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November 22 2012 Issue

Thursday, November 22, 2012
Sandler, Travis & Rosenberg Trade Report

No Issue on November 23 or 26

There will be no issue of the Sandler, Travis & Rosenberg Trade Report on Nov. 23 or 26 due to the Thanksgiving holiday. 

Additional Outcomes from President Obama’s Tour of Asia

As reported in the ST&R Trade Report for Nov. 21, President Obama recently met with the leaders of the 10 member states of the Association of Southeast Asian Nations as part of ongoing efforts to deepen economic, diplomatic and security relations. The most important outcome of these talks arguably was the launch of the U.S.-ASEAN Expanded Economic Engagement (E3), a new framework for economic cooperation designed to expand trade and investment ties between the U.S. and ASEAN. The meetings also yielded other notable outcomes, including the launch of the 2013 ASEAN-U.S. Trade Investment Framework Arrangement Work Plan that will support the E3 initiative. In addition, the parties continued high-level consultations on energy, welcomed the positive steps taken in Burma/Myanmar, and encouraged further progress towards a democratic and open political and economic system in that country. ASEAN countries hoped the U.S. and Burma “would continue to deepen their engagement, including through taking advantage of Myanmar’s role as Country Coordinator for the ASEAN-United States dialogue relations until July 2015.”

The president also participated in the East Asia Summit and had the chance to meet bilaterally with several key leaders on the sidelines on that event. Of special importance was a meeting that included seven of the eleven nations currently participating in the Trans-Pacific Partnership Agreement negotiations (the U.S., Australia, Brunei, Malaysia, New Zealand, Singapore and Vietnam), which, according to a White House aide, yielded a commitment to wrap up the TPP talks by the end of next year. President Obama also met with Japanese Prime Minister Noda on Nov. 20 to discuss Japan’s interest in joining the TPP process, with the two sides agreeing to continue negotiations.

Florida Tomato Growers May Accept Increased Mexican Price

As previously reported, Mexican and U.S. tomato growers are locked in intense negotiations over the price of Mexican tomatoes although now there seems to be progress toward an agreement. The executive director of the Florida Tomato Exchange hinted on Nov. 16 that he would accept a Mexican offer to increase the price of Mexican tomato exports to the U.S. if the price met his standard for “free and fair” trade. Mexican growers have already offered to raise their price by 25% in order to avert a repeal of the suspension agreement reached by Mexican and U.S. growers on an antidumping investigation by the U.S. Department of Commerce. Last month, Commerce issued a preliminary ruling to repeal the agreement that has been in effect since 1996. Previously, the Florida farmers maintained their adamant intention to see the suspension repealed.

AD Notices: Reinforcing Bars, Silica Bricks and Shapes

Agency: ITA.
Commodity: Steel concrete reinforcing bars.
Countries: Belarus, China, Indonesia, Latvia, Moldova, Poland and Ukraine.
Nature of Notice: Final results of AD expedited sunset review.
Details: The ITA has determined that revocation of the AD duty orders on subject merchandise would be likely to lead to continuation or recurrence of dumping. These orders will be extended for an additional five years if the International Trade Commission issues an affirmative determination but will be rescinded if the ITC issues a negative determination.

Agency: ITC.
Commodity: Silica bricks and shapes.
Country: China.
Nature of Notice: Initiation of AD investigation and scheduling of preliminary phase.
Details: The ITC has initiated an AD injury investigation of silica bricks and shapes classified under HTSUS 6902.20.10 from China. The schedule for the preliminary phase of this investigation is as follows: a conference will be held Dec. 6, post-conference briefs may be submitted by Dec. 11 and the ITC will issue its preliminary determination by Dec. 31 (a vote has been scheduled for Dec. 28).

New FTZ Production Activity Approved for Ohio Factory

The Foreign-Trade Zones Board has approved a new production activity at the Whirlpool Corporation facility in Clyde and Green Springs, Ohio. This facility, which is designated as subzone 8I, is used for the manufacturing and distribution of washing machines. Production under FTZ procedures could exempt Whirlpool from customs duty payments on the foreign status components used in export production. On its domestic sales, Whirlpool will be able to choose the duty rates that apply to finished standard and high capacity washing machines (1.0-1.4%) for foreign status inputs. Customs duties also could possibly be deferred or reduced on foreign status production equipment.

FMC: OTI License Applications/Revocations

OTI License Applicants. The Federal Maritime Commission has provided notice that the following applicants have filed applications for licenses as non-vessel-operating common carrier and/or ocean freight forwarder ocean transportation intermediaries. Persons knowing of any reason why any of these applicants should not receive a license are requested to contact the FMC.

• Certified Packaging & Transport Inc., Jessup, Maryland.
• Concepts In Freight Inc., Doral, Fla.
• DRV Cargo Express Inc. Miami, Fla.
• Dax Cargo Inc., Miami, Fla.
• Forwarding Services International Inc. (dba Triangle Shipping Lines), Charlotte, N.C.
• Green World Export Inc., City of Industry, Calif.
• Intell SCM LLC (dba iContainers), Long Beach, Calif.
• Jolly Forwarding USA Inc. (dba Jollibox Cargo, dba Pinoy Express Cargo, dba Chips R’Us), Baldwin Park, Calif.
• Kaizen Logistics Corp., Miami, Fla.
• MIA Trans Corp., Miami, Fla.
• Midnite Air Corp. (dba Midnite Express, dba MNX), Los Angeles, Calif.
• O.K. Cargo Corp., Miami, Fla.
• Oncarriage LLC, Peachtree City, Georgia
• Pegasus Logistics Group Inc., Coppell, Texas
• Reliable Shipping Agency LLC, Brooklyn Park, Minn.
• Santa Fe Group Americas Inc., Houston, Texas
• SH Transport Inc., Rancho Dominguez, Calif.
• Transport Partner (USA) Inc., Charleston, S.C.
• Transports P. Fatton Inc. (dba Fatton USA), Valley Stream, N.Y.

OTI License Revoked. The FMC has given notice that it has revoked the license listed below for the failure to maintain a valid bond.

• License #022069N: Unique Logistics International (ATL) LLC, Atlanta, Georgia.

Export Meeting to Focus on Emerging Technology and Research

The Bureau of Industry and Security has announced that the Emerging Technology and Research Advisory Committee will hold a partially open meeting Dec. 12 in Washington, D.C. The open session of the meeting will include public comments, a BIS overview of export controls for new members, a discussion on the 521 provision and 3D bio-printing, a study of rare earths, and tentatively, discussions on additive manufacturing and a NAS study on the nanotech initiative. The open session will be accessible via teleconference to 40 participants on a first come, first served basis, and requests to participate in this manner are due by Dec. 5. In addition, a limited number of seats will be available at the public session, but reservations are not accepted.

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