

By contrst, Beijing last week said a report it was reviewing the euro portion in its mountain of foreign exchange reserves was groundless and it calmed markets by saying that Europe remained a key investment market.

But Chinese exporters and the local governments that oversee them are less confident. They are trying to keep a wider berth from the euro, at least for now. Read more here.

US Backs Off Plan To Take Vt. Farm For Border Port

(Associated Press)

Score one for David. Goliath decided it just wasn’t worth the fight.

The federal government has decided to close a tiny U.S.-Canada border station rather than push ahead with a controversial plan to expand it by seizing a dairy farmer’s land, officials announced Thursday.

U.S. Customs and Border Protection had sought to renovate the sleepy Morses Line port of entry in Franklin — which gets about 2 1/2 vehicles an hour — by seizing a 2.2-acre parcel from the Rainville family dairy farm, which adjoins the station. […]

By any measure, the Depression-era border station — a small brick building surrounded by pastures and hayfields — was a better candidate for closure than a big-ticket renovation.

Sitting on a half-acre of land, its agents sometimes get so bored waiting for business that they hit golf balls or shoot skeet out back. Read more here.

Saturday, June 5, 2010

News from TAHOCO: Weekly Updates

An updated list of recently published US government memorandums, notices, regulations and decisions for the week ending June 4, 2010 is now available on our website here.

Friday, June 4, 2010

China Warns U.S. on Steel Dispute

(The Wall Street Journal)

China lashed out at the U.S. over a final decision to slap duties on imports of Chinese steel gratings, warning that the rising number of U.S.-initiated trade disputes against Beijing hurts economic ties between the two powers.

“The Chinese government and industry cannot accept this,” the Ministry of Commerce said in a statement issued on its website late Wednesday, referring to what it said was an incorrect investigation conducted by the U.S.

It urged the U.S. to practice restraint in resorting to such trade remedies and called on it to oppose protectionism.

The response came after the U.S. Commerce Department announced a final decision Tuesday to impose duties against some steel grating imports from China, setting countervailing duties at 62.46% and antidumping duties ranging between 136.76% and 145.18%. Read more here.

India Opposes Carbon Tax On Imports

(WSJ-Livemint.com)

India has opposed suggestions that countries that have cap-and-trade schemes to control carbon emissions—mostly developed countries—impose a carbon tax on imports from nations that don’t have such measures in place, made at the ongoing global climate talks in Bonn.

“The matter of any unilateral trade measure on imports in the name of climate action raises some concerns regarding the success of our discussions,” Vijay Sharma, secretary, ministry of environment and forests, said in his intervention on Tuesday.

“Such measures would only be tantamount to green protectionism and may burden the affected countries, particularly the developing countries, by subjecting them to similar mitigation obligations as of developed countries without any financial support,” Sharma said.

Developed and developing nations have been locked in a pitched battle over sharing the burden of reducing global carbon emissions, which scientists believe lead to global warming. Read more here.

Thursday, June 3, 2010

Tariff Classification of “Oil Bolts”

(Leagle.com)

HONDA OF AMERICA MFG., INC., Plaintiff-Appellant,
v. UNITED STATES, Defendant-Appellee

No. 2009-1493
United States Court of Appeals, Federal Circuit
Decided: June 2, 2010

In 2002-2004, Honda imported “oil bolts” used in its cars and motorcycles. Pl.’s Compl. 2. These oil bolts feature a smooth upper portion with a hollow, threaded body, some of which have extended stems. The oil bolts connect fluid lines to brake master cylinders or transmission cases, allowing fluid to flow through without leaking. Honda’s Principal Br. 5-8. Customs classified the oil bolts under Schedule subheading 7318.15.80: “Screws, bolts, nuts, . . . and similar articles, of iron or steel . . . [t]hreaded articles . . . [h]aving shanks or threads with a diameter of 6 mm or more.” Customs Headquarters Ruling No. 966412 (Sept. 3, 2003), aff’d, Customs Head-quarters Ruling No. 966789 (June 21, 2004). Customs liquidated at the corresponding 8.5% duty.

Honda appealed to the CIT, arguing that the proper classification is one of three subheadings in Schedule Chapter 87, “Vehicles . . . and Parts and Accessories Thereof.” On Honda’s motion, the CIT designated this case a test case for four others. Both parties cross-moved for summary judgment. The CIT granted the government’s motion, holding that Customs correctly classified the oil bolts as “parts of general use,” even though the bolts have specialized features, because the Schedule “does not generally make an exception for specialized parts.” Honda, 625 F. Supp. 2d at 1327. Honda appeals, and we have jurisdiction under 28 U.S.C. § 1295(a)(5).

Read the complete decision and discussion here.

Wednesday, June 2, 2010

Unsafe By Definition? GM/GE-Free Product Labeling

(Consumer Reports)

What it is: GM/GE refers to genetically modified or genetically engineered products. GM/GE processes may be useful because they can transfer certain traits and properties from one organism to another. For example, soybeans can be given a gene that protects them from the herbicide that’s sprayed on the field to kill weeds.

Why it’s news: There are currently no mandatory government labeling requirements for GM/GE products. Growers and product makers are allowed to label their goods as GM-free or GE-free. At an international meeting on food labeling in Quebec City, Canada in early May, the U.S. Department of Agriculture and the U.S. Food and Drug Administration came out against a proposal to allow countries to adopt different approaches to labeling of GE/GM foods, as long as they are in line with existing U.N. guidelines. Read more here.

EU Commissioner Wants U.S. Action on Trade

(The Wall Street Journal)

Karel De Gucht, the European Union’s trade commissioner, challenged the U.S. Wednesday to break an impasse in the current round of global trade talks.

“Americans need to say what they want,” said Mr. De Gucht, who visited Washington last month.

The nine-year-old round of tariff and subsidy-cutting talks—the so-called Doha Round—is stalled mostly because the Obama administration is handcuffed by a strong protectionist movement in the U.S., an assessment shared by international trade officials and U.S. trade representative Ron Kirk. “It’s a deal the Bush administration refused. How can you expect a Democratic administration without [special authority from Congress] to do this deal?” Mr. De Gucht said in an interview with the Wall Street Journal.

Doha “needs a top-up” and it is up the U.S. to come up with new ideas, he said. Mr. De Gucht suggested a tariff exemption on environmental goods, hardly a controversial notion, and language that would make it easier for service companies such as law firms and consultancies to do work in foreign countries. Read more here.

Tuesday, June 1, 2010

Blue Water Backs Public DRIC Bridge in Windsor

(Today’s Trucking)

The President of the Blue Water Bridge (BWB) linking Sarnia, Ont. and Port Huron, Mich. says he has no problem with a proposed new public-private bridge in nearby Windsor-Detroit.

In a letter to Detroit River International Crossing (DRIC) officials at the Ontario Ministry of Transportation, BWB President and CEO Chuck Chrapko reiterated the crown corporation's support for the DRIC project, adding that the Sarnia-Port Huron border point would be largely unaffected by an additional crossing at the Detroit-Windsor Gateway. Read more here.

EU Fears Trade Barriers Enacted During Crisis May Be Permanent

(Matthew Dalton — Dow Jones Deutschland)

Most of the trade barriers erected by the European Union's trading partners during the economic crisis are still in place, posing a long-term risk to the global trading system, the European Commission said in a report released Friday.

Despite widespread fears that governments would broadly resort to such measures due to the global economic downturn, protectionism has been relatively restrained. But the barriers that have been put in place are becoming “permanent features” of the global economic landscape, the commission said.

“There is a risk that trade-restrictive measures introduced by our partners during the crisis will become part of the trade regime even when the economy picks up speed,” said EU trade commissioner Karel De Gucht. “What we need now is an exit strategy from protectionism.” Read more here.