Russia recently notified the World Trade Organization of draft amendments to certain food labeling regulations in the Eurasian Economic Union, the U.S. Department of Agriculture Foreign Agricultural Service said in a May 12 report. The measure would “harmonize” certain EAEU labeling regulations with European Union requirements in terms of “indicating proteins, fats, carbohydrates and trans isomers of fatty acids,” USDA said. U.S. parties should send comments to the National Institute of Standards and Technology at ncsci@nist.gov by June 9.
The Czech Republic will begin collecting value-added taxes on all import consignments beginning July 1, KPMG said in a May alert. The measure will eliminate a VAT exemption on imports of “low value,” KPMG said. It will also place more of a burden on buyers and sellers of e-commerce goods, who will have to “pay more attention” to which party is responsible for paying the VAT. Traders must determine whether a foreign good's price includes the import VAT, or whether the end customer will be responsible for paying the VAT. “Sellers of goods from abroad should therefore consider all possible options,” KPMG said, “and decide on the most appropriate and convenient collection of VAT on the import of goods for both themselves and their customers.”
The European Commission initiated an expiry review of the antidumping duty order on imports of certain ring binder mechanisms from China and extended it to Vietnam and Laos, the commission said May 11. Acting on the request of producer Ring Alliance Ringbuchtechnik GmbH, which called for the review on behalf of over 25% of the European ring binder mechanism industry, the EC will review entries of the subject goods in 2020 to determine if the antidumping duties should be extended. The product is currently classified under Combined Nomenclature code 8305.10.00.
Cyprus is considering providing relief to industry for monetary penalties or interest related to value-added tax payments, KPMG said in a May 7 post. The measures, aimed at mitigating the effects of the COVID-19 pandemic, would allow certain payments to be deferred for VATs due in May, June and July. Cyprus previously extended deadlines for payments of certain VATs (see 2103040008).
Following the United Kingdom's departure from the European Union, the European Commission does not want to see the U.K. join the bloc's 2007 Lugano Convention -- a pact that recognizes jurisdiction and enforcement of judgment in civil and commercial matters. In a May 4 communication from the EC to the European Parliament and Council, the commission said the Lugano Convention is meant for the internal market of the EU. and because the U.K. is now a “third party without a special link to the internal market,” it does not warrant access to the convention. In its stead, the commission recommends taking the normal course of action in recognizing jurisdiction with Britain and following the framework laid out by the Hague Conventions in the field of civil judicial cooperation.
The European Commission halted efforts to ratify a massive investment deal with China following back-and-forth sanctions over China's human rights violations committed against its Uighur Muslim ethnic minority, The Guardian reported May 4. “We now in a sense have suspended … political outreach activities from the European Commission side,” Valdis Dombrovskis, the commission’s executive vice president, said. The deal, called the EU-China Comprehensive Agreement on Investment, was negotiated in December and secured greater market access for European Union companies in China along with certain questionable concessions on subsidies and labor standards (see 2101250052). “As long as members of the European Parliament are on sanction[s] list,” ratifying the agreement is “impossible,” Michael Reiterer, distinguished professor at Brussels School of Governance, told The Guardian.
The United Kingdom's Department for International Trade published a Notice to Importers to update its import controls guidance. The notice, issued April 1, covers changes to information on antique firearms and end-use certificates, and notes that certain cartridges are no longer defined as obsolete for the purposes of qualifying a firearm as antique.
The European Union finished up two examinations under its Trade Barriers Regulation concerning Saudi Arabia's restrictions on market access to EU ceramic tiles and Mexico's export restrictions on tequila, the European Commission said in a May 4 news release. Following the reviews, the EC said it would engage Saudi Arabia to ensure a “swift and efficient removal” of the kingdom's new technical regulations hindering 75% to 80% of EU exports of ceramic tiles. If engagement fails, the EU could consider taking the issue to the World Trade Organization. In Mexico's case, a measure blocking exports of tequila is under a number of administrative proceedings, so the EC will continue to monitor the situation. The Trade Barriers Regulation allows the EC to review global trade measures that violate international trade rules. Under the regulation, companies, industries, associations and member states may lodge a complaint against a perceived rule violation, prompting the EC to review and potentially act against the violation.
Four months after the United Kingdom left the European Union, customs activity is stabilizing following a hectic period of trade between Britain and the bloc, said Joop Mastenbroek, director of Customs Brokerage North and Continental Europe, West Europe and Middle East Africa at logistics company GEODIS, speaking at a May 4 event hosted by the U.S. Fashion Industry Association about the leading customs challenges post-Brexit. While more exporters and importers are up to date on how to issue the right documentation to ensure smooth customs clearance, large challenges still exist. In the current market scenario, the robustness of government systems under the increased weight of declarations, challenges around products of animal origin, shortage of resources and differing customs procedures by the various EU member states stand as the most challenging customs issues, Mastenbroek said.
A free trade agreement between the United Kingdom and Vietnam entered into force on May 1, the U.K.'s Department for International Trade announced in a press release. The agreement covers 5.1 billion British pounds in trade and secures the elimination of tariffs on 99% of goods after six years. In particular, tariffs will be lifted for U.K. exports of machinery, mechanical appliances and pharmaceuticals, and for Vietnamese exports of phones, garments, footwear and fish. The agreement also insures that U.K. companies have access to public procurement markets in Vietnam, with more opportunity to bid on public procurement contracts.