The Federal Maritime Commission will begin investigating whether ocean carriers are violating regulations on detention and demurrage fees, container returns and container availability for U.S. exports, the agency said Nov. 20. The investigation, which will be led by FMC Commissioner Rebecca Dye, will look at ocean carriers operating in alliances at the Port of Long Beach, the Port of Los Angeles and the Port of New York and New Jersey to determine if their unfair fees and container practices are “amplifying the negative effect of bottlenecks” at the ports.
Implementation of the USMCA isn't the level of change that's expected to add costs to Toyota, according to Leila Afas, director of international policy for Toyota North America. “We fortunately are in a very good position,” she said in response to a question from International Trade Today during a Nov. 19 webinar hosted by the Peterson Institute for International Economics. She said Toyota sources a lot of its engines and transmissions in the U.S.
A hotly contested exemption from safeguard duties on solar cells has now been terminated -- at least for the time being -- after the Court of International Trade on Nov. 19 declined to expand an injunction to include the administration’s latest bid to withdraw the exclusion, and lifted a temporary restraining order against the withdrawal (see 2010260025 and 2011090033). The elimination of the exemption takes immediate effect, according to a CBP spokesperson.
The Court of International Trade on Nov. 18 weighed in on the meaning of “not minced” and “packed in oil” for seafood preparations in the tariff schedule, finding tuna salad pouches imported by StarKist are both, and must be entered under a high 35% duty rate.
Steptoe & Johnson trade lawyers say that although President-elect Joe Biden will be interested in repairing strained relationships with the European Union, and will be less inclined to use unconventional trade tools like Section 232 and the International Emergency Economic Powers Act, the trend of policymakers pushing reshoring and decoupling won't abate.
International Trade Today is providing readers with the top stories from Nov. 9-13 in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.
More than 40 trade groups urged the Federal Maritime Commission to suspend certain detention and demurrage charges they say are being unfairly imposed by ocean carriers and marine terminals, saying the charges violate guidelines issued by the FMC in May (see 2004290037). The groups said their members have paid more than $150 million in “unreasonable” fees at the ports of Los Angeles and Long Beach and the Port of New York and New Jersey due to “massive congestion created by record setting volumes” and a shortage of labor and available chassis.
While it seems clear that Joe Biden wants to “team up with our allies” to confront China, less clear is how that will work in reality, Mayer Brown international trade lawyer Tim Keeler said during a Nov. 17 Mayer Brown webinar about trade policy in the incoming administration. Keeler, who is a former chief of staff in the Office of the U.S. Trade Representative, said a majority of Congress believes the Section 301 tariffs have been a source of leverage, while the European Union thinks the tariffs violated World Trade Organization rules.
A furniture importer filed a wide-ranging legal challenge on Nov. 4 of CBP’s regulations and procedures for Enforce and Protect Act investigations. Aspects Furniture says the 2016 law, as well as CBP’s regulations and policies implementing it, deprived it of its constitutional due process rights. The importer also says CBP misapplied deadlines and relied on hearsay and unsupported claims to find it evaded AD duties. CBP found Aspects evaded antidumping duties on wooden bedroom furniture from China in an EAPA determination finalized in May (see 2005220029).
A number of U.S. trade groups questioned the evidence behind the Office of the U.S. Trade Representative's assertions that Vietnam is importing illegal timber, and the assertion that those logs end up in exported products going to the U.S. The groups said in comments to the agency that the notice initiating the Section 301 investigation contained no citations for these claims. Both trade groups and companies asked for a virtual public hearing, and the right to rebut others' submissions.