The Obama administration has taken a major step in its export control reform initiative: the submittal of its first formal notification to Congress of proposed changes to the State Department’s U.S. Munitions List. The notification, which was required under Section 38(f) of the Arms Export Control Act, relates to the movement of certain military aircraft, aircraft parts and gas… Continue Reading
Category Archives: International Trade & Investment
Subscribe to International Trade & Investment RSS FeedNarrowing of an exemption under Iran sanctions
On 6 February 2013, U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) issued guidance regarding the impact of section 504 of the Iran Threat Reduction and Syria Human Rights Act (ITRA). As previously reported in our Iran-related client alerts and blog entries, ITRA was enacted on 10 August 2012 and imposed a number of… Continue Reading
Iran sanctions developments
This alert provides an update regarding U.S. sanctions against Iran. As noted in our numerous prior updates, the United States continues to expand U.S. sanctions against Iran. Read: “Iran sanctions developments“
No EU Regulation for “Made In” Labelling in Sight – Commission Set to Withdraw Proposal
EU Trade Commissioner Karel de Gucht has announced the EU Commission’s withdrawal of a proposal on the marking of origin requirements for certain products imported from third countries. The Commissioner’s February 17 announcement provided two reasons for the withdrawal. First, the Commission believes that the proposal is inconsistent with the EU’s WTO obligations following the Appellate Body’s decision in… Continue Reading
Review of issues for 2013
The following is a summary of some of the key issues Congress and the Administration will be debating in 2013. Please contact us with any questions. We are happy to provide further analysis as well as insight into other areas of interest. Agriculture: Tom Vilsack is expected to stay on as Secretary of Agriculture…. Continue Reading
Congress authorizes easing of U.S. export controls applicable to commercial communications satellites
In a major step toward export control reform, the U.S. Congress passed legislation on 21 December 2012 giving the President authority to ease export controls applicable to commercial communications satellites (COMSATs) and related items. The National Defense Authorization Act for Fiscal Year 2013 (NDAA), which was signed into law by President Obama on 3 January… Continue Reading
CBP 2012 East Coast Trade Symposium
US Customs and Border Protection (CBP) held its annual East Coast Trade Symposium on November 27 -28 in National Harbor, Maryland. This year’s Symposium was themed “Expanding 21st Century Global Partnerships” and featured US Department of Homeland Security (DHS) Secretary Janet Napolitano as the Keynote Speaker. Secretary Napolitano opened the two-day program by stressing the… Continue Reading
New Customs Rule Expands Availability of Informal Entries
US Customs and Border Protection (CBP) has published its final rule, effective January 7, 2013, increasing the value threshold for “informal entries” from $2,000 to its maximum statutory limit of $2,500. The final rule also removes regulatory language requiring “formal entry” for certain shipments for textile and apparel products. Consumption entries fall into two broad categories –… Continue Reading
LNG Exports: A Big Benefit for the US and Global Economy
On Dec. 5, the Department of Energy released a long-awaited study on natural gas exports. The bottom line was not surprising: exports of natural gas (importantly including LNG) would be a net benefit to the US economy, and the net positive benefit will increase as exports increase. Basic economic theory supports this conclusion. So does… Continue Reading
Further easing of US sanctions against Burma
On November 16, 2012, the US government further eased trade restrictions under Burma sanctions. In response to democratic reforms made by Burma’s government, the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) has broadly authorized the importation of Burmese-origin goods into the United States, under General License 18, with some limited exceptions. Specifically, the… Continue Reading
Expanded Iran Sanctions Now Apply to Foreign Subsidiaries of U.S. Companies
On 9 October 2012, the President issued Executive Order 13628 implementing certain provisions of the Iran Threat Reduction and Syria Human Rights Act of 2012. Among other things, the Executive Order effectively prohibits non-U.S. entities that are owned or controlled by U.S. persons (including foreign subsidiaries of U.S. companies) from knowingly taking virtually any action… Continue Reading
EU Reinforces Sanctions Against Syria
On September 25 the European Union (EU) further strengthened its economic sanctions regime targeting the Syrian Government by making additional substantive changes to the EU measures. The new measures, as set out in Council Regulation 867/2012, include: (i) a requirement that all aircraft and vessels transporting cargo to Syria shall be subject to additional pre-arrival… Continue Reading
EU Announces Preferential Trade Treatment for Myanmar/Burma
The EU is prepared to take yet another landmark step to open European markets to Myanmar/Burma following its political, social and labor reforms. The European Commission has adopted a proposal to restore Myanmar/Burma to the “Everything But Arms” preferential trade regime. The European Commission’s proposal will provide duty-free and quota-free access to the European market for all products, except… Continue Reading
Expanded Iran sanctions will reach non-US subsidiaries
Section 218 of the “Iran Threat Reduction and Syria Human Rights Act of 2012,” which was signed by President Obama into law on August 10, 2012, significantly expands the scope of U.S. sanctions against Iran by extending the full range of restrictions to the activiteis of non-U.S. entities owned or controlled by U.S. persons (including U.S. companies). This provision specifies that the President shall, “[n]ot… Continue Reading
Congress Takes First Steps Toward Tax Reform
U.S. businesses and foreign multinationals with U.S. tax obligations should be on alert that the elements of a major U.S. tax reform legislative package are already being developed within the U.S. Congress, the Obama Administration, and in interest groups and think tanks in Washington. The final make-up of this tax reform package — to be… Continue Reading
First Investor-State Dispute Decided under the Dominican Republic-Central America Free Trade Agreement
An International Centre for Settlement of Investment Disputes (ICSID) tribunal has issued the first-ever arbitral award under the Dominican Republic-Central America Free Trade Agreement (CAFTA-DR). The case, Railroad Development Corporation v. Guatemala, involved Guatemala’s 1997 concession to U.S.-based Railroad Development Corporation (RDC) to restore and develop Guatemala’s rail system. After Guatemala’s president invoked a Guatemalan administrative… Continue Reading
OFAC eases sanctions against Burma (Myanmar)
The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) published on 11 July 2012 long-awaited General Licenses to lift certain Burma sanctions. Specifically, OFAC implemented the easing of certain sanctions with respect to financial services and new investments that were initially announced in May 2012 by President Obama and Secretary of State Clinton in response… Continue Reading
Mexico Implements “Ventanilla Unica” Paperless Environment for Import and Export Operations
Mexico will no longer allow the filing of import or export documentation or declarations in paper form. Effective June 1, 2012, Mexican importers, exporters and their brokers are required to use the Single Window for Foreign Trade (“Ventanilla Unica de Comercio Exterior”) to submit shipment information and related supporting documentation (e.g., certificates of origin and permits). The… Continue Reading
EU expands Syria sanctions to luxury products
The Council of the European Union has adopted Regulation 509-2012 containing implementing rules for sanctions against Syria, effecting a ban on exports of luxury goods and of additional dual-use goods, which came into force on 17 June 2012. The regulation identifies a number of luxury goods, as well as dual-use goods such as chemicals, pathogens and equipment… Continue Reading
Ex-Im Bank and OPIC financing opportunities for renewable energy
Ex-Im Bank offers favorable financing options to facilitate the export of U.S.-produced renewable energy goods and services. These financing options, and Ex-Im Bank’s commitment to expanding its portfolio of renewable energy financing, make Ex-Im Bank an attractive source of financing for international companies seeking to purchase U.S.-made renewable energy products and services. OPIC provides medium-… Continue Reading
The U.S.-Colombia FTA Is Now in Force, Offering Significant Benefits to Importers and Exporters
The United States-Colombia Free Trade Agreement (FTA) has now entered into force, increasing market access for U.S. goods and services in the Colombian market. President Obama signed the formal “Presidential Trade Proclamation” on May 14. Effective May 15, 2012, the FTA eliminates duties on 80 percent of U.S. exports of consumer and industrial products to Colombia, including agricultural… Continue Reading
Hogan Lovells White Paper on Government Access to Cloud Data Released in Brussels on 23 May Gains Wide Attention
As widely reported yesterday (in Computerworld, CSO Magazine, CIO Magazine, Network World, PC Advisor, Australian Techadvisor, IT World, among others) and as detailed in this article in PC World, Hogan Lovells yesterday released a White Paper at a Brussels conference organized by the Openforum Academy detailing a study about governmental access to data in the cloud. The paper was written… Continue Reading
U.S. Easing of Burma Sanctions Announced by President Obama
President Obama announced on Thursday, May 17, that “the United States will ease its bans on the exportation of financial services and new investment in Burma.” In a related statement, Secretary of State Clinton indicated that “[t]he United States will issue a general license that will enable American businesses to invest across the economy, allow citizens access to… Continue Reading
EU Suspends Sanctions Against Myanmar/Burma until April 30, 2013
The European Union has formally authorized the one-year suspension of most of the restrictive measures imposed against Myanmar/Burma. The EU’s May 14, 2012 regulation gives full legal effect (until April 30, 2013) to the suspension of sanctions (on which we previously reported), and means that only an embargo on arms and equipment that could be used against… Continue Reading