The World Trade Organization issued a series of four rulings Dec. 9 finding that the U.S. Section 232 steel and aluminum tariffs set by President Donald Trump violated global trade rules. In the landmark rulings, a three-person panel found that the duties violated Articles I, II, XI and XXI of the General Agreement on Tariffs and Trade. The dispute panel said the tariffs, which the Trump administration said were needed to maintain U.S. national security, were not "taken in time of war or other emergency in international relations," as mandated by Article XXI(b)(iii) of national security protections, so the duties violate the GATT.
A large Israeli trade delegation arrived in Turkey Dec. 5 to meet with exporters, representing a thaw in relations between the two nations, Bloomberg reported. The two-day meeting will see representatives from around 60 Israeli companies meet with the Turkish exporters, hosted by the Turkish Exporters' Assembly. “The recent normalization of Turkey’s relations with Israel reflects positively on the trade relations of the two countries,” the Turkish Exporters’ Assembly said in a statement.
DOJ unsealed a 15-count indictment Nov. 29 charging Madison County, Alabama, resident Ray Hunt with conspiring to violate U.S. sanctions on Iran, defrauding the U.S., smuggling goods from the U.S., and submitting false export information, the department announced. Hunt faces a maximum penalty of up to 20 years in prison and a $1 million fine for violating U.S. sanctions against Iran, up to five years for the count of conspiracy, 10 for the smuggling charge and another five for the false information charge.
The Bureau of Industry and Security this week renewed the temporary denial order for Russia's Rossiya Airlines. BIS first suspended the export privileges of the airline in May (see 2205200008), barring it from participating in transactions with items subject to the Export Administration Regulations. The agency renewed the denial order for another 180 days on Nov. 15 after finding Rossiya continues to illegally operate aircraft subject to the EAR, including for flights between Russia and Turkey.
World Trade Organization members mulled over five regional trade agreements at the Nov. 14 meeting of the Committee on Regional Trade Agreements, the WTO said. The agreements are between South Korea and Turkey, for services, and between Kenya and the U.K., the U.K. and Israel, the U.K. and Egypt, and the U.K. and Mexico, for goods.
Russia is set to abide by a new deal, brokered by the U.N., allowing Ukrainian grain and other farm products to be exported via the Black Sea, Bloomberg reported Nov. 15. Russia will let the deal renew after it expires Nov. 19, individuals familiar with the situation told Bloomberg, though they didn't specify whether Russia would look to add new conditions in return for the extension. Turkey and the U.N. brokered the original 120-day deal allowing Ukraine to resume its seaborne exports from its ports after Russia's invasion. The new accord would enact a 120-day extension unless one of the parties pulls out or modifies it, Bloomberg said. The U.N. said it will help ensure unimpeded exports of Russian food and fertilizers.
Russia agreed to continue the deal permitting the safe passage of Ukrainian grain and crop exports, swiftly backing out of its decision to halt the agreement after Turkey and the U.N. carried out shipments over Russia's objections, Bloomberg reported Nov. 2. Russia pulled out of the grain deal Oct. 29, issuing a warning over the safety of ships transporting Ukrainian grain. "Moscow's leverage appeared limited" after shipments continued this week, Bloomberg said. Russia's Defense Ministry said it decided to continue the deal after receiving guarantees from Ukraine the safe-passage corridor would remain unused for military purposes.
World Trade Organization members are lagging in submitting required subsidy notifications, the chair of the WTO ComEighty-nine members still have yet to submit their 2021 subsidy notifications by the mid-2021 deadline, Kerrlene Wills of Guyana, the committee chair, said. Another 76 members have not yet submitted their 2019 subsidy notifications, and 65 have not submitted their 2017 notifications.
World Trade Organization members at the Oct. 24 meeting of the Committee on Safeguards reviewed 19 safeguard investigations taken by other members, the WTO said. Despite the dip in the number of new investigations and applications for new safeguards, WTO members took issue with "the way this instrument was used." China, Japan and Australia expressed concerns about the "timeliness of notifications, the effect of existing safeguard measures on trade, and the numerous extensions of measures," the WTO said.
The State Department announced penalties on one person and three entities and their subsidiaries for illegal transfers under the Iran, North Korea and Syria Nonproliferation Act. The agency in a notice said the parties transferred items subject to multilateral control lists that contribute to weapons proliferation or missile production. The State Department barred them from making certain purchases of items controlled on the U.S. Munitions List and by the Arms Export Control Act and will suspend any current export licenses used by the entities. The agency also will bar them from receiving new export licenses for any goods subject to the Export Administration Regulations. The restrictions will remain in place for two years from the Oct. 3 effective date.