DHS Adds Five Parties to the UFLPA Entity List - Grunfeld, Desiderio, Lebowitz, Silverman & Klestadt LLP
On August 8, 2024, the U.S. Department of Homeland Security announced the addition of five companies to the Uyghur Forced Labor Prevention Act (UFLPA) Consolidated Entity List.
By statute, goods, mined, produced, or manufactured wholly or in part in the XUAR or produced by an entity on one of the UFLPA lists are subject to a rebuttable presumption that they were made using forced labor and are inadmissible.
The five new additions to the entity list, effective August 9th, are:
• Kashgar Construction Engineering (Group) Co., Ltd. *
• Xinjiang Habahe Ashele Copper Co., Ltd. (also known as Ashele Copper) *
• Xinjiang Tengxiang Magnesium Products Co., Ltd. *, **
• Century Sunshine Group Holdings, Ltd. **
• Rare Earth Magnesium Technology Group Holdings, Ltd. **
Since the UFLPA was signed into law, 73 entities have been added to the UFLPA Entity List involving various product sectors. The full list can be found here. Future additions to the list will be considered. A procedure also is available whereby parties may request their removal from the entity list.
Please do not hesitate to contact any of our attorneys for further information on the above or any other aspect of UFLPA compliance.
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* Found to fall within the UFLPA category of entities working with the government of the Xinjiang Uyghur Autonomous Region (“XUAR”) to recruit, transport, transfer, harbor or receive forced labor or Uyghurs, Kazakhs, Kyrgyz, or members of other persecuted groups out of the XUAR.
** Found to fall within the UFLPA category of facilities and entities that source material from the XUAR or from persons working with the government of Xinjiang or the Xinjiang Production and Construction Corps (“XPCC”) for purposes of the “poverty alleviation” program or the “pairing-assistance” program or any other government labor scheme that uses forced labor.
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Agency will No Longer Detain Imported Seafood Products Harvested by Yu Long No. 2 - U.S. Customs Border & Protection
WASHINGTON — U.S. Customs and Border Protection (CBP) modified the Withhold Release Order (WRO) issued on May 11, 2020 against imported seafood products made wholly or in part with seafood harvested by Yu Long No. 2, a Taiwanese flagged fishing vessel. Effective immediately, CBP will no longer detain shipments of seafood products harvested by Yu Long No. 2 at U.S. ports of entry provided the shipments are otherwise in compliance with U.S. law.
This is the agency’s first modification issued in 2024. CBP’s forced labor enforcement efforts have improved living and working conditions for tens of thousands of workers, including the repayment of more than $62 million in withheld wages and recruitment fees used to trap workers in debt bondage.
“Today’s modification of the withhold release order against Yu Long No. 2 is another victory for human rights and a sign that CBP’s forced labor enforcement is working,” said CBP Senior Official Performing the Duties of the Commissioner Troy A. Miller. “CBP will remain steadfast in its efforts to protect the rights of workers everywhere. We will not cease until every last worker trapped in conditions of forced labor is free.”
On May 11, 2020, CBP issued a WRO against imported merchandise made wholly or in part with seafood harvested by the Yu Long No. 2. CBP issued the WRO based on evidence reasonably indicating the presence of several International Labour Organization forced labor indicators within the vessel’s fishing operations.
Since the implementation of the WRO, Yu Long No. 2 has taken numerous actions to remediate forced labor indicators within its fishing process.
“Our vigilance in enforcing our trade laws is showing industry and the world that we are fully committed to combatting forced labor, whether these abuses are happening on the factory floor, in the fields, or onboard a ship” said AnnMarie R. Highsmith, Executive Assistant Commissioner of CBP’s Office of Trade. “We believe that every worker should be treated with respect and dignity.”
Title 19 U.S. Code § 1307 prohibits the importation of “[a]ll goods, wares, articles, and merchandise mined, produced, or manufactured wholly or in part in any foreign country by convict labor or/and forced labor, or/and indentured labor under penal sanctions[.]” When CBP has information reasonably indicating that goods made with forded labor are being or are likely to be imported, the agency will order personnel at U.S. ports of entry to detain shipments of those goods. Such shipments will be excluded and subject to seizure and forfeiture if the importer fails to demonstrate proof of admissibility in accordance with 19 C.F.R. §12.43 or, alternatively, exports the shipment.
CBP has established a process for interested parties to request modification or revocation of a WRO or Finding. The required evidence and timeline for modification or revocation may vary depending on the circumstances specific to each case. CBP does not modify WROs or Findings until the agency has evidence demonstrating that producers.
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Federal Register Notices:
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Notice of Scope Ruling Applications Filed in Antidumping and Countervailing Duty Proceedings
• Utility Scale Wind Towers From the People's Republic of China and the Socialist Republic of Vietnam: Final Results of Expedited Second Sunset Review of Antidumping Duty Orders
• Certain Corrosion-Resistant Steel Products From the Republic of Korea: Preliminary Results of the Countervailing Duty Administrative Review; 2022
• Certain Steel Nails From the Republic of Korea: Preliminary Results of Antidumping Duty Administrative Review; 2022-2023
• Polyethylene Terephthalate Film, Sheet, and Strip From India: Preliminary Results of Countervailing Duty Administrative Review and Rescission of Review, in Part; 2022
• Certain Steel Nails From the Sultanate of Oman: Preliminary Results and Rescission, in Part, of Antidumping Duty Administrative Review; 2022-2023
• Certain Corrosion-Resistant Steel Products From the Republic of Korea: Preliminary Results of Antidumping Duty Administrative Review; 2022-2023
• Certain Collated Steel Staples From the People's Republic of China: Preliminary Results and Partial Rescission of the Countervailing Duty Administrative Review; 2022
• Stainless Steel Sheet and Strip in Coils From the Republic of Korea: Final Results of Antidumping Duty Administrative Review; 2022-2023
• Investigations; Determinations, Modifications, and Rulings, etc.: Certain Electronic Devices and Semiconductor Devices Having Wireless Communication Capabilities and Components Thereof; Notice of a Commission Determination Not To Review an Initial Determination Granting a Motion To Terminate the Investigation as to ASUS Based on Settlement; Termination of the Investigation
• Certain Integrated Circuits, Components Thereof, and Products Containing the Same; Notice of Commission Determination To Grant in Part a Joint Motion To Terminate the Investigation Due to Settlement; Denial of Request To Take No Position With Respect to Unreviewed Issues Addressed in Initial Determination; Termination of Investigation
• Ferrosilicon From Brazil, Kazakhstan, Malaysia, and Russia; Revised Schedule for the Subject Investigations
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Vanillin From the People's Republic of China: Postponement of Preliminary Determination in the Countervailing Duty Investigation
• Polyethylene Terephthalate Film, Sheet, and Strip From India: Preliminary Results of Antidumping Duty Administrative Review, and Rescission of Review, in Part; 2022-2023
• Utility Scale Wind Towers From Malaysia: Amended Final Results of Antidumping Duty Administrative
• Welded Stainless Steel Pressure Pipe From the Socialist Republic of Vietnam: Preliminary Results of Antidumping Duty Administrative Review; 2022-2023
• Certain Tungsten Shot From the People's Republic of China: Initiation of Countervailing Duty Investigation
• Certain Tungsten Shot From the People's Republic of China: Initiation of Less-Than-Fair-Value Investigation
• Forged Steel Fittings From the People's Republic of China: Preliminary Results of Antidumping Duty Administrative Review and Rescission of Review, in Part; 2022-2023
• Polyethylene Terephthalate Film, Sheet, and Strip From Taiwan: Preliminary Results of Antidumping Duty Administrative Review and Preliminary Rescission of Review, in Part; 2022-2023
• Initiation of Antidumping and Countervailing Duty Administrative Reviews
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Pentafluoroethane (R-125) From the People's Republic of China: Final Results of Antidumping Duty Administrative Review; 2021-2023
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Forged Steel Fluid End Blocks From Italy: Final Results of Countervailing Duty Administrative Review; 2022
• Certain Uncoated Paper From Brazil: Final Results of Antidumping Duty Administrative Review; 2022-2023
• Forged Steel Fluid End Blocks From Italy: Final Results of the Antidumping Duty Administrative Review; 2022
• Stainless Steel Sheet and Strip in Coils From Taiwan: Preliminary Results, Preliminary Determination of No Shipments, and Rescission, in Part, of Antidumping Duty Administrative Review; 2022-2023
• Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Brass Rod From Israel; Scheduling of the Final Phase of the Antidumping and Countervailing Duty Investigations
• Investigations; Determinations, Modifications, and Rulings, etc.: Aluminum Extrusions From China, Colombia, Ecuador, India, Indonesia, Italy, Malaysia, Mexico, South Korea, Taiwan, Thailand, Turkey, United Arab Emirates, and Vietnam; Revised Schedule for the Subject Investigations
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USITC Announces Remedy Recommendations in its Global Safeguard Investigation Involving Imports of Fine Denier Polyester Staple Fiber - USITC
The United States International Trade Commission (USITC) today announced the remedy recommendations that it will forward to the President in its global safeguard investigation regarding imports of fine denier polyester staple fiber.
Today’s action follows the Commission’s July 9, 2024, determination that fine denier polyester staple fiber is being imported into the United States in such increased quantities as to be a substantial cause of serious injury to the domestic industry producing an article like or directly competitive with the imported article. Information about that determination can be found in the news release issued on July 9, 2024.
All four Commissioners recommend a four-year period of relief. All four Commissioners recommend a tariff-rate quota be imposed on imports of fine denier polyester staple fiber from all countries covered by their affirmative injury determination, and further recommend that a quantitative restriction, to be set at zero in the first year of relief increasing by 1 million pounds in each subsequent year over the duration of the safeguard, be imposed on imports of fine denier polyester staple fiber entered as a Temporary Importation under Bond (TIB). The statements of the Commissioners regarding their remedy recommendations are attached. Full details on their recommendations will be included in the report to the President.
The Commission will forward its report, which will contain its injury determination, remedy recommendations, certain additional findings, and the basis for them, to the President by August 26, 2024.
The President, not the Commission, will make the final decision concerning whether to provide relief to the U.S. industry and the type and amount of relief.
The Commission's public report to the President Fine Denier Polyester Staple Fiber, Inv. No. TA-201-78, USITC Publication 5536, August 2024, will be available by September 16, 2024 and it may be accessed on the USITC website at: https://www.usitc.gov/commission_publications_library.
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CBP Finds Methamphetamine in Shipment of Tomatillos at Otay Mesa Commercial Facility - USCBP
OTAY MESA, Calif. — U.S. Customs and Border Protection (CBP) officers at the Otay Mesa Commercial Facility seized 378 pounds of methamphetamine worth thousands of dollars hidden in a shipment of fresh tomatillos, this past weekend.
On Sunday, at approximately 12:35 p.m., CBP officers working at the Otay Mesa Commercial Facility encountered a 35-year-old man driving a commercial tractor-trailer with a shipment manifested for fresh tomatillos, applying for admission into the United States from Mexico. The driver, a valid border crossing card holder, was referred for further examination along with the tractor-trailer and shipment.
In the secondary inspection area, non-intrusive scanning technology was utilized to conduct a thorough scan of the tractor-trailer. CBP officers observed irregularities and further examined the shipment. CBP officers discovered and extracted a total of 50 packages concealed within the shipment of fresh tomatillos. The contents of the packages were tested and identified as methamphetamine with a total weight of 378 pounds, and an estimated street value of $453,600.
“The dedication and vigilance demonstrated by our officers in protecting our nation’s borders while enhancing economic prosperity truly reflect the culture and values of CBP,” stated Rosa E. Hernandez, Port Director for the Area Port of Otay Mesa. “This seizure highlights criminal organizations’ efforts to smuggle narcotics in agricultural products and showcases our officers’ skills in detecting and preventing harmful drugs from entering our country and communities.”
CBP officers seized the narcotics and commercial tractor-trailer. The driver was turned over to the custody of Homeland Security Investigations for further investigation.
This seizure is the result of Operation Apollo, a holistic counter-fentanyl effort that began on Oct. 26, 2023, in southern California, and expanded to Arizona on April 10, 2024. Operation Apollo focuses on intelligence collection and partnerships, and utilizes local CBP field assets augmented by federal, state, local, tribal, and territorial partners to boost resources, increase collaboration, and target the smuggling of fentanyl into the United States.
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USITC Makes Determination in Five-Year (Sunset) Review Concerning Common Alloy Aluminum Sheet from China - International Trade Commission
The U.S. International Trade Commission (USITC) today determined that revoking the existing antidumping and countervailing duty orders on common alloy aluminum sheet from China would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time.
As a result of the Commission’s affirmative determinations, the existing orders on imports of these products from China will remain in place.
Commissioners David S. Johanson, Rhonda K. Schmidtlein, and Jason E. Kearns voted in the affirmative. Chair Amy A. Karpel did not participate in the vote.
Today’s action comes under the five-year (sunset) review process required by the Uruguay Round Agreements Act. See the attached page for background on these five-year (sunset) reviews.
The Commission’s public report Common Alloy Aluminum Sheet from China (Inv. Nos. 701-TA-591 and 731-TA-1399 (Review), USITC Publication 5538, August 2024) will contain the views of the Commission and information developed during the reviews.
The report will be available by September 20, 2024; when available, it may be accessed on the USITC website at: https://www.usitc.gov/commission_publications_library.
BACKGROUND
The Uruguay Round Agreements Act requires the Department of Commerce to revoke an antidumping or countervailing duty order, or terminate a suspension agreement, after five years unless the Department of Commerce and the USITC determine that revoking the order or terminating the suspension agreement would be likely to lead to continuation or recurrence of dumping or subsidies (Commerce) and of material injury (USITC) within a reasonably foreseeable time.
The Commission’s institution notice in five-year reviews requests that interested parties file responses with the Commission concerning the likely effects of revoking the order under review as well as other information. Generally within 95 days from institution, the Commission will determine whether the responses it has received reflect an adequate or inadequate level of interest in a full review. If responses to the USITC’s notice of institution are adequate, or if other circumstances warrant a full review, the Commission conducts a full review, which includes a public hearing and issuance of questionnaires.
The Commission generally does not hold a hearing or conduct further investigative activities in expedited reviews. Commissioners base their injury determination in expedited reviews on the facts available, including the Commission’s prior injury and review determinations, responses received to its notice of institution, data collected by staff in connection with the reviews, and information provided by the Department of Commerce.
The five-year (sunset) reviews concerning Common Alloy Aluminum Sheet from China were instituted on January 2, 2024.
On April 8, 2024, the Commission determined to conduct expedited five-year reviews. Chair Amy A. Karpel and Commissioners David S. Johanson, Rhonda K. Schmidtlein, and Jason E. Kearns concluded that the domestic interested party group response was adequate and the respondent interested party group response was inadequate, and voted for expedited reviews.
A record of the Commission’s vote to conduct expedited reviews is available on the Common Alloy Aluminum Sheet; Inv. Nos. 701-TA-591 and 731-TA-1399 investigations page.
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U.S. Department of the Treasury Announces Connecticut Will Join IRS Direct File for Filing Season 2025 - U.S. Department of Treasury
At least 290,000 Connecticut taxpayers will be eligible to use the free tax filing option made possible by President Biden’s Inflation Reduction Act
WASHINGTON – Today, the U.S. Department of the Treasury and Internal Revenue Service (IRS) announced that Connecticut will be the latest state to join IRS Direct File for Filing Season 2025. IRS Direct File was made possible by President Biden’s Inflation Reduction Act, which provided new resources for the IRS to improve customer service and ensure taxpayers claim the benefits and deductions for which they are eligible.
Following a successful Pilot Program in 12 states that saw 140,000 taxpayers claim more than $90 million in refunds and save an estimated $5.6 million in filing costs using the new free online filing tool, Treasury and the IRS announced the expansion of Direct File as a permanent offering. Treasury and the IRS have been working with interested states to offer Direct File to their taxpayers with Connecticut being the latest state to join, following Oregon, New Jersey, Pennsylvania, and New Mexico. At least 290,000 Connecticut taxpayers will be eligible to use the free online filing tool next Filing Season.
“Thanks to President Biden’s Inflation Reduction Act, more than 290,000 Connecticut taxpayers will be able to file their taxes online for free, directly with the IRS this coming Filing Season. Direct File will save Connecticut residents time and money and help ensure they receive the tax benefits they are owed,” said U.S. Secretary of the Treasury Janet L. Yellen. “After a successful pilot this Filing Season, we are pleased to expand the program as a permanent offering and welcome Connecticut as the latest new state to offer this free option to taxpayers.”
“The Direct File tool will make it easier and more convenient for the average person to file their taxes, and it will help them save both time and money by avoiding the need to purchase for-profit tax filing software,” said Governor Ned Lamont. “We’re grateful to the U.S. Department of the Treasury and the Internal Revenue Service for making this resource a reality, and we appreciate that Connecticut residents will benefit from this service in the upcoming filing season.”
The Treasury Department’s goal in the coming years is to expand the reach and tax scope of Direct File to provide an option for working-and middle-class taxpayers nationwide. Direct File is central to the Biden-Harris Administration’s efforts to deliver modern, world-class customer service using Inflation Reduction Act resources. Direct File also advances a goal of the IRS’s Strategic Operation Plan (SOP) to ensure that taxpayers receive tax credits that they are eligible for, including the Child Tax Credit and Earned Income Tax Credit. The IRS will continue to improve the product over time and ensure that it remains free, secure, and easy to use.
BACKGROUND ON THE DIRECT FILE PILOT PROGRAM
The average American spends $270 and 13 hours filing their taxes. (Taxpayer Burden Survey) President Biden’s Inflation Reduction Act required the IRS to study the potential for an IRS-run Direct e-File System that would allow taxpayers to file taxes for free, directly with the IRS. After reviewing the report, which showed strong taxpayer interest in a free IRS filing option, the Treasury Department initiated a pilot of IRS Direct File during the 2024 Filing Season.
In Filing Season 2024, Direct File was available to taxpayers with simple tax situations in 12 states. The Pilot exceeded expectations with more than 140,000 Americans successfully filing in the five weeks the program was widely available following extensive product testing. These filers claimed more than $90 million in refunds and saved an estimated $5.6 million in tax preparation fees on their federal returns alone.
Direct File users also reported a high degree of satisfaction and quick answers to their filing questions. In a GSA Touchpoints survey of more than 11,000 Direct File users, 90 percent of respondents ranked their experience with Direct File as “Excellent” or “Above Average.” A majority of survey respondents who filed taxes in the prior year reported having to pay to prepare their taxes last year. Among all survey respondents, 47 percent of users paid to file their taxes last year and 16 percent did not file last year at all.
In Treasury and IRS engagements with Direct File users, taxpayers relayed that Direct File was straightforward to use, and they valued features that allowed them to learn more about different tax situations, credits, and deductions. Taxpayers emphasized their appreciation for the fact that Direct File is always free and there are no hidden fees or attempts to upsell users as they moved through the filing process. Taxpayers also shared that filing directly with the IRS gave them confidence and that they were able to quickly fix mistakes and get their taxes filed accurately.
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FTC Outlines Remedy Concerns in Amicus Brief After Jury Finds Google Illegally Monopolized App Store - Federal Trade Commission
Effective relief shouldn’t allow Google to reap the rewards of illegal monopolization, the FTC’s brief says
The Federal Trade Commission filed an amicus brief in a case brought by online video game maker Epic Games Inc. against Google LLC’s app store, which outlines how the court should consider potential remedies when determining effective relief to restore competition after Google was found liable for illegal monopolization.
The FTC filed its amicus brief in the U.S. District Court for the Northern District of California in an ongoing antitrust case where a jury found Google liable for multiple antitrust violations related to its Google App Store, including finding that Google monopolized the Android App Distribution and Android In-App Payment Solutions markets for digital goods and services transactions. Google’s App Store serves as an essential platform used by developers, which includes Epic, to market their software. Google’s App Store is also critical for users that seek to purchase applications, such as Epic’s online game Fortnite.
In its amicus brief, the FTC encourages the court to use its broad power to order a remedy that stops the illegal conduct, prevents its recurrence, and restores competition. Injunctive relief should also restore lost competition in a forward-looking way and should ensure a monopolist is not continuing to reap the advantages and benefits obtained through the antitrust violation, the FTC’s brief stated. Looking forward in cases like Epic v. Google often requires the consideration of network effects, data feedback loops, and other key features of digital markets. This could help ensure that potential competitors can overcome the advantages established digital platforms often gain, which include network effects and data incumbency. These advantages allow established digital platforms to lock-in users, advertisers, and other stakeholders, which create barriers to entry for future competition.
In the Epic case, Google has raised several concerns about the administrability of potential injunctions that impose duties to deal with competitors and the implications of any requirement that Google provide access to its Application Programming Interfaces to non-customers for free. Despite these concerns, courts still have wide latitude to impose these sorts of requirements on monopolists when crafting remedies to restore competition, the FTC stated in its brief.
Google also has expressed concern that the cost of complying with Epic’s proposed remedy may be overly burdensome. Complaints about the burdens of compliance are no excuse, the FTC stated in its brief. Google’s monopolistic behavior has significantly harmed millions of users in the United States. Allowing monopolists to reap the rewards of illegal monopolization while avoiding the costs of restoring the competition that they unlawfully eliminated would undermine deterrence, the FTC stated in its brief.
The Commission vote approving the filing of the amicus brief was 3-0-2, with Commissioners Melissa Holyoak and Andrew N. Ferguson recused. Commissioner Holyoak is recused due to her work on behalf of Utah in Utah v Google. Commissioner Ferguson recused himself in light of Virginia’s participation in Epic v. Google when he was Solicitor General.
The Federal Trade Commission works to promote competition and protect and educate consumers. The FTC will never demand money, make threats, tell you to transfer money, or promise you a prize. You can learn more about how competition benefits consumers or file an antitrust complaint. For the latest news and resources, follow the FTC on social media, subscribe to press releases and read our blog.