Monthly Archives: January 2019

CBP Officers Seize $1.0 million in currency in Juarez-Lincoln Bridge.

January 29, 2019 By in Uncategorized Tags: , , , Leave a comment
CBP Seizure.JPG

Screengrab of the seized currency from the CBP website.

According to the U.S. Customs and Border Protection, CBP officers at the Juarez-Lincoln Bridge seized approximately $1.0 million in unreported currency hidden inside a passenger vehicle during an outbound examination.

A 2010 Nissan Maxima was driven by a female U.S. Citizen and selected for examination. CBP officers initially used a non-intrusive imaging system scan followed up by a physical examination of the vehicle where they found 53 bundles containing a total of $988,550 in unreported currency within the vehicle.

CBP officers seized the currency and arrested the driver then turned the case over to U.S. Immigration and Customs Enforcement-Homeland Security Investigations for further investigation.

If you or someone you know has had their hard-earned cash seized by Customs or ICE-HSI, contact experienced seizure attorney David Hsu at 832-896-6288. Call 24-hours or email attorney.dave@yahoo.com.

CPTPP invites other nations to join.

January 29, 2019 By in Uncategorized Tags: , , Leave a comment
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The 11 countries that are part of the “Comprehensive and Progressive Trans-Pacific Partnership (CPTPP)” (formerly known as the Trans-Pacific Partnership), have agreed to expand the trade agreement and are seeking involvement of other Pacific nations.

Last week, the first meeting of the CPTPP was held in Tokyo where Ministers and Officials from Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam were in attendance.

The CPTPP issued a statement welcoming any new countries that can “meet CPTPP’s high standards and objectives”.

The CPTPP was enacted in December 2018 and proceeded after the Trump Administration removed the US from the deal. The next CPTPP meeting will be held in New Zealand and starting in 2020, each member nation will take turns hosting a meeting.

Contact our office if you have any questions how the trans-pacific partnership will impact your business. David Hsu, 832-896-6288 or by email at attorney.dave@yahoo.com.

US/China trade talks amid new charges against Huawei.

January 29, 2019 By in Huawei, Uncategorized Tags: , , , Leave a comment
black huawei android smartphone

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Earlier this week, Chinese Vice Premier Liu He and his trade team arrived in the US to begin negotiations with US Trade Representative Robert Lighthizer. At about the same time of Vice Premier Liu He’s arrival, the US Department of Justice announced charges against Huawei for violations of US sanctions against Iran and among other things, theft of US intellectual property from T-Mobile.

Negotiations are in progress to reach a deal that could prevent an additional 15% tariff (total 25%) on $200 billion worth of goods from China before the March 1st deadline.

Since the truce, China has increased their purchases of American exports, such as soy beans and have also taken steps to crackdown on intellectual property theft. However, the US government is also requesting China open its market and limit government direction for state-owned enterprises (SOE). A change to Beijing’s economic support of certain industries is likely something that will not change.

Check back for the latest news as it becomes available. If you have any export compliance questions or have concerns about compliance with US sanctions, contact trade attorney, David Hsu at 832-896-6288 or by email at attorney.dave@yahoo.com.

US DOJ files criminal charges against Huawei.

January 29, 2019 By in Uncategorized Leave a comment
black huawei android smartphone

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According to the BBC, the US Department of Justice (USDOJ) has filed criminal charges against Chinese telecommunication giant Huawei and its chief financial officer, Meng Wanzhou.

The indictment alleges Huawei misrepresented its relationship with the US and a global bank to conduct business with Iran. US companies are currently not allowed to conduct business with Iran due to sanctions.

The other indictment claims Huawei stole technology from T-Mobile, obstructing justice and committing wire fraud. The USDOJ filed a combined 23 charges against Huawei.

Who is Huawei?
Huawei is the second largest smartphone manufacturer by volume (first is Samsung followed by Apple at number 3).

Who is Meng Wanzhou?
She is the daughter of Huawei’s founder.

Will post more news as it becomes available.

If you or your company is interested in avoiding sanctions violations for doing business with Iran, Syria, North Korea, Sudan or Cuba, give experienced export compliance attorney, David Hsu a call at 832-896-6288 or by email at attorney.dave@yahoo.com.

US/China Meeting Cancelled?

January 25, 2019 By in Uncategorized Tags: , , Leave a comment
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According to CNBC, officials with the U.S. trade representative’s office were supposed to meet with their Chinese counterparts this week to try and resolve some trade differences before the March 1st deadline – but the meeting was cancelled.

An unnamed source claimed the trade planning meeting was cancelled as both sides continue to disagree over the enforcement of intellectual property rules.

As you are aware, one of the US goals with China is to ensure adequate IP protections for US companies operating in China. More specifically, US companies doing business in China are expected to turn over IP to a China joint venture as a condition to doing business in China. The US claims this has resulted in the involuntary transfer of IP that ultimately hurts the US company.

While an unnamed source said a meeting was cancelled, the White House economic advisor, Larry Kudlow claimed there was cancellation and a meeting set for next week is still on schedule.

 

List 3 Exclusion Process?

January 16, 2019 By in exclusion, Uncategorized Tags: , , , , , , , Leave a comment
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Last October, 10 10 senators sent a letter to the United States Trade Representative (USTR) inquiring why a List 3 exclusion process had not yet been established. As you are aware, an exclusion process allows importers or interested parties of goods subject to the Section 301 duties to petition to have their goods excluded from the tariffs of 10-25%.

Earlier this week, the USTR replied indicating an exclusion process will not start on List 3 unless negotiations fail with China and the tariffs are raised on the $200 billion worth of goods from 10 to 25%. Both China and the US have agreed to a “truce” until March 2, 2019.

Will update as soon as any updates are available. If you have any trade, import, export, trade or compliance attorneys, contact experienced trade attorney David Hsu at 832-896-6288 or by email at attorney.dave@yahoo.com

General Tips for New Importers.

January 14, 2019 By in classification, compliance, Uncategorized Tags: , , , Leave a comment
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Importing anything into the US is a trap for the unweary and U.S. Customs and Border Protection (CBP or “Customs”) does not accept “I didn’t know that” as a valid excuse. CBP requires all importers and exporters to be aware of the law before they import or export and as the old saying goes, “ignorance of the law is not an excuse”.

Here are a few tips –
1. You do not need an “import license” to import into the US.
2. You may need a license, certification or permit from other Federal agencies depending on what you want to import.
3. You need an Importer of Record number, typically your IRS business registration number.
4. If you don’t have an IRS business number, you can apply for a number from CBP through Form 5106 (after the shutdown).
5. Consult the Harmonized Tariff Schedule to see how your merchandise will be classified when entering the US.
6. You can get a ruling prior to an importation of merchandise through CBP to ensure proper classifcation and rate of duty.
7. Seek out the assistance of a Customs Broker licensed by CBP. You can find a list of Customs Brokers at your port through the CBP.gov website.

The seven tips above are just the tip of the iceberg of what CBP will require an importer to know. Feel free to give us a call before you begin importing – we’re here to help. Call David Hsu at 832-896-6288 or email at attorney.dave@yahoo.com.

Tesla applies for tariff exclusion.

January 12, 2019 By in Uncategorized Tags: , , , , , Leave a comment

According to Reuters, Tesla has applied for a tariff exemption for the Chinese made computer brain found in the Model 3.

While not mentioned in the Reuters article, the computer component is currently included under List 2 of the Section 301 duties that came into effect in August of last year.

All goods under List 2 have a duty of 25%.

Tesla’s filing did not specify the Chinese manufacturer and included language mentioning China as the only source of this product that could meet the required specifications and volume.

It will be interesting to see whether this exclusion request is approved as very few of the tens of thousands have been approved. I’ll definitely updated this if and when it is approved.

The time to apply for a tariff exclusion under List 2 has passed and there are currently no instructions for a tariff exclusion request for goods covered under List 3.

Feel free to contact me if you have any questions how these 301 tariffs will impact you and your interests. My cell is 832.896.6288 or email me at attorney.dave@yahoo.com.

Midlevel US-China trade talks end – higher-level talks next?

January 10, 2019 By in Uncategorized Tags: , , Leave a comment
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According to the New York Times, the midlevel US trade negotiators and their Chinese counterparts concluded trade talks today (Wednesday, January 10th).

No new concerns were mentioned in the NYT article. The US is still concerned about China’s purchase of US agricultural, energy and manufacturing products; forced technology transfer; intellectual property protection and concerns regarding China’s 2025 initiative.

The next step is to report the results of their talks to President Trump. As you are aware, the imposition of List 3 tariff increases to 25% (from the current 10%) occurs on March 1st (a 90-day extension announced during the “truce” at the G-20 summit in December 2018).

If you have any questions on how the Section 232 or Section 301 duties on Chinese imports impact your business, contact experienced trade and customs attorney David Hsu at attorney.dave@yahoo.com or by phone/cell/text: 832-896-6288.

Is US Customs and Border Protection shut down during the government shutdown?

January 4, 2019 By in Uncategorized Tags: , , , Leave a comment
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Short answer – not really. 54,935 of the 60,109 total CBP employees are designated as exempt and will be working (although without pay). These 54,935 CBP workers along with an approximate 33,065 Department of Homeland Security employees comprise about 88,000 workers reporting for work without pay during the shutdown (but will get back pay after the shutdown ends).

Border patrol agents, border operations at the over 400+ ports of entry will continue to function. However, if you read this blog, you may notice I often get my information from the CBP media release page, and since the shutdown, nothing has been posted by CBP.

Check back for any other CBP shut down news that may impact you and your business.