The Office of the U.S. Trade Representative has directed U.S. Customs and Border Protection to block future timber imports from a second Peruvian exporter based on illegally harvested timber found in its supply chain. According to USTR, a verification conducted by Peru found that one shipment of timber from this exporter was not harvested and traded in compliance with Peru’s laws, regulations, and other measures and that Peru has failed to take enforcement action against this company.
The U.S.-Peru Trade Promotion Agreement requires Peru to conduct audits of particular timber producers and exporters and verifications of particular shipments of wood products from Peru upon request from the U.S. The agreement also provides an illustrative list of actions the U.S. may take with respect to shipments or enterprises that are the subject of verifications.
In this case, CBP will deny entry to products and exports of the specified exporter for three years or until it is determined that the company has complied with all applicable Peruvian laws, regulations, and other measures governing the harvest of and trade in timber products, whichever is shorter.
In addition, to enhance implementation of the two denial of entry orders in effect (the one at issue as well as one issued in October 2017), USTR has requested that CBP conduct additional due diligence to better identify and deny entry of products and exports of both companies prior to entry into the U.S.