Canada is set to join Mexico in the dispute regarding the Auto Rules of Origin. Mexico believes that the u.S. is violating its USMCA obligations by not allowing parts that have acquired origin by meeting the applicable RVC threshold to then be considered 100 percent originating for purposes of determining whether the vehicle into which they are incorporated are originating.
The European Union will suspend a planned increase in tariffs on imports of U.S. goods that was scheduled for June 1st. The suspension comes after the two sides agreed to start dialogue that will seek to find solutions to the global excess in steel and aluminum production capacity.
All alcohol-based hand sanitizers from Mexico have been placed on an import alert by the FDA. The FDA has seen a sharp increase in hand sanitizer products from Mexico since the start of the COVID19 pandemic. The sanitizers have been labeled to contain ethanol, but have tested positive for contamination with methanol (also know as wood alcohol), which can be toxic when absorbed through the skin.
USMCA Interim Implementation Instructions were updated and published today June 16th. You may access them in the following link. Also, 19 CFR 182 and General Note 11 of the Harmonized Tariff Schedule will be published and available on July 1st.
U.S. Trade Representative Robert Ligthizer made it public today that the USMCA will enter into force July 1st, 2020. The U.S. became the third country to notify the other parties that it had completed its domestic procedures to implement the agreement. Despite some opposition from industry leaders for the agreement to take effect this year, the current administration is eager to push forward with their initial goals for this summer.
Arizona officials recently broke ground on a multi-million dollar project that experts believe will enhance international trade through the Mariposa port of entry in Nogales Arizona. The idea is to link the Mariposa port with Interstate 19 to allow commercial traffic quick access to the I-19.
US and Mexico vow to expand the Unified Customs Processing (UCP) program at Southern Border. The pilot program was implemented in 2016 at the Mariposa Port of Entry in Nogales AZ and other major ports. Expanding the program within the major ports will enhance shared Customs processing of US bound cargo and significantly reduce the wait times at the border for commercial shipments.
After President Trump trip to India, there is no limited trade agreement which many hoped could have restore India's GSP benefits. But, both Presidents committed to promptly complete negotiations of an initial phase one deal which could reflect the true ambition and full potential of bilateral commercial relations between the two countries.
On January 29th, The Whitehouse held a ceremony to sign into law the new revamped pact with Mexico and Canada, USMCA. The primary highlights of the new deal are rules for trading agriculture goods, manufacturing and services with Mexico and Canada.
US Senate this morning ratified the USMCA setting the stage for Canada to ratify by the end of this month. If Canada ratifies by the end of January, we could see the implementation of the new agreement as early as April