News & Insights from JAS Worldwide Compliance

JAS Forwarding (USA), Inc.

6165 Barfield Road
Atlanta GA, 30328
United States
Tel: +1 (770)688-1206
Fax: +1 (770)688-1229

September 6, 2023
Worker Examination

In a Federal Register notice, the Transportation Security Administration (TSA) announced the opportunity for qualified, interested shippers to register as Certified Cargo Screening Facilities (CCSF). While the TSA had approved shippers to become CCSF’s previously when requested, the TSA had never fully integrated these operations into the Certified Cargo Screening Standard Security Program (CCSSSP). An incentive for shippers to consider becoming a CCSF is that, on October 31, the Impracticable to Screen (ITS) amendments that the TSA had in effect will expire. These amendments allowed cargo not easily screened due to the commodity packaging type or size to move via airfreight. After October 31, ITS cargo will require 100% screening. ITS cargo could be screened by the airline or other third-party service provider, however, higher costs for the shipper are likely to result.

To initiate the registration process, shippers must send an email indicating their interest to an address identified in the notice and TSA will respond with additional information regarding the application requirements.

Link to the Federal Register notice
September 6, 2023

Several prominent information technology associations, including the Semiconductor Industry Association, Retail Industry Leaders Association, and the Information Technology Industry Council, sent a letter to U.S. Trade Representative Katherine Tai and Commerce Secretary Gina Raimondo expressing concern over the recent announcement by the Indian Government to require a license to import computers and related information and communication technology products into India. The licensing requirement is to take effect on November 1, 2023. One concern raised was that the licensing regime could make it difficult for U.S. companies with data centers in India to import servers into India that are needed for their operations. While the government announcement included certain exemptions, the associations requested more comprehensive details on the scope of the exemptions. Licensing requirements have also been used in the past as major non-tariff import barriers by various countries, which was another concern raised. The U.S. government was urged to request that India reconsider the implementation of the policy.

Link to the industry associations’ letter
September 6, 2023

In an important recent decision, the U.S. Court of Appeals for the Federal Circuit ruled in the case, Royal Brush Manufacturing, Inc. vs. United States Dixon Ticonderoga Company, that Customs and Border Protection (CBP) violated the Fifth Amendment right to due process of Royal Brush by providing only redacted versions of reports that CBP utilized in making its determination that antidumping duty (ADD) evasion occurred in connection with an Enforce and Protect Act (EAPA) investigation. The EAPA investigation centered around pencils shipped from the Philippines to Royal Brush in the United States. CBP concluded that the pencils were of Chinese origin and were transshipped via the Philippines to avoid paying the ADD under case A-570-827 for Cased Pencils from China. However, in making this determination, CBP relied on reports from a verification visit made to the Philippine factory. When Royal Brush requested copies of the reports, production number data and photographs taken at the factory were redacted due to CBP deeming this information to be confidential business information. CBP stated that there was no provision in the EAPA law itself that empowered them to issue a protective order which could have allowed release of the confidential information. Royal Brush then filed suit in the Court of International Trade (CIT).

The CIT ruled in favor of CBP, then Royal Brush appealed. The appellate court stated in its decision: “In short, the law is clear that, in adjudicative administrative proceedings, due process includes the right to know what evidence is being used against one.” The decision further stated: “As best we can make out, the government’s argument is that due process does not require public disclosure of confidential business information relied on in adjudication but only requires disclosure to affected parties under protective orders… We are aware of no case supporting any such extraordinary theory, and it is untenable on its face. The right to due process does not depend on whether statutes and regulations provide what is required by the constitution.” The case was remanded back to the CIT for CBP to provide Royal Brush the redacted information and give them an opportunity for rebuttal.

In legal circles, it is believed that this decision could also have an impact on CBP’s investigations under the Uyghur Forced Labor Prevention Act as CBP often does not release the evidence that it has compiled to the party whose cargo is being detained, which may now lead to court challenges of those decisions.

Link to the Court of Appeals for the Federal Circuit decision
September 6, 2023
Allow Delay

In separate Cargo Systems Messaging Service (CSMS) messages, Customs and Border Protection (CBP) announced postponements of two important system enhancements. First, CBP stated on 08/22/23 that it was disabling the testing of the Ocean House Bill Release in its ACE test Certification Environment. This testing was a precursor to having Ocean Bill Release go live in ACE. A new date for when either testing will continue or the Ocean House Bill Release will go live is to be determined.

Also, on 08/25/23 CBP announced that it was postponing the migration of declarations-related functionality as a part of the Phase 4 ACE portal functionality modernization. A new date for this update is to be determined as well.

Link to the CSMS message for the ACE portal modernization delayLink to the CSMS message for the Ocean House Bill release delay
September 6, 2023
Law Book

Violations of anti-boycott prohibitions enforced by the Commerce Department via the Export Administration Regulations and the Internal Revenue Service via Internal Revenue Code Section 999(a)(3) can lead to very costly penalties, as law firm Sandler, Travis , & Rosenberg reminded the trade in a recent article. Any company that agrees to or actually refuses to do business with or discriminates against Israel or other blacklisted companies, inter alia, can be subject to these penalties, which include hefty fines and even jail time for criminal violations. Therefore, companies must perform their due diligence to ensure that violations of these regulations are not occurring anywhere in their operations.

Link to Anti-Boycott articleLink to IRS Form 5713 information
September 6, 2023

In a recent advisory opinion, the Bureau of Industry and Security (BIS) of the Commerce Department, set forth the requirements for the export, reexport, or transfer of licensed technology and software between a licensed U.S. entity and foreign nationals of a related foreign company who are on temporary rotational assignment in the United States. As long as the technology or software is within the scope of the license in question, then release to these foreign nationals would be authorized. However, any new technology or software to be released to these foreign nationals that is not authorized by the existing license would require a new export license.

Link to BIS advisory opinion
September 6, 2023

In a notice to be published in the Federal Register, the United States Trade Representative (USTR) announced that it will be extending to December 31, 2023 the 352 previously reinstated Section 301 duty exclusions and the 77 COVID-related 301 exclusions that were set to expire on September 30. The required four-year review of the Section 301 duties imposed on certain products from China is still underway and this extension will allow for a transition period as that review continues.

Link to USTR exclusions extension notice
Did You Know? 9/11
September 6, 2023
American Flag

Hard to believe, but it will be 22 years this September 11th since the terrorist attacks on September 11, 2001 caused the death of nearly 3,000 people at the World Trade Center in New York, the Pentagon in Virginia and on United Airlines Flight 93 that crashed in Pennsylvania. We still mourn and honor those whose lives were sacrificed. What you may not know is that 187 years prior another event occurred in the month of September. On September 14, 1814, poet Francis Scott Key was watching the British bombardment of Fort McHenry in Baltimore during the continuation of the War of 1812 between the United States and Britain. As the U.S. soldiers gained the advantage, a large U.S. flag was hoisted above the fort. Inspired by the bravery and tenacity of the soldiers, Key penned the words to a song titled “The Star-Spangled Banner” and the rest, of course, is history! In remembrance of those who lost their lives on September 11th, we share a not so well-known additional stanza of the anthem:

O thus be it ever when freemen shall stand

Between their loved home and the war's desolation!

Blest with victory and peace may the heaven rescued land

Praise the power that hath made and preserved us a nation!

Then conquer we must, when our cause it is just,

And this be our motto - "In God is our trust,"

And the star-spangled banner in triumph shall wave

Over the land of the free and the home of the brave

August 3, 2023

Sheffield Hallam University in the United Kingdom via its Forced Labor Lab released another forced labor resource in the form of a spreadsheet listing over 50,000 companies that operate in the Uyghur Region of China. The spreadsheet also has a section grouping over 35,000 companies under specific industry categories. Sheffield Hallam provides numerous resources on its website relating to forced labor issues in the Uyghur region, including a 50+ page report on automotive supply chain connections to forced labor in the region.

Link to the spreadsheet
August 3, 2023
United States Capitol

A letter signed by 66 members of the U.S. House of Representatives was sent to the Chairman of the House Ways and Means Committee, Rep. Jason Smith of Missouri, urging renewal of the Generalized System of Preferences Program (GSP). The GSP is a trade program that provides nonreciprocal, duty free treatment for certain U.S. imports from eligible developing countries. The program expired in December 2020. Various measures to renew the program have been introduced since its expiration, some with provisions to alter eligibility requirements, however, the program remains expired at present.

Copy of the Representatives letter
August 3, 2023
Porpoises swimming

The latest chapter in the ongoing efforts to save the endangered vaquita porpoise and the resulting impact on trade with Mexico unfolded on July 17 when the current administration published a letter to Congress outlining what trade sanctions, if any, would be imposed upon the government of Mexico. The letter was mandated by a settlement between the U.S. Department of the Interior (Interior) and three conservation groups that had filed suit in the Court of International Trade. The conservation groups had been petitioning Interior since 2014 to take action under the Pelly Amendment to the Fishermen’s Protective Act of 1967 to certify that Mexico was in violation of the act and international agreements by not taking adequate measures to protect the vaquita. Interior agreed to certify that Mexico was not meeting its obligations and that the executive branch must then determine what action to take. The vaquita is a miniature porpoise indigenous only to the Northern Gulf of California. It is protected under several U.S. laws. There are believed to be only 15 or less left in the wild.

The main threat to the vaquita is the use of gillnets to catch the totoaba fish that shares the same habitat with the vaquita. The vaquita can become entangled in these nets and drown. The totoaba are also endangered, however, the swim bladder of the totoaba is highly valued in China for its supposed medicinal properties. Customs and Border Protection in June seized 242 pounds of totoaba bladders attempting to be smuggled through the Port of Nogales. The estimated value was almost 3 million dollars. In the letter, it was stated that no sanctions would be imposed on Mexico at this time, as progress is being made in the ongoing dialogue between the two countries. There certainly will be more to come concerning the fate of the vaquita and how this will impact trade.

Link to the Letter
August 3, 2023

Following a request from several influential members of Congress, the U.S. Government Accountability Office (GAO), issued a report in July on the administration of approved Section 232 duty exclusions for steel and aluminum. The review period was from March 2018 to September 2021. Various issues were discovered with the process by which the Bureau of Industry and Security (BIS) transmits data on approved exclusions to Customs and Border Protection (CBP), which is done via spreadsheets from which CBP must manually upload the data to the ACE system. CBP also stated that there is not an automated way for them to monitor exclusion usage against the approved total quantities allowed. CBP staff have to monitor the usage and manually deactivate an exclusion that has reached the total quantity limit. As a result of these issues, the GAO found that almost $32 million in duty exclusions were allowed by CBP for imports that had, in fact, exceeded the total quantities authorized under the particular exclusion.

In an appendix to the report, a review of the tariff rate and absolute annual quotas on steel and aluminum that are in effect from the European Union, Korea, Brazil, and Argentina revealed issues as well. CBP staff communicated that these quotas are very complex and laborious to administer, many of which were instituted without allowing adequate time for ACE to be programmed accordingly.

Link to the GAO report
August 3, 2023
CBP Logo

On July 28, Customs and Border Protection (CBP) announced adjusted amounts for certain user fees for fiscal year 2024 as mandated by the Consolidated Omnibus Budget Reconciliation Act (COBRA). The COBRA requires CBP to adjust certain fees to reflect increases in inflation. The changes will be in effect as of October 1, 2023. Some of the listed changes include :

  • The Merchandise Processing Fee minimum charge will increase to $31.67 and the maximum charge increases to $614.35.
  • The Customs Broker Permit User Fee increases to $174.80.
  • The Informal Entry Fee for Automated release increases to $2.53.
Link to the Federal Register Notice
Did You Know? The Anniversary of Elvis' Death
August 3, 2023
Statue of Elvis

On August 16, 1977, the world lost a music icon when rock legend Elvis Presley died at the young age of 42. Though his death will be 46 years ago this August, Elvis is still impacting our culture, as evidenced by the huge success of the recent movie made about his life. It is reported that Elvis sold over 150 million records and appeared in close to 31 movies. To this day, over 500,000 people visit the site of his home at Graceland in Memphis, TN annually. Elvis’ life story of a poor kid who makes it big is still inspiring, however, his tragic end is a reminder that money and fame can come at a heavy price. Long live the King of Rock and Roll!


If you plan on making a visit to Graceland, stop by our branch office located nearby at 7835 Hacks Cross Road in Olive Branch, MS and say hello!

June 30, 2023

On June 23, Customs and Border Protection (CBP) published in the Federal Register its much-anticipated final rule for Continuing Education for Licensed Customs Brokers. The rule will be effective as of July 24, 2023. The final rule closely resembles the proposed rule that was published on September 10, 2021, with some minor changes. Some key elements of the rule:

  • Individual brokers will be required to complete at least 36 continuing education credits per each triennial reporting period.
  • Individual brokers will be required to certify compliance as a part of the filing of their triennial status reports. Records to substantiate the credits earned must be maintained but will only need to be provided to CBP upon request.
  • The first reporting period that it will apply to will be the 2024 to 2027 period.
  • For the triennial period beginning on February 1, 2024, CBP will reduce the 36 continuing education credits, required to be completed, by six credits for approximately every six months that elapse between February 1, 2024 and the compliance date on which individual brokers may begin completing qualified continuing broker education courses.
  • The actual number of credits required for the 2024 to 2027 period and the date from which brokers can start earning credits will be announced in a subsequent Federal Register notice.
  • CBP will utilize the System for Award Management (SAM) to vet and approve qualified accreditors to accredit training and educational activities.
  • CBP-selected accreditors will not be allowed to self-certify the party’s own training and educational activities.

CBP has also created a new page on its website to obtain information on this requirement going forward. link to the Federal Register notice
June 30, 2023

Ian Saunders was elected to become the next Secretary General of the World Customs Organization (WCO). The WCO, an independent intergovernmental body representing 185 Customs administrations across the globe, is the global center of customs expertise whose mission is to enhance the effectiveness and efficiency of Customs administrations. Mr. Saunders was the U.S. candidate and is currently the Deputy Assistant Secretary at the U.S. Department of Commerce’s International Trade Administration.

Mr. Saunders stated previously that: “My vision for the WCO is to have an organization that builds on its past. The WCO is responsible for a lot of the consistency that we have in the management of local trade now. But I want to make sure that we’re building an organization that is focused on providing the right information products and services to members that will allow them to protect their societies better from both a revenue and a security perspective.”

“My vision also includes engaging the private sector in a different way. The WCO’s individual customs administrations have constraints on their resources, and we need to find ways to mine the expertise and resources of the private sector that shares an interest in seeing international trade function well. We need to engage in a way that allows those insights and those resources to be brought to bear on the problems that are bigger than any one of us alone.”

link to the announcement
June 30, 2023

The Canada Border Services Agency (CBSA) has proposed a controversial amendment to the rules governing the valuation of imports into Canada under the Valuation for Duty Regulations.  One of the items causing concern is a proposed change to the term “sale for export”.  The CBSA stated the following in a consultation notice:

“This proposal would ensure that the value for duty of imported goods determined under the transaction value method is based on the sale that causes the goods to be exported to Canada, i.e. the last transaction in the commercial chain, irrespective of the chronological order of the sales. Under the proposal, the term "sale" would be constructed in a broad sense, which would include any type of arrangements that cause the goods to be exported to Canada.”

One concern is that the above broad definition of “sale for export” could lead to a situation wherein a subsequent domestic sale in Canada for a higher price for the merchandise being imported could be construed as the last transaction in the chain that caused the goods to be exported to Canada. This could then lead to higher determined valuation amounts and increased duty liabilities.

A link to information on the proposal
June 30, 2023

Customs and Border Protection’s (CBP) Baltimore Field Office (which covers the ports of Baltimore MD, Norfolk VA, and Philadelphia PA, inter alia) took the top spot for intercepting the most stolen vehicles attempting to be exported during the 2022 fiscal year. A total of 239 stolen vehicles were seized with an estimated total value of $11,500,000. The most expensive vehicle recovered was a 2022 Bentley Bentayga, valued at $187,600. Some other interesting aspects of these seizures were:

  • 95 percent (225 vehicles) were destined to West African nations of Benin, Burkina Faso, The Gambia, Ghana, Guinea, Liberia, Nigeria, Senegal, Sierra Leone, and Togo.
  • The top-5 recovered stolen vehicles were the Land Rover Range Rover (27 vehicles), Toyota 4-Runner (18), Toyota Rav4 (17), BMW X7 (16), and BMW X5 (15).
  • The oldest vehicle was a 1973 Rolls Royce Silver Shadow recovered in Baltimore and destined to Saudi Arabia. The Silver Shadow was valued at $11,700.

Click to read the announcement from CBP
June 30, 2023

Although the Continued Dumping and Subsidy Offset Act of 2000 (CDSOA) was repealed in 2005, there are still antidumping and countervailing duty orders with assessed amounts that can be claimed by affected domestic producers who qualify and submit the required certifications by July 31, 2023.

Customs and Border Protection has also recently initiated several Enforce and Protect Act (EAPA) investigations alleging evasion of antidumping/countervailing duty orders. Some of the products concerned are Chassis and Subassembiles from China, Quartz Surface Products from China, and Xanthan Gum from China.

Click to access the Federal Register notice with full informationClick for more details on the investigations
Did You Know - Fourth of July
June 30, 2023
Thomas Jefferson

Every Fourth of July, Independence Day is celebrated in the U.S. with fireworks and celebrations. However, the meeting that took place on July 4, 1776, in Philadelphia wherein the historic Declaration of Independence was ratified, was a rather mundane affair. The Continental Congress delegates themselves more than likely did not fully comprehend at the time the significance of the illustrious document they were agreeing to, nor did Thomas Jefferson, the young man of thirty-three years of age who penned most of the document. A committee had been created by the delegates to pen a “declaration of independence” just in case independence from Great Britain was the course all the delegates agreed to pursue. Along with Jefferson, two of the other committee members were Benjamin Franklin and John Adams. Jefferson was assigned the task of writing the draft since he, as John Adams stated, “could write ten times better” than anyone else. Then as Jefferson wrote the words, “We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights…”, the seeds of a great nation were sown! Happy Fourth of July to all!

European Commission Announces EU Customs Reform Plan
June 1, 2023
European Commission Announces EU Customs Reform Plan

On May 17, the European Commission (EC) unveiled an ambitious reform plan for the EU Customs Union to include the creation of the EU Customs Data Hub to provide a single interface and data repository for all traders to interact with EU Customs. The proposal also includes a “Trust & Check” program for approved traders to import goods without customs intervention, self-monitor for compliance, and pay duties periodically. The de minimis duty exemption of 150 Euro would be eliminated and online platforms would become the “deemed importer” for e-commerce shipments instead of the purchaser.

Read the notice from the EC
Customs and Border Protection's Green Trade Strategy
June 1, 2023
Customs and Border Protection's Green Trade Strategy

Customs and Border Protection (CBP) recently announced its Green Trade Strategy to incentivize green trade, strengthen CBP’s environmental enforcement posture, accelerate green innovation, and improve climate resilience and resource efficiency. On July 11, 2023, CBP will host a Green Trade Innovation and Incentives Forum to allow members of the trade industry, academia, and any other interested entities to share ideas and innovations related to this strategy.

Access a video introducing the strategy hereGet more information here
CBP Delays Ocean House Bill Release in Ace and Automation of CBP Form 6051D for Detentions
June 1, 2023
CBP Delays Ocean House Bill Release in Ace and Automation of CBP Form 6051D for Detentions

U.S. Customs and Border Protection (CBP) announed on 05/12/23 an indefinite delay in the deployment of the much anticipated Ocean House Bill of Lading Release in the Automated Commercial Environment (ACE). A follow-up notice will be issued once a new date is established. Also, the recently announced deloyment date of 05/20/23 for the “Automation of CBP Form 6051D for Detentions Filed in ACE” was changed to “TBD” (To be determined). This was noted on the ACE Deployment Schedule without an official announcement.

Read More (1) Read More (2)
Sheffield Hallam University Publishes Brief Detailing Expanded List of Products Made with Forced Labor
June 1, 2023
Sheffield Hallam University Publishes Brief Detailing Expanded List of Products Made with Forced Labor

Sheffield Hallam University released a new brief entitled “Products Made with Uyghur Forced Labor”. The University’s past briefs and investigations have informed Customs and Border Protection (CBP) actions relating to forced labor. The brief outlines an extensive list of products currently being manufactured in the Xinjiang region of China including aluminum, steel, copper, food additives and supplements and batteries.

Link to this and previous briefs released by the University
British Tobacco Company Settles for $629 Million for Violations of North Korean Sanctions
June 1, 2023
British tobacco company settles for $629 million for violations for North Korean sanctions

British American Tobacco and its Singaporean subsidiary agreed to pay combined penalties of more than $629 million in a settlement with the U.S. Department of Justice (DOJ) for bank fraud and sanctions violations concerning clandestine sales of tobacco to various North Korean entities. Assitant Attorney General Matthew G. Olsen was quoted as saying, “Today’s action, which involves the largest North Korean sanctions penalty in the history of the Justice Department, should serve as a clear warning to companies everywhere about the costs and consequences of violating U.S. sanctions.”

Read the DOJ Press Release
U.S. Customs and Border Protection’s 2023 Trade Facilitation and Cargo Security Summit was held April 17 to 19 in Boston with a record live attendance of 1,200 and 3,000 virtual participants.

U.S. Customs and Border Protection’s 2023 Trade Facilitation and Cargo Security Summit was held April 17 to 19 in Boston with a record live attendance of 1,200 and 3,000 virtual participants. Panel and breakout sessions covered a variety of topics including De Minimis challenges, Cybersecurity, Forced labor enforcement, Green trade, E-commerce, Broker Modernization, and several Customs-Trade Partnership Against Terrorism (CTPAT) sessions. CBP Acting Commissioner Troy A. Miller spoke at the event and stated, “Protecting the security, health and economic vitality of the American people has required intense work and commitment from customs brokers, logistics experts, importers and exporters, legal advisors, civil society and many more. Thank you for your partnership.”

Anne Frank was born on June 12, 1929. Anne was a young Jewish girl who documented her family’s experiences in a series of diaries she wrote while hiding from Nazi persecution from 1942 to 1944 in an attic in Amsterdam.

The month of June is the birth month of a historical figure whose life, though brief, continues to inspire to the present day. Anne Frank was born on June 12, 1929. Anne was a young Jewish girl who documented her family’s experiences in a series of diaries she wrote while hiding from Nazi persecution from 1942 to 1944 in an attic in Amsterdam. Tragically, Anne and her family were eventually discovered and arrested by the Gestapo. Anne was sent to Bergen-Belsen concentration camp where she tragically died. However, in spite of her suffering, Anne penned such quotes as “Where there’s hope, there’s life. It fills us with fresh courage and makes us strong again”. May we all approach each day with the same hope-filled spirit. 

Bureau of Industry and Security (BIS) Imposes $300 Million Penalty

On April 19, 2023, the Bureau of Industry and Security (BIS) issued the largest standalone administrative penalty in its history.  The US Company and its Singaporean affiliate were imposed a $300 million civil penalty to resolve alleged violations of U.S. Export Controls related to selling hard disk drives to Huawei Technologies Co. Ltd.  The US Company continued to do business with Huawei despite being aware of the August 2020 controls that BIS imposed on Huawei.  This is another reminder of the importance of entity screening and the need to discontinue relations with sanctioned entities.  To read more details, check out the BIS press release in the link below.

Laurie Arnold Speaks at NCBFAA 50th Annual Conference

Laurie Arnold, JAS Vice President of Compliance and the NCBFAA Treasurer, spoke on the panel "Past, Present, & Future" at the National Customs Brokers and Forwarders Association's (NCBFAA) 50th annual conference in New Orleans.  Pulling out her "crystal ball," Laurie speculated on what the future work environment might look like considering the ongoing development of Artificial Intelligence and chat apps.  The panel also discussed the environmental benefits of remote work and the potential danger of cyberattacks on business, power grids and the water supply.

EEI Data Private May 2023

As a reminder, per 15 CFR 30.60, the Electronic Export Information (EEI) collected by the Census Bureau is confidential and it "shall not be disclosed to anyone by any officer, employee, contractor, agent of the federal government or other parties with access to the EEI other than to the USPPI or the authorized agent of the USPPI." 

IRS EV May 2023

The Internal Revenue Service issued its much anticipated notice of proposed rulemaking outlining the requirements for electric vehicle eligibility for the Section 30D New Clean Vehicle Credit of the Inflation Reduction Act of 2022.  A total credit of $7,500 is available provided that; 40% of the critical minerals used to manufacture the vehicle's battery must be extracted or processed in the U.S. or any country the U.S. has a free trade agreement with (which increases to 80% by 2026); and 50% of the battery components must be manufactured or assembled in North America (which increases to 100% by 2028).  There are also maximum vehicle value limitations and phased in prohibitions for components and minerals coming from a "foreign entity of concern" (to be defined at a later date).  Check out the full Federal Register notice at the link below:

UFLPA Article

The implementation of UFLPA has led to a marked increase in Customs and Border Protection (CBP) detentions which, at present, are notified to the trade via a paper CBP form 6051D Notice of Detention.  On May 20, 2023, CBP will deploy to the ACE Secure Data Portal the automation of the form to allow the trade to complete the form and provide additional documentation to CBP via the portal.

The lead Congressional sponsor of UFLPA, Senators Jeffrey Merkley and Marco Rubio and Representatives James McGovern and Christopher Smith, sent a letter to Robert Silvers, Chair of the Forced Labor Enforcement Task Force (FLETF) requesting, inter alia, more robust reporting to Congress of UFLPA enforcement measures, expansion of the Entity List, and increased scrutiny of de minimis shipments.  To read more, click the button below.

G-TEC, Global Trade Educational Conference

The 9th annual Global Trade Education Conference (G-TEC), hosted by the NCBFAA Educational Instistute (NEI) will be held at the Omni Hotel in Oklahoma City, OK from July 31 toAugust 1, 2023. G-TEC is the premier industry training conference and this year's event includes a Pre-Conference Workshop on Sunday afternoon. For more details and registration information, click below.

Delay of Section 232 Aluminum Smelt and Cast Reporting Requirements

March 30, 2023, CSMS message 55701614 was released indicating “The new requirements for reporting the countries of smelt and cast for imports of aluminum and aluminum derivative products effective on April 10, 2023 have been delayed thirty days until May 10, 2023.  This will allow additional time for the trade to update their software programming and systems to comply with these new reporting requirements.”

Trade Court Upholds Section 301 Tariff Action Over APA Compliance Concerns

On March 17, 2023, the United States Court of International Trade held issued its opinion on whether the Office of the U.S. Trade Representative complied with the Administrative Procedure Act.  This opinion was related to lists 3 and 4a of the Section 301 tariffs on China.  In the opinion, the Trade Court upheld the Section 301 tariff action.  To read the full opinion, check out the link below.

UFLPA Statistics

CBP has developed a UFLPA dashboard!  CBP recently noted “Since UFLPA went into effect last year, CBP has hosted more than 150 engagements with industry providing compliance information and guidance,” said AnnMarie R. Highsmith, Executive Assistant Commissioner for CBP’s Office of Trade.  “The Technical Expo and dashboard represent the next major step in our joint engagement with industry towards achieving our mutual goal, not just to prevent forced labor from entering the U.S. commerce, but from ever happening in the first place.”

CBP- The Truth Behind Counterfeits

CBP produces some informative and exciting videos related to international trade.  These videos can be found on the CBP.GOV website by going to the “Newsroom” link and selecting Video Gallery.  Check out this short informative video called “The Truth Behind Counterfeits.”

Impracticable to Screen Cargo

The Impracticable to Screen (ITS) currently has an amendment to the 100% screening requirements that is set to expire on October 31, 2023.  The expiration of this amendment could have significant affects on US shippers that ship cargo that falls within this category, items such as drums and sacks.  For more details, we have included our advisory on this issue below.

BIS Imposes $2.77 Million Penalty

In February, BIS (Bureau of Industry and Security) issued a penalty for over 2 million dollars to a 3D printing company that exported military design documents to China and Germany. To read more, check out the link below.

April Showers

Thomas Tusser was a poet in 16th century England.  His poetry contains the origin of a famous saying about April showers and what follows in May.  His best-known poem was called “Five Hundred Points of Good Husbandry.”  Tusser’s rhyme was just a little different than ours today but the message is the same!

“Sweete April showers,

Doo spring Maie flowers”

Today, it reads:

April showers bring May flowers!

Happy April!

Processing Approved Section 232 Product Exclusions

Updated guidance for processing approved Section 232 product exclusions was announced on February 7, 2023 via CSMS message 55014059.  

CBP now directly processes approved Section 232 exclusions based on weekly lists provided by DOC. CBP activates approved product exclusion IDs in ACE on a weekly basis.  

Importers can check CBP.gov every Friday, to determine if a Section 232 approved product exclusions is active in ACE. The posting can be found at https://www.cbp.gov/document/publications/active-section-232-product-exclusions-ace.

Polyvinyl Chloride (PVC), the next hot Forced Labor Commodity?

Polyvinyl chloride, which is one of the most widely produced synthetic plastics, is used in a wide variety of applications including doors, windows and even flooring.  PVC may be a new target for CBP in the Forced Labor arena.  Sandler Travis & Rosenberg’s article shares a little more on this topic.  To check it out click on the link below.

CBP Officers Conduct X-Ray inspections at the Superbowl

CBP “participated” in the big game.  CBP’s efforts include the security screening of all vehicles entering and working in the stadium in advance of Super Bowl LVII in Glendale, AZ.  CBP is often called to help with events of this magnitude.  

CBP Officers are trained to look for things that are out of place or not quite right.  Officers use specific questions and tactics to determine if anything is not normal.

Mexico forced labor

The US Trade Representative Katherine Tai, released a statement regarding Mexico’s resolution aimed at prohibiting imports of merchandise produced with forced labor.  

“With this resolution, Mexico has taken an important step toward joining the United States and Canada in prohibiting the importation of goods produced with forced labor.   In light of this progress, the United States, Canada, and Mexico will work more closely together to eliminate forced labor from global supply chains and tackle transshipment, leveling the playing field for North American workers while protecting the most vulnerable workers around the world,” said Katherine Tai, US Trade Representative.

Settlement for Underpayment of Customs Duties

A civil lawsuit was filed and settled against a US based vitamin corporation that imports and sells nutritional supplements from China.  The settlement resolves claims that the importer was defrauding the US by misclassifying products under the Harmonized Tariff Schedule in order to avoid paying duties.  This resulted in the the U.S. Attorney announcement of a $22.8 million settlement.  To read more check out the link below.

Did you Know?

Technically, pickles are fruit.  They are made from cucumbers which are commonly seen as vegetables; however, they are a seed containing fruit of the cucumber plant.  But what’s kind of a big “dill” is that the lucky pickles are classified correctly for importing and exporting purposes!  Pickles are to be classified in heading chapter 2001 which provides for other vegetables, fruit, prepared or preserved by vinegar or acetic acid!  Happy St Patrick’s Day!!

Almost 5,000 Earrings Retailing for $1.3M Seized by Louisville CBP

U.S. Customs and Border Protection (CBP) officers in Louisville KY detained a shipment believed to be counterfeit jewelry on January 2.  

CBP officers examined the shipment to determine the admissibility of the goods and discovered the shipment contained 4,920 pairs of earrings with Chanel logos. They were seized for infringing Chanel’s protected trademarks. The earrings, arriving from China and heading to Maryland, would have been worth a total of $1.37 million had they been genuine.

“This just goes to show you how criminals are using express consignment facilities to ship their items to unsuspecting consumers, damaging our economy,” said LaFonda D. Sutton-Burke, Director, Field Operations-Chicago Field Office. “I want to congratulate our Officers for their outstanding job. CBP is the first line of defense, and we will continue to protect the safety of consumers.”

CBP has established an educational initiative to raise consumer awareness about the consequences and dangers associated with purchasing counterfeit and pirated goods online or in stores. More information about that initiative is available at www.cbp.gov/fakegoodsrealdangers.

Uyghur Forced Labor Prevention Act (UFLPA)

Beginning March 18, 2023 US Customs will require a postal code for entries with goods manufactured in China.   CBP will utilize the postal codes to help determine if the imported products are coming from the Uyghur region. This enhancement will provide an early notification to importers of the possibility their goods may have been produced with forced labor. Any warning messages we receive will be reported to the importer.

Valentines Day 2023

Valentines Day is February 14th a day that is  common to give cards to the one you love. Did you know that Valentine’s Day cards date back to the 18th Century. Initially cards were handmade. Lovers would decorate paper with flowers and love knots and they often included lines of poetry.  These cards were then slipped secretly under a door or tied to the door handle. The first commercial Valentine’s Day cards appeared in England at the end of the 18th century. These cards were often made of wood and colored by hand. In the mid 19th century Valentines Day cards rapidly gained popularity in America. Technology allowed for more elaborate cards to be produced cheaply which helped them gain in popularity. Hallmark produced the first Valentines Day card in 1913.

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