The Office of Foreign Assets Control this week fined a Hong Kong company more than $5.2 million after it illegally bought more than 64,000 tons of Iranian thermoplastic, the largest fine by OFAC in more than a year. The agency said Sojitz illegally bought the Iranian “high density polyethylene resin” from a Thai supplier to sell to Chinese consumers. OFAC determined the case to be non-egregious, partly because senior compliance officials weren’t aware of the illegal purchases and had repeatedly told its employees that they could not buy Iranian goods with U.S. dollars.
The Los Angeles and Long Beach ports again postponed a new surcharge meant to incentivize the movement of dwelling containers (see 2110280031), the two ports announced Jan. 10. The ports originally planned to begin imposing the fee Nov. 15, but have postponed it each week since. The latest extension delays the effective date until Jan. 17.
Colombia recently issued a notice clarifying its new de minimis exemption for certain postal and courier imports, the Hong Kong Trade Development Council reported Jan. 6. The country said it will impose value-added taxes -- but not import duties -- on imports valued at $200 or less, regardless of the country of export or origin, HKTDC said. Colombia won't impose import duties or VAT if the import was sent from the U.S. and “contains fewer than six units of non-commercial merchandise.” Both import and VAT fees will apply, however, if the shipment is valued at more than $200.
The Census Bureau’s proposal to add a new country of origin data element in the Automated Export System (see 2112140033) could place a significant burden on some U.S. exporters, said Ted Murphy, a trade lawyer with Sidley Austin. Murphy said he expects businesses and at least one trade association to push back on the rule in comments due next month. “I can't imagine anyone who's going to write in favor of this proposal,” Murphy said in an interview.
The Bureau of Industry and Security again renewed its temporary export control on certain artificial intelligence software as it prepares to make the classification permanent, BIS said in a notice. The temporary control -- first issued in January 2020 (see 2001030024), extended last year (see 2101050018) and renewed for a second time this week -- placed unilateral restrictions on geospatial imagery software by adding it to the 0Y521 Temporary Export Control Classification Numbers Series. The latest one-year renewal is effective Jan. 6.
The Los Angeles and Long Beach ports again postponed a new surcharge meant to incentivize the movement of dwelling containers (see 2110280031), the two ports announced Jan. 3. The ports originally planned to begin imposing the fee Nov. 15, but have postponed it each week since. The latest extension delays the effective date until Jan. 10, when the situation will be reassessed.
India and Australia are on track to soon finish negotiating a free trade deal, the India Brand Equity Foundation said Dec. 31. IBEF, a government export promotion agency, said the deal is expected to be completed by the end of this year and will cover products, services, investment, origin rules, customs facilitation and other “legal and institutional problems.”
The EU is soliciting feedback on an upcoming revision to its food and beverage labeling requirements, USDA's Foreign Agricultural Service said Dec. 23, which could affect U.S. imports. The European Commission is specifically seeking comments on proposed changes to “front-of-pack nutrition labeling, nutrient profiling criteria to restrict claims, origin labeling, date marking, and alcoholic beverages labeling,” USDA said. Earlier this year, European packaging industry groups asked the EC to create harmonized labeling requirements (see 2108180055). The comment period closes March 7.
The Federal Maritime Commission issued three new policy statements this week to provide the shipping industry more guidance on its complaint process and clarify how it will address cases of carrier retaliation. The shipper-friendly policy statements, originally recommended by Commissioner Rebecca Dye in July (see 2107290021), describe how the FMC defines who can allege complaints, how the commission approaches reparations for attorney fees and a broad outline of who can bring forward a retaliation complaint.
Singapore Customs released two sets of guidance documents for traders looking to claim preferential tariff benefits for imports and exports under the Regional Comprehensive Economic Partnership Agreement that will take effect on Jan. 1. The RCEP trade agreement was signed by Australia, China, Japan, South Korea, New Zealand and the 10 Association of Southeast Asian Nations member states -- Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam. Preferential treatment for Singapore-originating goods begins on different dates, depending on the destination country involved. The guidance from Singapore Customs details procedures for claiming preferential tariff treatment from RCEP countries and documentation procedures. The latter step involves submitting Proof of Origin documentation.