Last April, the United States Trade Representative (“USTR”) initiated an investigation to enforce U.S. rights stemming from a World Trade Organization (“WTO”) ruling concerning the European Union’s (“EU”) provision of illegal subsidies on the manufacture of large civil aircraft.
In the notice initiating that investigation, USTR proposed imposing additional ad valorem duties of up to 100 percent on certain imports from the EU. USTR also provided a list of proposed tariff headings covering an estimated $21 billion in trade value that might be subject to increased duties.
In May, USTR solicited comments and held a hearing concerning the list of products to be subject to retaliatory duties and the level of duties to be applied, among other issues. A number of commenters urged USTR to consider retaliatory duties on additional products not included on the April 12 list.
Pursuant to these comments, USTR has proposed a second list of products covering an estimated trade value of $4 billion. The new list covers a variety of food items, including meats, cheeses, olives, fruits, coffee, pasta, waffles, and whiskey. It also covers certain chemicals, including ammonia, urea, as well as metals, including ferrovandium, cast iron pipes and tubes, copper and copper based alloys.
USTR is again seeking public comment concerning the new list of products, the level of ad valorem duties that should be applied, and whether duties on products covered by the new list might have an adverse effect upon U.S. stakeholders. The notice, which will be published in the Federal Register in the coming days, provides the following deadlines:
- Requests to appear at an August 5, 2019 public hearing, as well as a summary of the testimony must be submitted by July 24, 2019;
- Written comments are due on August 5, 2019;
- The public hearing will be held on August 5, 2019 at U.S. International Trade Commission in Washington, DC; and
- Post-hearing rebuttal comments are due on August 12, 2019.
Please contact the Kelley Drye team if your company requires assistance in participating in these proceedings.