China General Nuclear Power Group added to BIS entity list.

white nuclear plant silo under orange sky at sunset

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This past Wednesday, the U.S. Department of Commerce added China General Nuclear Power Group (CGN) to the BIS entity list. As a result, American companies are now prevented from selling any products to China’s largest state-owned nuclear company. If any American company or person does business with CGN (or any other listed entity), they would be violating the law and subject to persecution.

The U.S. Department of Commerce claims CGN its subsidiaries engaged in activity to acquire advanced U.S. nuclear technology and material for use in the Chinese military.

China claims the real goal of placing CGN on the entity list is to limit China’s growth under China’s “Made in China 2025” initiative. Made in China 2025 is an effort by the Chinese government to increase the high tech capability and manufacturing of China. If successful, the “Made in China 2025” efforts will make China the a superpower in high technology in Asia.

If you have any questions about your company’s operations and want to ensure compliance with the new entity list addition, contact experienced export compliance attorney David Hsu at 832-896-6288 or by email at dh@gjatradelaw.com, attorney.dave@yahoo.com.

CBP seizes counterfeit HD action cameras.

Camera

Image of the seized shipment, source: cbp.gov

According to a U.S. Customs and Border Protection (CBP) media release, officers at the Dallas Fort Worth port of entry seized 4,000 counterfeit high definition cameras for intellectual property rights (IPR) violations. The MSRP of these cameras totaled $241,076.

The 4,000 high definition cameras were shipped in 220 boxes to an address in Carrollton. The shipment from Hong Kong was inspected and CBP officers believed the merchandise to be counterfeit due to poor quality packaging and shipping not normal for the genuine merchandise.

CBP’s Import Specialist Division confirmed the items were counterfeit with the company’s trademark holder.

What happens after something is seized by Customs? 
CBP will issue a Notice of Seizure (seizure notice). The seizure notice will indicate the item seized, the value of the shipment and the options available to the importer of record.

Time is of the essence in responding to Customs so an answer or other action must be taken immediately.

What happens if you do nothing after you receive notice from Customs?
If nothing is done within 30 days from the notice of seizure date, CBP will begin forfeiture and ultimately will destroy the seized items.

If you have had your goods seized by Customs, contact experienced seizure attorney David Hsu at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

CBP seizes $1 million dollars worth of counterfeit phones.

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Image of the seized phones, source: cbp.gov

According to a U.S. Customs and Border Protection (CBP) media release, officers in Philadelphia seized a a combined 4,449 counterfeit LG and ASUS smartphones in July. If the phones were authentic, they would have a manufacturer’s suggested retail price (MSRP) of $941,450.

The counterfeit phones were shipped from China and included 2,043 counterfeit LG phones in the first shipment and 1,926 LG and 480 ASUS counterfeit smartphones in the second shipment.

According to Customs, the phones were shipped from China to the Dominican Republic and then to Philadelphia. The phones were described in the paperwork as “cell phones used”. CBP says the phones will be destroyed.

If you have had your cell phones seized, contact experienced cellphone seizure attorney David Hsu immediately at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

CBP says the phones will be “destroyed”, however, there hasn’t been enough time from the date of the seizure to the date of the media release – there is still time to do something to get the phones released.

There are ways to get the phones released, contact David Hsu immediately – time is of the essence!

Commerce Department finds dumping of refillable stainless steel kegs from Mexico.

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Earlier today, the U.S. Department of Commerce issued an affirmative final determination in the antidumping (AD) investigation of imports of refillable stainless steel kegs from Mexico.

Here’s a summary:

  1. Commerce found that exporters from Mexico have been selling refillable stainless steel kegs at less than fair value in the United States at a rate of 18.48 percent.
  2. After today, Commerce will instruct U.S. Customs and Border Protection to continue to collect cash deposits equal to the applicable final weighted-average dumping rate.
  3. Last year, imports of refillable stainless steel kegs from Mexico were valued at an estimated $13.4 million.
  4. The US manufacturer is the American Keg Company, LLC located in Pottstown, Pennsylvania.

So far into Trump’s administration, the Commerce Department has initiated 179 new antidumping/countervailing duty investigations – a 231% increase from the same time during the Obama administration.

The full text of the affirmative determination can be found at the following link:

https://enforcement.trade.gov/download/factsheets/factsheet-mexico-refillable-stainless-steel-kegs-ad-final-081319.pdf

If you have any questions how this new AD determination will impact your business or would like to discuss ways to reduce your AD/CVD duties, contact experienced trade attorney David Hsu at dh@gjatradelaw.com, attorney.dave@yahoo.com.

CBP seizes $3.4 million worth of counterfeit luxury goods.

close up photography of red and black nike running shoe

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According to a U.S. Customs and Border Protection media release, CBP officers in Los Angeles seized handbags, belts, shoes, watches, electronics and other counterfeit items from brands such as Hermes, Fendi, Gucci, Versace, Casio and Samsung from a shipment originating from Hong Kong.

Import specialists stopped the shipment and seized over 5,300 counterfeit products that have an estimated MSRP of $3,475,000. The seizures included 1,242 counterfeit Gucci belts, 678 counterfeit Nike shoes, 531 counterfeit Louis Vuitton, 500 counterfeit Samsung adaptors and 502 counterfeit Gucci fanny packs among other items.

If you have had items seized by Customs due to suspicion of being counterfeit, contact experienced seizure attorney David Hsu at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

China threatens retaliation if India bans Huawei.

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According to a Reuters article, China has warned India not to block Huawei from doing business in the country, warning there could be consequences for Indian firms operating in China.

Part of the warning comes as India is holding trials for a 5G networking in the upcoming months and has not yet determined whether they will invite Huawei to take part in the rollout of 5G in India.

The Reuters article says Indian companies do not have a larger presence in China, but do have manufacturing, healthcare, financial services and outsourcing companies there.

India is currently evaluating bids from 5G firms such as Ericcson, Nokia, Samsung and officials have not yet confirmed Huawei will take part. The Indian Department of Telecommunications have found no evidence of Huawei capabilities of a backdoor or malware to collect data and the Indian Ministry of Home Affairs has issued no directive to curtail Huawei’s entry.

CBP Officers seize counterfeit items.

Entire IPR Nike & Exclipse

Images of the seized Nike earbuds and watches, source CBP.gov

According to a US Customs and Border Protection (CBP) media release, officers at the Champlain Port of Entry seized a shipment of more than 500 counterfeit Nike ear buds and over 200 counterfeit Eclipse watches. The shipment had a Manufacturer Suggested Retail Price (MSRP) value of $22,599.

The ear buds were suspected to be counterfeit due to the poor quality. Further examination confirmed the goods were counterfeit.

While not mentioned in the media release, CBP will send photos or samples to the holder of the intellectual property for verification. Most likely a photo was taken and submitted to Nike along with the details of the shipment. Nike would then confirm the shipment to be counterfeit.

The goods from Canada were seized. Also not mentioned in the media release, CBP will send a seizure notice to the importer of record. If the importer of record does not take any action, the goods will be forfeited and destroyed by Customs at a later date.

If you have had a seizure for intellectual property violations and want to discuss your options, contact experienced seizure attorney David Hsu at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

Trump delays List 4 tariffs until December 14th.

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The Trump administration has postponed the levying of 10% tariffs on List 4 goods covering $300 billion in imports from China until December 15th. The initial date of September 1st was postponed after reports of a phone call with Beijing.

A new round of trade talks will be held in September after this month’s talks did not result in a trade deal.

There is still time to lower your import risk, if you would like solutions to lowering the duties you need to pay, contact experienced trade attorney David Hsu at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

Huawei hires law firm of Sidley Austin to lobby on their behalf.

black huawei android smartphone

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According to Bloomberg, in July of this year, Huawei Technologies Co. hired the law firm Sidley Austin LLP to lobby on their behalf on export controls, trade sanctions and other national-security related topics. Sidley Austin is also the firm retained by Huawei for their other legal issues in the US.

Even though Huawei was added to the BIS entity list in May, the Trump administration delayed the restrictions after meeting with Chinese President Xi Jinping at the G20 summit in Japan six weeks ago. The delay in imposing restrictions on doing business with Huawei expires this upcoming Monday, August 19th.

As Huawei is the biggest purchasers of semiconductors, chipmakers such as Intel, Qualcomm, and Broadcom have sent their chief executives to meet with Trump in July in additional lobbying efforts.

The US claims Huawei can build backdoors into its equipment and that part of their technology is based off stolen intellectual property. Huawei counters that governments and customers in 170 countries use their equipment and that they pose no threat to cybersecurity.

Canada’s Global Affairs consults whether South Korea, Taiwan, Thailand and the UK should join CPTPP.

The Global Affairs Canada organization includes individuals, businesses (including SMBs), industry associations, experts, consultants, academics, civil society organization, labour unions, governments, indigenous groups, students and youth and other interested Canadian stakeholders.

In late July, Global Affairs Canada started discussions whether South Korea, Taiwan, Thailand and the United Kingdom should join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (“CPTPP”).

An announcement was published in the Canada Gazette, Part 1. Global Affairs Canada has has begun soliciting comments for whether these countries (and China) should join the CPTPP. The deadline for submissions is midnight, August 25, 2019.

The announcement asks for the following information:

1. Contributor’s name and address and, if applicable, the name of the contributor’s organization, institution or business;
2. The specific issues being addressed; and
3. Where possible, precise information on the rationale for the positions taken, including any significant impact it may have on Canada’s domestic or international interests.

Additionally, they would like feedback on specific markets that Canadians and businesses would support entry to the CPTPP.

The full text of the announcement and additional topics Global Affairs Canada would like feedback on can be found here:

http://www.gazette.gc.ca/rp-pr/p1/2019/2019-07-27/html/notice-avis-eng.html#nL5