An economist at the Peterson Institute for International Economics says there was no embargo on COVID-19 vaccine ingredients that led to slowed production of vaccines in India, as was argued by the CEO of the world's largest vaccine manufacturer, which is in India. "That would be a scandal if it were true. But it is not. Access to new, firm-level supply-chain data reveals there has never been a US export 'embargo' on materials needed to manufacture vaccines. In recent months, in fact, the Serum Institute and other Indian companies have significantly increased imports of vaccine materials from key suppliers in the United States, including Merck Millipore, Thermo Fisher, Cytiva, Pall, ABEC, Sartorius," and others, the paper said.
Pakistan will seek to lower some taxes on imports of raw materials to give a boon to manufacturing and economic growth, Prime Minister Imran Khan's trade adviser Abdul Razak Dawood told Bloomberg. Taxes would drop 3% to 10% on key inputs for pharmaceutical, chemical, engineering and food processing industries, Bloomberg reported June 6. Any decrease in import taxes would be a drastic policy shift for Pakistan because more than 40% of the nation's total tax revenue stems from duties on imports. Khan wants to shed Pakistan's reliance on foreign loans and bailouts and build up the country's productivity and share of exports, Bloomberg said. Having averaged $23 billion annually in exports over the past decade, Khan's government is shooting for a new export figure north of $25 billion for the next financial year.
Sri Lanka officially implemented its import restrictions over fertilizers and agrochemicals (see 2104260022), which caused “widespread concern” among the country’s farmers and agricultural professionals, the U.S. Department of Agriculture Foreign Agricultural Service said in a report released June 3. The restrictions, which affect insecticides and herbicides and apply to all imported goods with bills of lading or airway bills issued on or after May 6, require traders to secure a license before importing those goods. USDA said Sri Lanka may see a rise in food insecurity because of the country’s lack of “organic fertilizer productive capacity” and the “absence of a formalized plan to import organic fertilizers in lieu of chemical fertilizers.”
Bangladesh will soon require all customs fee payments to be made electronically, the Hong Kong Trade Development Council reported June 2. The ruling will apply to all fees greater than $23,500 as of July 1 and “regardless of amount” starting Jan. 1 The requirement will apply to fees associated with all the country’s air, sea and land ingress points, HKTDC said. Previously, only larger multinational and domestic companies were required to make electronic payments, which resulted in a mostly cash payment system that led to longer clearance times and added congestion at Bangladesh’s storage depots, the report said.
The Shanghai-based Xin Bai law firm released a May report on sanctions in China (see 2101110042), providing an overview and “practical information” on China’s evolving sanctions regime. The report lays out the framework of China’s sanctions legislation, including what types of sanctions it can impose, the scope of those restrictions, potential penalties, compliance requirements for businesses, and the export licensing and reporting process.
Current geopolitical issues, deteriorating relations and COVID-19 are making it “impossible” to continue relying on China, especially for small and medium-sized enterprises, a new report from the Australian Chamber of Commerce and Industry detailed. The group surveyed 189 Australian exporters and businesses, finding the difficulties with Chinese trade especially pronounced for small wine exporters. The problems stemming from the raising of tariff and non-tariff barriers by the Chinese government has made customer relationships incredibly difficult and “resulted in a complete cessation of trade.”
China is “firmly opposed” to President Joe Biden’s executive order bolstering prohibitions on U.S. investments in China’s military-industrial complex (see 2106030067), a Foreign Affairs Ministry spokesperson said June 4. “The U.S. government uses the catch-all concept of national security and abuses state power to suppress and restrict Chinese enterprises in all possible means,” he said during a regular press conference, according to a Ministry-provided transcript. Presidential EOs have “harmed not only the legitimate rights and interests of Chinese companies, but also the interests of global investors, including U.S. investors,” the spokesperson said. The White House didn’t comment. Biden’s EO prohibits U.S. “persons” from trading in the securities of 59 Chinese entities, effective Aug. 2 at 12:01 a.m. EDT.
The Singapore Customs TradeNet will undergo system maintenance June 13, 4 a.m. to 4 p.m., and June 27, 4 a.m. to noon local time, it said May 31. Singapore Customs advised users to avoid submitting applications during this time. This is in addition to the usual 4 a.m. to 8 a.m. Sunday maintenance.
Importers bringing power-assisted bicycles and motorized personal mobility devices to Singapore will need a Land Transport Authority license beginning June 28, the city-state's customs agency announced in a May 28 notice. Due to the passage of the Small Motorized Vehicles (Safety) Act 2020, imports under Harmonized System codes 87116091 and 87116092 will require the LTA license. The SMVA also makes it illegal to provide false information on an import permit application or to fail to comply with the conditions of an import approval. License applications are available on the customs agency's online portal, TradeNet. Import licenses for devices that are compliant with Singapore regulations will take up to three business days to process. Inporters of noncompliant device applications must first apply for an in-principle approval from LTA, then complete an import permit application.
Private electronic signatures may now be used in Korean Customs administration services, the Korea Customs Service announced in a June 1 news release, according to an unofficial translation. Beginning in December 2020, it became mandatory to submit a unique customs code when purchasing something directly overseas, leading to a near-monopoly in customs authentication. Due to the signing of the Electronic Signature Act, the Korea Customs Service will now provide a simple mobile authentication service as well as accept various private electronic signature methods.