The Congressional Research Service released a report on Oct. 4 on Brexit and its impact on the United Kingdom's trade agreements, the European Union Customs Union and the U.K.'s relationship with the U.S. The report also explains possible scenarios under a no-deal Brexit, how it will affect the EU’s economy and what the U.S. Congress would need to do in order to agree to a trade deal with the U.K. post-Brexit.
The Directorate of Defense Trade Controls on Oct. 7 released its report to Congress on defense-related exports licensed under section 38 of the Arms Export Control Act during 2018. The report contains an overview that details categories and subcategories of the U.S. Munitions List in the report and an appendix with a list of which countries received the exports, including their value and quantity. The exports had an “authorized value” of about $63.4 billion, according to the appendix.
The U.S. is considering selling military goods to Greece as part of the defense cooperation agreement the two sides signed Oct. 4, Secretary of State Mike Pompeo said. Speaking with reporters, Pompeo also said the U.S. plans to pitch U.S. companies on doing business with Greece, warned Greece about doing business with China and did not rule out the possibility of sanctions or other measures against Turkey if it begins offshore drilling near Cyprus.
The State Department approved a potential $39 million sale of defense items to Ukraine, the Defense Security Cooperation Agency said in an Oct. 3 press release. The sale includes 150 Javelin missiles and 10 Javelin command launch units, the press release said. The prime contactor is Washington-based Raytheon Company.
The Congressional Research Service issued an Oct. 3 report detailing how the Foreign Investment Risk Review Modernization Act regulations will reform the Committee on Foreign Investment in the U.S. The report explains the new powers FIRRMA grants CFIUS, what changes are proposed, potential issues the regulations may pose for Congress, and how FIRRMA impacts reporting procedures and export controls. The Treasury Department released the proposed FIRRMA regulations in September, and comments are due Oct. 17 (see 1909180018).
Uncertainty over trade policy and African swine fever continue to overtake agricultural markets, causing “volatility across the industry,” CoBank said in its quarterly U.S. rural economic review, released this month. But there were two bright spots for U.S. exporters, CoBank said: the renewed Chinese purchases of U.S. agricultural products and the initial trade agreement between the U.S. and Japan, which will allow the U.S. ag industry to regain competitiveness in a “key export destination.”
The trade dispute between the European Union and Indonesia could allow U.S. dairy exporters to capture more market access in Indonesia, the International Dairy Foods Association said in an Oct. 1 press release. The dispute, which includes EU import tariffs on Indonesian biodiesel and is expected to include Indonesian retaliatory tariffs on EU dairy products, comes as the U.S. Department of Agriculture leads a dairy industry delegation to Jakarta, the IDFA said. The delegation is aiming to “strengthen bonds” with Indonesian dairy importers, the press release said, and “could be an opportunity for U.S. dairy exporters to grow market share.”
The Trump administration is continuing the President’s Export Council until Sept. 30, 2021, the White House said Sept. 27. The council, a federal advisory committee -- which usually meets twice a year, according to the Federal Advisory Committee database -- did not meet in fiscal year 2018.
The State Department is seeking public comments on the paperwork burden relating to a notice of proposed information collection on certain technology security/clearance plans, screening records and non-disclosure agreements required by the International Traffic in Arms Regulations. Comments are due Oct. 30.
The State Department appears to have inadvertently removed an incentive for companies to voluntarily disclose export control violations, according to a Sept. 25 post by Winston & Strawn, pointing to a recent settlement between the Directorate of Defense Trade Controls and L3 Harris Technologies.