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The Daily Bugle Weekly Highlights: Week 32 (3 – 7 Aug 2020)

Every Monday we post the highlights out of last week’s FCC Export/Import Daily Update (“The Daily Bugle”). Send out every business day to approximately 8,500 readers of changes to defense and high-tech trade laws and regulations, The Daily Bugle is a free daily newsletter from Full Circle Compliance, edited by James E. Bartlett III, Salvatore Di Misa, and Elina Tsapouri.

We check the following sources daily: Federal Register, Congressional Record, Commerce/AES, Commerce/BIS, DHS/CBP, DOE/NRC, DOJ/ATF, DoD/DSS, DoD/DTSA, FAR/DFARS, State/DDTC, Treasury/OFAC, White House, and similar websites of Australia, Canada, U.K., and other countries and international organizations.  Due to space limitations, we do not post Arms Sales notifications, Denied Party listings, or Customs AD/CVD items. To subscribe, click here.

Last week’s highlights of The Daily Bugle included in this edition are:

  1. USTR: “Extension of Particular Exclusions Expiring in October 2020 Granted under the $34 Billion Action Pursuant to Section 301”; Monday, 3 Aug 2020; Item #1
  2. EU Commission: “EU-Vietnam Τrade Αgreement Εnters into Force”; Tuesday, 4 Aug 2020; Item #5
  3. UK ECJU: “Notice to Exporters 2020/13: Open General Licences Revised and Revoked”; Tuesday, 4 Aug 2020; Item #6
  4. CBP Opens Registration for October 2020 Exam and Announces 2 Informational Webinars; Thursday, 6 Aug 2020; Item #3
  5. Commerce/BIS:”Company President and Employee Arrested In Alleged Scheme To Violate The Export Control Reform Act”; Friday, 7 Aug 2020; Item #2

 

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USTR: “Extension of Particular Exclusions Expiring in October 2020 Granted under the $34 Billion Action Pursuant to Section 301” 

(Source: Federal Register) [Excerpts]

 

85 FR 46777: Notice

* AGENCY:Office of the United States Trade Representative.

* ACTION:Notice and request for comments.

* SUMMARY:Effective July 6, 2018, the U.S. Trade Representative imposed additional duties on goods of China with an annual trade value of approximately $34 billion as part of the action in the Section 301 investigation of China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation. The U.S. Trade Representative initiated an exclusion process in July 2018 and granted multiple sets of exclusions. In October and December 2019, and February 2020, the U.S. Trade Representative granted exclusions that are scheduled to expire on October 2, 2020. The U.S. Trade Representative has decided to consider a possible extension for up to 12 months of particular exclusions scheduled to expire in October 2020. The Office of the U.S. Trade Representative (USTR) invites public comment on whether to extend particular exclusions.

* DATES:August 1, 2020 at 12:01 a.m. ET: The public docket on the web portal at https://comments.USTR.gov will open for parties to submit comments on the possible extension of particular exclusions.

August 30, 2020 at 11:59 p.m. ET: To be assured of consideration, submit written comments on the public docket by this deadline.

* ADDRESSES:

You must submit all comments through the online portal at https://comments.USTR.gov.

 

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EU Commission: “EU-Vietnam Τrade Αgreement Εnters into Force”

(Source: European Commission), 31 Jul 2020) [Excerpts]

 

   EU exports to Vietnam will be taxed less as of tomorrow, 1 August. This is the immediate effect of the entry into force of the EU-Vietnam trade agreement that will ultimately scrap duties on 99% of all goods traded between the two sides. Doing business in Vietnam will also become easier for European companies: they will now be able to invest and pitch for government contracts with equal chances to their local competitors. Under the new agreement, the economic benefits go hand in hand with guarantees of respect for labour rights, environment protection and the Paris Agreement on climate, through strong, legally binding and enforceable provisions on sustainable development. …

   The EU-Vietnam agreement is the most comprehensive trade agreement the EU has concluded with a developing country. It takes fully into account Vietnam’s development needs by giving Vietnam a longer, 10-year period to eliminate its duties on EU imports.

   However, many important EU export products, such as pharmaceuticals, chemicals or machinery will already enjoy duty-free import conditions as of entry into force. Agri-food products like beef or olive oil will face no tariffs in three years, while dairy, fruit and vegetables in maximum five years. Comprehensive provisions on sanitary and phytosanitary cooperation will allow for improving market access for EU firms via more transparent and quick procedures.

   It also contains specific provisions to address regulatory barriers for EU car exports and grants protection from imitation for 169 traditional European food and drink products (like Roquefort cheese, Porto and Jerez wines, Irish Cream spirit or Prosciutto di Parma ham) recognised as Geographical Indications. …

The entry into force of the trade agreement has been preceded by its approval by EU Member States in the Council and its signature in June 2019, and the European Parliament’s approval in February 2020. …

   The agreement with Vietnam is the second trade agreement the EU has concluded with an ASEAN member state, following the recent agreement with Singapore. It represents an important milestone in the EU’s engagement with Asia, adding to the already existing agreements with Japan and Republic of Korea.

 

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UK ECJU: “Notice to Exporters 2020/13: Open General Licences Revised and Revoked”

(Source: UK Export Control Joint Unit, 4 Aug 2020)

 

   Export Control Joint Unit (ECJU) has removed Hong Kong as a permitted destination from 20 open general export licences (OGELs), one open general transhipment licence (OGTL) and one open general trade control licence (OGTCL).

   Find the relevant document here.

 

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CBP Opens Registration for October 2020 Exam and Announces 2 Informational Webinars

(Source: DHS/CBP)

 

  U.S. Customs and Border Protection, Customs Broker License Exam registration (CBLE) opened Monday, August 3, 2020.  Registration for the October 8, 2020 exam(s) will remain open until September 8, 2020.  The broker exam will have a morning exam session, starting at 8:30am and afternoon session beginning at 1:30pm.  Doors will open for the exams, a minimum of 30 minutes prior to the exam.  The October CBLE seating is first come first serve, and due to coronavirus (COVID 19) or other anticipated events, seating may be limited at certain testing locations.

For further information please visit our CBP website.

For webinar information, [click here]. 

 

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Commerce/BIS: “Company President and Employee Arrested In Alleged Scheme To Violate The Export Control Reform Act”

(Source: Commerce/BIS, 6 Aug 2020) [Excerpts] 

 

… CHONG SIK YU, a/k/a “Chris Yu,” and YUNSEO LEE of America Techma Inc., were charged on 6 Aug 2020 with conspiring to unlawfully export dual-use electronics components, in violation of the Export Control Reform Act, and to commit wire fraud, bank fraud, and money laundering. YU and LEE were arrested this morning and are expected to be presented later today before U.S. Magistrate Judge Kevin Nathaniel Fox in Manhattan federal court.

  Acting U.S. Attorney Audrey Strauss said: “Chong Sik Yu and Yunseo Lee are accused of violating U.S. export laws by sending electronics components with military applications to Hong Kong and China. … 

  Since at least 2019, a U.S. company named America Techma Inc. (“ATI”) has illegally exported electronic components from the United States to Hong Kong for apparent re-export to other countries, including China, in violation of the Export Control Reform Act of 2018 (“ECRA”). …  YU is ATI’s president, and LEE is an ATI sales representative. YU and LEE worked together and with others to ship what they knew to be export-controlled items to Hong Kong and China. …

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