Friday, March 2, 2012
News from TAHOCO: Weekly Updates
An updated list of recently published US government
memorandums, notices, regulations and decisions for the week ending March 2, 2011 is now available on our
website here.
EU Seeks Power to Ban Firms from Its Public Procurement Market
(Bloomberg – Jim
Brunsden)
The European Union’s executive will seek the power to block companies based outside the EU from bidding for public procurement contracts in Europe as part of plans to boost the bloc’s arsenal against trade discrimination.
The EU’s top financial-services and trade officials plan to propose next month that the European Commission in Brussels should have the power to ban companies from winning public procurement contracts in the region if they are based in countries that “repeatedly discriminate” against European firms, Chantal Hughes, a spokesperson for the commission, said today in an e-mail. Read more here.
The European Union’s executive will seek the power to block companies based outside the EU from bidding for public procurement contracts in Europe as part of plans to boost the bloc’s arsenal against trade discrimination.
The EU’s top financial-services and trade officials plan to propose next month that the European Commission in Brussels should have the power to ban companies from winning public procurement contracts in the region if they are based in countries that “repeatedly discriminate” against European firms, Chantal Hughes, a spokesperson for the commission, said today in an e-mail. Read more here.
EU Assesses Progress of Its Strategy to Dismantle Trade Barriers
(European
Commission)
“With protectionism an ever present threat, we need to make sure that trade remains open in order to boost jobs and growth. Today’s report shows that our enforcement strategy is paying off in fighting unfair barriers to trade and investment; yet, we need to strengthen our vigilance and double our efforts in order to make sure that openness is maintained worldwide. The EU’s commitment to ensuring trade openness remains firm”, stated EU Trade Commissioner Karel De Gucht. Read more here.
The European Commission today published its second Trade and Investment Barriers Report, which
describes the progress achieved in dismantling barriers to the markets of six
strategic economic partners - China, India, Japan, Mercosur, Russia and
the US. The
report recognises some success stories in the removal of certain trade
barriers, such as in India, but
also underlines the overall persistence of barriers for European business to
access key markets. Dismantling these barriers would improve and open up new
export and investment opportunities for European companies and people. The
report will be presented to the European Council on 1-2 March.
“With protectionism an ever present threat, we need to make sure that trade remains open in order to boost jobs and growth. Today’s report shows that our enforcement strategy is paying off in fighting unfair barriers to trade and investment; yet, we need to strengthen our vigilance and double our efforts in order to make sure that openness is maintained worldwide. The EU’s commitment to ensuring trade openness remains firm”, stated EU Trade Commissioner Karel De Gucht. Read more here.
Thursday, March 1, 2012
U.S. December 2011 Surface Trade with Canada and Mexico Rose 11.6%
(CIFFA eBulletin)
Trade using surface transportation between the United States and its North American neighbours, Canada and Mexico, was 11.6% higher in December 2011 than in December 2010, totalling $74.2 billion, according to the Bureau of Transportation Statistics (BTS) of the U.S. Department of Transportation. BTS reported that the December 2011 value of U.S. surface transportation trade with Canada and Mexico, rose 27.0% in the past two years from December 2009, and 40.3% from December 2008. Surface transportation includes freight movements by truck, rail, pipeline, mail, Foreign Trade Zones, and other.
In December, 85.5% of U.S. trade by value with Canada and Mexico moved via land, 10.0% moved by vessel, and 4.5% moved by air. The value of U.S. surface transportation trade with Canada and Mexico decreased 3.2% in December 2011 from November 2011. Month-to-month changes can be affected by seasonal variations and other factors.
U.S.-Canada and U.S.-Mexico surface transportation trade both increased compared to December 2010 with U.S.-Canada reaching $44.2 billion, an 11.2% increase, and U.S.-Mexico reaching $30.0 billion, a 12.1% increase. In December trade by state, Michigan led all states in surface trade with Canada as it has in previous years, at $5.6 billion, a 19.7% increase from December 2010.
Trade using surface transportation between the United States and its North American neighbours, Canada and Mexico, was 11.6% higher in December 2011 than in December 2010, totalling $74.2 billion, according to the Bureau of Transportation Statistics (BTS) of the U.S. Department of Transportation. BTS reported that the December 2011 value of U.S. surface transportation trade with Canada and Mexico, rose 27.0% in the past two years from December 2009, and 40.3% from December 2008. Surface transportation includes freight movements by truck, rail, pipeline, mail, Foreign Trade Zones, and other.
In December, 85.5% of U.S. trade by value with Canada and Mexico moved via land, 10.0% moved by vessel, and 4.5% moved by air. The value of U.S. surface transportation trade with Canada and Mexico decreased 3.2% in December 2011 from November 2011. Month-to-month changes can be affected by seasonal variations and other factors.
U.S.-Canada and U.S.-Mexico surface transportation trade both increased compared to December 2010 with U.S.-Canada reaching $44.2 billion, an 11.2% increase, and U.S.-Mexico reaching $30.0 billion, a 12.1% increase. In December trade by state, Michigan led all states in surface trade with Canada as it has in previous years, at $5.6 billion, a 19.7% increase from December 2010.
Russia Trade Debate Prepares to Kick Off in Washington
(Bridges Weekly Trade News Digest)
US-Russia trade ties are entering back into the spotlight, with Washington lawmakers set to begin debating the repeal of Cold War-era trade restrictions that would allow Moscow to become a full trade partner.
The visit of Max Baucus - the chairman of the Senate Finance Committee, which has jurisdiction over tax and trade policy - to Russia last week was expected to kick off the debate in Washington, with the senator meeting with Russian President Dmitry Medvedev to discuss the trade situation and other subjects.
Establishing Russia as a full trade partner will require the US Congress to repeal of the Jackson-Vanik amendment, a legislative provision left behind from the Cold War that allows the US to deny most favoured nation (MFN) status to nations that restrict freedom of emigration.
“Expanding trade with Russia could mean billions of dollars of new opportunities for American businesses, ranchers, and farmers and could create thousands of jobs here at home,” Senator Baucus said in a statement following his Moscow visit. Read more here.
US-Russia trade ties are entering back into the spotlight, with Washington lawmakers set to begin debating the repeal of Cold War-era trade restrictions that would allow Moscow to become a full trade partner.
The visit of Max Baucus - the chairman of the Senate Finance Committee, which has jurisdiction over tax and trade policy - to Russia last week was expected to kick off the debate in Washington, with the senator meeting with Russian President Dmitry Medvedev to discuss the trade situation and other subjects.
Establishing Russia as a full trade partner will require the US Congress to repeal of the Jackson-Vanik amendment, a legislative provision left behind from the Cold War that allows the US to deny most favoured nation (MFN) status to nations that restrict freedom of emigration.
“Expanding trade with Russia could mean billions of dollars of new opportunities for American businesses, ranchers, and farmers and could create thousands of jobs here at home,” Senator Baucus said in a statement following his Moscow visit. Read more here.
Buyer Beware: Online “Pharmacies” May Sell Poison
(NBC Chigago)
National Association of Boards of Pharmacies maintains list of approved
online pharmacies
It’s almost too easy: With a couple of clicks of a
mouse and a credit card, anyone can order prescription drugs online. Scores of
online pharmacies offer easy access to an array of medications – often at
bargain prices – delivered right to your mailbox.
These days, it’s estimated that one out of every
six people in the United States are
filling their prescriptions online.
But do you really know what you’re getting?
Unit 5 took an exclusive look inside the world of
counterfeit medicine: Drugs made to look exactly like real Xanax, Cialis,
Valium or Viagra – but which actually contain anything from baking soda, paint
and dirt, to amphetamines, or even poison. Read more here.
Legislation Allowing CV Duties on Non-Market Economies on a Fast Track
(STR Trade
Report)
Lawmakers in both the House and Senate were
expected to introduce Feb. 29 legislation that would explicitly permit the
federal government to impose countervailing duties on goods imported from
non-market economy countries, including China and Vietnam. This
legislation would be retroactive to Nov. 20, 2006, and thus allow the U.S. to
continue the 23 CV duty orders it has in place against Chinese goods (as well
as one against Vietnam) as
well as seven pending CV duty investigations.
A summary of the forthcoming bills indicates that
they also respond to a March 2011 ruling by the World Trade Organization that
the concurrent application of antidumping and countervailing duties on NME
goods is inconsistent with WTO rules. “Specifically, if a foreign exporter in a
dumping case were able to demonstrate that there was an increase to its export
prices due to a countervailed domestic subsidy and the use of the surrogate
value methodology, [the Department of] Commerce would determine whether it
could make a reasonable estimate of the extent of the increase to the dumping
margin, and if so, make a corresponding reduction to the dumping margin,” the
summary states.
Press sources indicate that the CV duty legislation
has bipartisan support and that both chambers are working to pass the same
version, meaning no conference would be necessary and a final bill could be
sent to the White House that much sooner. If action is taken quickly enough DOC could
forego an appeal of the court decision disallowing CV duties on NME country
goods that prompted the legislation. At the same time, however, the legislation
itself could be challenged at the WTO.
Wednesday, February 29, 2012
China Aims to Build World’s Largest Cargo Airport
(Journal of
Commerce Online – Mike King)
The new airport, which has not yet been named, will have an annual capacity of more than 130 million passengers and 5 million metric tons of cargo. Construction of the nine runways at a 6,600-acre site at Daxing, 30 miles south of Beijing, will begin this year.
Beijing International Airport, the capital’s major air cargo hub, handled 1.7 million tons of cargo last year, up 10.7% year-over-year, according to preliminary figures from Airports Council International. The airport is the second largest by volume in China after Shanghai’s Pudong International Airport. Read more here.
China plans to build the world’s largest cargo airport near Beijing in a $4.8
billion project due for completion in late 2017.
The new airport, which has not yet been named, will have an annual capacity of more than 130 million passengers and 5 million metric tons of cargo. Construction of the nine runways at a 6,600-acre site at Daxing, 30 miles south of Beijing, will begin this year.
Beijing International Airport, the capital’s major air cargo hub, handled 1.7 million tons of cargo last year, up 10.7% year-over-year, according to preliminary figures from Airports Council International. The airport is the second largest by volume in China after Shanghai’s Pudong International Airport. Read more here.
C-TPAT Budget-Saving Plans
(Eric Kulisch —
American Shipper)
Extending the re-validation cycle for companies in the Customs-Trade Partnership Against Terrorism by a year will not adversely impact supply chain security, according to Shawn Beddows, the U.S. Customs official directly in charge of the program.
The Obama administration’s budget plan for fiscal year 2013 calls for a $5 million reduction in C-TPAT spending, with the money diverted instead to pay for frontline inspection operations. Most of the savings are to be achieved by scheduling follow-on verifications of trusted shippers’ supply chain security practices every four years, instead of three. […]
Another possible change to C-TPAT is the addition of an export component. CBP officials, acquiescing to private sector demands for a program that would make it easier to comply with the cargo security programs of foreign governments, in recent months have said they are contemplating a security program for exporters.
Customs is expected to consider several approaches for export verification, including flipping the C-TPAT import criteria to exports or using a security checklist that is equivalent to ones used by European Union governments for their Authorized Economic Operator programs.
Extending the re-validation cycle for companies in the Customs-Trade Partnership Against Terrorism by a year will not adversely impact supply chain security, according to Shawn Beddows, the U.S. Customs official directly in charge of the program.
The Obama administration’s budget plan for fiscal year 2013 calls for a $5 million reduction in C-TPAT spending, with the money diverted instead to pay for frontline inspection operations. Most of the savings are to be achieved by scheduling follow-on verifications of trusted shippers’ supply chain security practices every four years, instead of three. […]
Another possible change to C-TPAT is the addition of an export component. CBP officials, acquiescing to private sector demands for a program that would make it easier to comply with the cargo security programs of foreign governments, in recent months have said they are contemplating a security program for exporters.
Customs is expected to consider several approaches for export verification, including flipping the C-TPAT import criteria to exports or using a security checklist that is equivalent to ones used by European Union governments for their Authorized Economic Operator programs.
EU Puts Anti-Counterfeiting Agreement on Hold
(ST&R Trade
Report)
European Union Trade Commissioner Karel de Gucht announced last week that the Anti-Counterfeiting Trade Agreement will be sent to the European Court of Justice for a ruling on whether the pact is “incompatible in any way with the EU’s fundamental rights and freedoms.” Recent weeks have seen tens of thousands protesting across Europe against ACTA, which opponents fear could result in censorship or other restrictions of civil liberties. Similar concerns in the United States appear to have all but doomed legislation seeking to strengthen online piracy enforcement efforts.
De Gucht noted that the European Commission has passed ACTA to national governments for ratification as well as to the European Parliament for debate and a vote, which is expected this summer. The European Council also adopted ACTA unanimously in December and authorized EU member states to sign it. Press sources note that while 22 of the 27 members have done so, the others have said they will not sign the agreement in its current form, and all members must sign for the EU as a whole to formally become a party.
European Union Trade Commissioner Karel de Gucht announced last week that the Anti-Counterfeiting Trade Agreement will be sent to the European Court of Justice for a ruling on whether the pact is “incompatible in any way with the EU’s fundamental rights and freedoms.” Recent weeks have seen tens of thousands protesting across Europe against ACTA, which opponents fear could result in censorship or other restrictions of civil liberties. Similar concerns in the United States appear to have all but doomed legislation seeking to strengthen online piracy enforcement efforts.
De Gucht noted that the European Commission has passed ACTA to national governments for ratification as well as to the European Parliament for debate and a vote, which is expected this summer. The European Council also adopted ACTA unanimously in December and authorized EU member states to sign it. Press sources note that while 22 of the 27 members have done so, the others have said they will not sign the agreement in its current form, and all members must sign for the EU as a whole to formally become a party.
New U.S. Agency to Enforce Trade Rules with China
(Industry Week –
Agence France-Presse)
President Obama will launch a new enforcement center on Tuesday to more aggressively challenge “unfair” trade violations, including by China, a senior official said.
Obama, who vowed to create such an entity during his State of the Union address and who faces election-year pressure to be tough on Beijing, will establish the Interagency Trade Enforcement Agency by executive order. The center will “significantly enhance the administration’s capabilities to aggressively challenge unfair trade practices around the world, including in China,” a White House official said on condition of anonymity. “The president believes that we can’t wait to crack down on unfair trade violations and ensure a level playing field for American workers.” Read more here.
President Obama will launch a new enforcement center on Tuesday to more aggressively challenge “unfair” trade violations, including by China, a senior official said.
Obama, who vowed to create such an entity during his State of the Union address and who faces election-year pressure to be tough on Beijing, will establish the Interagency Trade Enforcement Agency by executive order. The center will “significantly enhance the administration’s capabilities to aggressively challenge unfair trade practices around the world, including in China,” a White House official said on condition of anonymity. “The president believes that we can’t wait to crack down on unfair trade violations and ensure a level playing field for American workers.” Read more here.
Tuesday, February 28, 2012
Claims of Discrimination in Gender- and Age-Based Import Tariffs Denied Again
(STR Trade Report)
The Court of International Trade has again rejected an attempt
by importers to classify gender- and age-based import tariffs as violating
their constitutional right to equal protection. In Rack Room Shoes et al v. U.S., the CIT said there is
nothing in the complaints brought in this test case “that can connect the
tariff provisions and congressional action in a way to suggest with
plausibility the existence of a governmental intent to discriminate.”
This case was brought after the Court of Appeals for the Federal Circuit ruled in February 2010 that the tariff provisions at issue are not discriminatory on their face and that importers challenging the constitutionality of these tariffs must do more than just show that they have a disparate impact on the associated purchasers. Read more here.
This case was brought after the Court of Appeals for the Federal Circuit ruled in February 2010 that the tariff provisions at issue are not discriminatory on their face and that importers challenging the constitutionality of these tariffs must do more than just show that they have a disparate impact on the associated purchasers. Read more here.
Monday, February 27, 2012
ETS Trade War Threat to EU Carriers
(International
Freighting Weekly – David Badger)
Twenty-nine countries threaten retaliation unless emissions trading scheme is abandoned
A group of 29 countries yesterday [Wednesday] put pressure on the EU to abandon its emissions trading scheme (ETS), threatening retaliation and raising the risk of a trade war. The countries, include the U.S., Russia, China and India, agreed to adopt “a basket of measures”, permitting each to choose “the actions that it finds most effective” to counteract the ETS”, said Valery Okulov, Russia’s deputy transportation minister, following a two-day meeting in Moscow.
The European scheme, which took effect on 1 January, legally requires all flights landing at any EU airport to take part in an emissions trading system to offset the carbon produced by its journey. Read more here.
Twenty-nine countries threaten retaliation unless emissions trading scheme is abandoned
A group of 29 countries yesterday [Wednesday] put pressure on the EU to abandon its emissions trading scheme (ETS), threatening retaliation and raising the risk of a trade war. The countries, include the U.S., Russia, China and India, agreed to adopt “a basket of measures”, permitting each to choose “the actions that it finds most effective” to counteract the ETS”, said Valery Okulov, Russia’s deputy transportation minister, following a two-day meeting in Moscow.
The European scheme, which took effect on 1 January, legally requires all flights landing at any EU airport to take part in an emissions trading system to offset the carbon produced by its journey. Read more here.
U.S. GHS One Step Closer as OMB Clears Hazard Communications Standard [Chemicals]
(Chemical Watch)
The U.S. Office of Management and Budget (OMB) has concluded its review of the hazard communication standard submitted by the Occupational Health and Safety Administration (OSHA) last October. The standard will see the start of implementation of the Globally Harmonized System (GHS) of classification and labelling of chemicals in the U.S.
OSHA now has to incorporate comments made by OMB into a final document which will be published in the Federal Register in the coming weeks.
The U.S. Office of Management and Budget (OMB) has concluded its review of the hazard communication standard submitted by the Occupational Health and Safety Administration (OSHA) last October. The standard will see the start of implementation of the Globally Harmonized System (GHS) of classification and labelling of chemicals in the U.S.
OSHA now has to incorporate comments made by OMB into a final document which will be published in the Federal Register in the coming weeks.
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