On Janaury 31, 2022, the U.S. International Trade Commission published in the Federal Register (87 FR 4914) Foreign Trade Zones (FTZs): Effects of FTZ Policies and Practices on U.S. Firms Operating in U.S. FTZs and Under Similar Programs in Canada and Mexico.
Copyright 2015, Agathon Associates, Consultants in Textiles and Trade, Blog by David Trumbull
Saturday, January 29, 2022
USITC Study Effects of FTZ Policies and Practices on U.S. Firms Operating in U.S. FTZs and Under Similar Programs in Canada and Mexico
CPSC Semiannual Regulatory Agenda
On January 21, 2022, the Consumer Protection Safety Commission published in the Federal Register (87 FR 5332) Semiannual Regulatory Agenda.
Army Trouser Contract Awarded
Friday, January 28, 2022
NIST Announces Funding Opportunity for Manufacturing Centers in Kentucky, Nebraska, Rhode Island and South Dakota
NIST’s Hollings Manufacturing Extension Partnership supports 51 centers located in all 50 states and Puerto Rico. Through the program, more than 1,400 manufacturing experts provide hands-on technical expertise and assistance services that address the critical needs of their local manufacturers and strengthen U.S. manufacturing.
NIST plans to award up to the following amounts for centers in each state:
- Kentucky: $6,217,500
- Nebraska: $3,978,500
- Rhode Island: $6,021,500
- South Dakota: $3,561,000
Awardees will sign a cooperative agreement for an initial performance period of up to five years and must meet a cost-share requirement.
For every dollar of federal investment in fiscal year 2021, the MEP Centers in these four states generated more than $20.90 in new sales growth and $25.70 in new client investment. This translates into $275 million in new and retained sales. During this same time, for every $1,143 of federal investment, MEP created or retained one manufacturing job.
Eligible applicants are limited to United States-based nonprofit institutions or consortia thereof, institutions of higher education, or state, U.S. territory, local or tribal governments. Existing MEP Centers that have received financial assistance for 10 consecutive years and that the secretary of commerce determines are in good standing are also eligible to apply.
MEP center awards must be recompeted every 10 years for an award of up to 10 years, based on availability of the appropriation of federal funds and the good standing of the applicant. The MEP Centers in these four states are each nearing 10 consecutive years of operation.
NIST MEP will host an informational webinar on this funding opportunity on Monday, Feb. 14, 2022, 10 a.m.-noon Eastern Standard Time. There is no registration required, and the webinar may be accessed directly via the BlueJeans videoconferencing platform
Additional information about this funding opportunity can be found on Grants.gov and the NIST MEP website. NIST MEP held a webinar on Nov. 22, 2021, in anticipation of this and additional funding opportunities. A recording of that earlier webinar is available for viewing.
Applications in response to today’s Notice of Funding Opportunity must be received no later than 11:59 p.m. Eastern Daylight Time, Tuesday, April 26, 2022.
Thursday, January 27, 2022
The Year of the Tiger begins Tuesday, February 1, 2022
Lunar New Year celebrations, also known as the Spring Festival, in China start on the 23rd day of the 12th lunar month of the Chinese calendar. The festival lasts for about 23 days, ending on the 15th day of the first lunar month in the following year in the Chinese calendar.
Lunar New Year or Spring Festival is a national holiday in China. Government offices, schools, universities and many companies are closed during the period from the Spring Festival Eve to the seventh day of the first lunar month in the Chinese calendar. However, some enterprises such as banks often arrange for workers to be on shift duty. Public transport is available during the Lunar New Year period.is a public holiday. It is a day off for the general population, and schools and most businesses are closed.
USITC to Investigate Conditions Of Competitiveness In Foreign Trade Zones
The U.S. International Trade Commission (USITC) is undertaking a new factfinding investigation on operations and conditions of competitiveness in U.S. foreign trade zones and similar programs in Canada and Mexico (FTZs).
The investigation, Foreign Trade Zones (FTZs): Effects of FTZ Policies and Practices on U.S. Firms Operating in U.S. FTZs and Under Similar Programs in Canada and Mexico, Inv. No. 332-588, was requested by the U.S. Trade Representative (USTR) in a letter received on December 14, 2021.
As requested, the USITC, an independent, nonpartisan, factfinding federal agency, will prepare a public report for the USTR. The report will provide, to the extent practicable:
- an overview of economic activity in FTZs operating in the United States, Canada, and Mexico since 2016;
- an overview of the current FTZ policies and practices in the United States, Canada, and Mexico; and
- an analysis of the effects of current FTZ policies and practices in the United States, Canada, and Mexico on the cost-competitiveness of products of U.S. firms operating in these FTZs.
The USITC expects to submit its report to the USTR by April 14, 2023.
The USITC will hold a public hearing in connection with the investigation at 9:30 a.m. on May 17, 2022. Information about how to participate in the hearing, including whether it will be virtual, will be posted on the Commission’s website no later than April 12, 2022, at https://usitc.gov/research_and_analysis/what_we_are_working_on.htm.
Requests to appear at the hearing should be filed no later than 5:15 p.m. on May 3, 2022 with the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436. See below for important information regarding filing a request to appear at a USITC hearing.
The USITC also welcomes written submissions for the record. Written submissions should be addressed to the Secretary of the Commission and should be submitted no later than 5:15 p.m. on June 6, 2022. All written submissions, except for confidential business information, will be available for public inspection.
Wednesday, January 26, 2022
Troop Support takes over fielding of Army green service uniform for new recruits, soldiers
On January 26, 2022, Defense Logistics Agency Troop Support reports they are now providing Army green service uniform items to recruits, and soon soldiers shopping at Army & Air Force Exchange Service stores.
C&T reportely overcame industry challenges and found opportunity in using new vendors to produce end-items, said Ashley Liddle, chief of the dress uniform integrated support team.
Read more HERE
Allyson Tenney, CPSC, will attend ASTM International F08.22-Camping Softgoods and Tent Flammability Task Group Meeting
Allyson Tenney, Consumer Product Safety Commissioon Directorate for Laboratory Sciences, attending ASTM International F08.22-Camping Softgoods and Tent Flammability Task Group Meeting at the Hyatt Regency at the Colorado Convention Center in Denver, Colorado. The meeting will be held in the Quartz Room (Level 3) from 2:00pm to 5:00pm (MT). For more information contact Allyson Tenney at email@example.com or ASTM International at www.astm.org.
Business Advisory for Burma
On February 1, 2021, Burma’s military overthrew the country’s democratically-elected civilian government in a coup d’etat. Since then, the military has killed more than 1,400 innocent people, unjustly arrested political leaders and journalists, violently disbanded labor unions, and committed egregious human rights abuses against the people of Burma. These acts are an attack on the people of Burma and a rejection of their will, as expressed in Burma’s November 2020 general elections.
The coup and subsequent military-led abuses have severely damaged Burma’s economic and business environment, reversing the gains achieved over the course of Burma’s ten-year transition towards democracy, and resulting in an unpredictable business environment in which the military extracts revenue to support its violent repression of democracy.
On January 26, 2022, the U.S. Departments State, Commerce, Homeland Security, Labor, the Treasury, and the Office of the U.S. Trade Representative are issuing this advisory to inform individuals, businesses, financial institutions, and other persons — including investors, consultants, and research service providers — of the heightened risks associated with doing business in Burma, and particularly business activity that could benefit the Burmese military regime.
The United States does not seek to curtail legitimate business and responsible investment in Burma. However, businesses and individuals should be wary of the associated illicit finance and money laundering risks, as well as reputational and legal risks, of conducting business and utilizing supply chains under military control in Burma. The military regime has undermined the rule of law, facilitated widespread corruption, and committed serious human rights abuses, which exacerbate risks to foreign businesses operating in Burma or providing financial services to Burmese businesses.
These industries have been identified as primary industries providing economic resources for Burma’s military regime:
- State-owned enterprises
- Gems and precious metals
- Real-estate and construction projects
- Arms, military equipment, and related activity
Businesses and individuals with potential exposure to, or involvement in, operations or supply chains tied to the military regime that do not conduct appropriate due diligence run the risk of engaging in conduct that may expose them to significant reputational, financial, and legal risks, including violations of U.S. anti-money laundering laws and sanctions, as well as abetting human rights abuses.
This business advisory is another example of the United States’ strong commitment to the people of Burma. The United States will continue to work with our partners and allies to promote justice for victims and accountability for those responsible for human rights abuses and atrocities, and to press the regime to cease the violence, release all those unjustly detained, cease human rights abuses, and restore multiparty democracy and Burma’s democratic transition. Read the full business advisory here: https://www.state.gov/risks-and-considerations-for-businesses-and-individuals-with-exposure-to-entities-responsible-for-undermining-democratic-processes-facilitating-corruption-and-committing-human-rights-abuses-in-burma/
Children’s Nightgowns Recalled by AOSKERA Due to Violation of Federal Flammability Standards and Burn Hazard
Description: This recall involves children’s nightgowns. The long-sleeved nightgowns are made of 100% cotton and were sold in children’s sizes 3-4T, 5-6, 6-7, 7-8, 9-10, 11-12 and 13-14. The nightgowns were manufactured in three different strawberry themed prints: White Allover Strawberry Print, Pink Allover Strawberry Print and Pink Strawberry Print. The nightgowns had an affixed hangtag that stated “MAM DAD KIDS Made In China.”
Remedy: Consumers should immediately take the recalled nightgowns away from children and stop using them. Consumers who purchased the garments from Amazon.com will be contacted through Amazon’s messaging platform and provided prepaid mailers to return the products for a full refund. Consumers can also contact AOSKERA to request a postage prepaid mailer to return the products for a full refund.
Incidents/Injuries: None reported
Sold At Online at Amazon.com from October 2020 through May 2021 for between $16 and $25.
Manufactured In: China
Importer(s): AOSKERA, of China
Recall number: 22-057
More information and photos HERE.
Revocation of Two Ruling Letters and Revocation of Treatment Relating to the Tariff Classification of Certain Footwear
In New York Ruling Letter NY N285583, dated June 6, 2017, and NY N299433, dated August 23, 2018, CBP classified certain footwear in heading 6404, HTSUS, specifically in subheading 6404.19.90, HTSUS, which provides for “Footwear with outer soles of rubber, plastics, leather or composition leather and uppers of textile materials: Footwear with outer soles of rubber or plastics: Other: Other: Valued over $12/pair.” CBP has reviewed NY N285583 and NY N299433, and has determined these ruling letters to be in error. It is now CBP’s position that the footwear at issue in these rulings is properly classified in subheading 6404.11.90, HTSUS, which provides for “Footwear with outer soles of rubber, plastics, leather or composition leather and uppers of textile materials: Footwear with outer soles of rubber or plastics: Sports footwear; tennis shoes, basketball shoes, gym shoes, training shoes and the like: Other: Valued over $12/pair.”
The effect of this revocation is that the rate of duty applicable to these shoes increases from 9% to 20%.
The legal analysis that lead to this determination by CBP took into consideration severeal factors, but at the heart it is contained in this single paragraph
In NY N285583 and NY N299433, CBP concluded that consistent with the definition of “athletic footwear” in T.D. 93–88, “ ‘athletic’ footwear does not include ... sneakers with a sequined or extensively embroidered upper.” Upon additional review, we find that to be incorrect. Although sneakers with a sequined or extensively embroidered uppers are referenced as examples of footwear that is not covered by the T.D. 93–88 definition of “athletic” footwear, we note that the definition also requires the footwear to be such that could clearly not be used at all in a sporting activity. Accordingly, we find that embroidery alone does not preclude footwear from being classified as “Sports footwear; tennis shoes, basketball shoes, gym shoes, training shoes and the like” of subheading 6404.11, HTSUS.
Photos of the shoes and CBP's full analysis can be found in Customs Bulletin abd Decisions Vol 56, No. 3, beginning on Page 47 (January 26, 2022).
CBP published its proposal to take this action, with opportunity for public comment in Vol. 53, No. 37, beginning on Page 19 (October 16, 2019). CPB received five comments opposing the proposed revocation.
Tuesday, January 25, 2022
Army Helmet Chin Strap Contract Awarded
Lions Services, Charlotte, North Carolina, has been awarded a maximum $10,896,000 modification (P00010) exercising the second one-year option period of a one-year base contract (SPE1C1-20-D-B082) with two one-year option periods for improved retention H-Nape helmet chin straps. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is North Carolina, with a Jan. 28, 2023, ordering period end date. Using military service is Army. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.
Saturday, January 22, 2022
USTR Releases Biannual Report to Congress on the Caribbean Basin Initiative
On January 21, 2022, the Office of the U.S. Trade Representative released the Fourteenth Biannual Report on the Operation of the Caribbean Basin Economic Recovery Act (CBERA). The report is statutorily mandated by Congress and describes the main features of the program, analyzes trade trends, and outlies each country’s performance related to the CBERA program’s eligibility criteria.
Highlights from this report include:
- U.S. imports under the CBI tariff preferences increased to $1.2 billion in 2020 from $1.1 billion in 2019. U.S. export growth to the region has been a corollary benefit throughout the history of the program; however, exports decreased during this reporting period likely due to disruptions related to the COVID-19 pandemic.
- The CBI continues to have a positive impact on a number of Caribbean Basin economies, including encouraging the development of niche product manufacturing, such as polystyrene from The Bahamas and fruit juice from Belize. The last edition of this report published in 2019 included data on rates of utilization of the program by beneficiary countries. Several products that were not claiming the duty-free benefit were mentioned. There have been notable improvements since then, including an increase in utilization from one third to 100 percent of plastic household goods from The Bahamas and an increase from 4 percent to 100 percent of measuring instruments from St. Kitts and Nevis.
- Haiti’s apparel exports to the United States maintain one of the highest utilization rates of CBI preferences. Approximately 95 percent of Haitian exports to the United States are apparel exports. Private sector associations estimate that, thanks to the CBI preference programs, over 54,000 garment factory jobs have been created in Haiti as of the end of calendar year 2020.
Thursday, January 20, 2022
Children’s Sleepwear Garments Recalled by Childrensalon Due to Violation of Federal Flammability Standards and Burn Hazard
Remedy: Consumers should immediately stop using the recalled children’s sleepwear garments and take them away from children. Consumers should contact Childrensalon for instruction on returning the recalled sleepwear. Childrensalon will contact all known purchasers and provide prepaid return mailers. Upon returning the garment, Childrensalon, will refund consumers the purchase price.
Incidents/Injuries: None reported
Sold At Online at www.childrensalon.com from April 2019 through February 2021 for between $35 and $54.
Manufactured In: The Fabric Flavours (India), Mini Lunn (China), My Little Pie (EU), Joha (Europe), and Beau Kid (China).
Recall number: 22-055
More information and photos HERE.
Wednesday, January 19, 2022
Federal Prison Industries Wins $25 Million Trouser Contract
Federal Prison Industries Inc., doing business as Unicor, Washington, D.C., has been awarded a maximum $24,960,000 modification (P00015) exercising the second one-year option period of a one-year base contract (SPE1C1-20-D-F056) with four one-year option periods for various types of trousers. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Locations of performance are Texas; Alabama; Mississippi; and Washington, D.C., with a Jan. 20, 2023, ordering period end date. Using military services are Army and Air Force. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.
Emily Maling and other CPSC staff will participate in the ASTM D13 subcommittee meetings on textile-related standards activities.
FRom January 24-26, 2022, Emily Maling, Directorate for Laboratory Sciences, and other CPSC staff will participate in the ASTM D13 subcommittee meetings via teleconference. These meetings will provide updates on textile-related standards activities. For additional information, including call-in information, contact Emily Maling at firstname.lastname@example.org of 301-987-2301.
Thursday, January 13, 2022
Made in USA Sourcing Directory
The U.S. Department of Commerce, Office of Textiles and Apparel (OTEXA), maintains a Made in the USA Directory (trade.gov) as a tool to assist domestic and foreign buyers sourcing U.S.-made textiles, apparel, footwear, and travel goods. The Directory is a listing of over 500 U.S. manufacturers, suppliers, distributors, and producers and receives over 5000 web visits per month.
Demand for Made-in-USA products is gaining popularity with consumers, retailers, and foreign buyers. The Directory will be a useful tool to help expand your company’s visibility and customer base. We invite you to register your company on the Directory – it’s FREE! To register - go to the link: Made in the USA Directory (trade.gov) and choose Register as a U.S.A. Company. Fill out the information that you want posted as your listing. You can also search the listings.
To qualify, a vendor must be a company established in the United States with at least one manufacturing plant, assembly plant, or distribution center that manufactures, assembles, or distributes U.S.-made textile, apparel, footwear or travel goods products.
Revocation of Three Ruling Letters and Revocation of Treatment Relating to the Tariff Classification of Child Car Seat Cushions
Binding Ruling Letters NY N132069, NY N245061, and NY N246761, CBP classified child car seat cushions in heading 9401, HTSUS, specifically in subheading 9401.90.50, HTSUS, which provides for “[s]eats (other than those of heading 9402), whether or not convertible into beds, and parts thereof: [p]arts: [o]ther: [o]ther”. CBP has reviewed the aforementioned rulings and determined the ruling letters to be in error. It is now CBP’s position that child car seat cushions are properly classified in heading 9404, HTSUS, specifically in subheading 9404.90.20, HTSUS, which provides for “[m]attress supports; articles of bedding and similar furnishing (for example, mattresses, quilts, eiderdowns, cushions, pouffes and pillows) fitted with springs or stuffed or internally fitted with any material or of cellular rubber or plastics, whether or not covered: [o]thers: [p]illows, cushions and similar furnishings: [o]thers”.
CBP analysis and conclusion are found in the Customs Bulletin for January 12, 2022 (Vol. 5, No. 1) beginning on Page 40.
Children’s Robes Recalled by HulovoX Due to Violation of Federal Flammability Standards and Burn Hazard
Description: This recall involves children’s robes. The long-sleeved robes are made of 100% micro polyester and were available in sizes 3T through 12. The robes were sold in twenty-two multicolored tie-dye and rainbow colorways. The robes have a sewn-in side seam belt, internal button closure and some have a hood with unicorn décor features such as a mane, ears and horn. The sewn-in neck label states the fiber content, washing instructions and “Made in China.” The sewn-in side seam label states the garment’s size.
Remedy: Consumers should immediately take the recalled robes away from children and stop using them. Consumers who purchased the garments from Amazon.com will be contacted through Amazon’s messaging platform and provided prepaid mailers to return the products for a refund. Consumers can also contact HulovoX to request a postage prepaid mailer to return the products for a full refund.
Incidents/Injuries: None reported
Sold At:: Online at Amazon.com from January 2021 through May 2021 for about $30.
Manufactured In: China
Retailer: HulovoX, of Zhejiang in China
Recall number: 22-053
More information and photos HERE.
Wednesday, January 12, 2022
Monday is Martin Luther King, Jr. Day in the U.S.A
When President Ronald Reagan, on November 2, 1983, signed into law the Martin Luther King, Jr. holiday he reminded his listeners that—
Martin Luther King was born in 1929 in an America where, because of the color of their skin, nearly one in ten lived lives that were separate and unequal…taught in segregated schools…could find only poor jobs, toiling for low wages…refused entry into hotels and restaurants, made to use separate facilities. In a nation that proclaimed liberty and justice for all, too many black Americans were living with neither.
President Reagan went on to remark that "Dr. King had awakened something strong and true, a sense that true justice must be colorblind." And Mr. Reagan pointed to both the progress made—and yet to be made—in the struggle for an America that lives up to her noble sentiment that all men are created equal, citing the passage of the Civil Rights Act of 1964 and Voting Rights Act of 1965. Reagan, as he so often did, then called on Americans to embrace and enlarge upon their better nature, and exhorted his listeners—
But most important, there was not just a change of law; there was a change of heart. The conscience of America had been touched . Across the land, people had begun to treat each other not as blacks and whites, but as fellow Americans.
Traces of bigotry still mar America. So, each year on Martin Luther King Day, let us not only recall Dr. King, but rededicate ourselves to the Commandments he believed in and sought to live every day: Thou shall love thy God with all thy heart, and thou shall love thy neighbor as thyself. And I just have to believe that all of us —- if all of us, young and old, Republicans and Democrats, do all we can to live up to those Commandments, then we will see the day when Dr. King's dream comes true.
Army and Air Force Coat and Trouser Contract Awarded
Puerto Rico Apparel Manufacturing Corp., Mayaguez, Puerto Rico, has been awarded a maximum $12,981,967 modification (P00040) exercising the third one-year option period of a one-year base contract (SPE1C1-19-D-1127) with four one-year option periods for various types of coats and trousers. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is Puerto Rico, with a Jan. 15, 2023, ordering period end date. Using military services are Army and Air Force. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.
CBP Issues Broker Guidance for CAFTA Cumulation
On January 11, 2022, CBP issued QB 22-105 CAFTA Cumulation
Apparel goods of chapter 62, cut or knit-to-shape, and sewn or otherwise assembled in a CAFTA-DR country, utilizing materials from Mexico, as provided for in chapter 98, subchapter XXII, U.S. Note 21
January 1, 2022, through December 31, 2022
Monday January 3, 2022
|100,000,000 SME||Goods of chapter 62 sub-limits use HTS1 9822.05.11 for quota limited entries|
|45,000,000 SME||sublimit for trousers, skirts, and parts thereof, of cotton or man-made fibers, or subject to cotton or man-made fiber restraints (see chapter 98, subchapter XXII, U.S. note 21(b)(i) for qualifying HTS numbers.)|
|20,000,000 SME SME||sublimit for cotton blue denim trousers and skirts (see chapter 98, subchapter XXII, U.S. note 21(b)(ii) for qualifying HTS numbers.)|
|1,000,000 SME||sublimit for apparel goods, not knitted or crocheted, containing 36 percent or more by weight of wool or subject to wool restraints (see chapter 98, subchapter XXII, U.S. note 21(b)(iii) for qualifying HTS numbers.)|
|First Tariff Field||Second Tariff Field|
|9822.05.11||See chapter 98, subchapter XXII, U.S. Note 21(b) for details|
|9822.05.13||See chapter 98, subchapter XXII, U.S. Note 21(c) for details of certain wool garments that are exempt from the limit.|
Use entry type code 02, 06, 07, 12, 23, 32, 38, or 52
Report in units of measure as shown in the HTSUS.
Read more HERE.
Tuesday, January 11, 2022
Notice of Continuation and Request for Nominations for the Trade Advisory Committee on Africa
On January 11, 2021, the Office of the United States Trade Representative published in the Federal Register (87 FR 1473) Notice of Continuation and Request for Nominations for the Trade Advisory Committee on Africa.
The Office of the United States Trade Representative (USTR) is establishing a new four-year charter term and accepting applications from qualified individuals interested in serving as a member of the Trade Advisory Committee on Africa (TACA). The TACA is a trade advisory committee that provides general policy advice and guidance to the U.S. Trade Representative on trade policy and development matters that have a significant impact on the countries of sub-Saharan Africa.
USTR will accept nominations on a rolling basis for membership on the TACA for the four-year charter term beginning in March 2022. To ensure consideration before the new charter term, you should submit your application by February 4, 2022.
The TACA is a discretionary trade advisory committee established to provide general policy advice to the U.S. Trade Representative on trade policy and development matters that have a significant impact on the countries of sub-Saharan Africa. More specifically, the TACA provides general policy advice on issues that may affect the countries of sub-Saharan Africa including: (1) Negotiating objectives and bargaining positions before entering into trade agreements; (2) the impact of the implementation of trade agreements; (3) matters concerning the operation of any trade agreement once entered into; and (4) other matters arising in connection with the development, implementation, and administration of the trade policy of the United States. The TACA also facilitates the goals and objectives of the African Growth and Opportunity Act (AGOA) and assists in maintaining ongoing discussions with sub-Saharan African trade and agriculture ministries and private sector organizations on issues of mutual concern, including regional and international trade concerns and World Trade Organization issues. The TACA meets as needed, at the call of the U.S. Trade Representative or their designee, or two-thirds of the TACA members, depending on various factors such as the level of activity of trade negotiations and the needs of the U.S. Trade Representative.
AAFA Urges Biden to Act on Shipping Crisis, Provide Relief
On Janaury 10, 2021, the American Apparel and Footwear Association sent a letter applauding President Biden for shining a spotlight on the shipping crisis and taking long-term action to prevent the next shipping crisis. However, the letter notes that the shipping crisis is not over and is, in fact, getting worse. AAFA urged President Biden to take more action now, involving ALL stakeholders and providing real and immediate solutions, to bring today’s crisis under control AND provide immediate relief to businesses as costs, and inflation, spiral out of control.
Monday, January 10, 2022
Army and Air Force Apparel Contract Awarded
Friday, January 7, 2022
Army and Air Force Trouser Contract Awarded
San Antonio Lighthouse for the Blind, San Antonio, Texas, has been awarded an $8,543,850 modification (P00001) exercising the first one-year option period of a one-year base contract (SPE1C1-21-D-B101) with two one-year option periods for flame retardant environmental ensemble/enhanced weather outer layer trousers. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is Texas, with a Jan. 12, 2023, ordering period end date. Using military services are Army and Air Force. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.
OTEXA Complying with Made in the USA Labeling Standards webinar
- Gain insights on the essentials of "Made in the USA" labeling from the FTC as well as California's statutory requirements for the "Made in USA" label
- For a product to have a "Made in the USA" label, it must meet specific criteria outlined by the Federal Trade Commission.
- The product's final assembly or processing must take place in the United States.
- Labels matter and "Made in the USA" still evokes a sense of quality in the eyes of the consumer.
- The U.S. Commercial Service requires event registrants to accept specific Terms and Conditions and review Product Standards.
- You will receive the log on link upon registration and in a reminder email the morning of the program.
- Please log on 15 minutes prior to the start of the webinar to allow time to address any technical issues.
- You will me muted during the webinar.
- We will offer 15 minutes for oral questions at the end of the program. Questions may be submitted in advance or during the conference.
- Date: January 19, 2022 Time: 2:00pm ET (11:00am PT) Duration: 60 minutes Cost: Free
- Section 7A(g)(1) of the Clayton Act, 15 U.S.C. 18a(g)(1) (premerger filing notification violations under the Hart-Scott-Rodino Improvements Act)—Increase from $43,792 to $46,517;
- Section 11(l) of the Clayton Act, 15 U.S.C. 21(l) (violations of cease and desist orders issued under Clayton Act section 11(b))—Increase from $23,266 to $24,714;
- Section 5(l) of the FTC Act, 15 U.S.C. 45(l) (unfair or deceptive acts or practices)—Increase from $43,792 to $46,517;
- Section 5(m)(1)(A) of the FTC Act, 15 U.S.C. 45(m)(1)(A) (unfair or deceptive acts or practices)—Increase from $43,792 to $46,517;
- Section 5(m)(1)(B) of the FTC Act, 15 U.S.C. 45(m)(1)(B) (unfair or deceptive acts or practices)—Increase from $43,792 to $46,517;
- Section 10 of the FTC Act, 15 U.S.C. 50 (failure to file required reports)— Increase from $576 to $612;
- Section 5 of the Webb-Pomerene (Export Trade) Act, 15 U.S.C. 65 (failure by associations engaged solely in export trade to file required statements)—Increase from $576 to $612;
- Section 6(b) of the Wool Products Labeling Act, 15 U.S.C. 68d(b) (failure by wool manufacturers to maintain required records)—Increase from $576 to $612;
- Section 3(e) of the Fur Products Labeling Act, 15 U.S.C. 69a(e) (failure to maintain required records regarding fur products)—Increase from $576 to $612;
- Section 8(d)(2) of the Fur Products Labeling Act, 15 U.S.C. 69f(d)(2) (failure to maintain required records regarding fur products)—Increase from $576 to $612;
- Section 333(a) of the Energy Policy and Conservation Act, 42 U.S.C. 6303(a) (knowing violations of EPCA § 332, including labeling violations)—Increase from $474 to $503;
- Section 525(a) of the Energy Policy and Conservation Act, 42 U.S.C. 6395(a) (recycled oil labeling violations)—Increase from $23,266 to $24,714;
- Section 525(b) of the Energy Policy and Conservation Act, 42 U.S.C. 6395(b) (willful violations of recycled oil labeling requirements)—Increase from $43,792 to $46,517;
- Section 621(a)(2) of the Fair Credit Reporting Act, 15 U.S.C. 1681s(a)(2) (knowing violations of the Fair Credit Reporting Act)—Increase from $4,111 to $4,367;
- Section 1115(a) of the Medicare Prescription Drug Improvement and Modernization Act of 2003, Pub. L. No. 108-173, as amended by Pub. L. No. 115-263, 21 U.S.C. 355 note (failure to comply with filing requirements)—Increase from $15,482 to $16,445; and Section 814(a) of the Energy Independence and Security Act of 2007, 42 U.S.C. 17304 (violations of prohibitions on market manipulation and provision of false information to federal agencies)—Increase from $1,246,249 to $1,323,791.
Connecticut and New York Companies Agree to Pay Over $900,000 for Providing Chinese-Made Containers to Department of Defense
On January 6, 2021, United States Attorney Jennifer Arbittier Williams announced that SoNo International LLC (“SoNo”) and Ark Capital Equipment LLC (“Ark”) have agreed to jointly pay $904,000 to the federal government to resolve allegations that they violated the False Claims Act by supplying the Department of Defense with shipping containers made in China and/or made from Chinese steel. The Department of Defense contracted for its agencies to purchase American-made materials or materials manufactured in specified allied countries, such as South Korea. Instead, in one contract, SoNo and Ark allegedly had a third-party company change the identifying plates on 100 shipping containers made in China to make them appear to have been manufactured in South Korea. On two other contracts, SoNo’s supplier used Chinese steel, and SoNo and Ark allegedly failed to detect the deception before providing the United States military those containers.
“Americans have the right to know that their tax dollars are being spent to support American jobs and American policies,” said U.S. Attorney Williams. “When the Department of Defense purchased this material for our warfighters, SoNo agreed to acquire material from and support manufacturers in America or our allied nations. The United States Attorney’s Office is ready to investigate and punish contractors who do not follow these clear rules.”
“Protecting the integrity of the Department of Defense (DoD) procurement process and supply chain is a top priority for the DoD Office of Inspector General Defense Criminal Investigative Service (DCIS),” stated Special Agent in Charge Patrick J. Hegarty, DCIS Northeast Field Office. “The DCIS will continue to work with its law enforcement partners and the USAO-EDPA to hold DoD contractors accountable to contract requirements and ensure that quality products and services are provided to the U.S. military.”
This investigation was conducted as part of the United States Attorney’s Office for the Eastern District of Pennsylvania’s Affirmative Civil Enforcement Strike Force with investigators from DCIS, the Army Criminal Investigation Division, and the Air Force Office of Special Investigations, with assistance from Homeland Security Investigations and the U.S. Customs and Border Protection’s Regulatory Audit and Agency Advisory Services. Assistant U.S. Attorney Paul W. Kaufman handled the investigation and settlement.
Read more HERE.
Army and Air Force Trouser Contract Awarded
Aurora Industries, Camuy, Puerto Rico, has been awarded a maximum $56,264,533 modification (P00024) exercising the third one-year option period of a one-year base contract (SPE1C1-19-D-1128) with three one-year option periods for various types of coats and trousers. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is Puerto Rico, with a Jan. 10, 2023, ordering period end date. Using military services are Army and Air Force. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.
Thursday, January 6, 2022
Penalties for Violations of Wool and Textiles Rules Increased
The Federal Trade Commission has adjusted the maximum civil penalty dollar amounts for violations of 16 provisions of law the agency enforces, as required by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015.
U.S. Terminates AGOA Trade Preference Program for Ethiopia, Mali and Guinea
On January 1, 2022, the United States terminated Ethiopia, Mali and Guinea from the AGOA trade preference program due to actions taken by each of their governments in violation of the AGOA Statute. The Biden-Harris Administration is deeply concerned by the unconstitutional change in governments in both Guinea and Mali, and by the gross violations of internationally recognized human rights being perpetrated by the Government of Ethiopia and other parties amid the widening conflict in northern Ethiopia. Each country has clear benchmarks for a pathway toward reinstatement and the Administration will work with their governments to achieve that objective.
United States Prevails in USMCA Dispute on Canadian Dairy Restrictions
On January 4, 2021, United States Trade Representative Katherine Tai announced that the United States has prevailed in the first dispute settlement panel proceeding ever brought under the United States-Mexico-Canada Agreement (USMCA). A USMCA panel agreed with the United States that Canada is breaching its USMCA commitments by reserving most of the in-quota quantity in its dairy tariff-rate quotas (TRQs) for the exclusive use of Canadian processors.
The United States requested that a panel be established on May 25, 2021 under Chapter 31 of the USMCA. The panel issued its final report to the Parties on December 20, 2021. Under USMCA rules, Canada has 45 days from the date of the final report to comply with the Panel’s findings. From January through October 2021, the United States exported $478 million of dairy products to Canada, which is the third largest export destination for U.S. dairy products.
A tariff-rate quota applies a preferential rate of duty to an “in-quota” quantity of imports and a different rate to imports above that in-quota quantity. Under the USMCA, Canada has the right to maintain 14 TRQs on the following dairy products: milk, cream, skim milk powder, butter and cream powder, industrial cheeses, cheeses of all types, milk powders, concentrated or condensed milk, yogurt and buttermilk, powdered buttermilk, whey powder, products consisting of natural milk constituents, ice cream and ice cream mixes, and other dairy.
In notices to importers that Canada published in June and October 2020 and May 2021 for dairy TRQs, Canada set aside and reserved a percentage of the quota for processors and for so-called “further processors”, contrary to Canada’s USMCA commitments. As a result of this restriction, Canada has been undermining the value of its dairy TRQs for U.S. farmers and exporters since entry into force of the USMCA by limiting access to in-quota quantities negotiated under the Agreement.
USTR officials worked closely with staff from the U.S. Department of Agriculture throughout the case. A USMCA panel agreed with the United States that Canada’s allocation of dairy TRQs, specifically the set-aside of a percentage of each dairy TRQ exclusively for Canadian processors, is inconsistent with Canada’s commitment in Article 3.A.2.11(b) of the USMCA not to “limit access to an allocation to processors.” The Panel additionally found that the Agreement makes no distinction between initial processors and “further processors”, and that therefore, the restriction in Article 3.A.2.11(b) applies to all processors, including specific subsets.
A copy of the panel report is available HERE.
Wednesday, January 5, 2022
Native Creation Recalls Sweaters Due to Violation of the Federal Lead Paint Ban
Description: This recall involves Native Creation Small Wool Sweaters for children sizes 0 to 8. The sweaters were sold with dark gray, blue or black as the base color with multi-colored patterns. The sweaters have a hood attached, a zipper along the front and draw strings at the top and bottom of the zipper path.
Redy: Consumers should immediately take the recalled sweater away from children and contact Native creation for a full refund.
Incidents/Injuries: None reported
Sold At Native Creation from December 2020 through January 2021 for about $29.
Manufactured In: Ecuador
Importer(s): Native Creation of Seattle, Washington
Recall number: 22-044
More information and photo HERE.