Vol 44 No. 29 July 15, 2024

The chair of the World Trade Organization’s Doha rules negotiating body has issued a draft text on addressing fisheries subsidies that contribute to overcapacity and overfishing.  The genesis of this latest text appears to be the result of bilateral and small group meetings with the chair and select members said people familiar with the discussions. The seven-page draft text issued on Wednesday is based on a two-tier, hybrid approach of sustainability criteria. It highlights the proposal from the United States on forced labor in fishing activities. Our correspondent notes the chair provided a major carve-out to the two big subsidizers- the European Union and China- to continue their distant water fishing. As deals are being struck, it is expected that China will accept Article B.5, opts out from S&DT in exchange for the United States dropping the forced labour provision, said people familiar with the negotiations.

Treasury's Office of Foreign Assets Control (OFAC) is releasing the second video in its “OFAC Basics” video series, "My Funds Are Blocked, Now What?" This video provides viewers with guidance on what it means when funds are blocked in connection with OFAC sanctions, as well as recommended steps for what to do if your funds have been blocked. 

The Commerce Department is updating its trade remedy regulations regarding the administration of the antidumping and countervailing duty laws, formalizing the tariff treatment of non-market economies. The proposed rewrite covers 28 sections of the Tariff Act of 1930, as amended. Areas impacted include the collection of cash deposits, the application of antidumping rates in non-market economy proceedings, calculation of an all- others’ rate, selection of examined respondents, and attribution of subsidies received by cross- owned input producers and utility providers to producers of subject merchandise.

Commerce’s Bureau of Industry and Security (BIS) published guidance outlining the different actions that BIS takes to inform industry and academia about parties – beyond those identified on public screening lists like the Entity List – that present risks of diversion of items subject to BIS export controls to countries or entities of concern. Thew guidance also contains a new recommended best practice asking that exporters, reexporters, and transferors of Common High Priority List (CHPL) items screen transaction parties using online resources made newly available by the Trade Integrity Project (TIP).

The United States and Mexico are taking new steps to prevent China and other countries from working their way into Mexico’s supply chains to avoid paying Section 232 tariffs on steel and aluminum by implementing a new rules of origin. Under the new rules for steel, imports from Mexico will be subject to the 25 percent Section 232 tariff unless it has been melted and poured in either Mexico, Canada or the United States. A similar “smelt and cast” requirement is being put in place for aluminum from Mexico. Specifically, the imports must not have been smelt or cast in China, Russia, Belarus or Iran if they are to be exempt from the 10 percent Section 232 tariff.