INTERNATIONAL BUSINESS AND TRADE

Dumping

Canada:

The Canada Border Services Agency (CBSA) found that the Chinese government improperly influences domestic practices of solar energy equipment leading to dumping of its exports in Canada at subsidized prices (32 ITR 616; 3/26/15). 

The CBSA assessed provisional duties of up to 286% on energy equipment exported from China on the basis that a preliminary determination that the goods were dumped at subsidized prices (32 ITR 530; 3/12/15).  

Brazil:

Definitive anti-dumping duties were leveled on imports of presensitized aluminum plates for offset printing coming from the U.S., EU, China, Hong Kong and Taiwan as determined by the Foreign Trade Chamber (CAMEX) (32 ITR 533; 3/12/15).    

Import Policy

U.S.:

The U.S. and New Zealand jointly launched a challenge to the World Trade Organization against Indonesia agricultural import restrictions (32 ITR 611; 3/26/15).  

INTERNATIONAL AGREEMENTS AND INVESTMENT

Countervailing Duties

U.S.:

Imports of Canadian supercalendered paper will be investigated to determine whether they are subject to countervailing government subsidies (32 ITR 597; 3/26/15).  

Customs

Canada:

A new preclearance agreement was signed between Canada and the U.S. covering all modes of transportation which is expected to reduce congestion at the border once implemented (32 ITR 564; 3/19/15).

Foreign Investment

U.S.:

Chinese investors were subject to more U.S. national security reviews by the U.S. Treasury Department Committee on Foreign Investment in the U.S. (CFIUS) compared with other countries under the inter agency group to ensure compatibility with national trade policy and security (32 ITR 476; 3/5/15).

LEGISLATIVE DEVELOPMENTS

Data Privacy Exports from EU

EU:           

The legality of the U.S. – EU Safe Harbor Program is at risk in the case being argued before the European Court of Justice (Schrems v. Data Protection Comm’r, E. C. J., No. C-362/14; 3/24/15) on the grounds of privacy concerns since the program is being challenged as illegal (32 ITR 602; 3/26/15).  

Export Control

U.S.:        

The Commerce Department Bureau of Industry and Security (BIS) amended the Export Administration Regulation (EAR) clarifying changes to the support document requirements for a license applications in Part 748 of the ERA concerning general instructions for applications and support documents, end-user statements for PRC, statements by an ultimate consignee and purchaser, Firearms Convention Import Certificates and the granting of an exception to support documents required (80 Fed. Reg. 13210, March 13, 2015; 32 ITR 545; 3/19/15).

BIS is seeking comments to inform whether the regulatory changes in the EAR for aircraft and gas turbine engines are clear and effective focusing on inadvertently controlled items ordinarily used in normal commerce, accounting for technological developments as properly regulated and implementing the national security and foreign policy objectives of the Export Control Reform effort of the administration (80 Fed. Reg. 11315 at (33 ITR 458; 3/5/15).  

Energy Export

U.S.:            

H.R. 702 would repeal the 40-year old ban on most crude oil exports and is under debate by the House Foreign Affairs Committee (32 ITR 565; 3/19/15).  

Export Financing

U.S.:           

S. 824 would extend the Export-Import Bank through 2022 to increase the lending cap by $20 billion over a 7-year timeframe and help small businesses sell their products overseas (32 IPR 589; 3/26/15).  

LEGAL DEVELOPMENTS

Trade

U.S.:

The International Trade Commission (ITC) did not issue seizure orders on imported products on the grounds that the patent allegedly infringed did not cover the accused goods, was invalid and no domestic industry was protected by the patent (LSI Corp. v. U.S. Int’l Trade Comm., Fed. Cir. No. 2014-1410, 3/20/15; 32 ITR 590; 3/26/15).    

Export Control

U.S.:

An individual accused of conspiring to ship a magnetic resonance imaging (MRI) machine component to Iran in violation of U.S. export controls will face conspiracy counts for export violations (U.S. v. Mazemzadeh, 2015 BL 72402, S.D. Cal., No. 3; 11-CR-05726-L, 3/17/15; 32 ITR 598; 3/26/15).                     

A Taiwanese business man was extradited from Estonia to the United States and sentenced to 2 years for conspiracy to illegally export specialized machinery to North Korea that could have been used to fabricate weapons of mass destruction (WMD) with the actions arising after the Office of Foreign Assets Control (OFAC) designated him and two of his companies as proliferators of WMD (32 ITR 572; 3/19/15).   

NAFTA

U.S.:

The Canadian government violated the investor state non-discrimination provisions in the North American Free Trade Agreement (NAFTA) by rejecting an environmental claim of Bilcon of Delaware, Inc. to expand an existing operation in Nova Scotia according to the International Arbitration Tribunal (Bilcon of Delaware, Inc. v. Canada, Permanent Court of Arbitration, No. 2009-04, 3/17/15; 32 ITR 614; 3/26/15).

Customs

Canada:

Canadian International Trade Tribunal (CITT) rejected the appeal of Volpak, Inc. regarding the Canada Border Services Agency (CBSA) refusal to provide duty free access to chicken imported from the U.S. for processing and re-export to the U.S. (Volpak Inc., v. CBSA, CITT, No. AP/2012-009, 12015; 32 ITR 566; 3/19/15).

Valuation

Canada:

A Canadian Court rejected an appeal by Skechers U.S.A. Canada Inc. to a CBSA decision to include all research and development cost paid by Skechers to its U.S. parent company when the agency set the duty of all valuables where purchases (Skechers U.S.A. Canada Inc., v. CBSA, Federal Court Appeal, No. A-121-14, 3\2\15; 32 ITR 568; 3/19/15).

EXPORTS SANCTIONS AND PROCUREMENT

Sanctions

EU:

EU leaders have agreed to extend the current measures adopted in 2014 to apply trade and economic sanctions against Russia until it complies with all the terms of the Minsk II Peace Agreement which calls for Ukraine to regain control of its eastern border with Russia by the end of the year 2015 (32 ITR 605; 3/26/15).

U.S.:

The U.S. Administration issued expanded U.S. sanctions against Venezuelan officials targeting persons responsible for eroding human rights, persecution of opponents and curtailing press freedoms and instituting violence against the protestors (32 ITR 531; 3/12/15).