Tuesday, October 31, 2023

Statement from Ambassador Katherine Tai on the African Growth and Opportunity Act Eligibility Review

On October 31, 2023, the Office of the U.S. Trade Representative announced that President Biden decided to reinstate African Growth and Opportunity Act (AGOA) trade preference program benefits for one country, Mauritania, and to terminate benefits for four countries – the Gabonese Republic (Gabon), Niger, the Central African Republic, and the Republic of Uganda (Uganda) – effective January 1, 2024.

Economic Adjustment Assistance for Cotton Textile Mills

On Ocotber 31, 2023, the Agricultural Marketing Service published in the Federal Register (88 FR 74330) Economic Adjustment Assistance for Textile Mills.

The Agricultural Marketing Service (AMS) revises the regulation providing guidance for domestic manufacturers that consume Upland Cotton and voluntarily participate in the Economic Adjustment Assistance for Textile Mills Program. The revisions add definitions and codify certain participant responsibilities currently outlined in the existing user Agreement. The changes made by this rule are intended to strengthen management controls that have been added into the Agreement to prevent fraud, waste, and abuse. This action provides the necessary legal support for program administration.

Monday, October 30, 2023

Proposed Modification of One Ruling Letter and Proposed Revocation of Treatment Relating to the Tariff Classification of Woven Upholstery Fabric

In the Octobe 11, 2023 Customs Bulletin (VOL. 57, NO. 37), CBP gave notice of Proposed Modification of One Ruling Letter and Proposed Revocation of Treatment Relating to the Tariff Classification of Woven Upholstery Fabric.

In Ruling Leter NY N319028 of April 30, 2021, CBP classified various woven upholstery fabrics in heading 5903, HTSUS, specifically in subheading 5903.90.25, HTSUS, which provides for “Textile fabrics impregnated, coated, covered or laminated with plastics, other than those of heading 5902: Other: Of man-made fibers: Other: Other.” The rate of duty is 7.5%. CBP has reviewed NY N319028 and has determined the ruling letter to be in error. It is now CBP’s position that a certain woven upholstery fabric, Style J1819 (Fringe), is classified in heading 5515, HTSUS, and specifically within sub-heading 5515.12.00, HTSUS, which provides for “Other woven fabrics of synthetic staple fibers: Of polyester stable fibers: Mixed mainly or solely with man-made filaments.” The rate of duty is 12%.

The subject fabrics have been coated with an acrylic coating. At issue is whether they are coated fabrics of Chapter 59, HTSUS, and whether, pursuant to Note 2(a)(1) to Chapter 59, HTSUS, they are products of heading 5903, HTSUS. Heading 5903, HTSUS, provides for the classification of “[t]extile fabrics impregnated, coated, covered or laminated with plastics, other than those of heading 5902.” According to Note 2(a)(1) to Chapter 59, for a fabric to be considered coated within the meaning of heading 5903, HTSUS, the coating must be visible to the naked eye (whatever the nature of the plastic material), but no account is to be taken of changes in color. Therefore, to determine whether these fabrics are classifiable in heading 5903, HTSUS, we must determine whether they are visibly coated with plastic.

Application of the tariff provision relating to coated textiles has the subject of several CBP rulings and at least one court case. Agathon Associates clients can read more at (email David Trumbull at david@agathonassociates.com for the password

Low Melt Polyester Staple Fiber From South Korea and Taiwan

On October 27, 2023, the U.S. International Trade Commission published in the FEderal Register (88 FR 73870) [Investigation Nos. 731–TA–1378–1379 (Review)] Low Melt Polyester Staple Fiber From South Korea and Taiwan; Scheduling of Expedited Five-Year Reviews.

PTFE Countervailing Duty Investigation; Notice of Amended Final Determination and Amended Countervailing Duty Order

On October 30, 3023, the International Trade Administration published in the Federal Register (88 FR 74153) Granular Polytetrafluoroethylene Resin From India: Notice of Court Decision Not in Harmony With the Final Determination of Countervailing Duty Investigation; Notice of Amended Final Determination and Amended Countervailing Duty Order.

Thursday, October 26, 2023

Standard for the Flammability of Clothing Textiles

On October 25, 2023, the Consumer Product Safety Commisstion published in the Federal Register (88 FR 73221) Standard for the Flammability of Clothing Textiles

SUMMARY: The U.S. Consumer Product Safety Commission (Commission or CPSC) is amending the Standard for the Flammability of Clothing Textiles. The revisions clarify existing provisions, expand permissible equipment and materials for testing, and update equipment requirements that are outdated. The Commission issues this amendment under the authority of the Flammable Fabrics Act.

DATES: This rule is effective on April 22, 2024. The incorporation by reference of the publication listed in this rule is approved by the Director of the Federal Register as of April 22, 2024.

FY 2023 textile enforcement stats show CBP’s efforts to protect American industry

On October 25, 2023, U.S. Customs and Border Protection released fiscal year 2023 textile enforcement statistics. The data reflects robust enforcement efforts that protect American workers and legitimate importers by taking action against unlawful textile imports that attempt to circumvent U.S. trade laws, including those related to U.S. trade agreements.   

In FY 2023, CBP seized more than 5,000 textile shipments valued at more than $129 million, issued approximately $67.2 million in commercial fraud penalties, and conducted audits that identified over $2 million in additional duty owed to CBP. Additionally, CBP conducted laboratory analysis on 323 shipments, 42% of which were found to be mis-declared or mis-described when arriving to the United States. CBP also conducts verification visits internationally to factories that export textiles and apparel to the United States to verify origin and ensure compliance with preferential duty treatment claimed on imports. In FY 2023, CBP conducted 57 factory verification visits through its Textile Production Verification Team program resulting in approximately $340,000 in duties recovered and potential additional enforcement actions. 

“The textile industry is crucial for the health of the American economy, employing more than half-a-million people in this country,” said AnnMarie R. Highsmith, Executive Assistant Commissioner for CBP’s Office of Trade. “It’s not lost on us that the work we do has a direct impact on the jobs and livelihoods of so many Americans and their families – it’s why we get up in the morning.”  

Read more HERE.

Combat Glove Contract Awarded

October 25, 2023, Propper International Inc., Cabo Rojo, Puerto Rico, has been awarded a maximum $40,606,200 fixed-price, indefinite-delivery/indefinite-quantity contract for advanced combat gloves. This was a competitive acquisition with 10 responses received. This is a five-year contract with no option periods. The ordering period end date is Oct. 24, 2028. Using military service is Army. Type of appropriation is fiscal 2024 through 2029 defense capital working funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-24-D-0011).

Women's Service Dress Coat Contract Awarded

October 23, 2023, Hardwick Tactical Corp.,* Cleveland, Tennessee, has been awarded a maximum $14,560,277 firm-fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract for women’s service uniform dress coats. This was a competitive acquisition with five responses received. This is a five-year contract with no option periods. Location of performance is Puerto Rico, with an Oct. 22, 2028, ordering period end date. Using military service is Army. Type of appropriation is fiscal 2024 through 2029 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-24-D-0005).

*Small Business

Friday, October 20, 2023

Cold Weather Socks Contract Awarded

October 17, 2023, FRM Socks LLC, doing business as Fox River, Osage, Iowa, has been awarded a maximum $8,393,220 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for the cold weather socks system. This was a competitive acquisition with three responses received. This is a one-year base contract with two one-year option periods. The ordering period end date is Oct. 16, 2024. Using military services are Army and Air Force. Type of appropriation is fiscal 2024 through 2025 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-24-D-0004).

Army Service Uniform Dress Coat Contract Awarded

October 16, 2023, Hardwick Tactical Corp.,* Cleveland, Tennessee, has been awarded a maximum $26,724,198 firm-fixed-price with economic price adjustment, indefinite-delivery/indefinite-quantity contract for men’s service uniform dress coats. This was a competitive acquisition with five responses received. This is a five-year contract with no option periods. Location of performance is Puerto Rico, with an Oct. 15, 2028, ordering period end date. Using military service is Army. Type of appropriation is fiscal 2024 through 2029 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-24-D-0001).

*Small Business

Thursday, October 12, 2023

YourHealthToolkit Recalls Children’s Weighted Blankets Due to Asphyxiation Hazard; Sold Exclusively on Amazon.com

This recall involves 36-inch by 48-inch children’s 5-pound weighted blankets sold exclusively on Amazon.com. The blankets have a zipper pouch. The blankets were sold in aqua blue on one side and gray on the other with fabric quilting and raised fabric dots, and have a YourHealthToolkit (YHT) logo attached as a hangtag to the seams of the blanket.

Remedy: Consumers should immediately stop using the children’s weighted blankets and contact Amazon to receive a full refund. YourHealthToolkit is contacting all purchasers directly via Amazon with instructions on how to disable all product functionality or return the product.

Incidents/Injuries: None reported

Sold At: Online on Amazon.com from January 2020 through March 2020 for between $25 and $40.

Importer(s): YourHealthToolkit LLC, of Columbus, Ohio

Manufactured In: China

Recall number: 24-702

More information and photos HERE

Little Sleepies Recalls Sleepyhead Loveys and Bandana Bibs Due to Choking Hazard

This recall involves the Little Sleepies Sleepyhead Lovey and Bandana Bib. The recalled Sleepyhead Loveys are intended to be used by babies and toddlers as a security blanket. The recalled Bandana Bibs are intended to be worn by babies during mealtime to protect clothing, as well as for drooling or teething babies and toddlers. The products come in a variety of colors and patterns.

Remedy: Consumers should immediately take the recalled Sleepyhead Loveys and Bandana Bib away from children and remove the care instruction label to eliminate the hazard or, if consumers do not wish to remove the label, they can return the products using pre-paid shipping from the company for a full refund.

Incidents/Injuries: The company received two reports of care instruction labels becoming detached from the recalled Lovey. No injuries have been reported.

Sold At: Online at www.littlesleepies.com and at boutique stores nationwide from February 2021 through September 2023 for between $12 and $48.

Distributor(s): Litt China

Recall number: 24-007

More information and photo HERE

Wednesday, October 11, 2023

Negotiation of a Reciprocal Defense Procurement Agreement With the Republic of India

On October 10, 2023, the Defense Acquisition Regulations System published in the Federal Register (88 FR 6991) Negotiation of a Reciprocal Defense Procurement Agreement With the Republic of India

  • Would waive the Buy American statute and the Balance of Payments Program
  • Berry Amendment (10 U.S.C. 4862) requirement for chemical warfare protection clothing would be waived
  • Otherwise Berry would not be affected

Shelter Contract Awarded

October 6, 2023, Exxel Outdoors LLC,* Broomfield, Colorado (SPE1C1-23-D-0066, $200,000,000), has been added as an awardee to the multiple award contract for commercial shelters, issued against solicitation number SPE1C1-22-R-0069 and awarded July 17, 2023.

*Small business

Thursday, October 5, 2023

Children’s Blanket Sleepers and Robes Recalled by International Intimates Due to Burn Hazard and Violation of Federal Flammability Standards

Description: This recall involves Rene Rofe Girl Children’s Blanket sleepers and hooded robes. The 100% polyester blanket sleepers and robes were sold in sizes for ages 6 - 14 years. The size, “Rene Rofe Girl,” Style # 426989 or 436989, PO #JZJ0005, washing instructions and Date 6/1 are printed on the neck label. One of the following GPU #’s are also listed ACG2103, ACG2101, ACG2106, ACG2107, ACG2104, ACG2109, ACG2105, ACG2102, ACG2108, ACG2112, ACG2110, ACG2115, ACG2116, ACG2113, ACG2118, ACG2114, ACG2111, ACG2117.

Remedy: Consumers should immediately take the recalled blanket sleepers and robes away from children, stop using them and contact International Intimates for a full refund. Consumers should destroy the garments by cutting them in half and send International Intimates a photo of the destroyed recalled product by email at recall@renerofe.com. Upon receipt of the photo, consumers will be issued a full refund of the purchase price.

Incidents/Injuries: None reported

Sold At: Online at Amazon.com, Fashionnova.com, Ruelala.com and at children’s clothing stores nationwide from November 2021 through January 2023 for about $15.

Importer(s): International Intimates Inc., of New York

Manufactured In: China

Recall number: 24-004\

More information and photos HERE.

Advisory Committee on Supply Chain Competitiveness: Notice of Public Meeting

On September 29, 2023, the International Trade Administration published in the Federal Register (88 FR 67233 Advisory Committee on Supply Chain Competitiveness: Notice of Public Meeting.

The meeting will be held on October 25, 2023.

Matters To Be Considered: Committee members are expected to continue discussing the major competitivenessrelated topics raised at the previous Committee meetings, including supply chain resilience and congestion; trade and competitiveness; freight movement and policy; trade innovation; regulatory issues; finance and infrastructure; and workforce development. The Committee’s subcommittees will report on the status of their work regarding these topics.