CBP has initiated a series of calls informing industry groups and leadership on the impact to trade caused by the spreading COVID-19 disease. During the call, CBP confirmed that recently enacted traveler restrictions for select individuals traveling into the United States do not extend to cargo. At this time, CBP is guided by the medical community’s finding that cargo is not a host for the virus. As a result, there are no procedural impacts to the clearance of cargo and delays should not occur.
Additionally, at this time, CBP’s port operations personnel have been minimally impacted; there are a few cases where officers are self-quarantined as a result of coming in contact with a person carrying or exposed to the virus. As the fallout continues, if more staff is exposed or ill or impacted personally by school closures and the like, there could be an impact to cargo processing. However, CBP in the ports and in mission support roles is proactively reviewing work and prioritizing in the event staff is reduced.
Again, at this point these are planning measures similar to what CBP conducts anytime they face staffing challenges.
If you have any concerns or questions, please reach out to your EXPRESS account representative.
The well being of our clients, employees and partners are
paramount to Express Trade Capital, Inc. We wanted to share with you that we
are open for business and have remote back-up plans in place should the
situation require. These are very fluid and challenging times and Express Trade
Capital prides itself on being a Pro-Active Leader in the Factoring, Trade
Finance & Logistical arenas.
We continue to monitor the entire situation carefully and look forward to working with you regarding all of your financial needs. Our extremely talented team is dedicated to providing you the highest level of personalized service always.
If you are experiencing any issues that may impact your account, please contact us so that we can better prepare and confront potential problems proactively.
The Office of the United States Trade Representative
announced on March 2, 2020, regarding products and countries eligible for
preference treatment under the Generalized System of Preferences (GSP) annual
review. The attached notice includes articles and countries that are under
List I identifies articles which will be removed from eligibility due to import volumes exceeding the 2019 competitive needs limit unless successfully petitioned
List II identifies articles which will be granted a de minimis waiver and be eligible unless successfully petitioned
List III identifies articles from select beneficiary countries which may be predesignated and be eligible if successfully petitioned
List IV identifies articles which will lose a current de minimis waiver and lose eligibility unless successfully petitioned
Interested parties may also submit petitions for inclusion or exclusion of specific products and beneficiary countries.
The deadline for submissions to modify the GSP status is set
for March 26, 2020. For further information as to how this will impact your
import program please contact us at email@example.com.
After months of negotiation, the US and China have announced that they have come to an agreement on trade. The US will cut the current taxes on $120 billion of Chinese goods from 15% down to 7.5% and has decided to not move forward with adding tariffs to the rest of the $160 billion Chinese goods. This will take effect on December 15, 2019. A 25% tariff rate will continue to stay in place on approximately $250 billion worth of US goods. In return, China has agreed to increase its purchases of US goods and services along with around $40-50 billion in agriculture products.
It’s not uncommon in today’s retail market that large companies who have been around for years are forced to file for bankruptcy. With growing competition from online retailers, including Amazon, stores have continued to see a decrease in foot traffic and overall sales. Retail stores have accrued debt from overstocking and increasing rent prices. If large, well known retailers such as Forever 21, Barneys New York, and Payless can’t beat the online retail presence, what does the future hold for smaller retailers?
Even with the upcoming holiday season, retail sales are projected to decline. According to theUS Commerce Department, retail sales fell in September by 0.3%, the first time since February. Concerns that manufacturing-led weakness and trade tariff challenges are hitting the broader market could potentially have a negative affect on consumers spending habits. If consumers decide to keep their spending to a minimum, retailers should prepare for the potential continuation of declining sales.
After meeting with Vice Premier Liu He of the People’s Republic of China, President Trump announced in a news release on October 11, 2019 that the duty increase from 25% to 30% on List 1, 2, and 3 products would be suspended. A final decision will be made later regarding the additional duties scheduled to go into effect December 15, 2019 for List 4B commodities.
Information regarding the phase one deal can be found in the White House news release here.
Following a World Trade Organization decision paving the way, the U.S. Trade Representative (“USTR”) has published a list of products form E.U. origin which will be subject to additional duty rates of 10% or 25% ad valorem, effective October 18, 2019.
We expect that a FEDERAL REGISTER notice will be published with the details including confirming the definition of the October 18 effective date; effective dates are commonly based on the date of entry.
As with other tariffs, close coordination with your carrier and EXPRESS representative is needed to avoid duties assessed to shipments arriving before the effective date. EXPRESS Trade Capital, Inc. is available to answer your questions, help assess impact to your business and discuss mitigation strategies. Reach out to us at firstname.lastname@example.org
ETC Managing Director Mark Bienstock was featured in California Apparel News in their discussion of how brands are investing in crucial digital tools and traditional methods to reach customers. Click here to read the full article!