American Trade & Manufacturing Blog

Adam M. Teslik

Adam M. Teslik

Adam Teslik’s international trade practice focuses on antidumping and countervailing duty proceedings and global trade policy and negotiations.

 
ateslik@wileyrein.com

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Commerce Department Finds that China Remains a Non-Market Economy Under U.S. Law

Posted in Trade Agreement Compliance, Trade Policy, Trade Remedies, World Trade Organization
On October 27, 2017, the U.S. Commerce Department issued its preliminary determination in the antidumping investigation of Aluminum Foil from China.  A key aspect of this determination was an analysis of whether China should continue to be treated as a non-market economy in U.S. antidumping investigations.  In this regard, Commerce concluded that China remains a… Continue Reading

International Trade Commission Provides Overview of Major Digital Trade Issues

Posted in Trade Policy
In recent years, a growing number of restrictions on digital trade around the world has caught the attention of U.S. policy makers.  On January 13, 2017, for example, the United States Trade Representative requested the International Trade Commission (“ITC”) to prepare a series of three reports on “the value of new digital technologies for U.S.… Continue Reading

U.S. Trade Representative Initiates Investigation of Chinese IP Policies

Posted in Trade Negotiations, Trade Policy
On August 18, 2017, the United States Trade Representative (USTR) initiated an investigation under Section 302(b) of the Trade Act of 1974 regarding “China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation.”  The investigation will determine whether these practices are actionable under Section 301 of that statute, which authorizes USTR to… Continue Reading

President Trump Signs Order on U.S. Manufacturing and National Security

Posted in Manufacturing, Trade Policy
As the Commerce Department prepares to issue its findings and recommendations in the ongoing Section 232 investigations into the national security implications of steel and aluminum imports, President Trump has signed a new Executive Order calling for a broader review of the state of the U.S. manufacturing and defense industrial base.  The Order, signed on… Continue Reading

President Trump Calls for Section 232 Reports in June; Comments Made Available to the Public

Posted in Trade Negotiations, Trade Policy, Trade Remedies
On April 20, 2017, President Trump issued a Presidential Memorandum for the Secretary of Commerce calling for an investigation into the national security implications of steel imports pursuant to Section 232 of Trade Expansion Act of 1962.  This marked the first invocation of Section 232 since 2001, when the Department of Commerce (Commerce) investigated imports… Continue Reading

USTR Releases 2017 National Trade Estimate Report

Posted in Manufacturing, Trade Agreement Compliance, Trade Negotiations, Trade Policy
The Office of the U.S. Trade Representative (USTR) today released its 2017 National Trade Estimate Report on Foreign Trade Barriers (NTE).  USTR publishes the NTE annually to provide the President and Congress with “an inventory of the most important foreign barriers affecting U.S. exports of goods and services, foreign direct investment by U.S. Persons, and… Continue Reading

The Trump Administration’s First Trade Policy Agenda: A New “Economic Nationalism”?

Posted in Trade Negotiations, Trade Policy, World Trade Organization
On March 1, 2017, the Office of the United States Trade Representative (“USTR”) published a truncated version of the new Administration’s trade policy agenda for the coming year.  The agenda’s objectives are stated in broad terms, and the document suggests that a more detailed agenda will be forthcoming once the Senate confirms the Trump Administration’s… Continue Reading

U.S. Trade Representative Notes China’s Lack of Progress on Overcapacity, State-Owned Enterprises

Posted in Trade Agreement Compliance, Trade Policy, World Trade Organization
In a new report on China’s compliance with its WTO obligations, the U.S. Trade Representative (USTR) highlights a number of shortcomings, including industrial overcapacity and the prominence of state-owned enterprises (SOEs).  The report emphasizes that “excess capacity in China . . . hurts U.S. industries and workers not only because of direct exports from China… Continue Reading

Could Section 301 Return to Prominence?

Posted in Trade Agreement Compliance, Trade Negotiations, Trade Policy, Trade Remedies, World Trade Organization
Of the policy questions related to the incoming Trump Administration, one of the most compelling is whether the new President will revive Section 301 of the Trade Act of 1974 as a major component of U.S. trade policy.  Mr. Trump’s call to “direct all appropriate agencies to use every tool under American and international law… Continue Reading

U.S. G20 Fact Sheet: Mixed Signals on Industrial Overcapacity

Posted in Trade Agreement Compliance, Trade Negotiations, Trade Policy, World Trade Organization
On September 5, 2016, the White House issued a Fact Sheet summarizing outcomes from the recent G20 summit in Hangzhou, China.  On the issue of overcapacity, the Fact Sheet incorporates language promoted by China leading up to the summit, characterizing “excess capacity in steel and other industries” as “a global issue that requires a collective… Continue Reading

China Formalizes Political Control Over State Enterprises

Posted in State-owned Enterprises
Last year, we noted that the Chinese government’s reform proposals for state-owned enterprises (SOEs) reflected conflicting objectives.  On the one hand, they appeared to propose limitations on traditional means of state control, primarily ownership, by encouraging more SOEs to undertake “mixed ownership” reforms, through which they would operate more like non-state corporations, at least in… Continue Reading

China Absent from Statement on Steel Overcapacity

Posted in Manufacturing, Trade Negotiations, Trade Policy, Trade Remedies
On April 18th and 19th, leaders from some of the world’s major steel producing countries met in Brussels to discuss the overcapacity problem that is wreaking havoc on the global steel industry. Last night, the governments of Canada, the European Union, Japan, Mexico, Korea, Switzerland, Turkey, and the United States issued a statement agreeing, among… Continue Reading

WTO Panel Strikes Down India’s Domestic Content Requirements on Solar Cells and Modules

Posted in Manufacturing, Trade Agreement Compliance, Trade Negotiations, World Trade Organization
A World Trade Organization Panel today issued a report finding that Indian domestic content requirements covering solar cells and modules used by solar power generators violate Article III:4 of the General Agreement on Tariffs and Trade (GATT) and Article 2.1 of the Agreement on Trade-Related Investment Measures. This is a notable victory for the United… Continue Reading

China’s WTO Subsidy Notifications – The Drama Continues

Posted in Dumping and Subsidies, Manufacturing, Trade Agreement Compliance, Trade Policy, Trade Remedies, World Trade Organization
In a World Trade Organization (WTO) submission filed on January 28, the United States once again took issue with the substance of China’s subsidy notifications to the WTO.  The WTO’s  Agreement on Subsidies and Countervailing Measures (SCM Agreement) requires WTO Members to provide annual notifications of any subsidy programs in a manner that is “sufficiently specific… Continue Reading

USTR Submits Third China Subsidies “Counter-Notification” in Four Years

Posted in Manufacturing, Trade Agreement Compliance, Trade Policy, World Trade Organization
On October 19, the United States Trade Representative (USTR) invoked Article 25.10 of the World Trade Organization (WTO) Agreement on Subsidies and Countervailing Measures (Subsidies Agreement) to notify the Chinese government of a list of measures that the United States believes should be reported to the WTO as subsidy programs. This “counter-notification” is the third… Continue Reading

China’s SOE Reform Plan Will Strengthen the Hand of the State

Posted in Trade Agreement Compliance, Trade Negotiations, Trade Policy
The state-owned enterprise (SOE) reform plan issued recently by China’s State Council and Communist Party leadership has elicited mixed reactions. The consensus seems to be that this most recent proposal is little more than a reiteration of the same contradictory measures that have been in place for more than a decade, which largely failed to… Continue Reading

RMB Devaluation Reveals Continued Manipulation of Financial Markets

Posted in Manufacturing, Trade Negotiations, Trade Policy
The People’s Bank of China (PBoC) on Tuesday devalued the country’s currency, the RMB, by approximately 2%.  Just weeks after China’s stock market regulators engineered a “recovery” in share prices by allowing mass-suspensions in trading and forcing state-owned financial institutions to buy and hold shares, the move stands as another stark reminder of the extensive… Continue Reading

China Emphasizes Political Objectives Over Market Principles in New Statements on SOE Reform

Posted in Trade Agreement Compliance, Trade Negotiations, Trade Policy, World Trade Organization
Large portions of China’s economy are dominated by state-owned enterprises (SOEs) and financial institutions that do not operate on the basis of market competition.  Recent official pronouncements make clear that any reforms that may occur in the Chinese economy during the Xi Jinping era will not include relinquishing government control over these SOEs. A widely… Continue Reading

China’s Selective Elimination of Aluminum Export Duties Threatens Global Manufacturers

Posted in Manufacturing, Trade Remedies
Effective May 1, China eliminated a 15 percent export tax on certain semi-processed aluminum bars, rods, and strip. Almost immediately, the London Metals Exchange global aluminum price and share prices of non-Chinese aluminum producers fell, while the share price of China’s major state-owned producer, Chalco, rose by 10 percent.… Continue Reading

Senate Reaches Agreement on Consideration of TPA, Customs Enforcement, and other Trade Legislation

Posted in Trade Negotiations, Trade Policy, Trade Remedies
The Senate yesterday reached an agreement on the process for considering a set of trade bills, which would ultimately allow the Bipartisan Congressional Trade Priorities and Accountability Act 2015 (“TPA bill”) to proceed to debate and amendment on the Senate floor.  On Tuesday, a vote to invoke cloture for the TPA bill failed to pass… Continue Reading

TPA Bill Fails to Advance In Senate

Posted in Trade Negotiations, Trade Policy
Legislation to provide President Obama with Trade Promotion Authority (TPA) encountered a setback on Tuesday, when the U.S. Senate voted down a procedural measure that would have permitted the Senate to bypass lengthy further debate on the bill.  The bill, the Bipartisan Congressional Trade Priorities and Accountability Act of 2015 (“TPA Bill”), would provide so-called… Continue Reading

Senate Finance, House Ways and Means Committee Leaders Introduce Long-Awaited Trade Promotion Authority Legislation

Posted in Trade Negotiations, Trade Policy
After months of negotiation, Senate Finance Committee and House Ways and Means Committee leaders introduced a bill to grant President Obama Trade Promotion Authority.  The introduction of the Bipartisan Congressional Trade Priorities and Accountability Act of 2015 earned statements of support from President Obama, United States Trade Representative Michael Froman, and Secretary of Commerce Penny… Continue Reading

Will U.S. Aluminum Firms Reap the Benefits of Growing Demand?

Posted in Dumping and Subsidies, Manufacturing, Trade Remedies
With demand from the auto, aerospace, and other industries on the rise, many U.S. aluminum manufacturers are anticipating a renaissance in the industry. After years of depressed prices stemming from surplus global primary production, capacity rationalizations upstream, and growing demand downstream, have combined to restore a delicate balance. Firms like Alcoa and Novelis are restructuring… Continue Reading

Trans-Pacific Partnership Complicates Trade Promotion Authority Debate

Posted in Trade Negotiations, Trade Policy
The confluence of the debate over trade promotion authority (TPA) and the “end game” of the Trans-Pacific Partnership (TPP) negotiations has complicated President Obama’s objective of getting a bi-partisan TPA bill through Congress.  In his 2015 State of the Union address, President Obama emphasized TPA, or “fast track” legislation, as one of his Administration’s trade… Continue Reading
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