In Husch Blackwell’s May 2021 Trade Law Newsletter, you’ll learn about the following updates in international trade and supply chain law:

  • USTR announced and immediately suspended Section 301 tariffs against Austria, India, Italy, Spain, Turkey, and the UK, which had all adopted Digital Service Taxes
  • The Disappearance of the Service Contract in Ocean Shipping

According to media reports, a massive 400-meter container ship operated by Evergreen Marine Corp. in Taiwan, the Ever Given, became stuck in the Suez Canal after apparently running aground due to high winds from a sandstorm. As a result, potentially hundreds of ships cannot pass on either side of the Suez Canal

Court of International Trade

Summary of Decisions

19-66

On June 3, 2019, in the ongoing case of determining whether or not Plaintiff Midwest Fastener’s zinc and nylon anchor products are considered to be nails, the CIT sustained the Department of Commerce’s final results of the redetermination pursuant to the Court Remand. The CIT concluded that Plaintiff’s zinc and nylon anchors do not function like nails and are considered a separate type of product from nails by the relevant industry. Commerce’s remand results were sustained and Plaintiff Midwest Fastener’s products were excluded from the scope.

19-69

On June 6, the CIT denied Plaintiffs Confederacion de Asociaciones Agricolas del Estado de Sinaloa, Consejo Agricola de Baja California, Asociacion Mexicana de Horticultura Protegida, Asociacion de Productores de Hortalizas del Yaqui y Mayo, and Sistem Producto Tomate (collectively, “Plaintiffs”) motion for a temporary restraining order (“TRO”) and preliminary injunction (“PI”) in the antidumping duty investigation of tomatoes from Mexico. The Court determined that the Plaintiffs had not met their burden to establish the likelihood of success on the merits and irreparable harm absent injunctive relief. They also had failed to establish if the hardships tip in favor of denying the Plaintiff’s motion. The Court also found the public interest to be neutral. For those reasons the CIT denied the plaintiff’s motions.

U.S. International Trade Commission

Section 701/731 Proceedings

Investigations
  • Mattresses from the People’s Republic of China: On June 13, 2019, the ITC released the schedule for the final phase of the Antidumping Duty Investigation.
  • Fresh Tomatoes from Mexico: On June 14, 2019, the ITC announced the resumption of the final phase of the Antidumping Duty Investigation.
  • Stainless Steel Kegs from the People’s Republic of China, Germany, and Mexico: On June 17, 2019, the ITC released the schedule of the Final Phase of Countervailing and Antidumping Duty Investigations.
  • Glycine from the People’s Republic of China, India, Japan: On June 21, 2019, the ITC released the final determinations in the Antidumping Duty and Countervailing Duty investigations.
  • Aluminum Wire and Cable from the People’s Republic of China: On June 28, 2019, the ITC released the schedule for the final phase of the Countervailing Duty and Antidumping Duty Investigations.

Investigations

  • Certain Steel Nails from the Socialist Republic of Vietnam: On June 19, 2019, Commerce released a notice of its Final Scope Ruling and notice of the Amended Final Scope Ruling in the Antidumping and Countervailing duty orders of the subject merchandise.
  • Steel Propane Cylinders: On June 21, 2019, Commerce announced its final determinations in the Antidumping Duty Investigations for the People’s Republic of China and Thailand.
  • Steel Propane Cylinders from the People’s Republic of China: On June 21, 2019, Commerce released the final affirmative Countervailing Duty determination.
  • Carbon Steel Butt-Weld Pipe Fittings from the People’s Republic of China: On June 21, 2019, Commerce issued the final affirmative determination of Circumvention of the Antidumping Duty Order.
  • Glycine from India and Japan: On June 21, 2019, Commerce released the amended final affirmative Antidumping Duty determination.  

Investigations

  • Glycine from India: On May 1, 2019, Commerce released its final determinations for both the Antidumping Duty and Countervailing Duty Investigation.
  • Glycine from the People’s Republic of China: On May 1, 2019, Commerce released its final affirmative Countervailing Duty determination.
  • Glycine from Japan: On May 1, 2019, Commerce issued its final Antidumping Duty determination.
  • Large Diameter Welded Pipe: On May 2, 2019, Commerce issued an amended final affirmative antidumping determination and antidumping duty order to the following countries: Greece
  • Turkey
  • Republic of Korea
  • Certain Quartz Surface Products from the People’s Republic of China: On May 23, 2019, Commerce released both the final affirmative Countervailing Duty and final affirmative Antidumping Duty determinations.

Most agencies of the United States government, including the Federal Maritime Commission (”the Commission”), have been closed since December 22, 2018. Since that date shippers, ocean common carriers, and non-vessel operating common carriers in their shipper role have not had access to SERVCON, the service contract electronic filing system of the Commission. So how is it intended for these supply chain players to adhere to Commission regulations related to initial or service contracts about to be renewed, or amendments to existing service contracts during this dysfunctional period which at this point hasn’t shown even a hint of an end game? Short answer: the same as always, but without the filing obligation nor risk of sanctions (penalties). The filing requirement is temporarily lifted. Therefore, service contract activity can continue as usual without concern of penalties. There are some caveats though.

On October 11, 2018, the Department of Commerce (Commerce) announced that it is initiating antidumping duty investigations on Refillable Stainless Steel Kegs from Germany, Mexico, and the People’s Republic of China and concurrently initiating a countervailing duty investigation on imports from China.

President Trump signed a new Executive Order on August 6, 2018, titled “Reimposing Certain Sanctions with Respect to Iran”. The Executive Order was timed to coincide with the last day of the 90-day wind-down period established for activities associated with certain sanctions relief authorized by the Joint Comprehensive Plan of Action (“JCPOA”).  As a result, the first round of sanctions against Iran will become effective at 12:01 a.m. on August 7, 2018.