Thursday, March 31, 2022

GUIDANCE: Section 301 China Reinstatement of Certain Exclusions

Cargo Systems Messaging Service -- CSMS #51469298 -- GUIDANCE: Section 301 China Reinstatement of Certain Exclusions

The purpose of this message is to provide guidance regarding the retroactive reinstatement of certain exclusions to China 301 trade remedies from October 12, 2021 through December 31, 2022.

BACKGROUND

On March 28, 2022, the United States Trade Representative (USTR) published 87 FR 17380 retroactively reinstating certain exclusions with respect to certain goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on October 12, 2021, and before 11:59 p.m. eastern daylight time on December 31, 2022.

87 FR 17380 announces the USTR extension of 137 exclusions covered under Section 301 List 1, 59 exclusions on List 2, 266 exclusions on List 3, and 87 exclusions on List 4.

The reinstated exclusions can be claimed using Harmonized Tariff Schedule of the United States (HTSUS) classification 9903.88.67 and are available for any product that meets the description in the product exclusion as set out in Annex A to 87 FR 17380. In particular, the scope of each exclusion is governed by the scope of the ten-digit HTSUS subheadings and product descriptions in Annex A to 87 FR 17380.

The functionality for the acceptance of the reinstated product exclusions will be available in the Automated Commercial Environment (ACE) as of 7:00 am eastern standard time, April 7, 2022.

GUIDANCE

Instructions for importers, brokers, and filers on submitting entries to CBP containing granted exclusions by the USTR from the Section 301 measures are set out below:

Per 87 FR 17380 Annex A, in addition to reporting the regular Chapters 03, 05, 16, 29, 34, 38, 39, 40, 42, 48, 50, 51, 52, 54, 55, 56, 57, 58, 60, 61, 62, 63, 65, 68, 69, 70, 73, 75, 76, 82, 83, 84, 85, 86, 87, 90, 91 and 94 classifications of the HTSUS for the imported merchandise, importers shall report the HTSUS classification 9903.88.67 (Articles, the product of China as provided for in U.S. note 20 (ttt) to this subchapter, each covered by an exclusion granted by the USTR for imported merchandise subject to the exclusion).

Importers shall not submit the corresponding Chapter 99 HTSUS number for the Section 301 duties when HTSUS subheading 9903.88.67 is submitted.

ADDITIONAL INFORMATION

Imports which have been granted a product exclusion from the Section 301 measures and which are not subject to the Section 301 duties, are not covered by the Foreign Trade Zone (FTZ) provisions of the Section 301 Federal Register notices, but instead are subject to the FTZ provisions in 19 CFR part 146.

To request a refund of Section 301 duties paid on previous imports of products granted duty exclusions by the USTR, importers may file a Post Summary Correction (PSC) if within the PSC filing timeframe. If the entry is beyond the PSC filing timeframe, importers may protest the liquidation if within the protest filing timeframe. The latest guidance on the process for submitting retroactive claims for product exclusions to CBP is found in CSMS 42566154.

In situations where an importer has requested a product exclusion and the request is pending with the USTR, importers or their licensed representative may submit a request to extend the liquidation of impacted unliquidated entry summaries to CBP.

Reminder: importers, brokers, and/or filers should refer to CSMS 39587858 (Entry Summary Order of Reporting for Multiple HTSUS when 98 or 99 HTSUS are required) for guidance when filing an entry summary in which a heading or subheading in Chapter 99 is claimed on imported merchandise.

Tuesday, March 29, 2022

Acquisition of Items for Which Federal Prison Industries Has a Significant Market Share

On March 29, 2022, the Department of Defense published in the Federal Register (87 FR 18001 Acquisition of Items for Which Federal Prison Industries Has a Significant Market Share

SUMMARY: DoD is publishing the updated annual list of product categories for which the Federal Prison Industries' share of the DoD market is greater than five percent.

SUPPLEMENTARY INFORMATION: On November 19, 2009, a final rule was published in the Federal Register at 74 FR 59914, which amended the Defense Federal Acquisition Regulation Supplement (DFARS) subpart 208.6 to implement section 827 of the National Defense Authorization Act for Fiscal Year 2008 (Pub. L. 110-181). Section 827 changed DoD competition requirements for purchases from Federal Prison Industries, Inc. (FPI) by requiring DoD to publish an annual list of product categories for which FPI's share of the DoD market was greater than five percent, based on the most recent fiscal year data available. Product categories on the current list, and the products within each identified product category, must be procured using competitive or fair opportunity procedures in accordance with DFARS 208.602-70.

The Principal Director, Defense Pricing and Contracting (DPC), issued a memorandum dated March 16, 2022, that provided the current list of product categories for which FPI's share of the DoD market is greater than five percent based on fiscal year 2021 data from the Federal Procurement Data System. The product categories to be competed effective April 15, 2022, are the following:

  • 7125 (Cabinets, Lockers, Bins, and Shelving)
  • 8105 (Bags and Sacks)
  • 8405 (Outerwear, Men's)
  • 8415 (Clothing, Special Purpose)
  • 8420 (Underwear and Nightwear, Men's)

The list is unchanged from the one issued in 2021.

Saturday, March 26, 2022

China 301 Exclusions Reinstated

On March 28, 2022, the Office of the U.S Trade Representative published in the Federal Register (87 FR 17380) Notice of Reinstatement of Certain Exclusions: China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation

Of 549 exclusions eligible for reinstatement, 352 were approved (64%).

Chapter# Eligible#ApprovedApproval Rate
42 Travel Goods8675%
50-60 Textiles281657%
61-62 Apparel121083%
63 Textile Made-up Articles16744%
94 Textile Furniture8563%

The reinstated product exclusions will apply as of October 12, 2021, and extend through December 31, 2022.

Customs and Border Protection will issue instructions on entry guidance and implementation. When the Customs instructions are issued, Agathon Associates send that document to clietns to give to their brokers. Since the imports are recent enough that they have not been liquidated, brokers can get refunds by filing a Post Summary Correction for each importation, however, there will be limit time during which to file for refunds.

All petitions filed by Agathon Associates on behalf of clients were approved.

Superabsorbent Polymers From the Republic of Korea: Postponement of Preliminary Determination in the LessThan-Fair-Value Investigation

On March 28, 2022, the Department of Commerce published in the Federal Register (87 FR 17270) Superabsorbent Polymers From the Republic of Korea: Postponement of Preliminary Determination in the LessThan-Fair-Value Investigation

Another FT Granted with no Inverted Tariff Relief for Textiles

On March 28, 2022, the Foreign Trade Zone Board published in the Federal Register (87 FR 17269) Foreign-Trade Zone (FTZ) 138 -- Columbus, Ohio; Authorization of Limited Production Activity; Fluvitex USA, Inc.; (Quilts, Comforters and Cushions); Groveport, Ohio

The FTZ Board authorized the production activity described in the notification on a limited basis, subject to the FTZ Act and the Board’s regulations, including Section 400.14, and further subject to a restriction requiring all foreign-status materials be admitted to the zone in privileged foreign status (19 CFR 146.41) with the exception of foreign-status polybags.

In other words, no inverted tariff relief for textile components in articles entering U.S. commerce.

Thursday, March 24, 2022

Navy Fleece Liner Contract Awarded

Bestwork Industries for the Blind Inc.,** Cherry Hill, New Jersey, has been awarded a maximum $12,271,104 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for blue, black and coyote brown fleece liners. This is a one-year base contract with two one-year option periods. Location of performance is New Jersey, with a March 23, 2023, ordering period end date. Using military service is Navy. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-22-D-B124).

** Mandatory source

Texas Man Sentenced for Selling Chinese-Made Military Helmets and Body Armor to Federal Agencies

On March 21, 2022, a Celeste, Texas, man was sentenced to 33 months in prison for a wire fraud scheme involving the selling of Chinese-made military helmets, body armor, and other products to the United States Department of State and other federal agencies while falsely claiming that his company manufactured the goods in Texas.

Read more HERE.

Mother and son indicted for dealing counterfeit goods

Press Release --Tuesday, March 22, 2022

LAREDO, Texas – A South Korean woman and a local Texan have been indicted for trafficking counterfeit goods, announced U.S. Attorney Jennifer B. Lowery.

A federal grand jury returned the two-count indictment against Bok Nyo Kim, 72, a legal permanent residing in Laredo, and Henry Yuseok Kim, 45, Laredo. Both were originally charged by criminal complaint. They are expected to appear before U.S. Magistrate Judge Diana Song Quiroga for their initial appearance on the indictment in the near future.

The investigation began Feb. 3. At that time, Henry Kim, part-owner of Fashion Outlet, allegedly sold a counterfeit t-shirt purporting to be Louis Vuitton. Authorities then seized approximately 346 items of counterfeit merchandise from the store, according to the charges. The indictment alleges that during the seizure, Bok Kim identified herself as part-operator of Fashion Outlet.

According to the complaint, both admitted to selling counterfeit clothing at Fashion Outlet for financial gain and shared control over the business. Bok Kim allegedly admitted to purchasing counterfeit merchandise from wholesalers in California. The indictment further alleges both individuals had knowledge of a prior seizure notice authorities had sent.

If convicted, both face up to 10 years in prison as well as a possible $250,000 maximum fine.

Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Matthew Isaac is prosecuting the case.

Canada and UK Negotiating a Free Trade Agreement

On March 24, 2022< Today, the Honourable Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development, and the United Kingdom’s Secretary of State for International Trade, Anne-Marie Trevelyan, announced they will proceed with negotiations toward a comprehensive bilateral free trade agreement (FTA). The first round of negotiations will begin on March 28, 2022.

  • The United Kingdom was Canada’s third-largest individual country trading partner in 2021 for both goods and services, which were valued together at $42.2 billion.
  • Canada exported $24.1 billion in goods and services to and imported $18.1 billion in goods and services from United Kingdom in 2021. 3,700 Canadian companies on average export goods to the United Kingdom annually. More than 92% are SMEs.
  • The United Kingdom is Canada’s second-largest individual partner, after the United States, in bilateral services trade, direct investment and science, technology and innovation partnerships. In 2019, Canada-U.K. trade in clean technology and environmental products reached $677.6 million.
  • The Canada-U.K. Trade Continuity Agreement (TCA) will continue to provide certainty for Canadian and U.K. businesses and remain in place over the course of the negotiations.
  • Both the bilateral negotiations and the United Kingdom’s possible accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) present opportunities for Canada to further enhance its relationship with the United Kingdom.
  • Canada and the United Kingdom cooperate closely in multilateral forums, including the G7, G20, WTO and Ottawa Group on WTO reform, to advance common interests and promote rules-based international trade.

USTR Reinstates China 301 Exclusions for 352 of 549 Items

On March 23,, 2022, the Office of the United States Trade Representative announced its determination to reinstate certain previously granted and extended product exclusions in the China Section 301 Investigation. The determination reinstates 352 of the 549 eligible exclusions. The reinstated product exclusions will apply as of October 12, 2021, and extend through December 31, 2022.

Customs and Border Protection will issue instructions on entry guidance and implementation. When the Customs instructions are issued, Agathon Associates send that document to clietns to give to their brokers. Since the imports are recent enough that they have not been liquidated, brokers can get refunds by filing a Post Summary Correction for each importation, however, there will be limit time during which to file for refunds.

All petitions filed by Agathon Associates on behalf of clients were approved.

Wednesday, March 23, 2022

USITC to Investigate U.S.-Haiti Trade and the Impact of U.S. Preference Programs

The U.S. International Trade Commission (USITC) is undertaking a new factfinding investigation on U.S.-Haiti trade and the impact of U.S. trade preference programs on Haiti’s economy and workers. The Commission’s report will provide an overview of Haiti’s international trade since 1980, with special emphasis of the impact of the Caribbean Basin Economic Recovery Act (CBERA), Generalized System of Preferences (GSP), Haitian Hemispheric Opportunity through Partnership Encouragement (HOPE) Act of 2006, HOPE II in 2008, and the Haiti Economic Lift Program (HELP) in 2010, and the Trade Acts of 2000 and 2002 on Haiti’s trading relationship with the United States, Haiti’s economy, and workers.

The investigation, U.S.-Haiti Trade: Impact of U.S. Preference Programs on Haiti’s Economy and Workers, Inv. No. 332-590, was requested by the U.S. House of Representatives Committee on Ways and Means (Committee) in a letter received on February 22, 2022. The Committee noted in its letter that the HOPE and HELP preference programs will expire on September 30, 2025.

As requested, the USITC, an independent, nonpartisan, factfinding federal agency, will prepare a public report for the Committee. The report will provide, to the extent practicable:

  • an overview of the Haitian economy and its competitiveness;
  • an examination of the role of U.S. preference programs in shaping Haiti’s economy; and
  • case studies on goods currently and historically exported from Haiti such as apparel, tropical fruits, and sporting goods, including baseballs, softballs, and basketballs.

The USITC expects to submit its report to the Committee by December 22, 2022.

Read more HERE.

Joint Statement on the U.S./UK Dialogues on the Future of Atlantic Trade

On March 21 and 22 United States Trade Representative Ambassador Katherine Tai and United Kingdom Secretary of State for International Trade Anne-Marie Trevelyan hosted the first joint U.S./UK Dialogues on the Future of Atlantic Trade in Baltimore, Maryland. Following President Biden and Prime Minister Boris Johnson’s announcement last year of a new ‘Atlantic Charter’, the U.S./UK Dialogues on the Future of Atlantic Trade are exploring how the United States and United Kingdom will collaborate to advance mutual international trade priorities rooted in our shared values, while promoting innovation and inclusive economic growth for workers and businesses on both sides of the Atlantic.

Over the two-day period, Ambassador Katherine Tai, Deputy U.S. Trade Representative Ambassador Jayme White, and Secretary of State Anne-Marie Trevelyan visited the Port of Baltimore and a local technology incubator, Fearless Tech; hosted a series of roundtable discussions with a diverse group of national and local workers, business and civil society stakeholders; and met bilaterally. In addition, U

STR and UK Department for International Trade staff discussed opportunities for the United States and United Kingdom to advance the U.S.-UK trade relationship and advance an inclusive trade policy.

The stakeholder roundtables identified areas of consensus where the UK and U.S. can build and deepen their cooperation on trade. This includes protecting labor rights and the environment; promoting supply chain resilience; supporting the low-carbon transition; making it easier for SMEs to export; and ensuring the benefits of trade are evenly distributed across our countries.

Ambassador Katherine Tai and Secretary of State Anne-Marie Trevelyan committed to:

  • Reestablish the UK-US SME dialogue to continue to bring together SMEs from both sides of the Atlantic to identify ways to further support trade and investment;
  • Harness the benefits of an open and competitive digital economy, with appropriate safeguards for workers, consumers and businesses;
  • Build on the G7’s first ever set of Digital Trade Principles during UK presidency, such as working towards the digitization of paper-based customs and other border agencies requirements to cut red tape;
  • Build strong, durable supply chains that can withstand future global shocks;
  • Support the protection of labor rights and the environment, with one another and our other trading partners;
  • Tackle forced labor globally;
  • Create incentives through trade to transition to a decarbonized economy and protect our environment;
  • Advance trade policy to consider gender, underserved and marginalized communities as workers, consumers, entrepreneurs, and producers; and
  • Address third party market-distorting practices.

Ambassador Katherine Tai and Secretary of State Anne-Marie Trevelyan will use these Dialogues and their on-going engagement with stakeholders to identify further steps to move forward our important U.S.-UK bilateral trade relationship and address our shared challenges and opportunities over the coming months. A second joint U.S./UK Dialogue on the Future of Atlantic Trade is being planned for the UK in late April, 2022.

A full list of UK and U.S. stakeholders who attended the first U.S./UK Dialogue on the Future of Atlantic Trade will be published in due course.

Safety Boot Contract Awarded

McRae Industries Inc.,* Mt. Gilead, North Carolina, has been awarded a maximum $16,717,706 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for safety boots. This was a competitive acquisition with three responses received. This is a one-year base contract with two one-year option periods. Location of performance is North Carolina, with a March 22, 2023, ordering period end date. Using military services are Army, Navy, Air Force and Marine Corps. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-22-D-1532). * Small business

Tuesday, March 22, 2022

FTC Finalizes Order with Fashion Nova Over Allegations It Blocked Negative Reviews

The Federal Trade Commission has finalized an order settling allegations that online fashion retailer Fashion Nova, LLC blocked negative reviews of its products from being posted to its website. Under the final order, Fashion Nova will pay $4.2 million and is prohibited from suppressing customer reviews of its products.

Read more HERE.

Chain Saw Chain and Blade Importer to Pay Over $500,000 to Resolve False Claims Act Allegations

TriLink Saw Chain, LLC, and TriLink Global, LLC (TriLink), nationwide importers of chain saw chains and blades manufactured in China and intended for sale in the United States, have agreed to pay $525,000 to resolve allegations that they violated the False Claims Act by misclassifying their imported chain saw chains and blades to U.S. Customs and Border Protection (USCBP).

This civil matter arose from an action brought under the whistleblower provisions of the False Claims Act. Pursuant to that Act and the settlement agreement, the whistleblower will share in the United States’ financial recovery.

Read more HERE.

Wednesday, March 16, 2022

Promoting Accountability for Human Rights Abuses Perpetrated by the Governments of Russia and Belarus

On March 15, 2022, U.S. Secretary of State Anthony Blinken announced that the United States, with support from Allies and partners, is taking action to promote accountability for the Russian and Belarusian governments’ human rights abuses and violations within and outside their borders.

Read more HERE.

CBP Sanction Apparel and Footwear Company Li-Ning Sporting Goods

Effective March 14, 2022, U.S. Customs and Border Protection (CBP) is detaining merchandise produced or manufactured by Li-Ning Sporting Goods at all U.S. ports of entry. This enforcement action is the result of a CBP investigation indicating Li-Ning Sporting Goods uses North Korean labor in its apparel and footwear supply chain.

Read more HERE.

Baker-Polito Administration Awards $2.8 Million from Mass. Manufacturing Innovation Initiative

LAWRENCE – Tuesday, March 8, 2022 – The Baker-Polito Administration today announced $2.8 million in new infrastructure grants through the Massachusetts Manufacturing Innovation Initiative or M2I2 to three growing manufacturers. The three grants were announced by Lt. Governor Karyn Polito and Housing and Economic Development Secretary Mike Kennealy during an event at 99Degrees Custom in Lawrence, a 375-employee manufacturer of tech-integrated apparel, which received nearly $1.1 million in new state support. Grants were also awarded to Soliyarn, a maker of smart textiles based in Belmont, and to Human Systems Integration (H.S.I.), a wearable technology company headquartered in Walpole.

Read more HERE.

Knee and Elbow Pad Contract Awarded

Forum Industries Inc., San Antonio, Texas, has been awarded a maximum $19,140,051 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for knee and elbow pads. This was a competitive acquisition with two responses received. This is a one-year contract with no option periods. Locations of performance are Texas, Ohio and Illinois, with a March 14, 2023, ordering period end date. Using military services are Army and Marine Corps. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.

United States and United Kingdom to Host U.S./UK Dialogues on the Future of Atlantic Trade in Baltimore, Maryland

United States Trade Representative Katherine Tai and United Kingdom Secretary of State for International Trade Anne-Marie Trevelyan will host joint U.S./UK Dialogues on the Future of Atlantic Trade in Baltimore, Maryland on March 21 and 22, 2022 and in the UK later this Spring.

Following on from President Biden and Prime Minister Boris Johnson’s announcement last year of a new ‘Atlantic Charter’, the U.S./UK Dialogues on the Future of Atlantic Trade will explore how the United States and United Kingdom can collaborate to advance mutual international trade priorities rooted in our shared values, while promoting innovation and inclusive economic growth for workers and businesses on both sides of the Atlantic. The trade ministers will use these events as they further deepen our important U.S-UK bilateral trade relationship and address our shared challenges and opportunities through discussions over the following months.

The U.S./UK Dialogues on the Future of Atlantic Trade will also feature a diverse group of national and local stakeholders to advance these important talks on how to use trade policy to build a more modern, fair and responsible global economy. Additional details on the Dialogues will come at a later date.

Tuesday, March 15, 2022

Clothing Top Category of Online Purchases, E-Commerce Has Fueled Growth of Counterfeiting

On March 14, 2022, the Congressional Research Service published International Trade and E-commerce.

In 2021, 79% of the U.S. population engaged in ecommerce, with clothing as the top category of online purchases

The growth of e-commerce platforms has helped fuel the growth of counterfeit and pirated goods. USTR’s annual Notorious Markets List reports on online markets engaged in facilitating trade in these goods. President Biden has ordered the Department of Homeland Security to strengthen customs enforcement to help prevent the import of counterfeit items ordered online.

Executive Order Prohibiting Certain Imports, Exports, and New Investment With Respect to Continued Russian Federation Aggression

The following are prohibited:

(i) the importation into the United States of the following products of Russian Federation origin: fish, seafood, and preparations thereof; alcoholic beverages; non-industrial diamonds; and any other products of Russian Federation origin as may be determined by the Secretary of the Treasury, in consultation with the Secretary of State and the Secretary of Commerce;

(ii) the exportation, reexportation, sale, or supply, directly or indirectly, from the United States, or by a United States person, wherever located, of luxury goods, and any other items as may be determined by the Secretary of Commerce, in consultation with the Secretary of State and the Secretary of the Treasury, to any person located in the Russian Federation;

(iii) new investment in any sector of the Russian Federation economy as may be determined by the Secretary of the Treasury, in consultation with the Secretary of State, by a United States person, wherever located;

(iv) the exportation, reexportation, sale, or supply, directly or indirectly, from the United States, or by a United States person, wherever located, of U.S. dollar-denominated banknotes to the Government of the Russian Federation or any person located in the Russian Federation; and

(v) any approval, financing, facilitation, or guarantee by a United States person, wherever located, of a transaction by a foreign person where the transaction by that foreign person would be prohibited by this section if performed by a United States person or within the United States.

Read the Executive Order HERE.

Tuberville, Sewell Lead Effort Supporting Defense Textile Manufacturers

On March 8, 2022, U.S. Senator Tommy Tuberville (R-AL) and U.S. Representative Terri Sewell (D-AL-07) sent a letter to the Department of Defense (DOD) Under Secretary of Defense for Acquisition and Sustainment, Andrew Hunter, asking for targeted action on behalf of America’s defense clothing and textile manufacturers. The letter highlights concerns with operational constraints being placed on companies from COVID and inflation, and emphasizes their importance to military readiness and national security.

Read the letter HERE.

Monday, March 14, 2022

Imposition of Sanctions on ‘Luxury Goods’ Destined for Russia and Belarus and for Russian and Belarusian Oligarchs and Malign Actors Under the Export Administration Regulations (EAR)

On March 11, 2022, In response to the Russian Federation’s (Russia’s) further invasion of Ukraine, and Belarus’s substantial enabling of Russia’s invasion, the Department of Commerce Belarus of ‘luxury goods’ under the Export Administration Regulations (EAR) and for exports, reexports and transfers (in-country) worldwide to certain Russian or Belarusian oligarchs and other malign actors supporting the Russian or Belarusian governments. Taken together, these new export controls will significantly limit financially elite individuals’ and organizations’ access to luxury goods and thereby accentuate the consequences of providing such support.

The Rule is scheduled to be published in the Federal Register on March 16, 2022. A pre-publication version is available HERE.

AAFA Government Contracts Conference 2022

Monday, May 2 - Wednesday, May 4, 2022,, Philadelphia, Penn.

AAFA will hold this conference, in-person, kicking off with a welcome reception on May 2. The Government Contracts Committee (GCC) keeps members apprised of developments that bear on the needs and requirements of the U.S. military and other parts of the U.S. government with respect to the procurement of clothing and shoes, and the problems faced by the industry. Representatives from the United States Air Force, Army, Coast Guard, Marine Corps, and Navy, along with the Defense Logistics Agency (DLA) Troop Support, provide updates to their clothing and individual equipment suppliers on purchasing forecasts to better enable companies to tailor and plan for production.

More information HERE

AFA at Techtextil NA Atlanta May 17-19

Techtextil NA will be be in Atlanta, GA from May 17-19, 2022. The American Flock Association will be exhibiting at this major event. Techtextil runs The Academy on the show floor. The AFA will be presenting a complete introduction to Flocking at 2:00pm on Wednesday the 18th. Join other industry leaders at this outstanding event.

Commercial Customs Operations Advisory Committee (COAC); Meeting

The Commercial Customs Operations Advisory Committee (COAC) will hold its quarterly meeting on Thursday, March 31, 2022. The meeting will be open to the public via webinar only. There is no on-site, in-person option for the public to attend this quarterly meeting.

The COAC will hear from the current subcommittees on the topics listed below:

1. The Rapid Response Subcommittee will share details regarding the formation of the Domestic Manufacturing and Production Working Group and provide an update on the progress and plans of the Broker Modernization Working Group.

2. The Intelligent Enforcement Subcommittee will provide updates on the progress and plans on the following: the Bond Working Group will provide the overall status; the Antidumping/Countervailing Duty Working Group will provide updates regarding the progress and plans for the group; the Intellectual Property Rights Process Modernization Working Group will provide an update on the status of the group and discuss potential next steps; and the Forced Labor Working Group will provide status updates and the plans for the 16th Term of COAC.

3. The Next Generation Facilitation Subcommittee will provide an update on the progress of the 21st Century Customs Framework and E-Commerce Task Forces; the One U.S. Government Working Group will provide an update on upcoming work; the Re-Imagined Entry Processes Working Group has undergone a name change and will be known as the ACE 2.0 Working Group. The working group plans to conduct an in-depth gap analysis of processes to be improved included in the ACE 2.0 modernization.

4. The Secure Trade Lanes Subcommittee will provide an update on the status of the Customs Trade Partnership Against Terrorism (CTPAT), export modernization, in-bond modernization, and cargo operations.

AAFA Formalizes Partnership with Bangladesh Garment Industry

On March 10, 2022, the American Apparel & Footwear Association (AAFA) signed a Memorandum of Understanding with The Bangladesh Garment Manufacturers & Exporters Association (BGMEA). AAFA President and CEO Steve Lamar and BGMEA President Faruque Hassan shared the pen in Washington, D.C. during the annual AAFA Executive Summit which convenes the AAFA Board of Directors and industry leadership.

The two groups will explore opportunities and work together to increase trade access for Bangladesh to the U.S. market, improve purchasing practices, build on the great work already done by the Bangladeshi industry on sustainability, and expand the strong partnership between the U.S. and Bangladeshi industry.

“Together, we aim to develop joint programs that train workers and mid- and top- management, explore new CSR initiatives to support the well-being of the workers and communities, and more,” said BGMEA President Faruque Hassan.

“AAFA’s comprehensive work ensures the continued success and growth of the global apparel and footwear industry, its suppliers, and its customers. With this in mind, agreements with strategic partners around the world help reduce trade barriers, encourage sharing of ESG best practices, and promote innovation on behalf of our members,” said AAFA President and CEO Steve Lamar. “Today’s collaboration marks increased capacity building to support joint practices and trainings to advance supply chain sustainability, expand trade opportunities, improve the buyer-supplier partnership.”

About BGMEA: The Bangladesh Garments Manufacturers and Exporters Association (BGMEA), represents the Bangladesh garments industry encompassing the second largest exporting country in the world.

EU Circular Economy-Sustainable Products Initiative

he European Union (EU) will be putting forward several pieces of legislation over the course of 2022 to achieve its circular economy transition. One initiative, the Sustainable Products Initiative (SPI) will focus on “key product value chains” (identified as electronics, information and communication technologies, textiles, furniture, steel, cement, and chemicals) that the Commission sees as requiring “urgent, comprehensive and coordinated action” to jumpstart the transition to circularity. The SPI is expected to be published on March 30. For more information on the SPI and how U.S. businesses can engage with the EU on circular economy, see the U.S. Commercial Service-EU market intelligence article. (https://www.trade.gov/market-intelligence/european-union-circular-economy-transition-full-speed-ahead)

Camouflage Trouser Contract Awarded

San Antonio Lighthouse for the Blind, San Antonio, Texas, has been awarded a maximum $19,453,644 firm-fixed-price, indefinite-delivery/definite-quantity contract for fire-resistant environment ensemble, operational camouflage pattern, intermediate weather outer layer trousers. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(5), as stated in Federal Acquisition Regulation 6.302-1. This is a one-year base contract with three one-year option periods. Location of performance is Texas, with a March 11, 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 (SPE1C1-22-D-B122).San Antonio Lighthouse for the Blind,** San Antonio, Texas, has been awarded a maximum $19,453,644 firm-fixed-price, indefinite-delivery/definite-quantity contract for fire-resistant environment ensemble, operational camouflage pattern, intermediate weather outer layer trousers. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(5), as stated in Federal Acquisition Regulation 6.302-1. This is a one-year base contract with three one-year option periods. Location of performance is Texas, with a March 11, 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 (SPE1C1-22-D-B122).

Navy Shoe Contract Awarded

Capps Shoe Co., Lynchburg Virginia, has been awarded a maximum $20,088,000 modification (P00008) exercising the second one-year option period of a one-year base contract (SPE1C1-20-D-1246) with two one-year option periods for men’s poromeric and brown leather dress shoes. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is Virginia, with a March 16, 2023, ordering period end date. Using military service is Navy. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.

Friday, March 11, 2022

US Revokes PNTR for Russia

On March 11, 2022, President Biden announced that the U.S. is revoking Permanent Normal Trade Relation status for Russia. He also announced that certain imports from Russia are BANNED. For the imports not banned the rate of duty will shift from the Column 1 General Rate (PNTR) to Column 2 rates, which are often much higher. The table below shows what this will mean for the commodities in which we have the most import trade from Russia.

HTSUS Brief Description 2021 Dollar Value PNTR Rate Column 2 Rate
0306.14.40 Crabs $1,096,028,272 Free Free
2709.00.20 Petroleum $3,421,513,989 10.5 cents per barrel 21 cents per barrel
2710.12.15 Motor fuel $1,264,639,011 52.5 cents per barrel $1.05 per barrel
2710.12.25 Naphtha $528,649,337 10.5 cents per barrel 21 cents per barrel
2710.12.45 Petroleum $584,937,142 10.5 cents per barrel 21 cents per barrel
2710.19.06 Petroleum $9,036,773,165 5.25 cents per barrel 21 cents per barrel
2710.19.11 Petroleum $1,655,959,951 10.5 cents per barrel 21 cents per barrel
2710.19.16 Jet fuel $113,386,487 52.5 cents per barrel $1.05 per barrel
2711.12.00 Propane $104,432,369 Free Free
2711.29.00 Gas $210,580,565 Free Free
2713.11.00 Petroleum coke $200,381,936 Free Free
2844.20.00 Uranium $645,489,213 Free Free
3102.10.00 Fertilizer $399,747,929 Free Free
3102.80.00 Fertilizer $262,596,239 Free Free
3104.20.00 Fertilizer $358,770,384 Free Free
4412.33.06 Plywood $310,905,479 Free Free
7102.39.00 Diamonds $294,395,135 free 10% BANNED
7106.91.10 Silver $143,915,983 Free Free
7110.21.00 Paladium $1,589,192,521 Free Free
7110.31.00 Rhodium $672,520,947 Free Free
7201.10.00 Pig iron $1,157,617,274 Free $1.11 per metric ton
7202.21.50 Ferrosilicon $192,811,127 1.1% 11.5%
7202.49.50 Ferrochromium $120,397,725 3.1% 30%
7207.12.00 Certain iron products $886,744,073 Free 20%
7601.20.90 Aluminum $337,943,639 Free 10.5%
8108.90.60 Titanium $108,078,088 15% 45%
8412.10.00 Reaction engines $126,266,146 Free 35%
9306.30.41 Arms cartriges $163,511,946 Free 30%
All Others $3,669,499,834
Total: $29,657,685,906

Statement from Ambassador Katherine Tai on the Announcement of Additional Economic Actions Against Russia

On March 11, 2022, United States Trade Representative Katherine Tai released the following statement after President Biden joined G7 leaders in announcing additional economic actions to further isolate Russian from the global economy and hold President Putin accountable for his war against Ukraine.

“On day one of his Administration, President Biden was clear that the United States would lead on the global stage and work in concert with our allies and partners to respond to the world’s challenges. That guiding principle has been the hallmark of the resolute and united global response to President Putin’s premeditated, unprovoked, and unjustified war against Ukraine.

“The joint action announced today will revoke most favored nation treatment of Russian products by the world’s largest economies, denying Russia benefits of membership at the World Trade Organization. We will work with Congress, which has already shown bipartisan commitment, to revoke Permanent Normal Trade Relations for Russia. Putin and his government must pay a severe economic and diplomatic price for his invasion of Ukraine, and we will continue to partner with other WTO Memb

Dept. of Commerce Request for Comments on the Proposed Fair and Resilient Trade Pillar of an Indo-Pacific Economic Framework.

On March 10, 2022, the U.S. Dept. of Commerce published in the Federal Register (87 FR 13789) Request for Comments on the Proposed Fair and Resilient Trade Pillar of an Indo-Pacific Economic Framework.

On October 27, 2021, President Biden announced that the United States would explore the development of an Indo-Pacific Economic Framework (IPEF) to deepen economic relations in the Indo-Pacific region and coordinate approaches to addressing global economic challenges. The Secretary of Commerce and the U.S. Trade Representative will co-chair the U.S. team leading the IPEF negotiations. The Office of the United States Trade Representative (USTR) will lead the IPEF's pillar on Fair and Resilient Trade, and the Department of Commerce will lead the IPEF's pillars on: (1) Supply Chain Resiliency; (2) Clean Energy, Decarbonization, and Infrastructure; and (3) Taxation and Anti-Corruption. Accordingly, USTR is seeking public comments on matters relevant to the Fair and Resilient Trade pillar, including U.S. interests and priorities, in order to develop U.S. negotiating objectives and positions and identify potential partners.

The deadline for the submission of written comments is April 11, 2022.

Thursday, March 10, 2022

Navy Shoe Contract Awarded

Capps Shoe Co., Lynchburg, Virginia, has been awarded a maximum $8,573,850 modification (P00009) exercising the second one-year option period of a one-year base contract (SPE1C1-20-D-1244) with two one-year option periods for women’s poromeric and brown leather dress shoes. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is Virginia, with a March 11, 2023, ordering period end date. Using military service is Navy. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.

Notice of Intent to Sole Source Special Forces Clothing and Extreme Weather Clothing

On March 4, 2022, the U.S. General Servcies Administration announced that, in accordance with Federal Acquisition Regulation (FAR) Part 13, Simplified Acquisition Procedures, the General Services Administration, Federal Acquisition Service intends to award a purchase order on a sole source basis to Lost Arrow, Inc. for highly specialized equipment and supplies for the United States Special Forces to perform their missions. In particular specific men’s outerwear that is no longer manufactured for SOF missions is required in order to maintain consistency with outerwear currently being used. Procuring the equipment and supplies from Lost Arrow, Inc. would minimize the safety and security of existing SOF missions. See attachment A for the list of outerwear no longer manufactured.

USTR Request for Comments on the Proposed Fair and Resilient Trade Pillar of an Indo-Pacific Economic Framework

On March 10, 2022, the Office of the U.S. Trade Representative published in the Federal Register (87 FR 13789) Request for Comments on the Proposed Fair and Resilient Trade Pillar of an Indo-Pacific Economic Framework.

On October 27, 2021, President Biden announced that the United States would explore the development of an Indo-Pacific Economic Framework (IPEF) to deepen economic relations in the Indo-Pacific region and coordinate approaches to addressing global economic challenges. The Secretary of Commerce and the U.S. Trade Representative will co-chair the U.S. team leading the IPEF negotiations. The Office of the United States Trade Representative (USTR) will lead the IPEF's pillar on Fair and Resilient Trade, and the Department of Commerce will lead the IPEF's pillars on: (1) Supply Chain Resiliency; (2) Clean Energy, Decarbonization, and Infrastructure; and (3) Taxation and Anti-Corruption. Accordingly, USTR is seeking public comments on matters relevant to the Fair and Resilient Trade pillar, including U.S. interests and priorities, in order to develop U.S. negotiating objectives and positions and identify potential partners.

The deadline for the submission of written comments is April 11, 2022.

Tuesday, March 8, 2022

Central American Free Trade Agreement Webinar: Guatemala and the U.S.A.

On April 6, 2022 the Consul General of the Consulate General of Guatemala in Los Angeles and the U.S. Commercial Service will present a webinar on the U.S. free trade agreement with Guatemala.

Guatemala and the USA entered into the Central American Free Trade Agreement- DR on July 1, 2006. U.S. Textile and Apparel Companies benefited by increased market opportunities for U.S. yarn, fabric, apparel and footwear manufacturers. The agreement has resulted in increased two-way trade. This provides economic growth opportunities among both countries. U.S. manufacturers supply yarns and fabrics for the assembly of apparel. The apparel enters the U.S. duty free. Qualifying U.S. yarns and fabrics enter Guatemala duty-free. This allows for increased export opportunities. In addition investment in the region continually grows increasing exports between both Guatemala and the U.S. Nearly all textile and apparel products that meet the rule of origin of the Agreement are duty free. Yarn-forward requires that the yarn spinning and all operations “forward” occur in either the United States, Guatemala or the other countries in the region who are signatories to the CAFTA-DR.

Register HERE.

U.S. Dept. of Commerce Jennifer Knight to Keynote Smart Fabrics Summit

The Keynote for Smart Fabrics Summit 2022 will be Jennifer Knight who is the Deputy Assistant Secretary for Textiles, Consumer Goods, and Materials (TCGM) at the U.S. Department of Commerce. Knight leads the work of TCGM to advance the global competitiveness of the U.S. textile and manufacturing industries.

Read more or register HERE

Monday, March 7, 2022

Amendments to the FAR Buy American Act Requirements

On March 7, 2022, the U.S. Department of Defense, General Services Administration, and National Aeronautics and Space Administration published in the Federal Register (87 FR 12780) Amendments to the FAR Buy American Act Requirements.

Effective October 25, 2022, Domestic content requirement for the Buy America Act is increased from 55% to 60%. The domestic content requirement will increase to 65% for items delivered starting in calendar year 2024, and 75% for items delivered starting in calendar year 2029.

The action implements Executive Order 14005 of January 25, 2021.

The rules creates a framework an enhanced price preference for a domestic product for material that is considered a critical item. The list of critical items and enhanced price preference will follow in separate rule.

This does not modify the requirements of the Berry Amendment for Deparement of Defense procurement, nor the Department of Homeland Security Kissell Amendment.

Saturday, March 5, 2022

Ambassador Tai Outlines USMCA Priorities in Brookings Essay

On February 28, 2022, United States Trade Representative Katherine Tai outlined the Biden-Harris Administration’s vision for the United States – Mexico – Canada Agreement (USMCA) in a Brookings report examining key priorities to build a more competitive, inclusive, and sustainable North American economy. Ambassador Tai highlighted the landmark protections for workers and the environment, and emphasized the importance of using the Agreement’s innovative tools to deliver inclusive economic growth and meet the challenges of the 21st century.

The full text of the essay is available here.

Friday, March 4, 2022

Final Rule Amending the Federal Acquisition Regulation (FAR) to implement an Executive Order Addressing Domestic Preferences in Government Procurement.

In a Federal Register Notice scheduled to be published March 7, 2022, Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA) are issuing a final rule amending the Federal Acquisition Regulation (FAR) to implement an Executive order addressing domestic preferences in Government procurement.

This rule increases the domestic content threshold initially from 55 percent to 60 percent, then to 65 percent in calendar year 2024 and to 75 percent in calendar year 2029. See FAR 25.101(a)(2)(i) and 25.201(b)(2)(i). The initial increase to 60 percent will occur several months from publication of the final rule, to allow industry time to plan for the new threshold and to provide workforce training on the new fallback threshold.

This rule also allows, until one year after the increase of the domestic content threshold to 75 percent, for the use of the 55 percent domestic content threshold (i.e., the threshold in effect prior to the effective date of this rule) in instances where an agency has determined that there are no end products or construction materials that meet the new domestic content threshold or such products are of unreasonable cost. See FAR 25.106(b)(2) and (c)(2), and 25.204(b)(1)(ii) and (b)(2).

The rule provides for a framework through which higher price preferences will be applied to end products and construction material deemed to be critical or made up of critical components. A subsequent rulemaking will establish the definitive list at FAR 25.105 of critical items and critical components in the FAR, along with their associated enhanced price preference(s). When a final rule goes into place establishing the list and preference factors at 25.105, the higher price preference for critical items or critical components shall be used.

Biden Delivers Remarks on his Made in America Commitments

Thursday, March 3, 2022

Navy and Marine Running Suit Contract Awarded

SND Manufacturing, Dallas, Texas, has been awarded a maximum $8,422,794 modification (P00010) exercising the third one-year option period of a one-year base contract (SPE1C1-19-D-5038) with four one-year option periods for running suit jackets. This is an indefinite-delivery contract. Location of performance is Texas, with a March 17, 2023, ordering period end date. Using military services are Navy and Marine Corps. Type of appropriation is fiscal 2022 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.

Federal Prison Industry Awarded Army Jacket Contract

Federal Prison Industries, doing business as UNICOR, Washington, D.C., has been awarded a maximum $13,041,000 modification (P00007) exercising the second one-year option period of a one-year base contract (SPE1C1-20-D-F055) with two one-year option periods for physical fitness uniform jackets. This is an indefinite-delivery contract. Locations of performance are Florida and Washington, D.C., with a March 18, 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.

Identifying Export Market Opportunities

The U.S. Commercial Service, U.S. Department of Commerce, International Trade Administration, offers companies a full range of services to help U.S companies determine opportunities for exporting their products to foreign markets. They also work with U.S. companies to find international buyers and partners. Whether you are new to exporting or expanding to new markets, connect with your local Commercial Service Officer to find new sales channels, buyers, and partners.

Learn more HERE

Russia and Ukraine Textile and Apparel Trade Numbers

U.S. Textile and Apparel Imports 2021

U.S. Textile and Apparel Exports 2021

Wednesday, March 2, 2022

USTR Releases 2022 President’s Trade Policy Agenda and 2021 Annual Report

On March 1, 2022, Ambassador Katherine Tai and the Office of the United States Trade Representative delivered President Biden’s 2022 Trade Policy Agenda and 2021 Annual Report to Congress. This report details USTR’s work to implement the Biden Administration’s trade priorities and advanc a worker-centered trade policy.

Over the last year, Ambassador Tai and USTR, working with partners across the Biden Administration, have pursued a new approach to trade policy that empowers workers, defends their rights, and stops the global race-to-the-bottom. By reaching new and historic agreements with our allies, Ambassador Tai and USTR have revitalized important global partnerships and built coalitions around shared priorities and values.

Key elements of the 2022 Trade Policy Agenda and 2021 Annual Report include:

Standing up for Workers’ Rights: The Biden Administration’s worker-centered trade policy reflects our commitment to use our trade agreements, tools, and relationships to empower workers. We are working with our trading partners to support workers’ rights and stop the global race to the bottom. We will seek to establish new, high-standard commitments on labor rights under our current and new frameworks for trade. Strengthening labor rights will benefit American workers, as well as workers all over the world.

Accelerating Decarbonization and Promoting Sustainable Environmental Practices: Combating the climate crisis and promoting sustainable environmental practices are top priorities for the Biden Administration. For many years, trade has been seen as exacerbating these challenges. The same dynamic that has created a race to the bottom with respect to labor rights exists with respect to environmental protection.

Supporting U.S. Agriculture: The Biden Administration understands the importance of trade to U.S. farmers, ranchers, fishers, and food manufacturers. From 2000 to 2020, annual U.S. agricultural exports grew from $58 billion to $155 billion. Through our commitment to creating sustainable economic growth and establishing a level playing field, USTR is preserving and building on those gains. The Biden Administration is also focused on creating new opportunities for American agriculture, including using our existing Free Trade Agreements (FTAs) and Trade and Investment Framework Agreements (TIFAs) to support U.S. agriculture exports.

Bolstering Supply Chain Resiliency: Bolstering supply chain resiliency is a critical component of the Biden Administration’s efforts to advance our worker-centered trade policy and create sustainable economic growth. Supply chains are integral to the global trading system, and the COVID-19 pandemic and the associated disruption to the global economy have highlighted major vulnerabilities in our existing supply chains, as well as underscored the importance of promoting supply chain resiliency.

To begin addressing these challenges, President Biden signed Executive Order 14017 (America’s Supply Chains) last year, directing a whole-of-government approach to assess vulnerabilities in, and strengthen the resilience of, critical U.S. supply chains. Pursuant to the Executive Order, the Biden Administration conducted a 100-day review for four priority product areas: semiconductors, large capacity batteries, critical minerals and materials, and pharmaceuticals and active pharmaceutical ingredients.

Following the recommendations that emerged from the 100-day reports, the Biden Administration established an interagency Supply Chain Trade Task Force led by USTR. This task force is directed to identify both unfair foreign trade practices that have eroded U.S. critical supply chains and opportunities to use U.S. trade agreements and future trade agreements to strengthen the collective supply chain resilience of the United States and our trade partners. Combatting the COVID-19 Pandemic: Consistent with our trade policy agenda that recognizes that people are the core of our economy, USTR is working closely with a number of agencies to ensure that trade rules support, and do not impede, the global response to the COVID-19 pandemic. The Biden Administration is taking a whole-of-government approach to address the pandemic, at home and abroad. These efforts include COVID-19 vaccine donations through COVAX and other fora, investment in vaccine production and delivery infrastructure in underserved regions, and working with trading partners to identify obstacles and solutions – including through supporting a waiver of intellectual property protections for COVID-19 vaccines at the World Trade Organization (WTO), as well as measures to facilitate the flow of goods necessary to fight the pandemic.

Re-Aligning the U.S.-China Trade Relationship: The U.S.-China economic and trade relationship is one of profound consequence. As the two largest economies in the world, the bilateral relationship affects not just the two participants, but the entire globe. The Biden Administration acknowledges that this relationship is complex and competitive. With respect to trade, we can be both partners and competitors, but any competition must be fair. China’s approach to trade drives frictions in many of China’s trade relationships – not just ours. China, as a large, non-market economy, is uniquely able to engage in unfair, anticompetitive practices, which harm workers and businesses in the United States and in other countries, including some of our closest allies and partners. By unduly concentrating production of certain goods in China, these non-market practices also undermine supply chain resilience and harm consumers that, in the long run, are deprived of the innovation and choice that fair competition would produce.

Engaging with Key Trading Partners and Multilateral Institutions: Growing the middle glass, redressing inequality, and incentivizing climate and environmental action are goals we share with many of our trading partners. Working with others to craft trade policies that promote these goals reflects the American leadership that many of our trading partners are seeking. The Biden Administration is meeting the challenge.

Using trade policy as a tool to achieve these shared goals, USTR is stepping up its engagement with partners, allies, multilateral institutions and organizations. These actors and institutions play a pivotal role in cultivating any meaningful outcomes to address shared concerns. But to achieve a more resilient and just global economy, reform is necessary. The policies of the past contributed to contemporary challenges; we need different policies to achieve a different outcome.

Promoting Confidence in Trade Policy Through Enforcement: The Biden Administration is committed to vigorously enforcing our trade agreements as a critical element of pushing a global race to the top. Enforcement is a key component of our worker-centered trade policy agenda. We are using all of the tools at our disposal to combat unfair economic practices, defend American jobs, and create broad-based economic prosperity. American workers and businesses can compete with anyone when the playing field is level and competition is fair, and trade policy is an indispensable tool in achieving those goals. We are shaping a global trading system that enforces labor and environmental standards, protects intellectual property rights, and ensures that regulations are science-based and predictable.

Broad Engagement with Stakeholders to Facilitate Inclusive, Durable Trade Policy and Promote Equity: The Biden Administration is committed to thorough engagement as we develop and implement the President’s trade policy agenda. Inclusive engagement is a key component to ensuring that our policies are durable and equitable, as we recognize that a common shortfall of previous trade policy decisions is a failure to engage with communities that will be affected by those decisions. As such, the Biden Administration will continue to give all stakeholders a seat at the table as we evaluate and make these decisions.

Unsafe Levels of Carcinogen Found in Masks

On February 28, 2022, Ecotextile News reported that titanium dioxide particles have been found in the fibres of face masks used to control the COVID-19 pandemic at levels posing a risk to human health, according to a new study by the Belgian national public health institute, Sciensano.

Read more HERE.

Proposed Modification of Ruling Letter Relating to the Classification of Belts

In NY N025677, CBP classified two belts in heading 9505, HTSUS, specifically in subheading 9505.90.60, HTSUS, which provides for “Festive, carnival or other entertainment articles, including magic tricks and practical joke articles; parts and accessories thereof: Other: Other.” Rate of duty ZERO.

CBP has reviewed NY N025677 and has determined the ruling letter to be in error. It is now CBP’s position that the two belts are properly classified, in heading 6117, HTSUS, or heading 6217, HTSUS, depending on whether the backing fabric is knit or not knit. If the backing fabric is knit, then the subject belts are classified in subheading 6117.80.95, HTSUS, which provides for “Other made up clothing accessories, knitted or crocheted; knitted or crocheted parts of garments or of clothing accessories: Other accessories: Other: Other.” Rate of duty 14.6%. If the backing fabric is not knit, then the subject belts are classified in subheading 6217.10.95, HTSUS, which provides for “Other made up clothing accessories; parts of garments or of clothing accessories, other than those of heading 6212: Accessories: Other: Other.” Rate of Duty 14.6%.

Comments must be received on or before April 1, 2022.

Read more HERE, beginning on Page Six.

European Commission Accepting Comments on Microplastics in the Environment

On February 22, 2022, the European Commission invited public comments on how best to reduce the amount of unintentionally released microplastics into the environment. This public consultation supports the Commission’s initiative on reducing microplastics pollution, as part of its Circular Economy Action Plan and Zero Pollution Action Plan. The consultation focusses on sources known to release the largest quantity of microplastics, such as plastic pellets, synthetic textiles, and tires.

Read more HERE.