Commerce Extends Steel Import Monitoring and Analysis System
Saud Aldawsari
On January 5, the Department of Commerce (Commerce) announced the extension of the Steel Import Monitoring and Analysis (SIMA) system until March 21, 2022. The purpose of the SIMA system is to provide the public with statistical data on steel imports entering the United States approximately five weeks earlier than it would otherwise be available. Commerce makes the aggregate data from the steel import licenses available to the public on a weekly basis following review by Commerce. The system was established in 2002 when former President George W. Bush imposed a safeguard measure on imports of steel. The monitoring tool ensured that the effectiveness of the steel safeguard measures was not undermined by large quantities of imports originating from countries that were excluded from the tariffs. The Department continued the monitoring system after the termination of the safeguard measure in 2003. Since then, the Department renewed the system three times after soliciting public comments on whether to continue the monitoring system.
ITC Preliminarily Finds That Canadian Softwood Lumber Injured the U.S. Industry
Richard Lutz
On January 6, the U.S. International Trade Commission determined that there is a reasonable indication that the U.S. industry is materially injured by reason of imports of softwood lumber products from Canada that are allegedly subsidized and sold in the United States at less than fair value. As a result of that decision, Canadian producers face the possibility of being assessed duties on their U.S. exports of softwood lumber. Some duties could be imposed as early as next month. Commerce is currently scheduled to issue its preliminary countervailing duty and antidumping duty determinations on February 20 and May 4, respectively. The major Canadian exporters and primary targets of the unfair trade investigations include West Fraser Mills Ltd., Canfor Corporation and Tolko Marketing and Sales Ltd. headquartered in British Columbia and Resolute Forest Products headquartered in Quebec. These four producers account for roughly half of the $5 billion of Canadian softwood lumber exported to the United States.
Exports in Space: State and Commerce Departments Revise Export Controls on Spacecraft
Kathleen L. Benner
On January 15, the final rules of the Departments of State and Commerce revising the U.S. Munitions List (USML) for Category XV, Spacecraft and Related Materials, came into effect. The final rules’ more permissive approach to spacecraft aperture size reduces the items subject to International Traffic in Arms Regulations’ control and moves items from the USML to the Commerce Control List (CCL). Changes were made to Export Administration Regulations (EAR) to account for the sensitive nature of the products now on the CCL including the addition of regional stability license requirements. The new rules also designated multiple items as Export Control Classification Number 9A515.y as a result of the interagency-cleared commodity classification. These final rules, which follow interim rules published in 2014 and subsequent comments, are part of former President Barack Obama’s Export Control Reform initiative.
American Innovation and Competitiveness Act Becomes Law
Elizabeth Owerbach
On January 6, President Obama signed into law the American Innovation and Competitiveness Act (the Act). The Act reflects “a bicameral, bipartisan agreement that includes nine House Science Committee bills that passed the full House over the last two years.” The Act’s provisions focus largely on the National Science Foundation (NSF). Under the Act, the NSF will, among other provisions: “evaluate the existing and future needs, across all NSF-supported disciplines, for mid-scale projects; and strengthen oversight and accountability over the full life-cycle of large-scale research facility projects; and continue to review its efforts to sustain scientific efforts in the face of logistical challenges for the U.S. Antarctic Program.”
Furthermore, the NSF will issue grants to: “increase the participation of women and underrepresented groups in STEM [science, technology, engineering, and mathematics] fields, for research to advance the engagement of students in grades kindergarten through 8 in STEM, and for establishment of at least one Center of Excellence for the collection, maintenance, and dissemination of information to increase the participation of women and groups underrepresented in STEM fields.”
Seychelles, Uruguay, and Venezuela No Longer Receive GSP Benefits
Clinton R. Long
As of January 1, Seychelles, Uruguay, and Venezuela are no longer eligible for the Generalized System of Preferences (GSP). GSP is a program that provides duty-free treatment to many goods imported from eligible developing beneficiary countries. The ineligibility of Seychelles, Uruguay, and Venezuela is the result of the U.S. Trade Representative’s determination in September 2015 that each country had “recently surpassed the GSP income threshold” and would lose GSP eligibility effective January 1, 2017. Because “GSP eligibility is a precondition for benefits under the African Growth and Opportunity Act (AGOA),” Seychelles also lost its AGOA eligibility on January 1 when it lost its GSP eligibility.
