USITC to Investigate Effects of Active Section 232 and 301 Tariffs on U.S. Industries - U.S. Trade Representative
The U.S. International Trade Commission (USITC) is undertaking a new factfinding investigation that will examine the impact of tariffs on U.S. imports under section 232 of the Trade Expansion Act of 1962 (19 U.S.C. 1862) and section 301 of the Trade Act of 1974 (19 U.S.C. 2232) in effect as of March 15, 2022, as reflected in the Harmonized Tariff Schedule. The Commission’s report will provide detailed information on U.S. trade, production, and prices in the industries directly and most affected by these tariffs.
The Commission was directed to conduct this investigation, Economic Impact of Section 232 and 301 Tariffs on U.S. Industries, Inv. 332-591, as part of the Omnibus Appropriations Act, which was signed into law on March 15, 2022.
As directed, the USITC, an independent, nonpartisan, federal agency, will prepare a public report. The report will provide, to the extent practicable:
• background information on the Section 232 and 301 tariffs and an overview of the tariffs that were in effect as of March 15, 2022; and
• an economic analysis of the impact of these tariffs on U.S. trade, production, and prices in the industries most affected by these tariffs.
The USITC expects to submit its report to Congress by March 15, 2023.
The USITC will hold a public hearing in connection with the investigation, beginning at 9:30 a.m. on July 21, 2022. Information about the hearing, including how to participate or observe, will be posted on the Commission’s website no later than June 21, 2022, at
https://usitc.gov/research_and_analysis/what_we_are_working_on.htm.
Requests to appear at the hearing should be filed no later than 5:15 p.m. on July 6, 2022 with the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436. See below for important information regarding filing a request to appear at a USITC hearing.
The USITC also welcomes written submissions for the record. Written submissions should be addressed to the Secretary of the Commission and should be submitted no later than 5:15 p.m. on August 24, 2022. All written submissions, except for confidential business information, will be available for public inspection. See below for important information regarding the filing of written submissions for USITC investigations.
IMPORTANT: All filings to appear at the hearing and written submissions must be made through the Commission’s Electronic Document Information System (EDIS, https://edis.usitc.gov). No in-person paper-based filings or paper copies of any electronic filings will be accepted until further notice. Persons with questions regarding electronic filing should contact the Office of the Secretary, Docket Services Division (EDIS3Help@USITC.gov), or consult the Commission’s Handbook on Filing Procedures.
Further information on the scope of the investigation is available in the USITC’s notice of investigation, dated May 5, 2022, which can be downloaded from the USITC Internet site (www.usitc.gov) or may be obtained by contacting the Office of the Secretary at or may be obtained by contacting the Office of the Secretary at commissionhearings@usitc.gov.
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Federal Register Notices:
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Stainless Steel Flanges From India: Final Results of Countervailing Duty Administrative Review; 2019
• Certain Steel Nails From the People's Republic of China; 2020-2021: Preliminary Results of Antidumping Duty Administrative Review and Preliminary Determination of No Shipments; 2020-2021
• Polyester Staple Fiber From the Republic of Korea and Taiwan: Final Results of the Expedited Sunset Reviews of the Antidumping Duty Orders
• Stainless Steel Flanges From India: Final Results of Antidumping Duty Administrative Review; 2019-2020
• Certain Hot-Rolled Steel Flat Products From the Republic of Korea: Final Results of Countervailing Duty Administrative Review; 2019
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Welded Line Pipe From the Republic of Turkey: Rescission of the Antidumping Duty Administrative Review; 2019-2020
• Investigations; Determinations, Modifications, and Rulings, etc.: Certain Smart Thermostat Systems, Smart HVAC Systems, Smart HVAC Control Systems, and Components Thereof; Notice of Request for Submissions on the Public Interest
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Steel Concrete Reinforcing Bar From Taiwan: Notice of Court Decision Not in Harmony With the Results of Antidumping Duty Administrative Review; Notice of Amended Final Results
• Sales at Less Than Fair Value; Determinations, Investigations, etc.: Oil Country Tubular Goods From Argentina: Preliminary Affirmative Determinations of Sales at Less Than Fair Value and Critical Circumstances, Postponement of Final Determination, and Extension of Provisional Measures
• Oil Country Tubular Goods From the Russian Federation: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Preliminary Negative Critical Circumstances Determination, Postponement of Final Determination, and Extension of Provisional Measures
• Emulsion Styrene-Butadiene Rubber From Italy: Termination of Less-Than-Fair-Value Investigation
• Oil Country Tubular Goods From Mexico: Preliminary Affirmative Determinations of Sales at Less Than Fair Value and Critical Circumstances, Postponement of Final Determination, and Extension of Provisional Measures
• Investigations; Determinations, Modifications, and Rulings, etc.: Organic Soybean Meal From India
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Welded Stainless Pressure Pipe From India: Continuation of Antidumping and Countervailing Duty Orders
• Aluminum Extrusions From the People's Republic of China: Initiation of Changed Circumstances Reviews
• Investigations; Determinations, Modifications, and Rulings, etc.: Notice of Request for Submissions on the Public Interest; Certain Portable Battery Jump Starters and Components Thereof
• Certain Light-Emitting Diode Products, Fixtures, and Components Thereof; Notice of a Commission Determination To Institute a Rescission Proceeding and Grant a Joint Petition To Rescind Remedial Orders; Termination of Rescission Proceeding
• Initiation of Antidumping and Countervailing Duty Administrative Reviews
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Certain Carbon and Alloy Steel Cut-To-Length Plate From Germany: Final Results of Antidumping Duty Administrative Review; 2020-2021
• Urea Ammonium Nitrate Solutions From the Russian Federation: Initiation of Antidumping Duty Changed Circumstances Review
• Investigations; Determinations, Modifications, and Rulings, etc.: Certain Polycrystalline Diamond Compacts and Articles Containing Same; Commission Determination To Review in Part a Final Initial Determination Finding No Violation of Section 337; Request for Written Submissions on the Issues Under Review and on Remedy, the Public Interest, and Bonding
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Commission Seeking Comments on Co-Loading Definition and Tariff Access Fees - Federal Maritime Commission
A newly released Notice of Proposed Rulemaking (NPRM) issued by the Federal Maritime Commission solicits public comment on whether carrier tariffs should be available free of charge and if the definition of co-loading should be changed to apply only to less than container loads.
The NPRM on Carrier Automated Tariffs (Docket No. 21-03) proposes a total of six major changes to Commission rules that are intended to ease requirements for engaging in commerce while increasing the transparency of business transactions.
The proposed change to tariff publication rules would require ocean carriers to post their tariffs free of charge on their websites. Seven of the ten leading ocean carriers serving the United States already provide this service and the Commission believes that requiring universal free tariff publication would benefit the trade by providing more information to shippers on pricing when considering service options.
The Commission is proposing changing its regulations to change the definition of co-loading to apply only to less than container loads. The change is intended to align Commission regulations with current industry practices. The Commission is also proposing that documentation accompanying full container load shipments be annotated with the names of all non-vessel operating common carriers (NVOCCs) associated with the cargo the container is carrying.
Three proposed changes would allow NVOCCs to cross-reference certain aspects of other carriers’ terms in their tariffs; clarify the ability of NVOCCs to reflect increases in certain charges passed through by other entities without notice; make other miscellaneous updates and clarifications to 46 Code of Federal Regulations Part 520.
The Commission issued an Advance Notice of Proposed Rulemaking on April 8, 2021, on these proposed changes. This document and the comments received can also be found in Docket No. 21-03.
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FTC Takes Action Against Lions Not Sheep and Owner for Slapping Bogus Made in USA Labels on Clothing Imported from China - Federal Trade Commission
The Federal Trade Commission today took action against apparel company Lions Not Sheep Products, LLC, and its owner Sean Whalen for falsely claiming that its imported apparel is Made in USA. According to the FTC’s complaint, the company added phony Made in USA labels to clothing and accessories imported from China and other countries. The FTC’s proposed order requires Lions Not Sheep and Whalen to stop making bogus Made in USA claims, come clean about foreign production, and pay a monetary judgment.
“Companies that slap phony Made in USA labels on imported goods are cheating their customers and undercutting honest businesses, and we will hold those companies and their executives accountable for their misconduct,” said Sam Levine, Director of the FTC’s Bureau of Consumer Protection. “American consumers have the right to know the truth about where their clothes and accessories are made.”
Utah-based Lions Not Sheep is an apparel company that sells t-shirts, sweatshirts, jackets, and sweaters on their own website as well as through Amazon and Etsy. The company and its owner Whalen heavily marketed it through social media channels, claiming that it would “show people it’s possible to live your life as a LION, Not a sheep.” Their Made in USA claims online and on product labels included “Made in the USA,” “Made in America,” “Are your products USA Made?” “100% AMERICAN MADE,” and “BEST DAMN AMERICAN MADE GEAR ON THE PLANET.” In most cases, the products advertised using these claims consist of wholly imported shirts and hats with limited finishing work performed in the United States.
The complaint alleges that on Oct. 8, 2020, Whalen published a video of himself to his social media accounts, with the title MADE IN AMERICA! alongside a Chinese flag. In the video, Whalen said he could conceal the fact that his shirts are made in China by ripping out the origin tags and replacing them with tags stating that the merchandise was made in the United States.
According to the complaint, between May 10, 2021 and Oct. 21, 2021, Whalen and Lions Not Sheep removed tags disclosing that the merchandise was made in a foreign country and printed “Made in USA” at the neck of the shirts, as depicted below:
Enforcement Action
The proposed order settling the FTC’s complaints against Whalen and Lions Not Sheep prohibits the conduct alleged in the complaint. The order requires that Whalen and Lions Not Sheep:
Pay judgment: They must pay a judgment of $211,335.
Cease making bogus Made in USA claims: They must stop claiming that products are made in the United States unless they can show that the product’s final assembly or processing—and all significant processing—takes place here and that all or virtually all ingredients or components of the product are made and sourced here. Under the terms of the proposed order, Whalen and Lions Not Sheep are prohibited from labeling products as “Made in USA” unless the final assembly or processing, and all significant processing that goes into the products occur in the United States; and unless all or virtually all ingredients or components of the products are made and sourced in the United States. They must also submit compliance reports.
Come clean about foreign production: Under the order, any qualified Made in USA claims must include a clear and conspicuous disclosure about the extent to which the product contains foreign parts, ingredients or components, or processing. Finally, to claim that a product is assembled in the United States, Whalen and Lions Not Sheep must ensure that it is last substantially transformed in the United States, its principal assembly takes place in the United States, and U.S. assembly operations are substantial.
The FTC’s Enforcement Policy Statement on U.S. Origin Claims provides further guidance on making non-deceptive “Made in USA” claims.
The Commission vote to issue the complaint and accept the consent agreement was 4-0. The FTC will publish a description of the consent agreement package in the Federal Register soon. Instructions for filing comments appear in the published notice. Comments must be received 30 days after publication in the Federal Register. Once processed, comments will be posted on Regulations.gov.
NOTE: When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to $46,517.
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Raimondo Announces Temporary Suspension of 232 Tariffs on Ukraine Steel - Department of Commerce
Suspended tariffs will bolster one of Ukraine’s most important industries
Today, United States Secretary of Commerce Gina M. Raimondo announced the United States of America will be temporarily suspending 232 tariffs on Ukrainian steel for one year. Ukraine’s steel industry is uniquely important to the country’s economic strength, employing 1 in 13 Ukrainians with good-paying jobs.
Some of Ukraine’s largest steel communities have been among those hardest hit by Putin’s barbarism, and the steel mill in Mariupol has become a lasting symbol of Ukraine’s determination to resist Russia’s aggression. Many of Ukraine’s steel mills have continued to pay, feed, and even shelter their employees over the course of fighting. Despite nearby fighting, some Ukrainian mills have even started producing again.
Creating export opportunities for these mills is essential to their ability to continue employing their workers and maintaining one of Ukraine’s most important industries.
Statement from Commerce Secretary Gina M. Raimondo:
“Steelworkers are among the world’s most resilient—whether they live in Youngstown or Mariupol. We can’t just admire the fortitude and spirit of the Ukrainian people—we need to have their backs and support one of the most important industries to Ukraine’s economic well-being. For steel mills to continue as an economic lifeline for the people of Ukraine, they must be able to export their steel. Today’s announcement is a signal to the Ukrainian people that we are committed to helping them thrive in the face of Putin’s aggression, and that their work will create a stronger Ukraine, both today and in the future.
“I want to thank President Biden for his leadership in directing us to do all we can to support Ukraine’s people and their economy, as well as the Ukrainian leaders I have had a chance to work with over the past two months. Ukraine’s diplomatic leaders have been essential partners and advocates for their people, and we will continue to do all we can to support their work toward peace, freedom, and prosperity.”
About Commerce’s Support for Ukraine
Since Russia invaded Ukraine on February 24, the Department of Commerce has launched a series of new export control restrictions on Russia in partnership with three dozen allies, including 27 EU member states, Canada, the United Kingdom, Australia, New Zealand, Japan, South Korea, Switzerland, Iceland, and Norway.
The multilateral coordination on export controls and other areas has been impressive and led to swift development and implementation of powerful restrictions that are having a serious impact on Russia’s ability to sustain its aggression.
• Commerce has added 260 parties in Russia, Belarus, and multiple other countries to the Entity List. These entities have been involved in, contributed to, or otherwise supported the Russian security services, military and defense sectors, and military and/or defense research and development efforts. (BIS)
• U.S. exports to Russia in categories of items subject to new U.S. export licensing requirements have decreased 97% by value as compared to the same time period in 2021 (February 24-April 29). (BIS data)
• Overall U.S. exports to Russia have decreased approximately 79% by value over the same time period in 2021. (BIS data)
• Public reports indicate Russia’s two largest tank manufacturing facilities have been forced to shut down, due to an inability to access the necessary parts and equipment. (Wall Street Journal, 4/25)
• Russia is facing a critical shortage of precision-guided missiles. (Financial Times, 4/30)
Additional information on Commerce’s actions is available on the Bureau of Industry and Security’s website at: https://www.bis.doc.gov/index.php/policy-guidance/country-guidance/russia-belarus
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OTEXA: Announcements - Office of Textile & Apparel
[05/12/2022] – The European Union (EU) will be putting forward several pieces of legislation in 2022 to achieve its circular economy transition. One initiative, the Sustainable Products Initiative (SPI) will focus on “key product value chains” (including textiles) that the Commission sees as requiring “urgent, comprehensive and coordinated action” to jumpstart the transition to circularity. The EU Strategy for Sustainable and Circular Textiles was published on March 30, 2022. For more information, see the EU Strategy for Sustainable Textiles webpage. For information on how U.S. businesses can engage with the EU on circular economy, see the Service-EU market intelligence article.
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Attribution of Russia’s Malicious Cyber Activity Against Ukraine - Department of State
The United States is joining with allies and partners to condemn Russia’s destructive cyber activities against Ukraine. In the months leading up to and after Russia’s illegal further invasion began, Ukraine experienced a series of disruptive cyber operations, including website defacements, distributed denial-of-service (DDoS) attacks, and cyber attacks to delete data from computers belonging to government and private entities – all part of the Russian playbook. For example, the United States has assessed that Russian military cyber operators have deployed multiple families of destructive wiper malware, including WhisperGate, on Ukrainian Government and private sector networks. These disruptive cyber operations began in January 2022, prior to Russia’s illegal further invasion of Ukraine and have continued throughout the war.
Today, in support of the European Union and other partners, the United States is sharing publicly its assessment that Russia launched cyber attacks in late February against commercial satellite communications networks to disrupt Ukrainian command and control during the invasion, and those actions had spillover impacts into other European countries. The activity disabled very small aperture terminals in Ukraine and across Europe. This includes tens of thousands of terminals outside of Ukraine that, among other things, support wind turbines and provide Internet services to private citizens.
As nations committed to upholding the rules-based international order in cyberspace, the United States and its allies and partners are taking steps to defend against Russia’s irresponsible actions. The U.S. Government has developed new mechanisms to help Ukraine identify cyber threats and recover from cyber incidents. We have also enhanced our support for Ukraine’s digital connectivity, including by providing satellite phones and data terminals to Ukrainian government officials, essential service providers, and critical infrastructure operators. We praise Ukraine’s efforts—both in and outside of government—to defend against and recover from such activity, even as its country is under physical attack.
More information on the U.S. government’s efforts to support cybersecurity and connectivity in Ukraine is available here