Uyghur Human Rights Project Board Chair Nury Turkel told the House Foreign Affairs Committee that his nonprofit wants swift passage of the Uyghur Forced Labor Prevention Act, which would create a rebuttable presumption that goods from China's Xinjiang province were made with forced labor. "The 11 current Withhold-release orders (WROs) are a wholly inadequate response to the gravity of the crimes, the harm to American workers whose wages are undercut by forced-labor competition, and the unwitting complicity of American consumers who buy face masks, hair weaves, cotton apparel, and solar panels produced by the forced labor of Muslim Uyghurs," he said in his prepared testimony.
Former U.S. ambassador to the World Trade Organization Dennis Shea says a planned discussion at the WTO about matters that affect trade in cotton “must examine the trade impact of the use of forced labor to pick cotton in China’s Xinjiang province.” Shea, who was writing for the Center for Strategic and International Studies, where he is now an adjunct fellow, said “ignoring what is happening in Xinjiang would be tantamount to the WTO holding a meeting on global public health and trade without mentioning the Covid-19 pandemic. ... The use of forced labor in the province has likely depressed the global price of cotton, adversely impacted other cotton-exporting nations (particularly those in the developing world) and improperly distorted global trade flows,” and may even be a countervailable subsidy. Shea said the U.S. should raise the issue during the late May meeting.
U.S. Trade Representative Katherine Tai's conversations with her counterparts from Italy and the Netherlands addressed global overcapacity in steel, according to summaries of the video calls released April 16. The administration has suggested that Section 232 tariffs on aluminum and steel cannot be removed until overcapacity has been addressed, even when the countries subject to those tariffs are not dumping steel or aluminum in their exports to the U.S.
At a time when hurricane damage, violence and poverty are driving more Central Americans to the U.S., consultants, advocates and former diplomats say the Central America Free Trade Agreement, or CAFTA, needs changes to spur development in Guatemala, Honduras and El Salvador. Those Northern Triangle countries are the ones sending large numbers of asylum seekers to the U.S. in the last few years. Kellie Meiman Hock, a McLarty Associates managing partner who led the April 14 panel hosted by the Washington International Trade Association, noted that when CAFTA was ratified more than 15 years ago, the hope was that it would bring more economic development to Central America. But instead, trade from the region has been flat.
The White House announced it has selected Chris Magnus, the police chief of Tucson, Arizona, and former police chief of Fargo, North Dakota, and Richmond, California, to lead CBP. The April 12 announcement said, “In each of these cities Magnus developed a reputation as a progressive police leader who focused on relationship-building between the police and community, implementing evidence-based best practices, promoting reform, and insisting on police accountability.” It also said that because Tucson is close to the Mexican border, he has extensive experience in addressing immigration issues.”
After a week that had Swedish clothing retailer H&M see its stores disappear from maps in China and face boycotts (see 2103260021) over its comments relating to accusations of forced labor in China's Xinjiang region, the retail chain is attempting to rebuild trust with the Asian nation. In a March 31 statement, the H&M Group said it was working with its colleagues in China to maintain its long-term commitments. “We are dedicated to regaining the trust and confidence of our customers, colleagues, and business partners in China,” it said. “We believe we can take steps in our joint efforts to develop the fashion industry, as well as serve our customers and act in a respectful way.”
U.S.Trade Representative Katherine Tai talked with Japan's Trade Minister Kajiyama Hiroshi about how they're concerned about unfair trading practices from non-market economies such as China, but did not mention that topic coming up with the South Korean trade minister. South Korean Trade Minister Yoo Myung-hee and Tai talked about how the U.S.-Korea free trade agreement strengthened economic ties, and discussed World Trade Organization reform, the call summary said. The Korean press emphasized agreement on writing digital trade rules. Tai also spoke with Mexican Economy Secretary Tatiana Clouthier, and they talked about fully implementing USMCA and Mexico's labor reform. “Tai also stressed the critical importance of cooperation on climate and environmental issues, as well as reform at the World Trade Organization and the mutual benefits of robust bi-lateral agricultural trade,” a readout of the talk said. Clouthier tweeted her thanks for such a productive meeting.
U.S. Trade Representative Katherine Tai opened her first full week on the job with a series of video calls with major allies and trading partners -- Canada, the United Kingdom, the European Union -- and diplomatic summaries of the calls from both sides mostly echoed each other, suggesting there was a good deal of agreement.
Disappointed with the pace of the United Kingdom government's response on forced labor issues in China's Xinjiang region, parliamentarians on the Business, Energy and Industrial Strategy Committee issued a report on the situation, including policy recommendations on how to further crack down on modern slavery in Xinjiang. The BEIS Committee, responsible for oversight of the BEIS Department, issued sweeping recommendations for the government agency for its role in upholding human rights commitments in relation to business ties with China. The March 17 report declared that the BEIS Department “has shown little sign that it is taking a proactive or meaningful lead on investigating UK business links to forced labour and other human rights abuses in China or elsewhere.”
Export Compliance Daily is providing readers with the top stories for March 8-12 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.