The U.S.-Japan mini-deal is not consistent with World Trade Organization rules, a former White House trade negotiator said, so the two sides mentioned a future phase two deal to cover substantially all trade to convince Japan's parliament to pass the accord. Because of the way the deal was structured, with small tariff reductions for Japanese exporters, it did not require a vote in Congress, Clete Willems, speaking recently on a webinar for University of Nebraska students, said. In calling the mini-deal phase one, “I think both sides were playing it cute, to be honest,” Willems, now at Akin Gump, said. He said Japan was not interested in a comprehensive bilateral trade deal, because it still wants the U.S. to rejoin the Trans-Pacific Partnership.
A lead negotiator for the Trans-Pacific Partnership released a paper arguing that reentering the rebranded Comprehensive and Progressive Agreement for TPP is still the best way to deal with China's trade distorting practices, but her paper, and speakers on a Sept. 30 webinar, revealed the many barriers to reentry.
The U.S. and the United Kingdom completed a fourth round of free trade agreement negotiations last week and have moved into the “advanced stages” in most areas, the U.K.’s Department for International Trade said Sept. 22. The two sides “exchanged their first tariff offers” before the fourth round began, leading to “detailed market access discussions” during the round of negotiations. “Significant progress has been achieved since launching negotiations,” the agency said, calling the exchange of tariff offers a “notable milestone.” The U.K. said “the speed at which this stage has been reached demonstrates the momentum behind these negotiations.” The two sides plan to hold the fifth round of talks in mid- to late October, the U.K. said, again with discussions taking place before it begins. The Office of the U.S. Trade Representative did not comment.
European Union Director General for Trade Sabine Weyand said the EU has made another offer to settle the Boeing-Airbus dispute. “There's a lot we need to do to calm down the tensions in our relationship,” she said during a Sept. 15 webinar hosted by the American Institute for Contemporary German Studies at Johns Hopkins University. She pointed to the deal on lobster tariffs as good but small. “It's the first tariff liberalization we have done in 20 years” between the U.S. and EU, she noted.
The Environmental Protection Agency on Sept. 16 released a final rule setting new significant new use rules (SNURs) under the Toxic Substances Control Act (TSCA) for 24 chemical substances subject to premanufacture notices (PMNs). As a result of the SNURs, persons planning to manufacture, import or process any of the chemicals for an activity designated as a significant new use by this rule are required to notify EPA at least 90 days in advance. Importers of chemicals subject to these SNURs will need to certify their compliance with the SNUR requirements, and exporters of these chemicals will now become subject to export notification requirements. The final rule takes effect Nov. 16. The SNURs cover the following chemical substances:
The United Kingdom and Japan agreed Sept. 11 to a free trade accord that will reduce Japanese tariffs on a range of U.K. agricultural products and benefit exporters of Japanese cars and auto parts. The U.K. said the deal, the first major trade agreement for it as a nation independent of the European Union, will eliminate tariffs on 99% of exports to Japan.
China and Norway have made “remarkable progress” on certain aspects of a potential free trade agreement and hope to speed up negotiations, China’s Ministry of Commerce said Sept. 11, according to an unofficial translation of a news release. In virtual talks Sept. 11, the two sides discussed increasing trade, trade remedies, e-commerce, intellectual property concerns, customs issues and technical trade barriers, China said. China’s ministry said both countries believe in “speeding up” negotiations to help strengthen global supply chains amid the COVID-19 pandemic.
Market access negotiations needed to return India to the Generalized System of Preferences benefits program may be mostly “sorted out,” India's Economy Minister Piyush Goyal said in a speech to the U.S.-India Strategic Partnership Forum Sept. 1. His office summarized some points about the deal, which was described as foundational, in a series of tweets. U.S. Trade Representative Robert Lighthizer “and I agreed that we can look finalising before the election, but otherwise soon after the election,” he said. “The entire package is nearly ready and can be finalised at any time. India is open to signing tomorrow on what we have agreed on.”
Chinese and Russian officials want to expand trade and supply chain cooperation, with both sides emphasizing trade in agricultural goods, the Chinese Ministry of Commerce said Aug. 25, according to an unofficial translation of a news release. China wants to “deepen cooperation” with Russia in the “entire soybean industry chain,” and Russia said it is “willing to further expand exports of agricultural products to China,” the notice said. The countries also said they want to establish a “Sino-Russian soybean industry alliance.”
The European Union will modernize trade agreements in the Pan-European-Mediterranean region to make rules of origin more flexible and “business friendly,” the European Commission said Aug. 24. The origin rules for certain products will be “easier to meet,” the EU said in a guidance, adding that the deal will now include higher thresholds for the use of non-originating goods and will lift prohibitions on duty-drawbacks. The changes will also ease logistics and customs procedures by allowing for electronic versions of “origin proofs.” The new measures will apply to trade deals with Iceland, Liechtenstein, Norway, Switzerland, Faroe Islands, Turkey, Egypt, Israel, Jordan, Lebanon, Palestinian territories, Georgia, the Republic of Moldova, Ukraine, Albania, Bosnia and Herzegovina, North Macedonia, Montenegro, Serbia and Kosovo.