United States Department of Commerce (DOC)

• The U.S. Department of Commerce (DOC) determines that certain lemon juice from Brazil is being, or is likely to be, sold in the United States at less than fair value. DOC conducted verification of the information relied upon in making its final determination in this investigation with respect to Louis Dreyfus Company Sucos S.A. (LDC) and Citrus Juice Eireli (Citrus Juice)
  • DOC determines that certain lemon juice from the Republic of South Africa is being, or is likely to be, sold in the United States at less than fair value (LTFV).
•  DOC determines that certain steel nails from India are being, or are likely to be, sold in the United States at less than fair value (LTFV).
  • DOC determines that certain steel nails from Thailand are being, or are likely to be, sold in the United States at less than fair value (LTFV).
  • DOC determines that certain steel nails from the Republic of Turkey are being, or are likely to be, sold in the United States at less than fair value (LTFV).
• DOC initiated a changed circumstances review of the antidumping duty order on polyethylene terephthalate sheet from the Sultanate of Oman. DOC preliminarily determines that revocation of the order is warranted. Interested parties are invited to comment on these preliminary results.
• DOC preliminarily finds that circular welded carbon-quality steel pipe from the Sultanate of Oman was sold in the United States at less than normal value (NV) during the period of review, December 1, 2019, through November 30, 2020, and the POR, December 1, 2020, through November 30, 2021. Interested parties are invited to comment on these preliminary results.
• As a result of this expedited sunset review, DOC finds that revocation of the antidumping duty (AD) order on paper clips from the People’s Republic of China would be likely to lead to continuation or recurrence of dumping at the levels indicated in the “Final Results of Sunset Review” section of this notice.
• DOC received scope ruling applications, requesting that scope inquiries be conducted to determine whether identified products are covered by the scope of antidumping duty (AD) and/or countervailing duty (CVD) orders and that Commerce issue scope rulings pursuant to those inquiries. In accordance with Commerce’s regulations, we are notifying the public of the filing of the scope ruling applications listed below in the month of November 2022.

United States International Trade Commission (USITC)

• The United States International Trade Commission (USITC) provided a notice of the scheduling of an expedited review pursuant to the Tariff Act of 1930 to determine whether revocation of the antidumping duty order on gray portland cement and cement clinker from Japan would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time.
• USITC provided a notice that it will proceed with full reviews pursuant to the Tariff Act of 1930 to determine whether revocation of the countervailing duty order on stainless steel sheet and strip (SSSS) from South Korea, and the antidumping duty orders on SSSS from Japan, South Korea, and Taiwan would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time. A schedule for the reviews will be established and announced at a later date.
• USITC provided a notice that it will proceed with a full review pursuant to the Tariff Act of 1930 to determine whether revocation of the antidumping duty order on steel nails from the United Arab Emirates would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time. A schedule for the review will be established and announced at a later date.
• USITC provided a notice of the scheduling of full reviews pursuant to the Tariff Act of 1930 (“the Act”) to determine whether revocation of the antidumping duty orders on emulsion styrene- butadiene rubber (ESBR) from Brazil, Mexico, Poland, and South Korea would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time. The Commission has determined to exercise its authority to extend the review period by up to 90 days.
• USITC provided a notice that it will proceed with a full review pursuant to the Tariff Act of 1930 to determine whether revocation of the antidumping duty order on steel nails from the United Arab Emirates would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time. A schedule for the review will be established and announced at a later date.

Office of the United States Trade Representative (USTR)

• The Office of the United States Trade Representative (USTR) announced the United States Senate confirmed Doug McKalip to serve as Chief Agricultural Negotiator in the Office of the United States Trade Representative.  This vote comes after the Senate Finance Committee unanimously approved of McKalip’s nomination by a vote of 27-0.
  • Elected officials, producers, and stakeholders applauded the Senate vote and expressed their enthusiasm for McKalip as he takes on this new role.

U.S. Customs and Border Protection (CBP)

• U.S. Customs and Border Protection (CBP) provided a memorandum to provide guidance on extending 352 previously reinstated Section 301 product exclusions for an additional nine months which are currently scheduled to expire on December 31, 2022.
• CBP began detaining merchandise produced or manufactured by Jingde Trading Ltd., Rixin Foods. Ltd., and Zhejiang Sunrise Garment Group Co. Ltd. at all U.S. ports of entry on Dec. 5, 2022. This enforcement action is the result of a CBP investigation indicating that these companies use North Korean labor in their supply chains in violation of the Countering America’s Adversaries Through Sanctions Act (CAATSA).
  • CBP has barred imports from three companies, including a supplier to Western apparel companies, that the agency says could be using North Korean forced labor.
• CBP announced in a message the termination of Burkina Faso as a beneficiary sub-Saharan African country to the AGOA, effective January 1, 2023, per Presidential Proclamation dated December 23, 2022.
  • For more information we encourage you to view the announcement here.
• Ahead of the new year, CBP has released its Trade News Snapshot – Volume 4, Issue 6. 

U.S. Department of the Treasury Office of Foreign Assets Control (OFAC)

• The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) is updating the identifying information on its Specially Designated Nationals and Blocked Persons List (SDN List) for two individuals whose property and interests in property subject to U.S. jurisdiction are blocked pursuant to Executive Order 13224, as amended.
• OFAC is publishing two general licenses (GLs) issued pursuant to the Russian Harmful Foreign Activities Sanctions Regulations: GLs 8D and 40C, which were previously made available on OFAC’s website.

U.S. Fish and Wildlife Service (FWS)

• The U.S. Fish and Wildlife Service (FWS), propose to designate critical habitat for the federally threatened `i`iwi under the Endangered Species Act of 1973, as amended. In total, approximately 275,647 acres (111,554 hectares) on the islands of Kaua`i, Maui, and Hawai`i, in the State of Hawaii, fall within the boundaries of the proposed critical habitat designation.

If you have questions about these updates, contact our Diaz Trade Law attorneys at info@diaztradelaw.com or call us at 305-456-3830.

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Below we share some of our top 2021 success stories with you.

Successfully Mitigated Liquidated Damages Claims 

• For failure to timely refile rejected entries subject to AD/CV duties:
  • After DTL’s strategic involvement CBP substantially mitigated approximately $5 MILLION in claims down to $26,365.00, successfully saving our client over $4.7 MILLION dollars
  • Our client received 36 liquidated damages notices from CBP totaling over $567,000. After Diaz Trade Law’s successful negotiation with CBP, all 36 cases were canceled by CBP, saving our client $over $567,000!!
• CBP sent our client a liquidated damages claim in the amount of $150,000. As a result of Diaz Trade Law’s successful petition, CBP mitigated the liquidated damages claim down to $1,500!
• CBP issued a liquidated damages claim in the amount of $50,000.00. After DTL successfully petitioned CBP, the claim was cancelled!
• CBP issued a liquidated damages claim in the amount of $36,033.00. After DTL successfully petitioned CBP, the claim was mitigated to $360.33 (the best potential mitigation!).

CBP Detention Assistance 

• Mere days after being retained, Diaz Trade Law successfully assisted in negotiating with CBP and numerous trademark owners proving that our clients detained goods (collectively valued over $1,000,000.00) were legitimate, receiving either consent TM holder, and/or convincing CBP to release legitimate merchandise that should not have been detained.
• After CBP detained our client’s electronic merchandise to verify admissibility with the Department of Transportation (DOT)
  • CBP released the electronic goods after DTL proved the merchandise, LED driving lights, were eligible for an “off road” use exception and DOT providing such confirmation.
• After CBP detained our client’s electronic merchandise to verify the validity of a trademark on the product packaging.
  • Diaz Trade Law proactively communicated with the trademark holder and CBP, who, with the authorization of the trademark holder, permitted the importer to manipulate the merchandise and import the goods saving our client from a costly and lengthy seizure case that potentially exposed our client to CBP penalties.
• After CBP detained our client’s electronic merchandise to verify the validity of a trademark on the product packaging.
  • After Diaz Trade Law’s immediate involvement in arguing the product was “confusingly similar” and not counterfeit, DTL persuaded CBP to apply the relief afforded to “confusingly similar” seized merchandise and ultimately CBP permitted the exportation – which is relief that is rarely granted for detained products. DTL saved our client from a seizure case and potential penalties.
• CBP detained 28 containers of our client’s cargo.
  • Diaz Trade Law successfully negotiated with CBP to permit the goods to be reexported and avoid substantial demurrage expenses.

4647 Responses 

• CBP issued our client a CBP Form 4647 – Notice to Mark, because its electronic car accessories labels had both a country of origin marking and a “Designed in the USA” claim (in separate locations on the label).
  • After 48 hours of Diaz Trade Law’s successful escalation and negotiation with the Electronic Center of Excellence and Expertise, CBP granted a rarely used marking waiver permitting the merchandise to be imported as is, saving our client both money and time.
• CBP issued our client a CBP Form 4647 – Notice to Mark, because over 1,000 electronic car accessory units did not bear a country of origin marking.
  • Diaz Trade Law successfully and efficiently guided our client through the marking process. Ultimately, the goods were marked and authorized for distribution within recording timing – less than 10 days from the issuance of the 4647, saving our client both money and time.
• CBPO’s at Port Everglades detained two of our client’s shipments and issued two separate CBP Form 4647s – Notices to Mark because the imported merchandise valued at $98,744.00 did not bear a country of origin marking.
  • Diaz Trade Law successfully and efficiently guided our client through the marking process. Ultimately, the goods were marked and authorized for distribution with record timing – within 7 days from the issuance of the 4647, saving our client both money and time.
• Diaz Trade Law successfully assisted our client in responding to CBP’s Notice to Redeliver (CBP Form 4647) and provided CBP confirmation that the intellectual property rights displayed on the goods was authorized and our client’s merchandise was released in record timing!

Successfully Assisted Numerous Importers Battle Alleged Intellectual Property Rights Violations

• Our client’s merchandise was seized by CBP due to an alleged trademark violation.
  • After Diaz Trade Law’s successful petition, CBP issued a decision authorizing our client to relabel and export its legitimate merchandise.
• CBP detained several shipments of our client’s cargo for both Country of Origin (COO) and Intellectual Property Rights (IPR) reasons.
  • Diaz Trade Law advocated for our client and within less than one week convinced CBP to release our client’s legitimate merchandise detained at numerous ports of entry nationwide.
• Our client’s designer handbags were seized by CBP due to an alleged counterfeit violation.
  • After Diaz Trade Law’s successful petition, proving that the handbags were legitimate, CBP released our client’s legitimate merchandise.
• CBP detained our client’s goods valued at $98,744.00 for an alleged IPR validation.
  • Our firm immediately communicated with the appropriate CBP CEE and submitted evidence supporting the legitimacy of the imported goods requesting their immediate release. The CBP CEE agreed with our request and recommended the local port release the shipment, saving our client from a costly and lengthy seizure case.
• Diaz Trade Law successfully negotiated with CBP on behalf of an aftermarket car part importer to permit the exportation of goods detained for alleged IPR violations, saving the importer from a costly and lengthy seizure and potential penalty.
• Our client imported electronic merchandise which contained a trademark-violating processing system.
  • After Diaz Trade Law’s successful intervention, Diaz Trade Law received authorization from the trademark holder to permit the violative components to be removed and destroyed, and the larger shell merchandise to be imported in its current form. CBP agreed to these terms, and issued a disposition order authorizing the manipulation and release of the goods as Diaz Trade Law had requested.

Successfully Mitigated Penalty Actions Issued by CBP to our Clients 

• For importing noncompliant Wood Packaging Material:
  • $91,714 mitigated to 3% of penalty to $2,751.42, saving our client $88,962
  • $69,900 mitigated to 3% of penalty to $6,990, saving our client $60,000
  • $28,478 mitigated to 10% of penalty to $2,847, saving our client $25,631
  • $27,857 mitigated to 10% of penalty to $2,786, saving our client $25,071
  • $19,980.00 mitigated to 10% of penalty to $1,998, saving our client $17,982
• For filing incorrect Electronic Export Information (EEI)
  • $14,194 mitigated down to $500 (the best possible relief)!
  • $14,194 mitigated to 10% of penalty to $1500, saving our client $12,694

CBP 28 / CBP 29 Responses / CBP Investigations and Rejections

• Our client received a CBP 28 for a U.S. Australia Free Trade Agreement verification.
  • After Diaz Trade Law filed a successful response proving the imported goods were eligible for preferential duty-free treatment, CBP closed the 28 with a positive CBP 29 (Notice of Action).
• Our client received a CBP 28 Request for Information from U.S. Customs to verify GSP eligibility.
  • After Diaz Trade Law submitted a substantive response proving the GSP claim was valid, CBP issued a CBP 29 determining that the merchandise qualifies for GSP and no duties are owed to CBP!
• Our client received a Request for Information (CBP 28) from CBP.
  • Diaz Trade Law filed a 28 response which included a Prior Disclosure. The 28 was closed out, and the disclosure was accepted by CBP resulting in no 1592 penalties being issued to our client.
• CBP physically inspected our client’s cargo at the time of entry and identified that the commercial invoice and packing slip submitted to CBP did not include one model number included in the cargo. Diaz Trade Law immediately negotiated with CBP to accept an updated invoice and packing list. CBP accepted and released the complete cargo with no further enforcement action taken, saving our client costly demerge fees and other expenses.
• CBP rejected and refused an importation of tires because CBP alleged the importer did not have a right to make entry. After three uphill battles with CBP and DTL’s strategic recommendation to change the import transaction model, the importer was successfully able to act as IOR and its merchandise was admitted into the US.

USTR/China Tariffs

• Diaz Trade Law assisted over 100 importers in filing complaints with the Court of International Trade challenging Section 301 tariffs imposed for imported goods under for List 3 and List 4a, requesting full refunds.
• Diaz Trade Law filed numerous exclusions for goods subject to the Section 301 List 3 and List 4. USTR agreed and granted our client’s exclusion!
• Numerous clients that were subject to 301 duties used Diaz Trade Law to actively monitor 301 exclusions to ensure they were notified when refunds were a possibility. Diaz Trade Law assisted with not only actively monitoring the relevant exclusions, but also interpreting the applicability, and fighting for refunds via the Protest or PSC process. CBP has accepted numerous Protests, and hundreds of thousands of dollars of refunds were sent to our clients!
• As a result of Diaz Trade Law’s closely monitoring Section 301 China tariff exclusions, Diaz Trade Law found an applicable exclusion for our client to use and filed two Protests with CBP requesting that CBP refund the China tariffs paid. Our client’s protests were approved by CBP, resulting in a refund of $64,678.00.

Export Compliance and Enforcement Mitigation Assistance

• Diaz Trade Law is actively assisting exporters:
  • Vetting proposed export transactions
  • Providing voluntary self-disclosures to Census and OFAC
  • Developing an effective export compliance plan
  • Developing export compliance training
  • Mitigation and corrective action
  • Presenting export report cards to clients based upon an analysis of ACE data
  • Analyze export trade data
  • With mitigation of export seizures and penalties
• Our client needed urgent assistance to ensure it understood the requirements to properly export hazardous materials. Diaz Trade Law successfully and expeditiously secured Competent Authority Approvals for the hazardous material from the U.S. DEPARTMENT OF TRANSPORTATION Pipeline and Hazardous Materials Safety Administration (PHMSA) as well as the Competent Authority of Turkey and Finland.

OFAC/FAA/HSI 

• Our client’s incoming wire payments of $842,918.92 from Venezuela were blocked by its U.S. bank for possible violations of U.S. sanctions laws.
  • After Diaz Trade Law filed a specific license application with the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC), OFAC issued a specific license authorizing the legitimate funds to be unblocked and returned to our client.
• Our client was being investigated by FAA as a result of a hazardous materials incident.
  • As a result of Diaz Trade Law’s successful involvement, the FAA closed the matter with an informal action!
• Our client was being investigated by HSI for possible criminal liability.
  • After Diaz Trade Law’s intervention, HSI closed its investigation into our client.

 Protests

• Diaz Trade Law successfully assisted our client in filing two Protests with CBP. These approvals saved our client over $600,000!!
• After Diaz Trade Law’s successful Protest of CBP’s AD/CVD bills, our client’s protest was approved by CBP, saving our client over $200,000!!

Binding Rulings

• Diaz Trade Law successfully requested and received binding rulings for numerous clients confirming:
  • the correct country of origin for its prospective imported merchandise.
  • the correct harmonized tariff schedule (HTSUS) for its imported merchandise.
  • both the origin of their merchandise and appropriate CBP country of origin marking
  • the applicability of a free trade agreement.

Assisted Numerous Importers in Filing Prior Disclosures and Voluntary Self-Disclosures Accepted by CBP 

• Diaz Trade Law successfully submitted a perfected prior disclosure for underlying classification, valuation, quantity, and 301/China tariff errors. While reviewing ACE data, we identified offsets for the duties owed to CBP. Ultimately, CBP agreed with our assessment and accepted our prior disclosure and tender, resulting in a refund of over $25,000 to our client and ensuring no future penalties would be assessed for our client’s past importing errors.
• After discovering Electronic Export Information (EEI) filing errors made by one of our clients, Diaz Trade Law assisted our client in proactively filing a Voluntary Self-Disclosure (VSD) with the U.S. Census Bureau and assisting our client in fixing all past errors. The VSD filing was accepted and resulted in the U.S. Census Bureau closing out the matter without penalties being assessed.
• On behalf of a client, Diaz Trade Law filed a voluntary disclosure with the Office of Foreign Assets Control (OFAC), disclosing potential sanctions violations.
  • Diaz Trade Law worked proactively with OFAC and received this “No Action letter” with no penalties assessed to our client.
• Diaz Trade Law successfully assisted our client in filing a Voluntary Self-Disclosure (VSD) with the U.S. Census Bureau for violations of the Foreign Trade Regulations.
  • Diaz Trade Law proactively worked with the Census Bureau and corrected past filing errors. The VSD was successfully closed out with no penalties assessed.
• Diaz Trade Law successfully assisted our client in filing a Prior Disclosure. CBP accepted the prior disclosure with no 1592 penalties being assessed!

Bonded Warehouse

• After Diaz Trade Law’s successful application, our client’s Bonded Warehouse Application was approved!
• After its bonded warehouse was activated by CBP, our client realized it wanted to change the total square footage. Diaz Trade Law successfully assisted our client alter its customs bonded warehouse space.

Successfully Assisted Numerous Importers in Various Seizure Cases 

• CBP seized our client’s vehicle after believing it could have been used to import illegal substances. After Diaz Trade Law’s successful petition proving our client’s innocence, CBP released the vehicle with no penalty assessed
• $20,868.81 of our client’s currency was seized by CBP. After Diaz Trade Law’s successful petition, $19,868.81 was returned to our client!
• $15,795 of our client’s currency was seized by CBP. After Diaz Trade Law’s successful petition, $14,795 was returned to our client!
• $12,157.95 worth of jewelry was seized by Customs after our client failed to declare it. After Diaz Trade Law’s successful Petition, CBP released the jewelry within 22 days.

Awards

• In 2021, Diaz Trade Law founder Jennifer Diaz was again Chambers ranked in International Trade: Customs – USA – Nationwide

Publications

Key publications written by Diaz Trade Law in 2021 were:

• Bloomberg Law, Introduction to U.S. Export Controls: Part 2, November, 2021.
• Bloomberg Law, Protecting Intellectual Property Rights in China, October 2021.
• Bloomberg Law, Incoterms 2020, May 2021.
• Bloomberg Law, Submitting Voluntary Self-Disclosures to Bureau of Industry & Security, May 2021.
• Bloomberg Law, Submitting a Voluntary Self-Disclosure to Census, April 2021.
• Bloomberg Law, Submitting a Voluntary Self-Disclosure to OFAC, April 2021.
• Bloomberg Law, U.S. Customs Targets Use of Forced Labor, January 2021.
• Customs and International Trade Bar Association, An Overview of China’s New Export Controls Regime,
• Customs and International Trade Bar Association, COVID-19’s Impact on 2020 Trade Flows,

Customized Training Programs & Webinars

Key compliance programs taught by Diaz Trade Law in 2021 were:

• Intellectual Property Rights and Customs – Amazon Brand Registry
• CTPAT Program: Is CTPAT a Right Fit
• Successfully Navigating the U.S. Customs Detention and Seizure Process
• How to Navigate FDA Enforcement Action: Detentions, Warning Letters, and Import Alerts
• Requests For Information (CBP Form 28) and Prior Disclosures
• How to Build and Maintain an Effective Import Compliance Plan
• How to Build and Maintain an Effective Export Compliance Plan
• Importing Food in Compliance With U.S. FDA and Surviving A FSVP Audit
• Importing Medical Devices in Compliance With U.S. FDA
• 6 Months In – Insights on Biden & Congress on Trade
• Is it a Cosmetic, a Drug, or Both? FDA Enforcement Actions
• ACE: Auditing Your Export History
• ACE: Auditing Your Import History
• Introduction to Export Controls
• Importing 101 – Introduction to U.S. Customs
• Anti-Circumvention / EAPA / Dumping Duties & the Spreadability of Cases (Coated Paper)
• Other Trade Remedies 101 – Every Administration has a Favorite!
• Basics on AD/CVD
• Cleaning for Covid-19 – Importing Cleaning Products: Who Regulates You?
• Forecasting the Next 4 Years of Biden on Trade

Diaz Trade Law values you and appreciates your trust in us to be your Customs and International Trade Law Expert! Contact us at info@diaztradelaw.com to schedule your consultation or customized training today.

U.S. Commercial Wildlife Trade Enforcement & Licensing

The United States is a signatory to CITES and has ratified CITES into U.S. law via the Endangered Species Act (50 CFR Part 23). The U.S. Department of the Interior’s Fish & Wildlife Service (“FWS”) is responsible for enforcing and licensing U.S. commercial wildlife trade pursuant to the Endangered Species Act.

In order to engage in international trade in any specimen covered within the scope of CITES, you must have either a valid CITES document or qualify for an exemption. CITES documents are issued by national CITES management authorities. In the United States, the FWS issues CITES documents. CITES documents must contain certain standardized information and include either a purpose code or a written description of the purpose in addition to a source code indicating the source of the specimen. Current CITES exemptions are detailed on FWS’ website.

Below is an example of a CITES document looks. Standardized information generally required includes:

• Appendix – i.e. what species, subspecies, or population is listed
• Applicant’s signature
• Bill of lading, air waybill, or flight number
• Dates of issue and expiration
• Description of the specimen
• Document number (unique control number)
• Statement that live wildlife will be transported in a humane manner
• Name and address of the exporter and importer
• Purpose of the transaction
• Quantity
• Scientific name
• Source of the specimen

CITES documents must contain certain standardized information and include either a purpose code or a written description of the purpose in addition to a source code indicating the source of the specimen. You can search your specimen on the CITES appendix to determine whether a CITES permit is necessary.

Purpose codes are standard identifiers of the purpose of a transaction. A CITES document must comprise of one of the following codes:

• B – Breeding in captivity or artificial propagation
• E – Education
• G – Botanical garden
• H – Hunting trophy
• L – Law enforcement / judicial / forensic
• M – Medical research (including biomedical research)
• N – Reintroduction or introduction into the wild
• P – Person
• Q – Circus or traveling exhibition
• S – Scientific
• T – Commercial
• Z – Zoo

Similarly, a source code must be listed indicating the source of the specimen. Common source codes include:

• A – Artificially propagated plant
• C – Bred-in-captivity wildlife
• D – Bred-in-captivity or artificially propagated for commercial purposes
• F – Captive-bred wildlife
• I – Confiscated or seized specimen
• O – Pre-convention specimen
• R – Ranched wildlife
• U – Source unknown (must be justified on the face of the CITES document
• W – Specimen taken from the wild

Exemptions to a CITES document often require CITES exemption documents. Below is a listing of common exemptions and their corresponding CITES exemption document:

IMPORT/EXPORT LICENSES

Separate and apart from the CITES licensing described above, companies or individuals engaged in commercial importation or exportation of shipments containing certain wildlife (including products made from wildlife) must obtain an Import/Export License (“I/E License”) from FWS. IE Licenses are issued via FWS’ Office of Law Enforcement. I/E Licenses must be obtained before commercially importing or exporting covered wildlife.

It is important to note that while the CITES licensing mechanism is narrowly tailored to only certain endangered species covered by the CITES appendices, the scope of the I/E licensing requirement is much broader and covers “wildlife [or fish] shipments for commercial purposes” generally. Fish or wildlife, according to the Endangered Species Act, is defined as:

• “Any member of the animal kingdom, including without limitation any mammal, fish, bird (including any migratory, nonmigratory, or endangered bird for which protection is also afforded by treaty or other international agreement), amphibian, reptile, mollusk, crustacean, arthropod or other invertebrate, and includes any part, product, egg, or offspring thereof, or the dead body or parts thereof.”

Certain animals are exempt from I/E licensing requirements. These include:

• Certain domesticated animals listed on the table found in 50 CFR 14.4
• Shellfish and nonliving fishery products including certain products for human or animal consumption
• Live farm-raised fish and farm-raised fish eggs

If an I/E License is issued to you or your company, you will ensure that a copy of the I/E License is provided with each Declaration for Importation or Exportation of Fish or Wildlife (Form 3-177) document package submitted to FWS at the time of shipment.

What You Can Do

If you are importing or export wildlife or fish, or products made with wildlife or fish, you should:

• Understand your Supply Chain – Violations of the Endangered Species Act or Lacey Act for failing to obtain a CITES document or an I/E License if necessary or otherwise engaging in the illicit trade of endangered species carries heavy civil penalties and criminal sanctions. One reason that U.S. importers and exporters inadvertently get caught up in the illicit trade of endangered species is their failure to properly understand their supply chain. Diaz Trade Law works with a global team of due diligence investigators and supply chain transparency researchers. If you require assistance understanding your supply chain, contact us today.
• Vet Proposed Transactions – If you’re unsure whether a proposed import or export sale is subject to FWS enforcement or requires a CITES document or I/E License, reach out to us today. We can review and vet your proposed transaction to determine what actions you need to take.
• Developed a Wildlife Trade Compliance Plan – A key foundation of proactive and effective wildlife trade compliance requires the development of a wildlife trade compliance plan. A wildlife trade compliance plan establishes a set of procedures for your organization to ensure that everyone is on the same page about how standard processes work, who is responsible for what, how to identify violations, what to do when violations occur, etc. Diaz Trade Law can assist you in developing or enhancing your wildlife trade compliance plan.
• Train Your Employees – Violations of the Endangered Species Act carry heavy civil penalties and criminal sanctions. You can be proactive to ensure that your employees are aware of FWS licensing requirements by holding a training session. Diaz Trade Law has significant experience in training employees on a range of import and export compliance matters. If you would like to hold a wildlife trade compliance training, reach out to us today.
• Obtain a CITES document if necessary – If your import or export contains product that is listed on CITES’ appendices, a CITES document obtained from an issuing authority such as FWS is likely required.
• Obtain an Import-Export License if necessary – If your import or export contains commercial wildlife product, an I/E License may be necessary.

The duty to prevent the illicit trade in endangered species is everyone’s responsibility. As an importer or exporter of commercial wildlife or wildlife-derived product, you are on the forefront of the issue and may have the ability to identify parties engaged in illicit trade. If you would like to report a wildlife crime, you can do so at fws_tips@fws.gov. FWS is authorized to pay rewards for information or assistance that leads to an arrest, a criminal conviction, civil penalty, or forfeiture of seized property.

Contact Us

If you have questions about trade in wildlife and wildlife-derived product, including FWS enforcement and licensing, training, developing a compliance program, or vetting proposed transactions, contact Jennifer Diaz or Sharath Patil today at 305-456-3830 or info@diaztradelaw.com.

Paddlefish are 1 of 3 types of egg-bearing (roe) species native to the United States that are allowed to be commercially exported for their eggs, which are processed into caviar.  For Leisure Caviar, a wholesale dealer of paddlefish roe, and Bemka Corporation, a buyer of paddlefish roe, they had applied to the Fish and Wildlife Service for export permits for 4,074 pounds of roe worth $500,000.  The Fish and Wildlife Service had taken no action on the applications which had been filed from between 7 to 12 months earlier.  The shelf life of paddlefish roe is only 12 months.

The applicant companies sued the U.S. Fish and Wildlife Service in Federal Court in Chattanooga, Tennessee, seeking to get the Court to order the U.S. Fish and Wildlife Service to review and grant the applications.  Instead, the Court dismissed the law suit.  The Court’s legal Opinion explained that the companies “had failed exhausted their administrative remedies, a prerequisite for bringing suit against the U.S. Government under the Federal Tort Claims Act…”  Moreover, upon appeal to a higher court, the appellate court stated:

The processing of applications under the Convention in International Trade in Endangered Species of Wild Fauna and Flora (CITES) amounts to a discretionary responsibility, one ineligible for mandamus relief.

In other words, the U.S. Fish and Wildlife Service could take whatever time it wanted in reviewing the export applications of the companies. The appellate court affirmed the lower court’s decision in dismissing the case.

To me, this is another arrogant example of “Government Gone Wild”.  Did the U.S. Fish and Wildlife Service forget the meaning of the word “Service”?