A group of 31 House lawmakers, led by Rep. Haley Stevens, D-Mich., and Rep. Jackie Walorski, R-Ind., is asking the U.S. trade representative to delay the switch-over to the U.S.-Mexico-Canada Agreement auto rules of origin (ROO), even as the USMCA takes over from NAFTA. The group's letter, sent April 10, said the delay “is necessary to allow the auto industry an appropriate adjustment period and account for delays caused by the COVID-19 pandemic. Alternatively, we ask that you seriously consider other accommodations or flexibilities that will allow the automotive sector to avoid being penalized by the new requirements upon the agreement’s entry into force.”
The Automated Export System has been updated to accept changes in the Harmonized Tariff Schedule from Presidential Proclamation 9980, which was published Jan. 29 and took effect Feb. 8, the Census Bureau said in an emailed alert. “AES will accept shipments with outdated codes during a grace period for 30 days beyond the expiration date. Reporting an outdated code after the 30-day grace period will result in a fatal error,” Census said. “The ACE AESDirect program has been updated and will accept shipments with outdated codes during the grace period.” The current list of HTS codes not valid for AES is available on the Census website, the agency said.
The end-of-the-year appropriations compromise worked out between the House and Senate will add tens of millions of dollars for trade enforcement and port technology. The bill, which is expected to pass the Senate by Dec. 20 and has already passed the House of Representatives, will also spend $54 million for the Office of the U.S. Trade Representative.
The Government Accountability Office and the Department of Homeland Security Inspector General each released a report on Dec. 17 that noted various issues within CBP's drawback program. The GAO's report suggested that CBP work to flag excessive export submissions and “establish a reliable system of record for proof of export,” among other things. The DHS IG report found that CBP “lacked appropriate documentation retention periods to ensure importers and claimants maintained support for drawback transactions” and didn't scrutinize prior drawback claims enough for claimants during 2011 to 2018.
Chubb Limited, a Swiss holding company, was fined about $65,000 for more than 20,000 violations of the Cuban Assets Control Regulations, the Treasury's Office of Foreign Assets Control said in an enforcement notice. The violations were the responsibility of ACE Limited -- an insurance and reinsurance service provider with locations in Switzerland, U.S. and Britain -- which merged with Chubb Corp. in 2016 to form Chubb Limited.
The U.S. will soon start discussions with the Association of Southeast Asian Nations about a possible connection between ASEAN's customs filing platform with the U.S. platform, the State Department said in a Nov. 3 fact sheet about "Expanding the Enduring Partnership" with ASEAN. "The United States and the ASEAN Secretariat announced the opening of negotiations to link the ASEAN 'Single Window' with the U.S. Automated Commercial Environment (ACE) System, which governs all trade in goods entering the United States," State said. "Making this link will further facilitate $272 billion in two-way trade in goods between the United States and ASEAN."
The Census Bureau posted the latest versions of the Schedule B and Harmonized Tariff Schedule tables on its website, the agency said by email. There were no additions to the Schedule B, Census said. "The ACE AESDirect program has been updated with the new HTS codes," it said.
The Census Bureau issued a guidance on Sept. 6 on exporting goods for humanitarian relief to areas affected by hurricanes. Shipments worth less than $2,500 are exempt from filing requirements and can use the “low value exception,” the guidance said. Certain Schedule B shipments intended for relief that are valued at more than $2,500 or shipments that require a license must be filed in the Automated Export System, the guidance said. The Schedule B shipments include “commingled food products,” “medicinal and pharmaceutical products,” “wearing apparel,” and other “articles donated for relief or charities.” Shipments of “food, medicine and clothing” do not require a license, the guidance said.
The Directorate of Defense Trade Controls issued a July 17 notice saying that Access Certificates for Electronic Services (ACES) certificates are required to “access the DTrade defense export licensing system.” The DDTC said all ACES certificates “must expire” before Aug. 1, 2020, and that the ACES provider, IdenTrust, will continue to issue certificates if they are “posted with an expiration date” of July 31, 2020, or earlier. “If you purchase an ACES certificate after July 31st, 2019, the validity period will be truncated to less than a full year,” the DDTC said. Questions about the ACES transition should be directed to IdenTrust at Support@IdenTrust.com or to the DDTC’s help desk at dtradehelpdesk@state.gov.
Export Compliance Daily is providing readers with some of the top stories for July 1-5 in case they were missed.