Now, More than Ever, Be Wary of and Responsive to a CBP Form 28!

U.S. Customs and Border Protection (“CBP”), having previously identified AD/CVD evasion as priority trade issue, is ramping up its efforts to further combat AD/CVD evasion. Effective August 22, 2016, interested parties can, in addition to pursuing either a civil False Claims Act/Qui Tam Action or a criminal trade violation, now report Enforce and Protect Act (“EAPA”) violations using CBP’s e-Allegation mechanism. 

Who is an Interested Party?

Interested parties qualified to use this violation reporting mechanism include:

• Foreign manufacturers, producers, exporters, or importers of covered merchandise or a trade or business association a majority of the members of which are producers, exporters, or importers of such merchandise
• Manufacturers, producers, exporters, or importers in the U.S. of a domestic like product 
• A certified union or recognized union group of workers that is representative of an industry engaged in the manufacture, production or wholesale of a domestic like product in the U.S. 
• A trade or business association a majority of the members of which manufacture, produce, or wholesale a domestic like product in the U.S. 
• If covered merchandise is a processed agricultural product, a coalition or trade union that is representative of processors, processors and producers, or processors and growers

CBP Launches New E-Commerce and Small Business Branch … Just in Time for the Holiday Shopping Season

With Thanksgiving in the rear view mirror and the Christmas holiday season kicking into high gear, now is the time to think of Pre-Compliance especially with the grave risks associated with shopping online and not knowing your supplier. As Small Business Saturday and Cyber Monday commercial activity spikes, CBP is, in specific connection with online sales, warns consumers and merchants alike to be on the lookout for holiday shopping scams and/or criminal trade practices. Red flags to watch for in this regard include offers designed to induce the purchase of counterfeit and/or unsafe goods, prices that are too good to be true, e-commerce sites that lack legitimate phone numbers and/or addresses, and sellers who lack good customer feedback.

TPP: Dead or Alive?

Are you wondering whether, given President-elect Trump’s recent promise to abandon the agreement on his first day in office, the Trans-Pacific Partnership (“TPP”) is even going to happen? Are you interested in knowing what all the buzz is about the TPP? Would the TPP open up new business opportunities for your small- to medium-sized business in Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam? If you want to know more, then this FREE webinar is for you!

Top Five Reasons to Participate:

1. Gain insight into the nuts and bolts of how goods and services are exported from the U.S. into TPP countries.
2. Discover which elements of the TPP can help small- to medium sized U.S. companies save time, reduce costs, and improve certainty in TPP markets.
3. Hear from government officials what lies ahead with respect to the approval and entry into force of the TPP.
4. Take advantage of the opportunity to ask questions to and receive answers from TPP experts in real time (including whether or not they believe the TPP has a fighting chance).
5. Develop new contacts within the U.S. Commercial Service.

19 Antibacterial Soap Ingredients to be Banned by the FDA!

Co-authored by Jennifer Diaz and Kristina Hernandez-Tilson, an attorney in Miami, Florida, practices in state and federal court, litigating matters of civil and administrative law. 

Do you assume that when shopping for soaps or body washes, consumers will often times reach for products labeled “antibacterial” in hopes that those products will keep them and their families safer? If so, you would be right. The popularity of antibacterial products has grown tremendously since they first appeared on the market. According to a 1998 Gallop Study of Consumer Awareness and Perception of Antibacterial Products, 33% of those surveyed expressed the need for special antibacterial products to protect their homes from bacterial and viral pathogens. A similar study conducted by Gallop in 2010 revealed that an overwhelming 75% of those surveyed said they preferred to purchase products with antimicrobial protection.

CBP EAST COAST Trade Symposium (#ECTS2016) Dec 1-2, 2016!

The CBP East Coast Trade Symposium theme is "Trade’s Impact on American Health, Safety and Economic Prosperity” and will take place from December 1-2, 2016, at the Hyatt Regency Crystal City in, Arlington, Virginia.

Our top 5 reasons to attend including an invite to a premier networking event are below!

Travel to the U.S. with an Unlimited Number of Cuban Cigars and Rum - Courtesy of New Revised OFAC and BIS Regulations

On October 14, 2016, President Obama issued a Presidential Policy Directive on United States-Cuba Normalization to further ease travel and trade restrictions with Cuba. As a result, Monday, October 17, 2016, amendments to both OFAC and BIS regulations will take effect.

Below are the top changes from both OFAC and BIS:

OFAC is making additional amendments to the Regulations with respect to health, trade and commerce, civil aviation safety, travel and related transactions, humanitarian-related activities, and certain other activities. Below is a recap:

• Health
  • Persons subject to U.S. jurisdiction are now permitted to engage in commercial and non-commercial joint medical research projects with Cuban nationals. (Section 515.547).

• Travel and Related Transactions
  • Importation of Cuban merchandise: Not too long ago we alerted our readers that CBP was targeting Cuban Cigars at American Ports. We haveBIG news for cigar and rum lovers… As of Monday, October 17, 2016, persons subject to U.S. jurisdiction are now able to return home from Cuba (or any other country where Cuban rum and cigars can legally be purchased) with an unlimited amount of rum and cigars. However, the number of cigars and amount rum must be for personal use and such merchandise must be imported as accompanied baggage and are subject to the normal limits on duty and tax exemptions. This is a huge step forward from OFAC’s initial limit of $400 or less (with no more than $100 of such merchandise consisting of alcohol or tobacco products). (Section 515.560(c)(3)).

Cuban Cigars Seized by CBP

Mark Twain once said, “I never smoke to excess - that is, I smoke in moderation, only one cigar at a time.”

With the loosening of restrictions on travel and trade with Cuba, including the authorization to import Cuban Cigars (for personal use only, under a certain value), persons under “U.S. jurisdiction” are getting caught right and left trying to take advantage and import more than their share of Cuban cigars to the US. In May of this year, Maxim magazine declared Cuban Cigars are still the worlds best. However, as relations thaw, will the Cuban cigar be able to take back the market share it lost in the past half century when countries like Dominican Republic and Nicaragua have served the US? That is a question recently posed by Will Yakwowicz in an article for Inc. earlier this year.

Although you are allowed to bring Cuban cigars back to the U.S. (if you are on an “authorized trip” to Cuba) there is a limit and the United States Customs and Border Protection (CBP) can, and will, seize any amount over the allowed limit.

What is the scope and limit on how many cigars I can bring in?

• Persons authorized to travel to Cuba (see our previous post regarding authorized travel to Cuba) may purchase alcohol and tobacco products while in Cuba for personal consumption. Also, as an authorized traveler you may return to the United States with up to $400 worth of Cuban goods, but only $100 worth of alcohol or tobacco or a combination of both.

Will Customs and Border Protection seize as little as 1 cigar?

• YES! CBP can and will seize even one cigar. Since 2013, CBP posts seizure notices online, so the world can see what CBP seized. Here’s the proof that CBP has been seizing Cuban cigars. An example of U.S. CBP seizing JUST one cigar was as recent as 06/20/2016 at the port of JAMAICA, NY.

• During August of 2016, CBP has seized cigars from Ports of entry such as San Diego, California; Anacortes, Wa.; Jamaica, NY; Phoenix, Ar.; Washington, DC with the most being seized at the Port of Jamaica, NY, with a total of over 300 Cigars seized from different individuals.

U.S.’s normalization of ties with Cuba is progressing, and our office is well positioned to help you take advantage of these changes and ensure you stay compliant. Be sure you know the rules and don’t enter the U.S. with more than your $400 worth of Cuban goods, $100 of which of alcohol and tobacco. If you are faced with a seizure notice, or want to ensure you stay compliant, contact us at info@diaztradelaw.com with any questions.

This is no longer applicable due to new revised OFAC and BIS Regulations. What's new? Click here.

Learn About "The ABC’S of Customs Seizures - PLUS Top 10 Tips to Ensure Import Compliance" From the Expert!

The DTL Team wants to ensure you are a compliant with U.S. federal regulations and laws when importing your goods from abroad! Here is your chance to learn directly from our Founder, Jennifer Diaz, about the "dos" and "don'ts" of importing. 

On Wednesday, September 14th, 2016 from 1:00 pm to 2:00 pm, The Organization for Women in International Trade (OWIT) invites you to a Trade Talk Webinar Program on International Trade Compliance-Register NOW! 

 Did you know that In FY 2015, 28,865 seizures were for underlying Intellectual Property Rights (IPR) violations? The MSRP of the goods seized was $1,352,495,341! IPR enforcement is a priority trade initiative for U.S. Customs and Border Protection (CBP) and the detention and seizure process is a complicated one. If your merchandise is detained and/or seized, you have options. But more  Learn exactly how you should respond and more importantly how to avoid future problems with CBP.

This event is particularly important for:

DTL's Jennifer Diaz to Moderate E-Commerce Panel at U.S.-Mexico Logistics & Supply Chain Leaders Meeting

We strive to keep our readers updated on import and export compliance issues and events. Here is another chance for you to learn what it takes to trade with Mexico. Join Diaz Trade Law’s founder, Jennifer Diaz, at U.S.-Mexico Logistics & Supply Chain Leader Meeting this Thursday, September 8, 2016 at the Four Seasons in Brickell. Ms. Diaz will moderate the panel discussion on Challenges and Opportunities in Cross-border E-Commerce.  

The panelists include:

FDA Targets Vending Machine Operators

Co-Authored by Jennifer Diaz and Kristina Hernandez-Tilson, an attorney in Miami, Florida, practices in state and federal court, litigating matters of civil and administrative law. 

Since April 2008, pursuant to New York City Health Code Section 81.50, all Starbucks (and many other restaurants) in New York City have been required to display the calories of each of the menu items. A subsequent study found that this mandatory calorie posting influenced consumers in NYC, causing average calories per transaction to drop by 6%. The study also found that calorie posting did not cause any significant change in Starbucks’ overall revenue.

Now, owners and operators of vending machines across the U.S. are next. Back in December of 2014, the Food and Drug Administration (FDA) issued a final rule entitled “Food Labeling: Calorie Labeling of Articles of Food in Vending Machines”. This rule is codified at 21 CFR 101.8, and requires vending machine operators who own or operate twenty (20) or more vending machines, or who voluntarily register with FDA to be covered, to declare calories for those vending machine foods for which the Nutrition Facts label cannot be examined before purchase or for which visible nutrition information is not otherwise provided at the point of purchase. According to the December 2014 final rule, covered vending machine operators must comply by December 1, 2016.