Foreign Trade Subzone Approved for Maine Weaver

On July 28, 2016 the Foreign Trade Zone Board published in the Federal Register (81 FR 49619) Approval of Subzone Status--Flemish Master Weavers--Sanford, Maine.

Flemish Weavers also filed a Notification of Proposed Production Activity which is pending, with a decision from the FTZ Board expected soon. Production under FTZ procedures could exempt FMW from customs duty payments on foreign status materials used in export production. On its domestic sales, FMW would be able to choose the duty rate during customs entry procedures that applies to area rugs (free) for the polypropylene and polyester yarns (duty rates: 8.0% and 8.8%, respectively) sourced from abroad. Customs duties also could possibly be deferred or reduced on foreign status production equipment.

Authorization for production is opposed by National Spinning Co., Inc., the American Fiber Manufacturers Association, the National Council of Textile Organizations, and the United States Industrial Fabrics Institute. If FMW is denied authorization for production they will have the option of re-filing, using the more extensive Application for Production Activity.

To learn if your company can save money using FTZ procedures, contact David Trumbull at david@agathonassociates.com for an initial free consultation.

Labor Unions Allege Colombia Violates U.S. Free Trade Agreement

On July 15, the U.S. government accepted a complaint filed by U.S. and Colombian labor unions saying that Colombia is failing working families in violation of its commitments in the U.S.–Colombia Trade Agreement.

Results of the 2015/2016 Annual GSP Review

On July 21, 2016, the Office of the U.S. Trade Representative published in the Federal Register (81 FR 47488) Generalized System of Preferences (GSP): Results of the 2015/2016 Annual GSP Review.

The Administration added 27 travel and luggage goods products to the list of products eligible for duty-free treatment for least developed beneficiary developing countries (LDBDCs) and African Growth and Opportunity Act (AGOA) countries and has decided to defer action on a decision for non-LDBDCs. The Administration denied the petition to make certain effervescent wine (HTS 2204.21.20) eligible for duty-free treatment under GSP. The Administration has decided to defer a decision on final disposition of petitions to add essential oils of lemon (HTS 3301.13.00) and high-carbon ferromanganese (HTS 7202.11.50) to the list of products eligible for duty-free treatment under GSP for all GSP beneficiary countries.

The President removed polyethylene terephthalate (PET) resin (HTS 3907.60.00) and certain fluorescent brightening agents (HTS 3204.20.10 and HTS 3204.20.80) from India from GSP eligibility based on petitions from interested parties. The Administration denied the petitions to remove certain fluorescent brightening agents (HTS 3204.20.10 and HTS 3204.20.80) from Indonesia and PET film (HTS 3920.62.00 and 3921.90.40) from Brazil. See List II (Decisions on Petitions to Remove a Product from Certain Beneficiary Countries from GSP).

Agathon Associates' Client to Save Money Using Foreign Trade Zone

With the help of Mr. Trumbull and MassPort, the company recently was officially declared a foreign trade zone. After all, it exports its product to seven foreign countries...READ MORE HERE in the Worcester Telegram and Gazette.

Results of the 2015/2016 Annual GSP Review

On July 21, 2016, the Office of the U.S. Trade Representative published in the Federal Register (81 FR 47488) Generalized System of Preferences (GSP): Results of the 2015/2016 Annual GSP Review.

The Administration added 27 travel and luggage goods products to the list of products eligible for duty-free treatment for least developed beneficiary developing countries (LDBDCs) and African Growth and Opportunity Act (AGOA) countries and has decided to defer action on a decision for non-LDBDCs. The Administration denied the petition to make certain effervescent wine (HTS 2204.21.20) eligible for duty-free treatment under GSP. The Administration has decided to defer a decision on final disposition of petitions to add essential oils of lemon (HTS 3301.13.00) and high-carbon ferromanganese (HTS 7202.11.50) to the list of products eligible for duty-free treatment under GSP for all GSP beneficiary countries.

The President removed polyethylene terephthalate (PET) resin (HTS 3907.60.00) and certain fluorescent brightening agents (HTS 3204.20.10 and HTS 3204.20.80) from India from GSP eligibility based on petitions from interested parties. The Administration denied the petitions to remove certain fluorescent brightening agents (HTS 3204.20.10 and HTS 3204.20.80) from Indonesia and PET film (HTS 3920.62.00 and 3921.90.40) from Brazil. See List II (Decisions on Petitions to Remove a Product from Certain Beneficiary Countries from GSP).

President Obama Sets Forth How Currency Manipulation Law Will Be Administered

On July 27, 2016, Executive Order 13733 of July 22, 2016, Delegation of Certain Authorities and Assignment of Certain Functions Under the Trade Facilitation and Trade Enforcement Act of 2015 was published in the Federal Register.

Men's Shirt Fabric Short supply Request Filed

The Committee for the Implementation of Textile Agreements is considering a request to add certain woven cotton fabrics of very fine yarns to the short supply list of the U.S.-Colombia Trade Promtion Agreement. The fabrics are woven fabric of combed cotton yarns, of 85% or more by weight of cotton, of yarn count of 60 Nm or higher (60 Nm or finer), of various constructions and finishes, classified in Harmonized Tariff Schedule of the United States subheadings 5208.22, 5208.29, 5208.32, 5208.33, 5208.39, 5208.42, 5208.43, 5208.49, and 5208.52.Woven fabric of combed cotton yarns, of 85% or more by weight of cotton, of yarn count of 60 Nm or higher (60 Nm or finer), of various constructions and finishes, classified in Harmonized Tariff Schedule of the United States subheadings 5208.22, 5208.29, 5208.32, 5208.33, 5208.39, 5208.42, 5208.43, 5208.49, and 5208.52.

The request was filed by Agathon Associates on behalf of Spataro Napoli S.A.

Spataro Napoli S.A. was founded by Don Domingo Spataro in 1958 in the city of Santiago de Cali, Colombia, the company is focused on the production of the best shirts for men and boys. Among the brand names under which Spataro Napoli's shirts are marketed are Camarucci, Roland, Arrow, and Manhattan.

Clothing Importer, Manufacturer to Pay $13 million Fine for Evading customs Duties

A China-based clothing manufacturer agreed recently to pay more than $13 million for engaging in a double invoicing scheme to defraud the United States out of millions of dollars in customs duties. The civil settlement is the result of an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigation (HSI) and U.S. Customs and Border Protection (CBP).

Motives Far East and Motives China Limited admitted to and accepted responsibility for under-reporting the value of its imported merchandise and agreed to pay nearly $13.4 million to the United States under the False Claims Act.

ICE HSI Special Agent-in-Charge Angel M. Melendez said: “Motives disguised the true value of goods imported into the United States to cheat the government out of millions of dollars in customs duties. This scheme backfired, now Motives will pay millions for trying to skirt America’s customs laws. Trade fraud threatens the U.S. economy and restricts competitiveness of U.S. industry in the world markets. HSI and CBP maintain a zero-tolerance policy when it comes to these types of predatory and unfair trade practices.”

Manhattan U.S. Attorney Preet Bharara said: “Motives evaded millions in customs duties by presenting false invoices to U.S. Customs and Border Protection. With this lawsuit and the accompanying resolution, which involves admissions and the payment of over $13 million, Motives is being held to account for its unlawful evasion of customs duties.”

CBP Director of New York Field Operations Robert E. Perez said: “CBP takes trade fraud, such as undervaluation, very seriously. We are proud to partner with HSI and the Southern District to level the playing field for legitimate traders by steadfastly enforcing U.S. trade laws.”

The government’s complaint, filed in Manhattan federal court, alleges that from approximately 2009 through 2013, Motives, which regularly manufactured and/or imported apparel into the United States, conspired with clothing wholesalers fraudulently to underpay customs duties owed to the government by making false representations in entry documents filed with CBP about the value of the imported merchandise.

Pursuant to the scheme, Motives created and/or used two sets of invoices: one that undervalued the garments and was presented to the government for calculation of the appropriate duty, and the second that reflected the actual value of the garments. Motives presented to the government invoices with the lower value on the entry forms, thereby defrauding the government of millions of dollars in customs duties.

As part of the settlement, Motives admitted, acknowledged, and accepted responsibility for engaging in the following conduct from 2009-2013:

• repeatedly preparing and presenting to the government commercial invoices for apparel being imported into the United States that reported less than the total value of the goods imported;
• repeatedly representing to the government that its documentation contained, to the best of MOTIVES’ knowledge, correct and true information such as prices, values, and quantities;
• repeatedly receiving from apparel wholesalers an amount in excess of that recorded on the commercial invoices; and
• repeatedly failing to disclose to the government the separate invoices reflecting the true value of the apparel, and instead reporting only the lesser amounts listed in the commercial invoices, which the government then used to assess customs duties.

The allegations of fraud stated in the complaint were first brought to the attention of federal law enforcement by a whistle-blower who filed a lawsuit under the False Claims Act.

Request for Public Comments To Compile the National Trade Estimate Report on Foreign Trade Barriers

On July 19, 2016, the Office of the United States Trade Representative published in the Federal Register (81 FR 46994) Request for Public Comments To Compile the National Trade Estimate Report on Foreign Trade Barriers.

SUMMARY: Pursuant to section 181 of the Trade Act of 1974, as amended (19 U.S.C. 2241), the Office of the United States Trade Representative (USTR) is required to publish annually the National Trade Estimate Report on Foreign Trade Barriers (NTE). With this notice, the Trade Policy Staff Committee (TPSC) is requesting interested persons to submit comments to assist it in identifying significant barriers to U.S. exports of goods, services, and U.S. foreign direct investment for inclusion in the NTE. The TPSC invites written comments from the public on issues that USTR should examine in preparing the NTE.

Section 1377 of the Omnibus Trade and Competitiveness Act of 1988 (19 U.S.C. 3106) (``Section 1377'') requires the USTR to review annually the operation and effectiveness of all U.S. trade agreements regarding telecommunications products and services that are in force with respect to the United States. USTR is collecting information regarding the trade barriers pertinent to the conduct of the review called for in Section 1377 through this notice.

DATES: Public comments are due not later than 11:59 p.m., October 27, 2016.

SUPPLEMENTARY INFORMATION: The NTE sets out an inventory of the most important foreign barriers affecting U.S. exports of goods and services, U.S. foreign direct investment, and protection of intellectual property rights. The inventory facilitates U.S. negotiations aimed at reducing or eliminating these barriers. The report also provides a valuable tool in enforcing U.S. trade laws and strengthening the rules-based trading system. The 2016 NTE Report may be found on USTR's Internet Home Page (http://www.ustr.gov) under the tab ``Reports''. To ensure compliance with the NTE's statutory mandate and the Obama Administration's commitment to focus on the most significant foreign trade barriers, USTR will be guided by the existence of active private sector interest in deciding which restrictions to include in the NTE.

Topics on Which the TPSC Seeks Information: To assist USTR in preparing the NTE, commenters should submit information related to one or more of the following categories of foreign trade barriers:

(1) Import policies (e.g., tariffs and other import charges, quantitative restrictions, import licensing, and customs barriers);

(2) Government procurement restrictions (e.g., ``buy national policies'' and closed bidding);

(3) Export subsidies (e.g., export financing on preferential terms, subsidies provided to equipment manufacturers contingent on export and agricultural export subsidies that displace U.S. exports in third country markets);

(4) Lack of intellectual property protection (e.g., inadequate patent, copyright, and trademark regimes);

(5) Services barriers (e.g., limits on the range of financial services offered by foreign financial institutions, regulation of international data flows, restrictions on the use of data processing, quotas on imports of foreign films, unnecessary or discriminatory technical regulations or standards for telecommunications services and barriers to the provision of services by professionals);

(6) Investment barriers (e.g., limitations on foreign equity participation and on access to foreign government-funded R&D consortia, local content, technology transfer and export performance requirements, and restrictions on repatriation of earnings, capital, fees, and royalties);

(7) Government-tolerated anticompetitive conduct of state-owned or private firms that restrict the sale or purchase of U.S. goods or services in the foreign country's markets;

(8) Trade restrictions affecting electronic commerce (e.g., tariff and non-tariff measures, burdensome and discriminatory regulations and standards, and discriminatory taxation);

(9) Trade restrictions implemented through unwarranted Sanitary and Phytosanitary Measures, including unwarranted measures justified for purposes of protecting food safety, and animal and plant life or health;

(10) Trade restrictions implemented through unwarranted standards, conformity assessment procedures, or technical regulations (Technical Barriers to Trade) that may have as their objective protecting national security requirements, preventing deceptive practices, or protecting human health or safety, animal or plant life or health, or the environment, but that can be formulated or implemented in ways that create significant barriers to trade (including unnecessary or discriminatory technical regulations or standards for telecommunications products); and

(11) Other barriers (e.g., barriers that encompass more than one category, such as bribery and corruption, or that affect a single sector).

Furthermore, commenters are invited to identify those barriers covered in submissions that may operate as ``localization barriers to trade''. Localization barriers are measures designed to protect, favor, or stimulate domestic industries, services providers, and or intellectual property at the expense of goods services or intellectual property from other countries, including the provision of subsidies linked to local production.

In responding to this notice, commenters should place particular emphasis on any practices that may violate U.S. trade agreements. The TPSC is also interested in receiving new or updated information pertinent to the barriers covered in the 2016 NTE as well as information on new barriers. If USTR does not include in the NTE information that it receives pursuant to this notice, it will maintain the information for potential use in future discussions or negotiations with trading partners.

Estimate of Increase in Exports: Each comment should include an estimate of the potential increase in U.S. exports that would result from removing any foreign trade barrier the comment identifies, as well as a description of the methodology the commenter used to derive the estimate. Estimates should be expressed within the following value ranges: Less than $5 million; $5 to $25 million; $25 million to $50 million; $50 million to $100 million; $100 million to $500 million; or over $500 million. These estimates will help USTR conduct comparative analyses of a barrier's effect over a range of industries.

Requirements for Submissions: Commenters providing information on foreign trade barriers in more than one country should, whenever possible, provide a separate submission for each country.

Manufacturing Council to Meet

On July 19, 2016, the Dept. of Commerce published in the Federal Register (81 FR 46904) Notice of an open meeting.

The United States Manufacturing Council (Council) will hold an open meeting via livestream on Wednesday, August 3, 2016.

The textile industry is represented on the Council by Jenny Houston, Executive Vice President, Warwick Mills; New Ipswich, N.H., who appointed in February, 2015, by Secretary of Commerce Penny Pritsker.

Manufacturing Council to Meet

On July 19, 2016, the Dept. of Commerce published in the Federal Register (81 FR 46904) Notice of an open meeting.

The United States Manufacturing Council (Council) will hold an open meeting via livestream on Wednesday, August 3, 2016.

The textile industry is represented on the Council by Jenny Houston, Executive Vice President, Warwick Mills; New Ipswich, N.H., who appointed in February, 2015, by Secretary of Commerce Penny Pritsker.

American Flock Association Announces 9th Triennial Flock School

The American Flock Association announced that its 9th triennial FLOCK SCHOOL covering materials, technologies and processing will take place August 3-5 on the University of Massachusetts-Dartmouth campus.

The entire flocking process will be covered, from choice of flock, substrate and adhesive to coating and application techniques, as well as drying, curing and post treatments. Breakout sessions will address specific needs of the attendees.

Instructors are all seasoned veterans from the flocking industry.

This program is ideal for all levels of employees – from line operators to plant managers. It is perfect for sales, technical, marketing and management personnel. This is a perfect chance to get a total overview of the flocking industry.

Further details are available at www.locking.org.

President Gives Duty-Free Access to Travel Goods from Certain Least-Developed Nations and Nations of Sub-Saharan Africa

The Office of the United States Trade Representative on June 30, 2016, announced the outcome of the Obama Administration’s Annual Product Review under the Generalized System of Preferences ("GSP") program.

This review adds new duty-free status for travel goods (including luggage, backpacks, handbags, and wallets) for Least Developed Beneficiary Developing Countries ("LDBDCs") and African Growth and Opportunity Act ("AGOA") countries.

GSP is a 40-year-old trade preference program under which the United States provides duty-free treatment to many imports from beneficiary developing countries and additional products for LDBDCs.

Several organizations had called for the president to grant travel goods GSP eligibility to all GSP-beneficiary nations, rather than limited it to LDBDCs and AGOA:

• American Apparel & Footwear Association ("AAFA")
• American Association of Exporters and Importers ("AAEI")
• Coalition of New England Companies for Trade
• Columbia River Customs Brokers & Forwarders Association
• Customs Brokers & International Freight Forwarders of Washington State
• Customs Brokers and Forwarders Association of Northern California
• Emergency Committee for American Trade ("ECAT")
• Express Association of America ("EAA")
• Fashion Accessory Shippers Association ("FASA")
• Gemini Shippers Association
• Los Angeles Customs Brokers and Freight Forwarders Association
• National Foreign Trade Council ("NFTC")
• National Retail Federation ("NRF")
• Outdoor Industry Association ("OIA")
• Pacific Coast Council of Customs Brokers and Freight Forwarders Association
• Promotional Products Association International ("PPAI")
• Retail Industry Leaders Association ("RILA")
• San Diego Customs Brokers Association
• Sports & Fitness Industry Association
• Toy Industry Association ("TIA")
• Travel Goods Association ("TGA")
• U.S. Chamber of Commerce
• U.S. Fashion Industry Association ("USFIA")

The Commercial Customs Operations Advisory Committee Will Meet July 27th

The Commercial Customs Operations Advisory Committee (COAC) will meet in Boston, Massachusetts, on July 27, 2016. The meeting will be open to the public.

Agenda

The COAC will hear from the following subcommittees on the topics listed below and then will review, deliberate, provide observations, and formulate recommendations on how to proceed:

1. The Exports Subcommittee will give an update on the Air, Ocean, and Rail Manifest Pilots, and discuss the progress of the Truck Manifest Sub-Working Group, which is coordinating with the 1 USG North American Single Window (NASW) Working Group. The Post Departure Filing (PDF) Working Group will discuss its Table Top exercise and additional feedback that it has been gathering from other interested stakeholders.

2. The Global Supply Chain Subcommittee will review and discuss recommendations related to the Pipeline Working Group and also provide an update on pilot discussions with industry. In addition, an update report on the progress of the Customs-Trade Partnership Against Terrorism (C-TPAT) Working Group that is reviewing and developing recommendations to update the C-TPAT minimum security criteria will be provided.

3. The One U.S. Government Subcommittee will discuss the progress of the North American Single Window (NASW) Working Group's NASW approach. The subcommittee will also discuss the progress of the Automated Commercial Environment (ACE) Single Window effort.

4. The Trade Enforcement and Revenue Collection (TERC) Subcommittee will discuss the progress made on prior TERC, Bond Working Group, and Intellectual Property Rights Working Group recommendations, as well the recommendations from the Antidumping and Countervailing Duty Working Group.

5. The Trade Modernization Subcommittee will discuss the progress of the International Engagement and Trade Facilitation Working Group which is identifying examples of best practices in the U.S. and abroad that facilitate trade and could be applied globally. The subcommittee will also discuss the progress of the Revenue Modernization Working Group.

6. The Trusted Trader Subcommittee will continue their discussion on their vision for an enhanced Trusted Trader concept that includes engagement with CBP to include relevant partner government agencies with a potential for international interoperability.

"... and a little child shall lead them."

Customs Says Certain Textile Travel Goods May Be Classified as Travel Goods Not of Textiles, With Resulting Change in Rate of Duty.

In Binding Ruling Letters NY M82559 (May 2, 2006) and NY M84189 (June 16, 2006), Customs and Border Protection ("CBP") classified a rolling pullman case, backpacks, a tote bag, and an insulated lunch bag in heading 4202, Harmonized Tariff Schedule of the United States ("HTSUS"), specifically in subheadings 4202.12.80, HTSUS (rolling bag), 4202.92.08, HTSUS (insulated lunch bag), and 4202.92.30, HTSUS (backpacks and tote bag), as bags with an outer surface of textile materials. CBP has reviewed NY M82559 and NY M84189 and has determined the ruling letters to be in error. It is now CBP’s position that the rolling pullman case, backpacks, a tote bag, and an insulated lunch bag are properly classified, by operation of GRIs 1 and 6, in heading 4202, HTSUS, specifically in subheadings 4202.12.20, HTSUS (rolling pullman case), 4202.92.10, HTSUS (insulated lunch bag), and 4202.92.45, HTSUS (backpacks and tote bag), as bags with an outer surface of other than textile materials.

CBP is proposing to revoke NY M82559 and NY M84189 and to revoke or modify any other ruling not specifically identified. Additionally, CBP is proposing to revoke any treatment previously accorded by CBP to substantially identical transactions.

In NY M82559 and NY M84189, CBP held that the essential character of the bags in question was determined by the textile material which comprised the majority of the external surface area of the bags, even though the plastic front panels featured visually appealing designs such as cartoon characters.

However, the relative external surface area is not the only factor in the classification of such bags. In this case, the plastic front panels of the instant bags feature the popular cartoon characters Dora the Explorer, Tinkerbell, and Spongebob, and characters from the Cars movie. These bags have an immediate visual appeal that is geared towards children, a particularly demanding and vociferous group of customers who are not likely to concern themselves with the composition, cost, sturdiness, or durability of a bag as opposed to the appeal of the design and the specific character represented. The plastic front panel of the instant bags is clearly distinct and given the factors discussed above, is likely to play a significant role in the decision to purchase and use the bag.

The rolling Pullman case is classified at subheading 4202.12.20, HTSUS, which provides for “Trunks, suitcases, vanity cases, attache cases, briefcases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers; traveling bags, insulated food or beverage bags, toiletry bags, knapsacks and backpacks, handbags, shopping bags, wallets, purses, map cases, cigarette cases, tobacco pouches, tool bags, sports bags, bottle cases, jewelry boxes, powder cases, cutlery cases and similar containers, of leather or of composition leather, of sheeting of plastics, of textile materials, of vulcanized fiber or of paperboard, or wholly or mainly covered with such materials or with paper: Trunks, suitcases, vanity cases, attache cases, briefcases, school satchels and similar containers: With outer surface of plastics or of textile materials: With outer surface of plastics.” The 2016, column one, general rate of duty is 20% ad valorem.

The insulated lunch bag is classified at subheading 4202.92.10, HTSUS, which provides for “Trunks,...and similar containers; traveling bags, insulated food or beverage bags, toiletry bags, knapsacks and backpacks, handbags, shopping bags, wallets, purses, map cases, cigarette cases, tobacco pouches, tool bags, sports bags, bottle cases, jewelry boxes, powder cases, cutlery cases and similar containers, of leather or of composition leather, of sheeting of plastics, of textile materials, of vulcanized fiber or of paperboard, or wholly or mainly covered with such materials or with paper: Other: With outer surface of sheeting of plastic or of textile materials: Insulated food or beverage bags: Other.” The 2016, column one, general rate of duty is 3.4% ad valorem.

The backpacks and tote bag are classified at subheading 4202.92.45, HTSUS, which provides for “Trunks, suitcases, vanity cases, attache cases, briefcases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers...: Other: With outer surface of sheeting of plastic or of textile materials: Travel, sports and similar bags: Other.” The 2016 column one, general rate of duty is 20% ad valorem.

Before taking this action, consideration will be given to any written comments timely received. Comments must be received on or before August 5, 2016.

You can read the full text of Custom's proposed revocation of the 2006 Rulings in Customs Bulletin and Decisions Vol. 50, No. 27, beginning on Page 33.

USTR Releases 2016 Report on AGOA Implementation to Congress

On June 29, 2016, the U.S. Trade Representative presented to Congress a comprehensive report on implementation of the African Growth and Opportunity Act ("AGOA"). The 2016 Biennial Report on the Implementation of the African Growth and Opportunity Act details the U.S.-sub-Saharan African trade relationship, analyzes country compliance with eligibility criteria, highlights regional integration efforts, and summarizes the trade capacity building assistance that various U.S. government agencies provide to Africa.

Highlights from the 2016 report include:

• Thirty-eight of the 49 sub-Saharan African countries are eligible for AGOA. During the most recent review, Burundi’s eligibility was terminated effective January 2016 due to its failure to meet rule of law, human rights, and political pluralism eligibility criteria.
  
• South Africa’s AGOA eligibility was reviewed in an out-of-cycle review in July 2015, due to concerns about several longstanding trade barriers, including with respect to U.S poultry, beef, and pork imports. The review resulted in a determination that South Africa was failing to meet the AGOA eligibility criteria, and the issuance of a proclamation suspending AGOA benefits for agricultural products from South Africa. Prior to the effective date of the suspension, however, South Africa took actions to resolve the concerns raised by the Administration, avoiding suspension of its AGOA benefits.
  
• As African leaders intensify efforts to increase regional integration and link together their markets, U.S. companies are taking advantage of these larger markets that make trade and investment more attractive on the continent. Under African Union leadership, a number of African regional economic communities are moving toward regional and Africa-wide trade and economic integration to promote both continent-wide trade as well as greater engagement in the global trading system.
  
• A number of U.S. government agencies are supporting African economic development through a range of trade capacity building programs. These include, among others, bilateral and regional initiatives of the Departments of State, Commerce, Agriculture, and Labor, as well as programs of the U.S. Agency for International Development, the U.S. Trade and Development Agency, and the Millennium Challenge Corporation.
  
• Even as the United States works with African partners to maximize AGOA utilization, we are examining ways to enhance the U.S.-Africa trade relationship beyond AGOA. Some countries – including Kenya and Mauritius – have expressed an interest in establishing more mature, long term trade relationships with the United States, including by entering into free trade agreements. The issue of a U.S.-Africa trade relationship that expands beyond AGOA will be a focus of the AGOA Forum in 2016 and our engagement with sub-Saharan African trading partners going forward.

Customs Proposes to Modify Classification Ruling for Certain Rainwear, Resulting in Substantial Increase in Import Duty

In Binding Ruling Letter NY N247420, of November 26, 2013, U.S. Customs and Border Protection ("CBP") classified rainwear consisting of an unlined jacket and a pair of trousers in heading 3926, Harmonized Tariff Schedule of the United States ("HTSUS"), specifically in subheading 3926.20.60, HTSUS, which provides for “[o]ther articles of plastics and articles of other materials of headings 3901 to 3914: Articles of apparel and clothing accessories (including gloves, mittens and mitts): Other: Plastic rainwear, including jackets, coats, ponchos, parkas and slickers, featuring an outer shell of polyvinyl chloride plastic with or without attached hoods, valued not over $10 per unit.” The rate of duty for that classification is zero. CBP has reviewed NY N247420 and has determined the ruling letter to be in error. It is now CBP’s position that the unlined jacket and trousers are properly classified, by operation of General Rule of Interpretation 1, in heading 6210, HTSUS, specifically in subheading 6210.10.90, HTSUS, which provides for “[g]arments, made up of fabrics of heading 5602, 5603, 5903, 5906 or 5907: Of fabrics of heading 5602 or 5603: Other: Other: Other.” The rate of duty for that classification is 16%.

Pursuant to 19 U.S.C. §1625(c)(1), CBP is proposing to revoke NY N247420 and to revoke or modify any other ruling not specifically identified to reflect the analysis contained in the proposed HQ H268945, set forth as Attachment B to this notice. Additionally, pursuant to 19 U.S.C. §1625(c)(2), CBP is proposing to revoke any treatment previously accorded by CBP to substantially identical transactions.

Before taking this action, consideration will be given to any written comments timely received. Comments must be received on or before July 22, 2016.

For more information see Customs Bulletin and Decisions, VOL. 50, NO. 25, JUNE 22, 2016.

NOTICE: Extension of Public Meeting regarding CAFTA-DR Commercial Availability Determination - Certain Two-ply Polyester Yarn: 202.2016.06.01.Yarn.ST&RforPolartec

The Committee for the Implementation of Textile Agreements ("CITA") has rescheduled the public meeting for this proceeding to July 8, 2016.

Interested entities, namely Polartec Inc and CS America, Inc., will be invited to present information and evidence to support the claims made in their submissions regarding the commercial availability of the subject yarn.

Submissions on the record for this proceeding may be found on OTEXA's website (OTEXA.TRADE.GOV), under CAFTA-DR Commercial Availability, then Pending Requests (link to 202.2016.06.01.Yarn.ST&RforPolartec)

Agathon Associates Client To Save Import Duties and May Add New Workers

"David Trumbull, the licensed customs broker the Shahs hired to assist them with the application process, said the import tax on raw materials coming into the U.S. has created an incentive for companies to manufacture abroad." Read more at http://www.lowellsun.com/business/ci_30086257/key-trade-designation-is-allowing-leominster-firm-stay.