Breaking Trade News: China Reciprocal Tariffs Paused, CBP Monthly Update, IEEPA Tariff Case in Court

Here is a recap of the latest customs and international trade news:   

Administration   

  • President Trump signed an Executive Order reducing the reciprocal tariff on China from 125% to 10% for 90 days. 

Customs and Border Protection (CBP)  

  • CBP released their April 2025 monthly update. Highlights:
    • Successfully implemented tariffs guided by 21 presidential actions
    • Identified $117 million in duties and fees owed to the U.S. government
    • Stopped 140 shipments for further examination based on the suspected use of forced labor
  • CBP released a notice outlining refund procedures to implement President Trump’s executive order on tariff stacking. 
  • CBP published guidance clarifying what facilities can be considered bonded warehouses. Bonded warehouses don’t include container freight stations, inspectional facilities, or express consignment facilities.
  • CBP published an update to their FAQs clarifying that goods loaded onto feeder vessels before reciprocal tariffs took effect, but transferred to another vessel after, aren’t eligible for an exemption from the tariffs for in-transit goods.
  • CBP released guidance on the decrease of the reciprocal tariff rate on China to 10% as provided in the executive […]
By |2025-05-16T09:40:31-04:00May 16, 2025|news, Snapshot|0 Comments

Breaking Trade News: U.S. and China Jointly Agree to Halt the Current Trade War 

On May 12, 2025, the White House and the State Council of China jointly published statements putting a pause on the ever-escalating trade war. This bilateral trade negotiation took place in Geneva during the weekend between May 10-11.  

According to the joint statement, China will lower the tariff on American imports to 10% for 90 days beginning May 14, 2025. The U.S. will simultaneously lower the China specific 125% Reciprocal Tariff to 10% for 90 days beginning May 14, 2025. Currently, the U.S. has imposed a 10% IEEPA Reciprocal Tariff on all imports, except USMCA qualified goods. The Geneva negotiation essentially put China, U.S.’s third largest trading partner, in line with all other countries. However, other duties will continue to apply to Chinese imports, including Section 301 Tariff, Section 232 Tariff, and the IEEPA Fentanyl Tariff. Nonetheless, this weekend negotiation drastically lower tariff on Chinese import by 115%, a significant move since President Trump’s Liberation Day.  

CBP subsequently issued guidance implementing the 90-day suspension. View CSMS here.

Read more:

By |2025-05-13T17:56:10-04:00May 12, 2025|China, Countries, tariffs|0 Comments

Breaking Trade News: US-UK Trade Deal, China Trade Talks, 232 Tariff Update

Here is a recap of the latest customs and international trade news:   

Administration  

  • The US & UK reached a trade deal, allowing the import of UK aerospace engines and parts duty-free. The average tariff on U.K. goods will stay at 10%. 
  • The first negotiations between the US and China will begin this weekend in Switzerland. China will be represented by Vice Premier He Lifeng, and the U.S. will be represented by Treasury Secretary Scott Bessent and United States Trade Representative Jamieson Greer. 
  • In a hearing in front of the House Financial Services Committee, Treasury Secretary Scott Bessent said that exempting tariffs on some baby items such as car seats and cribs is “under consideration.”
  • President Trump told reporters that USMCA may no longer be necessary, calling it a transitional deal to move away from NAFTA.
  • Via a social media post, President Donald Trump authorized the Department of Commerce and the United States Trade Representative to begin the process of instituting a 100% tariff on movies coming into the U.S. that are produced in other countries.

Customs and Border Protection (CBP) 

By |2025-05-09T12:00:39-04:00May 9, 2025|news, Snapshot|0 Comments

DoJ Declines Prosecution of Company That Self-Disclosed Export Control Offenses

The Justice Department announced that it will not be prosecuting Universities Space Research Association (USRA) for violations of U.S. export control laws, citing prompt self-disclosure and cooperation.

EAR Violation

In 2016, USRA was granted a contract with NASA to license and distribute aeronautics-related and U.S. Army-owned flight control software. Jonathan Soong was employed by USRA and was responsible for performing due diligence on prospective purchasers. Soong willfully exported software subject to the Export Administration Regulations (EAR) to Beijing University, knowing that an export control license was required for the export because it was on the Entity List.

Soong used an intermediary to avoid detection, and embezzled tens of thousands of dollars in software license sales. He ultimately plead guilty to willfully violating the EAR. He was sentenced to 20 months in prison.

Company Disclosure & Remediation

Within days of learning of Soong’s actions, USRA self-disclosed the violation to the Department’s National Security Division (NSD). The company fully cooperated with the ensuing criminal investigation, which eventually established that Soong had acted alone.

USRA’s cooperation included proactively collecting and disclosing evidence and providing detailed and timely responses to the government’s requests for information. USRA remediated the root cause of the misconduct by disciplining an employee who failed to appropriately supervise Soong, and by improving its internal controls and compliance program.

USRA also compensated the government both for the funds Soong embezzled, and for the time Soong had spent embezzling funds instead of performing his duties under the contract with NASA.

The DoJ cited the timely disclosure, cooperation, and […]

By |2025-05-29T12:48:05-04:00May 7, 2025|EAR, Export|0 Comments

Breaking Trade News: Tariff Stacking, Auto Tariff Credit, 301 Report

Here is a recap of the latest customs and international trade news:    

Administration  

  • President Trump signed a Proclamation amending tariffs on automobiles and auto parts. Automakers who build cars in America and import parts to do so will get a partial credit against the costs of 25% Section 232 tariffs on non-USMCA qualifying parts. 
  • President Donald Trump issued an Executive Order clarifying the applicability of recently imposed tariffs, specifically tariff “stacking.” Goods subject to Section 232 tariffs on automobiles will not also be subject to Canada and Mexico IEEPA tariffs or 232 tariffs on steel & aluminum. Goods subject to Canada and Mexico IEEPA tariffs will not also be subject to 232 steel & aluminum tariffs. 

Customs and Border Protection (CBP) 

  • CBP updated its tariff FAQs clarifying that exemptions from reciprocal tariffs for goods that were in transit on April 5 or 9 only apply to ocean vessels.
  • CBP updated its IEEPA FAQs clarifying that if you are subject to aluminum and steel tariffs, you are not subject to reciprocal IEEPA tariffs.
  • CBP ruled that a partial duty exemption for U.S.-origin materials exported to a third country for assembly will not apply […]
By |2025-05-02T10:42:50-04:00May 2, 2025|news, Snapshot|0 Comments
Go to Top