Rep. Ron Kind, D-Wis., one of the leading voices for free trade in the Democratic caucus, and Sen. Pat Toomey, R-Pa., a free-trade purist in the Republican caucus, issued a joint paper of recommendations on trade on Dec. 29, just before they were both leaving office.
The Biden administration shouldn’t relax restrictions on U.S. financial transactions with Cuba, which are needed to “hold the communist regime in Cuba accountable for human rights abuses and its sponsorship of international terrorism,” Republicans on the Senate Foreign Relations Committee said in a Dec. 20 letter to the White House. The letter, signed by Sens. Jim Risch, of Idaho, and Marco Rubio and Rick Scott, both of Florida, specifically asks Biden not to revoke Cuba’s designation as a State Sponsor of Terrorism.
The fiscal year 2023 National Defense Authorization Act includes several sanctions and export control related provisions, including measures that would require more sanctions reporting by the Biden administration, Morrison Foerster said in a recent client alert. One provision will require the president to submit a periodic report to Congress listing foreign people and entities knowingly participating in significant transactions involving Russian gold, while another will require the director of national intelligence to submit semiannual reports on the effects of U.S. sanctions against Russia. Another provision will require the DNI to study ways to provide “enhanced intelligence support” for export controls and foreign investment screening, the alert said.
The Senate on Dec. 21 confirmed Alexis Taylor to be USDA’s undersecretary for trade and foreign agricultural affairs. Taylor touted the importance of the Indo-Pacific region during her September nomination hearing (see 2209230028).
On the last day of the current Congress, retiring Sen. Rob Portman, R-Ohio, introduced a bill that would ask the Commerce Department and the Office of the U.S. Trade Representative to analyze the economic integration between the U.S. and China in priority sectors, and the U.S. government's views of how that integration should change over the next five to 19 years.
New general licenses issued this week by the Treasury Department may be misused to fund terrorist efforts and human rights violations, Rep. Michael McCaul, R-Texas, said. Although the licenses are designed to allow Treasury to better authorize humanitarian aid to sanctioned countries (see 2212200035), McCaul said they could help companies and banks inadvertently send money and aid to the wrong people.
The Biden administration must do more to convince U.S. companies and banks to wind down business in China and Hong Kong, including through more outreach and potentially more sanctions, the top two lawmakers on the Senate Foreign Relations Committee said in a Dec. 19 letter to the White House and Treasury Department. Sens. Bob Menendez, D-N.J., and Jim Risch, R-Idaho, said that while they welcomed the March 2021 sanctions against 24 Chinese and Hong Kong officials for interfering in Hong Kong’s autonomy (see 2103170027), “we believe these actions have not gone far enough. More needs to be done to ensure that the [People’s Republic of China] understands the consequences of usurping democracy and sovereignty.”
Congress this week passed a bill that would impose sanctions on people and entities involved in stealing U.S. trade secrets and intellectual property. The bill, passed by the Senate Dec. 20 and by the House Dec. 22, would require the president to compile a report of “foreign individuals and entities that have knowingly engaged in, benefited from, or assisted in the significant theft of U.S. trade secrets that materially contributed to a significant threat to U.S. national security, foreign policy, or economic health,” including senior executives “of any foreign entity engaging in such theft.” The sanctions could include “property- or export-blocking sanctions, including denial of certain financial assistance, on entities named in the report.”
Two lawmakers asked the Biden administration this week to begin negotiations on trade deals with Ecuador and Uruguay. Trade agreements with both countries would “capitalize on the bipartisan momentum and success” of USMCA, said Sens. Bob Menendez, D-N.J., and Rob Portman, R-Ohio.
A new Senate bill could condition the removal of U.S. sanctions against Venezuela based on a “standards-based transition to democratic order.” The bill, introduced by Sens. Jim Risch, R-Idaho, and Marco Rubio, R-Fla., would maintain “current sanctions” on Venezuela “until there is a transition to democracy” and would require the U.S. to assess whether President Nicolas Maduro's regime should be designated as a Foreign Terrorist Organization or a Specially Designated Global Terrorist. The bill also “reaffirms” that U.S. aid to Venezuela shouldn’t be restricted “except if there is a risk such aid could be used to torture or in activities related to illicit narcotics and mining.”