Secretary of Commerce Ross announced the Entity List additions on Friday, May 22, 2020, via separate press releases, citing 24 of the entities for “represent[ing] a significant risk of supporting procurement of items for military end-use in China,” and the remaining 9 entities for their complicity in human rights violations in the Xinjiang Uighur Autonomous
U.S. State Dept. Fails to Certify Hong Kong’s Autonomy: Signals Potential Change in Trade and Economic Treatment
On May 27, 2020, the U.S. Secretary of State Michael Pompeo issued a statement that Hong Kong “does not continue to warrant treatment under United States laws in the same manner as U.S. laws were applied to Hong Kong before July 1997.” U.S. relations with Hong Kong are governed by the United States-Hong Kong Policy
Customs Ruling of the Week – Classification of Women’s Convertible High Heel Footwear
In HQ H307548, Customs and Border Protection discussed the classification of women’s convertible high heel footwear. The names of the three styles of footwear are the following: “Girl Boss,” “Goddess,” and “Pashionista.” All three styles of footwear have removable high heels that allow the shoes to be converted into a flat heel footwear.
Each style
U.S. Senate Passes Legislation Aimed at Ending Forced Labor in Xinjiang, China
On May 14, 2020, the U.S. Senate unanimously passed the Uyghur Human Rights Policy Act of 2020 (the “Act”). Introduced by Sen. Marco Rubio (R-FL), the Act aims to direct U.S. resources to address human rights violations and abuses, including forced labor, in the Xinjiang Uyghur Autonomous Region in Northwestern China. Credible research and investigations
Treasury and CBP Must Allow Drawback Refunds of Excise Taxes Pending Government Appeal
The government has lost another battle in its fight to prevent refunds of certain excise taxes paid by importers. Earlier this year, the U.S. Court of International Trade (CIT) struck down a regulation issued by the Department of the Treasury and U.S. Customs and Border Protection (Treasury and CBP, collectively the agencies) designed to limit
How to Navigate Supply Chain Disputes in a Pandemic
COVID-19 has disrupted and will continue disrupting supply chains in many important ways, as suppliers, carriers and buyers navigate the global pandemic. But does the pandemic allow activation of force majeure clauses in your contracts? If a force majeure clause is activated, what are the rights and responsibilities of each party during the pandemic? When
Key Lessons Learned as OFSI Begins to Flex its Muscles
On February 18, 2020, the United Kingdom’s Office of Financial Sanctions Implementation (OFSI) announced a £20.47 million penalty against Standard Chartered Bank (SCB) for alleged violations of the U.K.’s Ukraine- and Russia-related sanctions. The penalty is more than 140 times larger than any of OFSI’s previous penalties. It provides a number of important lessons for
BIS Creates a Special “Direct Product” Rule for Huawei
Asserting that Huawei has taken advantage of a “loophole,” Secretary of Commerce Ross on Friday, March 15, 2020, announced an amendment of the direct product rule that for now applies only to Huawei and its affiliates on the Entity List. The amendment expands the scope of the rule to capture certain foreign manufactured items, making
Customs Ruling of the Week – Classification of the DisinfectBot
In ruling NY N311428, Customs and Border Protection (CBP) discussed the classification of the DisinfectBot, which is a remote controlled machine used for spraying disinfectant over a large area at a safe distance. The device consists of a moving body with nozzles for spraying and a remote control used to operate the moving body. Rechargeable
The White House Establishes “Forced Labor Enforcement Task Force” Under Section 741 of USMCA Implementation Act
On May 15, 2020, President Trump issued an executive order establishing the “Forced Labor Enforcement Task Force” required by the U.S.-Mexico-Canada Agreement (USMCA) implementing bill. Section 741 of the USMCA Implementation Act requires the Department of Homeland Security the Task Force as the central hub for the U.S. government’s enforcement of the prohibition on imports