CBP has drafted some interim implementing instructions for the U.S.-Mexico-Canada Agreement that could be released as soon as April 17, a CBP official said during an April 16 conference call. The draft is being circulated within the government and is planned to eventually go up on CBP's website, she said. The instructions will detail how to file an entry, and the Special Program Indicator code will be S, she said. There's also some discussion about an S+ code for agricultural goods with special requirements, similar to the CAFTA-DR codes, she said. A CSMS message would announce the release of the instructions, she said.
A group of 31 House lawmakers, led by Rep. Haley Stevens, D-Mich., and Rep. Jackie Walorski, R-Ind., is asking the U.S. trade representative to delay the switch-over to the U.S.-Mexico-Canada Agreement auto rules of origin (ROO), even as the USMCA takes over from NAFTA. The group's letter, sent April 10, said the delay “is necessary to allow the auto industry an appropriate adjustment period and account for delays caused by the COVID-19 pandemic. Alternatively, we ask that you seriously consider other accommodations or flexibilities that will allow the automotive sector to avoid being penalized by the new requirements upon the agreement’s entry into force.”
The U.S. trade representative and Brazil's Foreign Affairs minister discussed ways to deepen discussions under the Agreement on Trade and Economic Cooperation, the Office of the U.S. Trade Representative said April 10. Another call is to take place next week, to both flesh out areas of agreement and tackle irritants. USTR will consult with Congress, as well, on “how best to expand trade and develop our economic relationship.”
Mexico's undersecretary for foreign trade said July 1 is the earliest the new NAFTA could go into effect, but also suggested that an August or September date of entry into force would be fine. Luz Maria de la Mora spoke on a webinar hosted by the Wilson Center's Mexico Institute on April 7.
The European Council gave its final approval for a free trade agreement between the European Union and Vietnam (see 1906260068), saying it expects the deal to take effect this summer, according to a March 30 press release. The EU said it is awaiting ratification from Vietnam’s National Assembly. The deal is the “most ambitious free trade agreement ever concluded with a developing country,” Gordan Grlić Radman, minister for foreign and European affairs of Croatia, said in a statement.
Export restrictions on food, medicine or medical supplies “must be targeted, proportionate, transparent, and temporary,” the G-20 countries said in a statement on trade and COVID-19 released March 30. They agreed they would notify the World Trade Organization if any restrictions are implemented, and they will consider the needs of other countries for emergency supplies and humanitarian assistance. “We are actively working to ensure the continued flow of vital medical supplies and equipment, critical agricultural products, and other essential goods and services across borders, for supporting the health of our citizens. Consistent with national requirements, we will take immediate necessary measures to facilitate trade in those essential goods,” the ministers wrote. They want global supply chains to continue to function.
The Office of the U.S. Trade Representative scheduled a hearing for businesses to testify about their priorities for negotiations for a U.S.-Kenya free trade agreement. USTR notified Congress March 17 of its intent to enter into negotiations with Kenya (see 2003170061). The deadline to submit written comments and to notify of an intent to testify is April 15. The public hearing will be April 28 in Washington. The office recommended giving feedback on barriers to trade; costs or benefits to reducing tariffs in the U.S. on Kenyan imports; customs and facilitation issues, including those related to pre-shipment inspection; and whatever else companies think needs to be addressed.
The language of the U.S.-Mexico-Canada Agreement says that in order for the treaty to take effect on June 1 -- as U.S. officials have told Congress they want -- the countries would have to agree that they're ready 12 days from now. Kenneth Smith Ramos, a former top negotiator of the NAFTA rewrite, said the three countries cannot say they've completed their internal procedures by then. “#NotHappening,” he wrote in English at the end of a tweet in Spanish.
President Donald Trump, asked about a letter from businesses and trade groups sent earlier on March 18 that said he should lift sections 232 and 301 tariffs, said he couldn't imagine why Americans would want that. “China is paying us billions and billions of dollars in tariffs and there’s no reason to do that,” reporters quoted him as saying at a press conference. "It could be that China will ask for a suspension or something. We’ll see what happens. China is having a very rough time.”
The U.S. Trade Representative notified Congress March 17 that it will be negotiating a trade agreement with Kenya. Negotiations cannot begin for at least 90 days. “Under President Trump’s leadership, we look forward to negotiating and concluding a comprehensive, high-standard agreement with Kenya that can serve as a model for additional trade agreements across Africa. Kenya is an important regional leader, a strategic partner of the United States, and a commercial hub that can provide substantial opportunities for U.S. trade and investment,” USTR Robert Lighthizer said in a statement.