India’s Central Board of Indirect Taxes and Customs is looking into the “quality and cost of services” in the country’s customs, such as shipping lines and customs brokers, and is planning to abandon “physical supervision” in bonded warehouses, according to a May 7 report from the India Brand Equity Foundation. The announcement is part of a larger examination by the CBIC into “issues” faced by its exporters in an attempt to improve “trade facilitation.”
Commerce Secretary Wilbur Ross, speaking May 7 in New Delhi, chided India for its high tariffs and non-tariff barriers, blaming them for the trade deficit with the U.S. He did not acknowledge the termination of the Generalized System of Preferences benefits for India. Although the administration warned India could be terminated from the GSP program as of May 4, so far, that has not happened. However, Ross did tell a local TV station, according to Reuters, that retaliation for the end of GSP would be inappropriate.
A mutual recognition arrangement between Singapore and Australia on authorized economic operator programs takes effect May 15, Singapore Customs said in a May 6 circular. Under the MRA, members of trusted trader programs in Singapore and Australia -- Secure Trade Partnership and Australian Trusted Trader, respectively -- will now receive “facilitated customs clearance” in the other country. Singapore companies that are non-members of STP but are exporting to or importing from ATT companies, and Australian companies that are non-members of ATT but are exporting to or importing from STP companies, may still receive benefits if they include their business partner’s AEO code on their export or import declaration.
Vietnam is banning imports of outdated machinery and production line equipment beginning June 15, according to a post on the Vietnam Briefing blog from Dezan Shira & Associates. The import ban is part of a larger prohibition on the use of imported machinery, equipment and production line technology that is more than 10 years old that also takes effect that date, the blog post said.
Singapore police arrested three men after Singapore Customs said they imported about $300,000 worth of counterfeit cellphone parts from China, the customs agency said in a May 2 press release. Customs first discovered the scheme in April, when officials intercepted a shipment from China at the Changi Airfreight Centre of more than 500 phone parts, Customs said. After “raids” at three separate locations, police said they found more than 3,400 counterfeit phone parts imported by the three men with “falsely applied trademarks of well-known brands.” Customs said the men imported the parts for “the purpose of trade.” The maximum penalty for importing or selling counterfeit goods is $100,000 and five years in prison, Customs said.
The European Union and Vietnam plan to ratify the EU-Vietnam Free Trade Agreement by the end of 2019, according to a report from Vietnam's CustomsNews website, citing HSBC. The EU has scheduled trade discussions for May 28, the notice said. The agreement will increase trade and eliminate “virtually all tariffs on goods,” according to an announcement when several of the pact's agreements were adopted by European Commission in 2018. Vietnam will remove 65 percent of import duties on EU exports “with the remainder of duties being gradually eliminated over a 10-year period,” the EU said.
India is considering a “sharp” cut in import duties on gold and a decrease in the Goods and Services Tax on other “precious metals,” according to a May 3 report from the India Brand Equity Foundation. The cuts would reduce import duties on gold from 10 percent to 4 percent, the report said, but it is unclear how much a proposed tax change would cut duties on other metals. India’s current GST for precious metals is 3percent, the report said.
Japan’s Ministry of Health, Labour and Welfare is asking for input on substances, specifically “synthetic resins,” used in food packaging, as it develops a list of approved products, the U.S. Department of Agriculture' Foreign Agricultural Service said in an April 26 notice. Japan notified the World Trade Organization last year of “its intent to replace its current negative list of synthetic resins for food packaging and container materials with a positive list,” USDA said. Since then, Japan has created a “provisional list” of substances, but is seeking input from the “foreign industry” to “ensure that the new positive list contains substances in current use, including those not commonly used in Japan but of importance to foreign operators,” the notice said.
Hong Kong Exchanges and Clearing issued guidance that includes information on the effects of sanctions on issuers listed on the Hong Kong stock exchange. A section on trade or economic sanctions details requirements for disclosure to investors and the ramifications of exposure to sanctioned companies and businesses.
Beginning May 1, all containerized goods imported into Vietnam or exported to the U.S. through the Cat Lai Port will be scanned for radiation, according to a report from the General Department of Vietnam Customs’ mouthpiece CustomsNews website. Vietnam customs is scanning for “illegal transport of nuclear materials and radioactive materials” in any containers moving through the port, the report said.