February 05, 2009
International Law Bulletin - Vol. 15, No. 1
INTERNATIONAL BUSINESS AND TRADE
Imports
Brazil: The Foreign Trade Department (DEX) announced an unexpected return to import controls covering an estimated 70% of commodities brought into the country (26 ITR 162; 1/29/09)
U.S.: The Food and Drug Administration (FDA) released draft guidelines for industry on steps importers can take to insure imported products are in compliance with applicable U.S. statutes and regulations (Good Import Practices www.fda.gov) (26 ITR 68; 1/15/09)
Automotive
China: The central government unveiled a stimulus plan for its ailing auto industry including sales tax reductions and spending measures to increase car production (26 ITR 99; 1/22/09)
Japan: The Japan Automobile Importers Association reported a 34 year low in foreign car sales in Japan declining between 16 and 17 percent from the prior year (26 ITR 101; 1/22/09)
Consumer Safety
India: The U.S. FDA opened an office in Mumbai, India to improve the safety of imported drugs, devices and food brought into the United States (26 ITR 100; 1/22/09)
Customs
Russia: The Russian Federal Custom Service (FCS) will join forces with the World Customs Organization (WCO) to improve institutions in post-Soviet era states (26 ITR 156; 1/29/09)
Imports
Canada: The Federal Department of Finance (DF) is removing duties on imports of a range of manufacturing inputs to provide support for the Canadian manufacturing sector (26 ITR 24; 1/1/09)
Dumping
U.S.: The International Trade Commission (ITC) found that U.S. industry is materially injured by innerspring imports the Commerce Department found to be dumped at less than fair value (Uncovered Innerspring Units from China, ITC; 26 ITR 165, 1/29/09)
The Commerce Department International Trade Administration (ITA) announced an affirmative final determination in the anti-dumping and countervailing duty investigation on imports of circular welded austenitic stainless pressure pipe from China (Stainless Steel Pressure Pipe from China, ITA 26 ITR 166; 1/29/09)
The ITA preliminarily found that China is dumping certain tow-behind lawn groomers and parts in the U.S. (Tow-Behind Lawn Groomers from China, ITA; 26 ITR 166, 1/29/09)
The ITA preliminarily found that China is dumping certain tow-behind lawn groomers and parts in the U.S. (Tow-Behind Lawn Groomers from China, ITA; 26 ITR 166, 1/29/09)
INTERNATIONAL AGREEMENTS AND INVESTMENTS
Bilateral Agreements
U.S.: A trade and investment agreement was signed with Iceland to provide a forum for expanding and strengthening bilateral trade and domestic relations between the countries (26 ITR 97; 1/22/09)
The U.S. Administration proclaimed entry in force of the U.S.-Peru Free Trade Agreement effective February 1, 2009 despite misgivings about compliance with labor obligations (26 ITR 102; 1/22/09)
An agreement was established with the United Arab Emirates (UAE) to establish a frame work for a peaceful civil nuclear cooperation allowing U.S. exporters to supply equipment and services to the Persian Gulf State to develop a nuclear power industry (26 ITR 105; 1/22/09)
Intellectual Property
WTO: The World Trade Organization (WTO) published a dispute panel ruling in a complaint filed by the U.S. against Chinese measures to enforce the protection of intellectual property rights agreeing with the U.S. that Article 4 of the Copyright Law of China is inconsistent with Article 9.1 of the TRIPS Agreement by denying copyright protection and enforcement to works that have not been authorized for publication or distribution within China (26 ITR 158; 1/29/09)
Export Controls
U.S.: An agreement has been completed with China that will clear the way for implementation of the program designed to ease controls on exports of some U.S. high technology products to specified end users known as the Validated End-User (VEU) Program (26 ITR 65; 1/15/09)
Agriculture
U.S.: A five year meat Protocol addressing quotas for pork and beef trade between U.S. and Russia was signed to adjust the quota for products destined to the Russia Federation (26 ITR 45; 1/8/09)
Textiles
U.S.: The U.S. Administration issued the proclamation modifying rules of origin for textiles under the U.S.-Australia Free Trade Agreement to amend the rule of origin for certain yarns of viscose rayon fiber (26 ITR 49; 1/8/09)
Foreign Investment
U.S.: The Foreign Investment National Security Act of 2007 (FINSA) rules went into effect December 22, 2008 to revamp the vetting of foreign direct investment in U.S. companies where the prospect of a national security risk exists (73 Fed. Reg. 70702; December 8, 2008; 26 ITR 8; 1/1/09)
LEGISLATIVE & LEGAL DEVELOPMENTS
Trade:
U.S.: H.R.4996 (The Trade Enforcement Act 2009) would revive the Super 301 “provision” creating an office of Congressional Trade Enforcer and require the USTR to identify “priority foreign countries” with unfair trade barriers (26 ITR 91; 1/22/09)
H.R. 494 would amend the Trade Act of 1974 to require the Secretary of Labor to certify a group of workers in a subdivision of a firm as eligible to apply for assistance under the Trade Adjustment Assistance (TAA) Program if the subdivision is a seller of articles of the firm that employed a group of workers who received a certification of eligibility under the program and the sales that related to that article are the basis for certification (26 ITR 133; 1/22/09)
The Senate Finance Committee would extent trade adjustment assistance program for two years and allow U.S. companies that receive payments under the Byrd Amendment to retain those payments under the provisions of S.1 (26 ITR 147; 1/29/09)
Agriculture
U.S.: The USDA final rule mandating Country of Origin Labeling (COOL) required on meat, fish and commodities will take effect 60 days after publication on March 16, 2009 (26 ITR 66; 1/15/09)
Export Controls
U.S.: The Bureau of Industry and Security (BIS) requests comments on the effects of U.S. export controls on the decisions of foreign manufacturers to use U.S. parts and components (74 Fed. Reg. 263; 1/5/2009; 26 ITR 41; 1/8/09)
Dumping
U.S.: The U.S. Supreme Court ruled that Separate Work Unit (SWU) contracts entered into by utilities and companies that enrich uranium feedstock for contracts are covered by the anti-dumping statute. The effect of the ruling was to answer the question as to when an import transaction involves a sale of merchandise rather than a sale of services which analysis was based upon determining the value of the product compared to the total value of the transaction and whether there was a “substantial transformation” in the process. The decision has importance beyond the anti-dumping context by providing clarification that the application of this regulatory statute to a transaction can not be limited by the intent of the parties and agency deference will be considered when the statutory term is used in a particular context (United States v. Eurodif S.A.; USEC, Inc. v. Eurodif S.A., U.S. Nos. 07-10-59 and 07-10-78; 1/26/09; 26 ITR 140; 1/29/09)
Sources: IR - Interpreter Releases, Federal Publications, Inc.; Financial Times (FT); ITR - International Trade Reporter, Bureau of National Affairs, Inc.; IB-Bender’s Immigration Bulletin; ILT - Immigration Law Today, American Immigration Lawyers Association Monthly Journal; IL - International Lawyer, SMU School of Law; FT- Financial Times; TE - The Economist Magazine; GATM - German American Trade Magazine published by the German American Chamber of Commerce; WSJ - Wall Street Journal; ILN/ABA-International Law News, American Bar Association; TMIJ-Tax Management International Journal, Bureau of National Affairs, Inc.; AILA - American Immigration Lawyer’s Association
The articles published in this newsletter are intended only to provide general information on the subjects covered. The contents should not be construed as legal advice or a legal opinion. Readers should consult with legal counsel to obtain specific legal advice based on particular situations.