Fashion Intel & Analysis
The Department of Homeland Security (DHS) released a weekly update on the COVID-19 response across all DHS agencies. The Federal Emergency Management Agency (FEMA) has taken the lead on the COVID-19 response and as of April 5th, FEMA has obligated nearly $4.1 billion in support of COVID-19 response efforts. Their efforts are currently focused on distributing medical supplies to critical areas around the country. Customs and Border Protection (CBP) continues to process commercial cargo and facilitate PPE deliveries. Other agencies such as the Cybersecurity and Infrastructure Security Agency (CISA) are helping to assess the private sector risk. You can access their guide for Risk Management for Novel Coronavirus here.
In a message (CSMS #42283516) U.S. Customs and Border Protection (CBP) says they "highly recommend that CBP’s automated systems be used to their fullest extent possible in order to minimize exposure and sustain trade activities." While CBP maintains operations at Ports of Entry, they emphasized the importance of using automated systems to minimize exposure in light of COVID-19. The recommendations from CBP are listed here:
- Transmit entry and entry summaries to the Automated Commercial Environment (ACE);
- Update current account and point of contact information in the ACE portal, to include email, to provide a means for electronic communication;
- Submit supporting documentation or responses to CBP Requests for Information (CBPF28) through the ACE portal or the Document Image System (DIS);
- Transmit post-summary activities, such as Protests and Post-Importation Claims through ACE; and
- Filers submitting Post Summary Corrections (PSCs) that require a payment of duties may opt to receive a bill, or may still mail payment to the Port of Entry.
National Economic Council Director Larry Kudlow said earlier today that the Administration will not defer duty payments as part of the response to COVID-19. Kudlow said on Bloomberg TV that the Administration "looked a little bit at some most-favored-nation customs duties, and we decided it was too complicated and it might send the wrong signals. So I would not expect to see any movement on tariffs right now.” As you know, requests from the business community for 90-day to 180-day duty deferrals received bipartisan support from lawmakers. Americans for Free Trade is asking companies to continue to contact Members of Congress to support the delay in duty payments using their Phone2Action Alert.
U.S. Customs and Border Protection (CBP) announces the new date for the 2020 Trade Symposium. The Trade Symposium will take place on August 25 and 26 at the Hilton Anaheim in Anaheim, California.
On Thursday, April 2nd, Canada officially notified the U.S. and Mexico that it had completed the internal procedures for the United States - Mexico - Canada Agreement (USMCA) to take effect. According to an amendment to the USMCA, the "agreement will enter into force on the first day of the third month following the last notification." Following this language, the earliest USMCA could take effect would be July 1st. However, USFIA can confirm that the Trump Administration is still focused on moving more quickly and USMCA entering into force on June 1st.