March 2019

China Negotiations Take Center Stage

Two issues consumed the headlines in Washington last month – funding for a wall at the border with Mexico and the continuing negotiations with China on trade. Other trade issues such as free trade agreements with Canada, Mexico, Japan, the European Union, and even Brexit were swept off the stage here in the Nation’s Capital. For its part, the FTZ industry dodged a bullet when the President decided to postpone an increase in ‘List 3’ tariffs from 10 to 25%, and talk of a List 4 has abated in anticipation of an agreement to be made in March during a meeting of President Xi of China and President Trump of the US. It remains unclear how deep the concessions made by China will be, and if they will be sufficient to induce the President to eliminate the punitive tariffs already in place. High stakes for all involved.

Top Story: President Postpones Expansion of Section 301 Tariffs, FTZs Relax (For Now)

USTR Denies White House Is Lowering Its Sights On China Trade Goals

Grantees See Opportunity Zones Gain Attention On Wall Street

Is Britain About To Pivot On Brexit?

FTZ Board Deadlines Extended, But CBP’s Are NOT

The recent shutdown caused the U.S. Foreign-Trade Zones Board to extend all deadlines and due dates by the 40 effective days that the Department was furloughed. That means that Grantees now have until May 10th to submit their Annual Report information. Many Grantees have likewise extended their reporting deadlines as companies were unable to submit their information through the Online FTZ Information System (OFIS), which was shut down for the duration of the furlough.

That did not change any of the deadlines for annual reports due to U.S. Customs and Border Protection. Grantees and Operators should keep in mind that their Annual Reconciliation Reports and Annual System Review Letters are due according to the normal times. Questions? Ask away at FTZine@iscm.co .

U.S. Foreign-Trade Zones Board Activity

Kaiser Aluminum Fabricated Products, LLC, received authorization of production activity for aluminum extrusions in Site #5 of Foreign-Trade Zone 207 in Richmond, Virginia. MORE
Catalent Pharma Solutions, LLC, submitted an application of production activity for pharmaceutical products in Foreign-Trade Zone 193 in Clearwater, Florida. MORE
Constantia Blythewood, LLC, received authorization of production activity for flexible packaging and engineered industrial films in Foreign-Trade Zone 127 in West Columbia, South Carolina. MORE
Microchip Technology, Inc., received authorization of production activity for semiconductor devices and related products in Foreign-Trade Zone 75 in Phoenix, Arizona. MORE
Hartland Controls, LLC, submitted an application for subzone status for its facilities in Foreign-Trade Zone 271 in Rock Falls, Illinois. MORE
Xerox Corporation, submitted a notification of proposed production activity for polyester latex for printer/copier toner in Foreign-Trade Zone 106 in Oklahoma City, Oklahoma. MORE
Fender Musical Instruments Corporation, submitted an application for subzone status for its facilities in Foreign-Trade Zone 50 in Long Beach, California. MORE
Albany Safran Composites LLC, received approval to operate its Rochester, New Hampshire facility as Foreign-Trade Subzone 81E. MORE
Future Electronics Distribution Center, L.P., received approval to operate its South Haven, Mississippi facility as Foreign-Trade Subzone 287B. MORE
The Woodbridge Group, submitted a notification of proposed production activity for flame laminated textiles in Foreign-Trade Zone 68 in El Paso, Texas. MORE
Tesla Inc., submitted an application to expand Subzone 18G in San Jose, California. MORE
Sault Ste. Marie Economic Development Corporation submitted an application to reorganize Foreign-Trade Zone 16 under the Alternative Site Framework in Sault Ste. Marie, Michigan with a service area of Chippewa County, Michigan. MORE
International Flavors & Fragrances, Inc., received authorization of production activity for flavor and fragrance products in Foreign-Trade Zone 44 in Trenton, New Jersey. MORE
DSM Nutritional Products, received authorization of production activity for vinylol in Foreign-Trade Zone 149 in Freeport, Texas. MORE
GlaxoSmithKline PLC, submitted a notification of proposed production activity for pharmaceutical products in Foreign-Trade Zone 93 in Raleigh, North Carolina. MORE
WPG Americas Inc., submitted an application for subzone status in Foreign-Trade Zone 262 in Southhaven, Mississippi. MORE
Swagelok Company, submitted an application to expand Subzone 40I in Foreign-Trade Zone 40 in Cleveland, Ohio. MORE
The Grand Junction Area Chamber of Commerce has submitted an application to create a new Foreign-Trade Zone under the Alternative Site Framework in Grand Junction, Colorado with a service area of Delta, Garfield and Mesa Counties, Colorado in their entirety and portions of Montrose and Rio Blanco Counties, Colorado. MORE
Adams Warehousing, LLC, submitted an application for subzone status in Foreign-Trade Zone 59 in Lincoln, Nebraska. MORE

China Negotiations Take Center Stage