Trade Cases

Senate Continues Push for Section 232 Reform
Written by Sandy Williams
July 14, 2018
A Senate Foreign Relations hearing went awry when the administration sent Manisha Singh, Assistant Secretary of State for the Bureau of Economic and Business Affairs, to answer committee members’ questions about Section 232 measures.
Singh was unable to provide Senate members evidence of a coherent trade strategy by the administration. Singh was asked to comment on the impact of tariffs on business, alienation of allies, lack of transparency with Congress, and efforts to rein in trade abuse by China.
Singh’s insistence that “there is a strategy,” and the administration was “committed to working with our allies,” was met with criticism by Senate members.
“It is pretty apparent that we don’t have a stated plan,” said Sen. Johnny Isakson (R-GA).
Sen. Chris Coons (D-DE) said allies are puzzled and offended by the Section 232 tariffs levied against them in the name of national security.
“You have launched a war – President Trump has launched a trade war” without a strategy, said Coons.
When Singh was asked to name a single country that approved of Trump’s trade policy, she did not answer, prompting Sen. Ben Cardin (D-MD) to retort, “Probably Russia, wouldn’t you think?”
Cardin added that the administration “should be on notice” after Senators voted overwhelmingly that the president was misusing Section 232 and “harming our national security.”
Senate to Push Section 232 Reform
Sen. Bob Corker (R-TN) said last week that legislation to revoke Section 232 tariffs is forthcoming, but there are still details to work out.
Sen. Rob Portman (R-OH) plans to introduce legislation in the next few weeks that will tighten the definition of national security under Section 232 of the Trade Expansion Act of 1962.
“I believe that the entity that is best capable of determining what’s in our national security interest is the Department of Defense, and I believe the statute could be changed to do that,” said Portman during the meeting with Singh. “I believe there ought to be a tightening of the criteria so we understand what national security is using the [Committee on Foreign Investment in the United States] and joint chief’s definition. I believe that the disapproval, which is already in the legislation, could be brought into all products, not just oil.”
The reference to oil concerns an addition to the statute in 1980 after congressional disapproval of actions taken by the president regarding imports of petroleum and petroleum products. The statute was amended “so that passage of a resolution of disapproval would nullify any presidential action on petroleum.” Portman’s proposed changes would expand the language to include all products.
“I think there are things we could do to ensure that going forward we don’t misuse 232, because my concern is that we will lose the tool,” said Portman.

Sandy Williams
Read more from Sandy WilliamsLatest in Trade Cases

CRU: Trump’s sweeping tariffs could derail the US met. coal industry
Latest tariffs could lead to US metallurgical coal exporters (many already high-cost swing producers) being priced out of the market.

Tariff fallout: Canada strikes back, Stellantis idles, GM boosts production
Canada imposes auto tariffs, while automaker Stellantis temporarily idles some plants.

Commerce tags UAE with ‘critical circumstances’ in CORE trade case, South Africa spared
The Commerce Department has made a preliminary determination that ‘critical circumstances’ exist for certain imports of corrosion-resistant (CORE) flat-rolled steel from the United Arab Emirates (UAE). Commerce decided that critical circumstances did not apply to CORE from South Africa. The department also found that critical circumstances did not apply to CORE from UAE producers Al-Ghurair Iron & Steel LLC and United Iron & Steel Company LLC.

Trump’s ‘Liberation Day’ brings 10% baseline tariffs; steel, aluminum, and autos/parts excluded
President Trump’s promised “Liberation Day” has arrived, with a 10% minimum tariff on imports. But there are some very important exceptions: The United States’ USMCA partners, Canada and Mexico, are excluded from the reciprocal tariffs for now. In addition, steel, aluminum, as well as autos and auto parts are excluded from the reciprocal tariffs. That’s […]

Price on Trade: Auto tariffs, auto parts, and Hyundai – a world of rapid changes
Trump's new auto tariffs will apply to passenger vehicles (including sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans), light trucks, and certain automobile parts (including engines and engine parts, transmissions and powertrain parts, and electrical components).