U.S. Customs and Border Protection (CBP) issued a Cargo Systems Messaging Service (CSMS) with two new instructions for Cargo that has been put on hold for suspicion of being made by forced labor. Importers can make a request to the Port Director that their detained cargo be moved to a bonded warehouse to be stored pending resolution by CBP or decisions made by the importer. If the Port Director approves of the move the entry can be changed to a warehouse entry. The Port Director has the authority to approve or deny the request. If the request is denied, then no changes can be made to the original entry.
The second instruction in the CSMS is that importers can no longer move detained cargo to a foreign trade zone for storage. A copy of the CSMS message can be found at: CSMS # 57200992 – Movement of Forced Labor Detained Cargo for Storage (govdelivery.com)
The Office of the US Trade Representative (USTR) has continued its review on Lists 3 and 4a for their 4-year reviews for expiration. These lists were due to expire in the summer of 2022. So far there have been numerous requests to continue the China 301 duties. The USTR had also opened a comment period for input on whether the 301 duties were an effective remedy. USTR Katherine Tai recently told members of Congress that her office expects to complete its review by the fall of 2023 on the effectiveness of the 301 duties and the review will consider if additional exclusions may be warranted. There are 300 exclusions still active that are due to expire on September 30, 2023, and these are part of the review.
Two New Entities Added to UFLPA Entity List
The Department of Homeland Security (DHS) is adding two new manufacturers to its UFLPA entities list. The first company is Camel Group Co., a major manufacturer of car batteries. Camel Group is based in China’s Hubei province but is being added to the list for being involved in a government labor scheme that uses forced labor.
The second company to be added to the list is Chenguang Biotech Group Co. Ltd. and its subsidiaries produce plant based extracts, food additives, natural dyes and pigments, and supplements from agriculture goods. The addition of these two companies brings the entity list to 24 companies. The entity list can be found at: https://www.dhs.gov/uflpa-entity-list