The Enforce and Protect Act (“EAPA”), signed into law as part of the Trade Facilitation and Trade Enforcement Act of 2015, established procedures for a wide variety of stakeholders to submit allegations of evasion of antidumping and countervailing duties to U.S. Customs and Border Protection (“CBP”).  After several years, it appears this new tool for addressing evasion of duties has started to take off.

CBP’s Trade and Travel Report for Fiscal Year 2018 relates a significant uptick in the agency’s investigative work stemming from EAPA allegations.  In particular, CBP received nearly double the allegations in fiscal year 2018 that it received in fiscal year 2017.  The agency also issued final determinations in 12 investigations, up from only 1 the year before.  Despite the uptick in work, CBP touts having “met every statutory deadline for all EAPA investigations,” even rendering decisions ahead of statutory deadlines in some cases, and proclaims that this process has “proven to be a success{}.”  CBP’s bullish outlook should encourage even more stakeholders to come forward with allegations and to participate in the process.
Continue Reading

On July 10, U.S. Trade Representative Robert Lighthizer announced that his office will investigate under Section 301 of the Trade Act of 1974 (“Section 301”) whether France’s new digital tax law unfairly targets American businesses and restricts American commerce.  Section 301 affords the USTR broad authority to investigate and respond to unfair trade practices of

If you watched the first Democratic Presidential candidates debate for a discussion of the candidates’ positions on trade, you are likely to be disappointed. The differences among the Democratic candidates and between them and President Trump will undoubtedly emerge as the campaign proceeds, but the first round of debates shed little light on their positions.

On Friday, May 17th, the Trump Administration announced that it has reached a deal with Canada and Mexico to eliminate national security-focused Section 232 tariffs on steel and aluminum (at 25 percent and 10 percent, respectively) from Canada and Mexico.  According to a joint statement by the United States and Canada, US.

In response to Congressional concerns, the U.S. Government Accountability Office (“GAO”) has agreed to review the process by which the U.S. Department of Commerce (“Commerce”) has been processing steel and aluminum tariff exclusion requests.  On March 8, 2018, President Trump imposed a 25 percent tariff on steel imports and a 10 percent tariff on aluminum

On May 23, 2018, Commerce Secretary Ross initiated an investigation into whether imports into the United States of automobiles and auto parts threaten to impair the national security.  A link to the press release announcing the initiation of the investigation is available here.

As it did during its recent 232 investigations concerning U.S. imports

Last week, South Korea requested consultations with the United States at the WTO, launching a significant dispute that challenges both individual investigations and administrative reviews conducted by the Commerce Department, as well as broader aspects of U.S. antidumping and countervailing duty law.  Korea’s broader “as such” challenge targets provisions of U.S. law, including the 2015

On February 14, Senators Gary Peters (D-MI) and Richard Burr (R-NC) jointly introduced the S. 2427, the Self-Initiations Trade Enforcement Act.  If enacted, the legislation would give the Department of Commerce greater leniency to self-initiate investigations of unfair trade practices that harm U.S.  producers by creating a permanent taskforce at the International Trade

On Friday, February 16, 2018, Secretary Ross released public versions of the U.S. Department of Commerce’s reports concerning the agency’s section 232 investigations into the impact on national security of steel and aluminum imports. As a result of its investigations, the Department of Commerce has determined that imports of steel and aluminum “threaten to impair the national security.”

The Secretary’s press release presents the agency’s key findings and lists the agency’s various recommended remedies.  With respect to steel imports, the Department of Commerce recommends three alternative options to the President:

  1. A global tariff of at least 24% on all steel imports from all countries, or
  2. A tariff of at least 53% on all steel imports from 12 countries (Brazil, China, Costa Rica, Egypt, India, Malaysia, Republic of Korea, Russia, South Africa, Thailand, Turkey and Vietnam) with a quota by product on steel imports from all other countries equal to 100% of their 2017 exports to the United States, or
  3. A quota on all steel products from all countries equal to 63% of each country’s 2017 exports to the United States.

With respect to aluminum imports, the Department of Commerce recommends three alternative options to the President:
Continue Reading

Earlier this month, the U.S. Court of Appeals for the Federal Circuit (“Federal Circuit”) denied an appeal by Capella Sales & Services Ltd., an importer of aluminum extrusions from China, in which the company challenged the countervailing duty margin applied to its entries at liquidation, arguing that a lower rate should have been applied by U.S. Customs and Border Protection.

Capella did not participate in U.S. Department of Commerce’s (“Commerce”) 2011-2012 administrative review of aluminum extrusions from China.  As a result, its entries were subject to the 374.15% “all others” rate under the countervailing duty order.  In connection with other litigation, the 374.15% “all others” rate was reduced to 7.37% in October 2015 based on challenges brought by several other importers of aluminum extrusions. 
Continue Reading