AGOA Not in Funding Bill
A five-year renewal of the Haiti HELP/HOPE trade preferences is the only tariff liberalization legislation that was attached to the federal spending bill that will keep the federal government open through mid-March.
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Although the Haitian trade program was going to expire Oct. 1, the same as the African Growth and Opportunity Act, AGOA was not included in the bill.
With regard to the Haiti trade preferences, American Apparel and Footwear Association CEO Steve Lamar said, "This renewal is urgently needed to help combat the crisis that continues to unfold in our island neighbor by anchoring much needed textile and apparel jobs, which in turn support U.S. jobs, in the region at a crucial time. At the same time, we are deeply disappointed that this measure doesn't include the much-needed long-term renewal of the African Growth and Opportunity Act (AGOA) and the long overdue retroactive renewal [of the] Generalized System of Preferences (GSP), which has now been expired for nearly four years. Congress must prioritize passage of these vital programs to support a return to a predictable and investment-based trade policy."
There were several other trade-related titles in the legislation -- for instance, a requirement to identify Haitian political and economic elites with direct links to criminal gangs, and a request that the executive branch sanction those individuals. The Haitian Criminal Collusion Transparency Act says that the executive doesn't have the authority or requirement to ban the import of Haitian goods related to those individuals, however.
The bill also includes the Promoting Resilient Supply Chains Act, which establishes a working group, which, in consultation with industry, nonprofits, academics and local governments, will identify, prepare for and respond to supply chain shocks to critical industries, critical supply chains and critical and emerging technologies (see 2405160053).
The bill says that the U.S. trade representative should "support the availability of critical goods from domestic manufacturers, domestic enterprises, and manufacturing operations in countries that are allies or key international partner nations."
The working group must be set up within 120 days, and the Commerce Department also must say what critical goods, supply chains and industries are in the scope of the law, and it must provide public comment on what should be included.
Private businesses are not required to share information with the government for the project. The project has no additional funds associated with it, and is authorized for 10 years.