International Trade

OFAC Extends Cuba Sector Sanctions Risk to Electronics, Manufacturing, Marine, and Technology 

On November 5, 2026, the Office of Foreign Assets Control (OFAC) determined that the sector-based sanctions authority in Executive Order (E.O.) 14404 applies to the electronics, manufacturing, marine, and technology sectors of the Cuban economy. Any foreign person that the State Department or Treasury determines operates, or has operated, in those sectors is now exposed to blocking sanctions. U.S. importers, exporters, carriers, and logistics providers are affected through their foreign suppliers, vessel operators, and customers, which is where screening and contract reviews should start. 

KEY TAKEAWAYS 

  • Effective November 5, 2026, OFAC determined that the sector-based sanctions authority in Section 2(a)(i)(A) of E.O. 14404 applies to the electronics, manufacturing, marine, and technology sectors of the Cuban economy. 
  • These four sectors join the five named in the Executive Order itself: energy, defense and related materiel, metals and mining, financial services, and security. 
  • Operating in a listed sector does not trigger sanctions automatically. Sanctions attach only when the State Department or Treasury makes a determination about a specific foreign person (OFAC FAQ 1256). 
  • The same day, the State Department designated Cuban and third-country companies, individuals, and tanker vessels under E.O. 14404, including two Chinese electronics companies. 
  • Importers, exporters, carriers, and logistics providers should […]

Upcoming November 9 Deadline: USITC Requests Input on Section 338 Trade Authority

The U.S. International Trade Commission (USITC) is seeking public comments on how it should implement Section 338(g) of the Tariff Act of 1930, a longstanding but rarely used provision addressing discriminatory trade practices by foreign governments. 

In a notice published in the Federal Register on September 9, 2026, the USITC announced that it is considering establishing procedures to identify discriminatory foreign trade practices, collect information from affected businesses, and provide findings and recommendations to the President. 

The initiative could have significant implications for U.S. businesses engaged in international trade, particularly exporters facing discriminatory treatment abroad and importers potentially affected by future trade measures. 

KEY TAKEAWAYS: 

  • USITC Seeks Input on Section 338: The U.S. International Trade Commission (USITC) is requesting public comments on implementing procedures under 19 U.S.C. § 1338(g) to identify and investigate discriminatory foreign trade practices.  
  • Potential for Additional Tariffs: Section 338 authorizes the President to impose additional tariffs of up to 50% on products from countries found to engage in certain discriminatory trade practices.  
  • New Opportunities for Businesses to Report Discrimination: The proposed procedures could provide U.S. exporters and other affected businesses with a more formal process for reporting discriminatory foreign trade barriers.  
  • No Immediate Changes to Import Requirements: The notice […]

CBP eRecordation Program Update: What Rights Holders and Importers Should Watch After CBP’s August 2026 Briefing 

CBP’s Intellectual Property Enforcement Branch briefed eRecordation holders on August 27, 2026 on changes to the recordation application, future expanded pre-seizure disclosure authority, pending legislation, and an enforcement posture that has to consequence delivery, especially collecting penalties for IP violations. This article updates our earlier overview of CBP’s recordation program and identifies the items that should prompt rights holders to revisit existing recordations and importers to tighten sourcing controls. If your recordation was filed more than a year ago, several of these changes affect you directly. 

KEY TAKEAWAYS 

  • CBP’s FY 2025 IPR seizures reached roughly 78 million items with an MSRP near $7.4 billion, up sharply from the FY 2024 figures. 
  • The e-Recordation portal now validates against USPTO data. Supplemental Register marks, dead registrations, and classes not on the principal registration are rejected. 
  • Renewals are $80 per class and ownership changes are $80. Up to three contact emails are now accepted; one should be a monitored general inbox. 
  • CBP is piloting a Master Price List collection (national MSRP for every covered product), which will be an upload option on new applications and renewals. 
  • The Counterfeit Notification Act, which would let CBP share shipping labels, invoices, and e-commerce platform information with rights holders and their representatives , has passed both the House and Senate but must still clear final congressional action before being […]

$5.15 Million Settlement Highlights Growing Customs Enforcement Under the False Claims Act

Short summary: A Taiwanese manufacturer has agreed to pay $5.15 million to resolve allegations that it violated the False Claims Act by underpaying customs duties on imported goods. According to the Department of Justice, the company used improper customs practices to reduce duties owed to CBP, resulting in significant lost tariff revenue. The settlement underscores the federal government’s continued focus on customs enforcement and the growing use of the False Claims Act to pursue alleged duty evasion. 


The U.S. Department of Justice recently announced that a Taiwan-led manufacturer agreed to pay $5.15 million to resolve allegations under the False Claims Act and related administrative claims involving customs duties owed on imported goods. While the company did not admit liability, the settlement serves as another reminder that customs compliance remains a significant enforcement priority for the federal government. 

The Case – What Happened 

According to the DOJ, the alleged conduct went well beyond a simple classification error. The government alleged that the company used multiple methods over several years to reduce the customs duties it owed on imports. Specifically: 

  • Country of Origin Misrepresentations: From July 2018 through January 2022, Everlight allegedly knowingly misrepresented the country of origin on Chinese-manufactured LEDs. Everlight knew these products were manufactured in China, and then transshipped to Taiwan, before shipping them to the U.S.  Everlight allegedly misrepresented to CBP that the products originated in Taiwan rather […]

USTR Announces Section 301 Action Imposing New Tariffs on 60 Trading Partners 

The Office of the U.S. Trade Representative (USTR) has announced a new Section 301 action imposing additional tariffs of 10% to 12.5% on imports from 60 economies that fail to prohibit or effectively enforce bans on goods produced with forced labor. The action covers the top 60 U.S. trading partners, representing 99.4% of U.S. imports, and took effect July 24, 2026. U.S. Customs and Border Protection (CBP) has issued entry filing guidance in CSMS #69326983, including the applicable Chapter 99 tariff headings. 

Key Takeaways 

  • Effective July 24, 2026, USTR imposed additional Section 301 duties of 10% or 12.5% on imports from 60 economies covering 99.4% of U.S. imports, based on findings that these economies failed to adopt or effectively enforce forced labor import prohibitions. 
  • CBP issued entry filing instructions in CSMS #69326983, including the Chapter 99 headings (9903.05.20 through 9903.06.21), reporting sequence, and Foreign Trade Zone admission requirements. 
  • Goods entered duty free under USMCA (Canada and Mexico) are exempt, as are CAFTA-DR textiles and apparel, Section 232 articles, civil aircraft, pharmaceutical articles, informational materials, and donations. There is also a list of miscellaneous products exempt no matter what their country of origin. 
  • An in-transit exception applies to goods loaded and in transit on the final mode before 12:01 a.m. ET on July 24, 2026, and entered before 12:01 a.m. ET on July 28, 2026. 

Why USTR Took […]

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