Category Archives: Treasury

US Dept. of the Treasury Releases 2021 CFIUS Annual Report.

August 7, 2022 By in CFIUS, Treasury Tags: , , , , Leave a comment

At the beginning of August, the Department of the Treasury, Chair of the Committee on Foreign Investment in the United States (CFIUS), released the public version of the CFIUS Annual Report to Congress for calendar year 2021.

The Annual Report provides statistics on transactions filed with CFIUS in 2021. As you are aware, CFIUS is tasked with reviewing foreign transactions and investments in the United States that may be harmful to national security.

According to the published report, highlights for 2021 include:

  1. CFIUS reviewed 164 declarations and 272 notices, a record number of covered transactions
  2. CFIUS cleared 60% of cases in the 30-day assessment period or within the initial 45-day review period for a notice.
  3. CFIUS provided comments on draft notices within 6 business days and accepted formal notices within 6 business days. A reduction from 9 days in 2020.

A copy of the report can be found here: https://home.treasury.gov/system/files/206/CFIUS-Public-AnnualReporttoCongressCY2021.pdf

If you or anyone you know has any CFIUS questions, or needs assistance with a CFIUS filing, contact David Hsu by phone/text at 832-896-6288 or by email at attorney.dave@yahoo.com.

Treasury Department no longer designates China a currency manipulator.

January 13, 2020 By in trade deal, Treasury, Uncategorized Tags: , , , , , , , Leave a comment

full frame shot of eye

Photo by Vladislav Reshetnyak on Pexels.com

Two days prior to signing Phase One of the US/China trade deal, the Treasury Department announced they were removing China’s designation as a currency manipulator.

The Trump administration designated China as a currency manipulator in August 2019 when Trump accused China of intentionally weakening their currency to make their goods cheaper for sale overseas in light of the then-new tariffs.

Since August, the Treasury Department claims China has made promises to stop devaluation and to promote transparency and accountability.

While the August 2019 label as a currency manipulator received bipartisan agreement, this new move has received criticism from Democrat Senators who argue the label of “currency manipulator” should not be used as a bargaining tool in the ongoing US/China trade war.

As the signing date of Phase One approaches, I expect the Trump administration to release further details in multiple parts.

Feel free to contact David Hsu directly by phone/text at 832-896-6288 to discuss your China, trade and import/export related issues or send an email to attorney.dave@yahoo.com, dh@gjatradelaw.com

US collected $63 billion in tariffs through June.

August 9, 2019 By in ADD/CVD, Treasury, Uncategorized Tags: , , , , , Leave a comment

cargo crane harbor harbour

Photo by Pixabay on Pexels.com

According to the Wall Street Journal, the Treasury department’s tariffs is expected to generate almost $72 billion in tariffs through June of this year. This number will likely go much higher if the “List 4” duties take effect on September 1st. On September 1st, over $300 billion in Chinese goods will be subject to a 10% tariff with a potential to increase to 25%.

Specifically, as of June 30th, the Treasury department has collected $63 billion in tariffs over the past 12 months. In contrast, prior to the trade war, the US only brought in $30 billion dollars.

The WSJ estimates the annual generated amount can be as high as $100 billion by the end of the year once the 10% duties are placed on over $300 billion worth of imported goods from China.

If you have any questions how the current 301 duties or proposed List 4 duties will impact you, contact experienced trade attorney David Hsu at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

Chinese exports drop 20% from last year.

March 9, 2019 By in Treasury, Uncategorized Tags: Leave a comment

green and gray evergreen cargo ship

Photo by David Dibert on Pexels.com

According to the General Administration of Customs in China, Chinese exports fell 20.7% from this time a year ago. Causes for the slow down may be related to a slow down in global demand for Chinese goods and the Chinese New Year holiday in February.

January and February 2019 customs data showed exports down 4.6% compared to 2018 data, indicating a slowing global economy and not the trade war is the cause.

The country’s exports to the U.S. fell 26.2% last month, while imports from the U.S. dropped 28.6%, leading to a bilateral trade surplus of $14.72 billion, a two-year low.

Check back for more trade law news.

Updated List of Countries Requiring Cooperation With an International Boycott.

May 20, 2018 By in Treasury, UAE, Uncategorized Tags: , , , Leave a comment

aerial view of city lit up at night

Photo by Aleksandar Pasaric on Pexels.com

The Department of the Treasury is required under section 999(a)(3) of the Internal Revenue Code of 1986 to publish a list of countries which require or may require participation in, or cooperation with an international boycott.

As of 5/16/2018, these countries include:

Iraq

Kuwait

Lebanon

Libya

Qatar

Saudi Arabia

Syria

United Arab Emirates

Yemen

The full Federal Register notice can be found here.

Office of Antiboycott Compliance (OAC)

Overview
The United States Export Administration Regulations (EAR) require all US persons (individuals, corporations) to report requests they have received to take actions to comply with, or support an unsanctioned foreign boycott. The Treasury Department publishes a quarterly list of “boycotting countries.”

 

What do the Laws Prohibit?
Conduct that may be penalized under the TRA and/or prohibited under the EAR includes:

(1) Agreements to refuse or actual refusal to do business with or in Israel or with blacklisted companies.
(2) Agreements to discriminate or actual discrimination against other persons based on race, religion, sex, national origin or nationality.
(3) Agreements to furnish or actual furnishing of information about business relationships with or in Israel or with blacklisted companies.
(4) Agreements to furnish or actual furnishing of information about the race, religion, sex, or national origin of another person.
(5) Implementing letters of credit containing prohibited boycott terms or conditions.

 

How To Report?:
All requests for boycott participation is required quarterly and can be filed electronically or by mail (Form BIS 621-P or BIS 6051P). BIS 621-P should be used for single transactions and BIS 6051P for multiple transactions in which boycott requests may have been received in a calendar quarter.

 

If you have any questions about boycotts, contact experienced trade and compliance attorney, Davis Hsu at 832.896.6288 or by email at: attorney.dave@yahoo.com.

US Treasury Secretary Mnunchin may travel to Beijing for trade talks.

April 24, 2018 By in ADD/CVD, Steven Mnuchin, Treasury, Uncategorized Tags: , , , , , , Leave a comment

Steven_Mnuchin_official_portrait

77th United States Treasury Secretary, Steven Mnuchin

Earlier this week, current US Treasury Secretary Steven Mnuchin told reporters he may travel to Beijing for trade negotiations to ease U.S.-China tensions.

In recent weeks both countries have announced tariffs on goods imported from the other country and the tensions between the US and China (the world’s two largest trading partners) has raised concerns of an impending trade war. The US first proposed tariffs totaling $150 billion on Chinese imports and Beijing has proposed tariffs on American goods such as soybeans.

In response, the Ministry of Commerce, People’s Republic of China would “welcome” the move by Treasury Secretary Mnuchin.

More updates as they become available.