The World Trade Organization published the agenda for the Aug. 29 meeting of the Dispute Settlement Body. It includes U.S. status reports on the implementation of recommendations adopted by the DSB on antidumping measures on certain hot-rolled steel products from Japan; antidumping and countervailing measures on large residential washers from South Korea; certain methodologies and their application to antidumping proceedings involving China; and Section 110(5) of the U.S. Copyright Act. A status report also is expected from Indonesia on measures relating to the import of horticultural products, animals and animal products, and from the EU on measures affecting the approval and marketing of biotech products. Turkey will report on the implementation of the DSB's recommendations on its measures on the production, importation and marketing of pharmaceutical products.
The Treasury Department warned Turkish businesses this week that they may be hit with U.S. sanctions if they do business with designated Russian people or entities, The Wall Street Journal reported Aug. 22. In letters to the American Chamber of Commerce in Turkey and the Turkey Industry and Business Association, Treasury Deputy Secretary Wally Adeyemo warned Turkish companies that they will be cut off from American banks if they do business with sanctioned Russian banks.
The Bureau of Industry and Security this week issued a new set of frequently asked questions covering the Entity List, Russia-related export controls and Russia-related sanctions evasion.
Arif Ugur, a Turkish national indicted last year for his role in illegally shipping defense technical data to Turkey (see 2107260014), pleaded guilty to the charges this week, DOJ said: two counts of violating the Arms Export Control Act and one count of conspiring to violate the AECA, along with two counts of wire fraud. Ugur faces a maximum sentence of up to 20 years in prison and a $250,000 fine for violating the AECA, and up to five years in prison and a $250,000 fine for conspiring to violate the AECA.
The first ship to carry Ukrainian grain exports from the Black Sea left the port of Odessa Aug. 1, the White House said, about five months after Russia invaded Ukraine and halted the country’s agricultural shipments. The successful export was a direct result of an agreement between U.N., Russia, Ukraine and Turkey last month (see 2207250004) to start allowing safe passage of Ukrainian exports through the Black Sea, National Security Council spokesperson John Kirby said.
Arbitrators at the World Trade Organization affirmed a WTO dispute panel ruling in a case brought by the EU over certain measures by Turkey concerning the production, importation and marketing of pharmaceutical products. The arbitrators said that Turkey should bring their measures into conformity with WTO obligations. In particular, the arbitrators confirmed the panel's ruling which said that Turkey's localization measure discriminates against foreign pharmaceutical products since it is not a form of government procurement and is not meant to achieve public health objectives nor compliance with laws requiring Turkey to ensure effective and accessible sustainable healthcare for its citizens.
The U.N., Russia, Ukraine and Turkey agreed to a deal to allow safe passage of Ukrainian agricultural exports through the Black Sea, the State Department said last week. The deal -- which is expected to be “fully operational” in a few weeks, Reuters reported July 22 -- comes amid months of halted Ukrainian exports of grain and other staple food crops (see 2204080037). The agreement is a “positive step towards addressing the far-reaching impacts of Russia’s war,” the State Department said, but stressed that Russia must be held “accountable for this deal, ending its effective blockade of Ukraine’s ports.”
Turkey recently lifted export bans on butter and olive oil about five months after imposing restrictions (see 2203170012), the USDA Foreign Agricultural Service said in a July 20 report. The country replaced its butter export ban with a 7,000 metric ton monthly quota for July, August and September; it removed the ban on olive oil but didn't place a quota on it. The country hasn’t yet notified the changes to the World Trade Organization, USDA said.
The Bureau of Industry and Security on June 16 suspended the export privileges of Belavia Belarusian Airlines, the country’s state-owned national airline, for violating U.S. export controls against Belarus. BIS issued a 180-day temporary denial order for Belavia, which bans it from participating in transactions subject to the Export Administration Regulations.
Some Russian airlines are considering relocating to Turkey to skirt sanctions that so far have stopped them from leasing aircraft and accessing maintenance and repair facilities. Pegas Touristik, owner of Nordwind Airlines, and Anex Tourism Group, operator of Azur Air, have had discussions with leasing companies in Turkey about getting planes, according to people familiar with the matter, Bloomberg reported June 8. Azur Air and Nordwind primarily ferry Russian tourists to marquee locations and are controlled by Turkish businessmen. Since the carriers are not sanctioned, their relocation wouldn't violate the restrictions, Bloomberg said. The EU's sanctions led to companies terminating leases to airlines in Russia and banned the carriers from flying in European airspace.