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Alix Hess

Alix Hess
In

International Issues Update

ON OUR DESKS

  • Advising on U.S. forced labor enforcement
  • Developing client priorities with regard to U.S. and EU critical minerals developments
  • Analyzing ITC report on Section 232 and Section 301 tariffs, as well as U.S. Court of International Trade finding against industry challenges to Section 301

These are just examples of client service. How can we help you? Email any IBC counsellor for assistance or consult our issues list to find the expert you’re looking for.

WIBC DISCUSSIONS

Upcoming WIBC events:

  • March 28: Deputy Assistant Secretary of State for North America Rachel Poynter, North American political and economic cooperation

REMINDER: Our client portal, WIBC calendar, and other resources, are now available at redflag.global/washington. Contact Alix Hess for password.

WIBC discussions are open to WIBC members only. Not a member? Contact Alix for membership inquiries.

YOU NEED TO KNOW


China

Visiting Russia for the first time since the start of the war in Ukraine, Chinese President Xi Jinping called the trip one of “friendship, cooperation and peace.” Xi’s stated priorities for the relationship with Russia include investment and economic cooperation in energy, technology, agriculture, and industry, as well as people-to-people and cultural exchanges. 

While the two sides touted their close friendship, Xi notably stopped short of previous descriptions of a “no limits friendship.” China also declined to approve new gas transport infrastructure that could serve as a lifeline for Russian energy exports. Following the meeting, President Putin called for using the Chinese yuan as the currency of choice for payments between Russia and Asia, Africa, and Latin America.

The United States announced on March 23 that Treasury Secretary Janet Yellen and Commerce Secretary Gina Raimondo plan to visit China in the coming months despite expected new measures from both agencies restricting U.S. investment in and exports to China. The administration is also preparing for a call between Presidents Biden and Xi in the near future and may at some stage reschedule Secretary of State Antony Blinken’s canceled visit to China.

Contact: Ethan Knecht and Patrick Sheehy

U.S. trade policy

Members of both parties in Congress critiqued different aspects of the Biden administration’s “worker-centered” trade policy during testimony this week by U.S. Trade Representative Katherine Tai. Ahead of a March 24 House Ways and Means hearing, Trade Subcommittee Chair Adrian Smith (R-NE) led a House Republican letter calling for a more aggressive policy to compete with China, a message echoed by Ways and Means Chair Jason Smith (R-MO) in his opening statement at the hearing.

Senate Finance Committee Chair Ron Wyden (D-OR) challenged the administration’s “go it alone” trade policy, advocating for greater transparency and consultation on planned critical minerals trade agreements and negotiations for the Indo-Pacific Economic Framework. The second round of IPEF negotiations concluded this week in Bali. Summaries released by USTR indicate that discussions included agriculture, domestic services regulation, customs and trade facilitation, and good regulatory practices.  

Contact: Steve Ziehm

Western Hemisphere

In his first visit to Canada since taking office (a visit described by some as “overdue”), President Biden is expected to highlight the “mutual benefits” of the Inflation Reduction Act, the CHIPS and Science Act, and the U.S.-Mexico-Canada Agreement, including for promoting prosperity and clean energy. The United States and Canada are also reported to have reached an agreement on dealing with illegal border crossings.

Traveling in the region, Under Secretary of State for Economic Growth, Energy, and the Environment Jose Fernandez met with Brazil’s foreign, environmental, health, economic and financial affairs ministers to discuss a wide range of topics, including environmental issues like plastics pollution, global health supply chain resilience, critical minerals, food security, and energy. Fernandez said that discussions included the Americas Partnership for Economic Prosperity, which State Department officials have previously said the United States aims for Brazil to join.

Under Secretary Fernandez also hosted in Panama the first ministerial meeting of the Economic Health Dialogue of the Americas. No deliverables were announced during the meeting, but the Dialogue intends to help Western Hemisphere governments coordinate medical supply chains and to streamline distribution and regulation networks to be better prepared for future pandemics.

Contact: Steve Ziehm and Ethan Knecht

Quick takes

  • USAID launched a new policy framework identifying five agency priorities: conflict and food insecurity, climate change, corruption, health care systems, and barriers to inclusive growth and equitable opportunity. The framework calls for embracing new partnerships, including with the private sector, and investing in USAID’s enduring effectiveness.
  • In March 23 remarks at the Center for Strategic and International Studies, outgoing World Bank President David Malpass warned about increasing shortfalls of funds for education, nutrition, health care, and debt service in developing countries and outlined new approaches to increasing capital flows.
  • Among other conclusions, the 2023 Economic Report of the President argued that policies must balance the benefits of economic ties with the risks to economic and national security such ties can entail.  
  • Commerce released proposed national security guardrails that bar recipients of CHIPS Act funding from expanding or partnering with entities in China; Treasury released related guidance on CHIPS tax credits. 
  • In a Technical Advisory Committee meeting, Commerce warned that U.S. interagency authorities are ramping up enforcement on Russia export controls and financial sanctions. Early investigation targets reportedly include Credit Suisse, UBS, and multiple other U.S. banks for violations of financial sanctions.

NOTICES, BILLS & HEARINGS

Federal Register Notices

Newly Introduced Legislation

House

  • H.R.1635 (Kiggans, R-VA) Would increase higher education funding for the Philippines.
  • H.R. 1704 (Green, R-TN) Would reduce dependence on Chinese manufacturing. 
  • H.R. 1676 (Green, R-TN) Would allow expensing of money paid to move business property from China to the United States.
  • H.R. 1755 (Kelly, R-MS) Would extend normal trade relations treatment to products of Uzbekistan.
  • H.R. 1714 (Mast, R-FL) Would prevent the provision of social media services to individuals and entities on the Specially Designated Nationals List as well as given individuals and entities from China.

Senate

  • S.970 (Wicker, R-MS) Would create a China Economic Data Coordination Center within the Department of Commerce’s Bureau of Economic Analysis.
  • S.968 (Scott, R-FL) Would prohibit the importation of solar panels built in China.
  • S.958 (Lankford, R-OK) Would modify the Trade Act of 1974’s annual reporting requirements to include an analysis of national security and defense impacts.
  • S.947 (Kennedy, R-LA) Would lower energy costs by increasing energy production and exports. 
  • S.929 (Booker, D-NJ) Would allow federal foreign assistance funds to be used for comprehensive reproductive healthcare services.
  • S.908 (Barrasso, R-WY) Opposes China’s receipt of assistance from multilateral development banks.
  • S.906 (Hawley, R-MO) Would withdraw normal trade relations treatment from Chinese-made goods.

Upcoming Congressional Hearings

House

Senate

WHO’S WHO

Arrivals

  • Mr. Bill Busis, Deputy Assistant USTR for Monitoring and Enforcement
  • Ms. Emily Mendrala, NSC Coordinator for the Southwest Border and Senior Advisor on Migration
  • Mr. Eric Van Nostrand, Acting Assistant Secretary of Treasury for Economic Policy
  • Ambassador Kevin Rudd, Australian Ambassador to the United States 
  • Ms. Lisa Rosen, World Bank Vice President for Ethics and Internal Justice
  • Mr. Nicholas Berliner, NSC Senior Director for Russia and Central Asia

Departures

  • Dr. Karen Donfried, Assistant Secretary of State for European and Eurasian Affairs

Want more scoops on personnel moves? Find the most recent Who’s Who here.

UPCOMING EVENTS

  • Cuban Parliamentary Elections, March 26
  • Vice President Harris travels to Ghana, Tanzania, and Zambia, March 26-April 1
  • Congress is in session, March 27-31
  • Summit for Democracy (Virtual), March 28-30
  • G20 Trade & Investment Working Group (Mumbai), March 29-30
  • Taiwanese President Tsai “transits” in New York City, March 30

Looking farther ahead? Find the most recent full international events calendar here.

Alix Hess
In

International Issues Update

ON OUR DESKS

  • Briefing client executives on trends in export controls and China derisking 
  • Coordinating interagency outreach on China Section 301 tariffs
  • Analyzing the impact of the Canadian clean fuel standard

These are just examples of client service. How can we help you? Email any IBC counsellor for assistance or consult our issues list to find the expert you’re looking for.

WIBC DISCUSSIONS

Upcoming WIBC events:

  • March 28: Deputy Assistant Secretary of State for North America Rachel Poynter, North American political and economic cooperation

IMPORTANT:   Please see our new website at redflag.global/washington, where you can also access our client portal.  We have updated client portal access passcodes for the new website. Contact Alix Hess for access information.

WIBC discussions are open to WIBC members only. Not a member? Contact Alix for membership inquiries.

YOU NEED TO KNOW

Indo-Pacific

President Biden hosted UK Prime Minister Rishi Sunak and Australian Prime Minister Anthony Albanese on March 13 in San Diego to announce the details of the AUKUS agreement on security cooperation and defense procurement. The AUKUS agreement provides for the transfer of nuclear-powered submarine propulsion technology to Australia, as well as cooperation on a variety of shared security challenges. The United States will transfer Virginia class nuclear submarines in 2030, followed by the later joint construction of a new class of submarines termed SSN-AUKUS. 

China and Russia both denounced the agreement as risking nuclear proliferation. The agreement contains no provisions for the transfer of nuclear arms and the International Atomic Energy Agency has confirmed that it is in alignment with the Treaty on the Non-Proliferation of Nuclear Weapons, provided certain safeguards are observed. The agreement comes as Chinese President Xi Jinping plans to travel to Moscow next week to meet with President Vladimir Putin. The agenda for the meeting has not been announced but may feature enhanced security cooperation. 

Japan and South Korea’s leaders met in Tokyo together for a bilateral summit on March 16-17, the first time a South Korean president has visited Japan in 12 years. The two leaders agreed to resume regular dialogues and to remove export controls and other trade restrictions put in place in 2019. The rapprochement between two major allies could lead to enhanced trilateral cooperation with the United States.  South Korean President Yoon Suk Yeol is set to visit Washington for a state visit on April 26. 

Contact: Pat Sheehy, Ethan Knecht

Latin America

The State Department emphasized cooperation with Brazil to counter Chinese influence in Latin America during a Senate Foreign Relations Committee hearing on March 15. Assistant Secretary of State for Western Hemisphere Affairs Brian Nichols and Deputy Special Envoy for Climate Richard Duke focused on efforts to counteract malign foreign influence, facilitate trade, respond to climate change, and improve the strength of Brazil’s democracy.  A State Department spokesperson commented that the Biden administration would like Brazil to join the U.S.-led Americas Partnership for Economic Prosperity (APEP) negotiation, remarking that the economic initiative without Brazil would be considered “incomplete”.  

The hearing comes in advance of Under Secretary of State Jose Fernandez’s trip to Colombia, Panama, and Brazil next week, where he is expected to discuss “cooperation in clean energy, health, resilient supply chains, sustainable agriculture, labor, and environmental protection” with Brazilian counterparts. Nichols also mentioned U.S. plans to explore a critical mineral partnership with Brazil during the visit. Finance Committee Chair Robert Menendez (D-NJ) is planning a congressional delegation visit to the region in April. 

Contact: Chris Benscher, Ethan Knecht

Plastics

The United States has joined a WTO Dialogue on Plastics Pollution and Environmentally Sustainable Plastics as a co-sponsor.   The Dialogue, which held a meeting on March 13, aims to develop a set of policy recommendations to reduce plastics pollution and encourage the adoption of substitute re-use models and sustainable solutions to harmful plastic products.  This initiative coincides with the UN Environment Programme’s (UNEP) negotiation to establish an international legally binding instrument on plastic pollution.   The Dialogue intends to produce outcomes for the WTO’s 13th Ministerial Conference (MC13) in February 2024.  The next meeting of the Dialogue is scheduled for April 27, which will include a joint workshop with UNEP on reducing the use of harmful plastic products.

At a special session of the WTO’s Committee on Technical Barriers to Trade (TBT) on March 7, WTO members shared best practices on the regulation of plastics.  While discussing national and regional perspectives, the session also addressed international developments to minimize plastics pollution and plastics waste in the environment.  The TBT Committee also held a thematic session on regulatory cooperation between members on climate change, which highlighted the importance of harmonization of regulations and ensuring effective participation of developing countries in international standard-setting processes in the area of trade and climate change.

Contact: Stephen Ziehm

Quick takes

  • The Department of Defense announced the creation of a new Joint Production Accelerator Cell within its procurement office dedicated to rapidly expanding arms production when needed, drawing on lessons from supplying arms to Ukraine.  
  • The European Commission announced new proposals to advance European competitiveness in the clean-energy transition, including a Net-Zero Industry Act and a Critical Raw Materials Act.  The proposals aim to scale up the EU manufacture of key carbon neutral technologies and to ensure secure, sustainable and competitive supply chains.
  • Ahead of a possible early harvest agreement in the negotiation of the U.S.-Taiwan Initiative on 21st Century Trade, USTR issued summaries of proposals tabled on the topics of customs administration and trade facilitation, good regulatory practices, services domestic regulation, anticorruption, and small- and medium-sized enterprises.
  • Honduran President Xiomara Castro announced that the country would seek to establish diplomatic relations with Beijing and no longer recognize Taiwan. The announcement comes in advance of Taiwan President Tsai Ing-wen’s trip to Guatemala and Belize later this month, when she is expected to have a layover in the United States to meet House Speaker Kevin McCarthy and deliver a speech in New York. 
  • The International Criminal Court issued an arrest warrant for Russian President Vladimir Putin on March 17, on the grounds that he bears individual criminal responsibility for the abduction and deportation of Ukrainian children to Russia. Russia has publicized these abductions, characterizing them as patriotic adoptions of abandoned children. The action follows a March 16 report by a UN commission of inquiry, which determined that none of the deportations were justified under international law.
  • The Department of Homeland Security (DHS) hosted a Forced Labor Technical Expo on March 14-15, announcing new efforts to aid in compliance with the Uyghur Forced Labor Prevention Act (UFLPA), including a dashboard with enforcement statistics. DHS is adopting new procedures to warn importers when they file import paperwork for shipments possibly subject to the law.  Effective March 18, importers will be required to submit the postal code of Chinese manufacturers.

NOTICES, BILLS & HEARINGS

Federal Register Notices

Newly Introduced Legislation

House

  • H.R.1569 (Waltz, R-FL) Would prohibit issuing leases to Chinese affiliated entities. 
  • H.R.1563 (Chip, R-TX) Would prohibit contributions to the UN Human Rights Council.
  • H.R.1546 (Jackson, R-TX) Would prohibit U.S. funding to implement obligations under the World Health Organization’s Global Pandemic Treaty.

Senate

  • S.872 (Cotton, R-AR) Would identify and restrict the influence of foreign social media entities in the United States. 
  • S.864 (Scott, R-FL) Would require the Securities and Exchange Commission to make it mandatory for companies to report the sourcing and due diligence used to avoid selling products utilizing forced labor in Xinjiang, China. 
  • S.863 (King, I-ME) Would establish a temporary commission to develop a whole-of-government China strategy.
  • S.860 (Scott, R-FL) Would require an annual report on U.S. portfolio investments in China.
  • S.852 (Scott, R-FL) Would prohibit security investments that finance certain Chinese companies and expand OFAC’s Chinese companies list. 
  • S.831 (Merkley, D-OR) Would better address transnational repression by foreign governments against private individuals. 
  • S.826 (Manchin, D-WV) Would facilitate the development of a whole-of-government strategy for nuclear cooperation and nuclear exports.
  • S.814 (Durbin, D-IL) Would encourage a visa waiver program for Romania.
  • S.770 (Blackburn, R-TN) Would provide for loans and leases of defense articles for Taiwan.
  • S.768 (Kennedy, R-LA) Would require higher education institutions to disclose ties to the Chinese government.

Upcoming Congressional Hearings

House

Senate

WHO’S WHO

Arrivals

  • Mr. Brendan Owens, Assistant Secretary of Defense for Energy, Installations and Environment
  • Mr. Brent Neiman, Deputy Under Secretary of the Treasury for International Affairs
  • Ambassador Eric Garcetti, U.S. Ambassador to India
  • Ms. Erin Simpson, Executive Director of the DOD Joint Production Acceleration Cell
  • Ambassador Laurent Billi, French Ambassador to the United States
  • Mr. Steven Benjamin, White House Senior Advisor For Public Engagement

Departures

  • Mr. Gerry Petrella, Policy Director to the Senate Majority Leader
  • Mr. James Miller, NSC Coordinator for AUKUS

Want more scoops on personnel moves? Find the most recent Who’s Who here.

UPCOMING EVENTS

Looking farther ahead? Find the most recent full international events calendar here.

Alix Hess
In

International Issues Update

ON OUR DESKS

  • Advising on climate change policies and events
  • Advancing client priorities in the U.S.-Taiwan Initiative on 21st-Century Trade
  • Assessing negotiations on the Global Arrangement on Sustainable Steel and Aluminum

These are just examples of client service. How can we help you? Email any IBC counsellor for assistance or consult our issues list to find the expert you’re looking for.

WIBC DISCUSSIONS

In case you missed it:

  • March 7: Assistant USTR for Small Business, Market Access, and Industrial Competitiveness Sushan Demirjian, Global Arrangement on Steel and Aluminum, the Inflation Reduction Act, and supply chain issues

Upcoming WIBC events:

  • March 21: Special Representative for Subnational Diplomacy Ambassador Nina Hachigian, Subnational economic diplomacy and the upcoming Cities Summit of the Americas
  • March 28: Deputy Assistant Secretary of State for North America Rachel Poynter, North American political and economic cooperation

IMPORTANT:   Please see our new website at redflag.global/washington, where you can also access our client portal.  We have updated client portal access passcodes for the new website. Contact Alix Hess for access information.

WIBC discussions are open to WIBC members only. Not a member? Contact Alix for membership inquiries.

YOU NEED TO KNOW


China

The opening sessions of the annual National People’s Congress and Chinese People’s Political Consultative Conference were held this week. These sessions officially set the state leadership roles following last fall’s CCP Congress and provide insight into the policy priorities and preferences of the CCP’s leadership. 

Rising tensions between China and the United States were prominent during the meetings. President Xi notably warned that the United States was seeking “all-round containment, encirclement and suppression against” China, while the new Foreign Minister Qin Gang remarked that “there will surely be conflict and confrontation… [and] catastrophic consequences” if the United States maintains its current Taiwan and China policies. However, outgoing Premier Li Keqiang softened his government’s rhetoric regarding Taiwan in his report, highlighting cultural and economic engagement rather than conflict in managing future relations with the ROC. 

Following several years of curtailing the autonomy of private industry, President Xi sought to strike a more welcoming tone towards private sector investment in his remarks. Xi stressed that China will continue to pursue advanced manufacturing, despite U.S. opposition, calling the sector “critical” and noting “we can’t rely on international markets to save us.” China additionally announced a 5% growth target for the coming year. This relatively modest figure may reflect an anticipation of potential economic headwinds, including high levels of municipal government debt limiting infrastructure spending. 

The State Council also announced major reorganizations of the science, technology, and finance regulators to improve the country’s science and technology competitiveness.

Contact: Ethan Knecht, Pat Sheehy

Europe

President Biden was scheduled to meet with European Commission President Ursula Von der Leyen at the White House on March 10.  The two are reportedly set to address European concerns over the Inflation Reduction Act’s (IRA) electric vehicle tax credits through an announcement on critical minerals supply chains.  The two leaders are also expected to confer over support for Ukraine and address challenges posed by the People’s Republic of China. Senate Finance Committee leaders sent a letter this week calling on President Biden to address EU digital trade policies. 

On March 9, the European Commission announced a relaxation of rules against state aid to promote the development of green technologies.  This decision allows EU Member States to further support measures needed for the transition towards a net-zero industry, such as schemes for accelerating the rollout of renewable energy and energy storage and for the decarbonisation of industrial production processes, which Member States may now set up until December 31, 2025.

Contact: Stephen Ziehm

Latin America

Both the United States and Canada requested formal USMCA technical consultations with Mexico on its agricultural biotechnology policies, specifically import restrictions on genetically modified corn. Agriculture Secretary Vilsack also issued a statement warning that the United States. would “pursue all necessary steps to enforce our rights under the USMCA to ensure that U.S. producers and exporters have full and fair access to the Mexican market.” In response, Mexico’s Economy Ministry defended its policy, arguing it aligned with USMCA’s requirements.

U.S. Trade Representative Tai announced that the United States and Brazil would revitalize their Agreement on Trade and Economic Partnership (ATEC) while traveling to Brazil on March 7-9. The two sides also announced they will likely hold an ATEC meeting later this year, discussed WTO reform, and stated that their technical teams would develop a work program on resilient supply chains, clean technology investment, labor, and “shared prosperity.”  Brazil is not a participant in the Americas Partnership for Economic Prosperity (APEP) negotiation the United States has launched with trading partners in Latin America.

Contact: Stephen Ziehm, Ethan Knecht

Quick takes

  • Saudi Arabia and Iran announced a restoration of diplomatic relations in an agreement brokered by the People’s Republic of China.
  • USAID released a new Acquisition and Assistance (A&A) Strategy which aims to streamline the application and review process for humanitarian assistance. 
  • President Biden released his 2023 Budget on March 8. The White House issued a fact sheet detailing the budget’s funding for strategic competition with China and Russia and another detailing energy and climate priorities. 
  • Twelve Senators introduced legislation that would allow the Department of Commerce to establish a ‘comprehensive process’ to ban TikTok and other Chinese ICT platforms and products. The White House issued a statement of support for the bill. 
  • During a visit to New Delhi, Secretary of Commerce Gina Raimondo launched a Strategic Trade Dialogue with India which “will address export controls, explore ways of enhancing high tech commerce, and facilitate technology transfer between the two countries.”
  • The Director of National Intelligence (DNI) released the U.S. Intelligence Community’s Annual Threat Assessment, highlighting risks related to China, Russia, and regional powers and the security implications of transnational challenges such as climate change and health.

NOTICES, BILLS & HEARINGS

Federal Register Notices

Newly Introduced Legislation

House

  • H.R.1519 (Smith, R-NJ) Provides support to victims of foreign state misrepresentation to the World Health Organization.
  • H.R.1481 (Arrington, R-TX) Would limit the President’s authority to restrict crude oil exports through licensing requirements 
  • H.R.1471 (Omar, D-MN) Would encourage sanctions against foreign countries who violate human rights laws. 
  • H.R.1448 (Feenstra, R-IA) Prohibits investments by foreign adversaries in U.S. real estate suitable for renewable energy or renewable fuels production.
  • H.R.1433 (Wild, D-PA) Would suspend security assistance to the Philippines until certain military and police force reforms are made. 
  • H.R.1377 (Walberg, R-MI) Would increase U.S. representation in communications standards-setting bodies.
  • H.R.1368 (Schiff, D-CA) Would impose sanctions against China if they sell arms to Russia.
  • H.R.1357 (Meuser, R-PA) Would increase congressional oversight of Russia related sanctions.

Senate

  • S.770 (Blackburn, R-TN) Would provide defense article loans and leases for Taiwan.
  • S.763 (Barrasso, R-WY) Would prohibit low-enriched uranium imports from Russia.
  • S.686 (Warner, D-VA) Would authorize the Department of Commerce to review and prohibit certain telecommunication transactions between U.S. and foreign adversaries.
  • S.684 (Hawley, R-MO) Would prohibit land purchase by foreign entities. 
  • S.682 (Menendez, D-NJ) Would give diplomatic status to the ASEAN Secretariat.

Upcoming Congressional Hearings

Senate

WHO’S WHO

Arrivals

  • Mr. Chris Slevin, Chief of Staff to the Secretary of Commerce
  • Ms. Jane Rhee, Chief of Staff to the DFC CEO and President
  • Ms. Jennifer McClellan, Member of the House of Representatives (D-VA)
  • Ms. Kendee Yamaguch, Deputy Assistant Secretary of Commerce for the U.S. Field
  • Mr. Salim Bhabhrawala, Department of Energy Director for Manufacturing and Energy Supply Chains

Want more scoops on personnel moves? Find the most recent Who’s Who here.

UPCOMING EVENTS

  • Eurogroup Ministers (Brussels), March 13
  • Senate is in session, House in recess, March 13-17
  • IPEF negotiations (Bali), March 13-19 
  • International Labor Organization Governing Body, March 13-23
  • EU Economic and Financial Affairs Council (Brussels), March 14
  • EU Environment Council (Brussels), March 16
  • Annual Meeting of the Inter-American Development Bank Governors (Panama), March 16-19

Looking farther ahead? Find the most recent full international events calendar here.

Alix Hess
In

International Issues Update

ON OUR DESKS

  • Advising clients on engagement opportunities during the U.S. APEC host year
  • Assessing Congressional trade priorities and pending trade program renewals
  • Reporting on dumping and countervailing duties determinations
  • Developing client positions on international food safety standards

These are just examples of client service. How can we help you? Email any IBC counsellor for assistance or consult our issues list to find the expert you’re looking for.

WIBC DISCUSSIONS

In case you missed it-test:

  • March 1: Deputy Assistant USTR for China Affairs Timothy Wineland, U.S.-Taiwan Initiative on 21st-Century Trade Priorities

Upcoming WIBC events:

  • March 7: Assistant USTR for Small Business, Market Access, and Industrial Competitiveness Sushan Demirjian, Global Arrangement on Steel and Aluminum, the Inflation Reduction Act, and supply chain issues
  • March 21: Special Representative for Subnational Diplomacy Ambassador Nina Hachigian, Subnational economic diplomacy and the upcoming Cities Summit of the Americas

WIBC discussions are open to WIBC members only. Not a member? Contact Alix for membership inquiries.

YOU NEED TO KNOW

China 

During the February 28 first hearing convened by the House Select Committee on the Strategic Competition, topics covered included Taiwan, trade, human rights, and more. China’s Foreign Ministry criticized the Committee as displaying “ideological bias and zero-sum Cold War mentality.”  In Washington, the Committee was praised for exhibiting rare bipartisanship. 

Other Congressional action on China included a House Science Committee hearing on the need to increase research to out compete China. The House Foreign Affairs Committee held a February 28 hearing on China policy with administration witnesses and approved legislation to remove China’s developing country status and other bills focused on discouraging China’s malign behavior. The House Financial Services Committee approved legislation that would distance financial institutions from China and require China’s removal from the G20 and other global organizations if they threaten Taiwan. Some on the Committee, including ranking member Maxine Waters (D-CA) pushed for more modest measures while calling for Congress to make progress on issues that could overall weaken the U.S. economy like the debt ceiling.

Meanwhile, the Biden Administration’s assessment of China’s membership in the World Trade Organization concluded that China’s continuing state-led economic and trade approach “runs counter to the open, market-oriented principles endorsed by all members of the organization.”

Contact: Chris Benscher, Pat Sheehy

Russia and Eurasia

G20 foreign ministers – including U.S. Secretary of State Antony Blinken, Russia’s Sergei Lavrov, and China’s Qin Gang – convened March 2 in Delhi. The meeting marked Secretary Blinken and Minister Lavrov’s first in-person engagement since the start of the war. 

G20 President India had aimed to focus on issues affecting developing countries, but the agenda was overtaken by debate on the war in Ukraine and did not reach consensus on a ministers declaration. “The Quad” (India, Japan, Australia, and the United States) instead issued a joint statement affirming their commitment to a free and open Indo-Pacific. 

Prior to the G20 ministerial, Secretary Blinken traveled to Kazakhstan and Uzbekistan in an effort to offset Russia’s influence in Central Asia. He thanked Central Asian nations for their adherence to U.S. sanctions and export controls on Russia and emphasized the United States’ continued support for the sovereignty and development of post-Soviet states. 

In a March 3 White House meeting, President Biden and German Chancellor Olaf Sholz got “in the weeds” on Ukraine, with Sholz reaffirming Germany will support Ukraine for “as long as it takes.” 

Separately, Commerce, Treasury, and Justice released on March 1 a joint advisory on sanction compliance, detailing common diversion and sanctions evasion schemes.

Contact: Pat Sheehy

Trade

USTR released on March 1 its 2023 Trade Policy Agenda and 2022 Annual Report, citing the Indo-Pacific Economic Framework for Prosperity (IPEF) and the Americas Partnership for Economic Prosperity (APEP) as top priorities.  

The Trade Policy Agenda reiterates the Biden administration’s emphasis on a “worker-centered trade policy,” highlighting labor enforcement under the USMCA’s rapid response mechanism (RRM). In the context of re-aligning the U.S.-China trade relationship, the agenda indicates a continued focus on China’s forced labor and non-market economic policies, while noting that USTR will continue a targeted tariff exclusions process for Section 301 actions to ensure that U.S. economic interests are being served.

House Ways and Means Committee Chairman Jason Smith (R-MO) released the committee’s trade priorities, which include focus on trade negotiations, enforcement (USMCA in particular), China (intellectual property, trade remedies), implementation of all existing trade agreements, trade preferences (the Miscellaneous Tariff Bill, the Generalized System of Preferences, the African Growth and Opportunity Act, and duty-free treatment for Haiti), forced labor, and customs reauthorization. 

Contact: Steve Ziehm, Chris Benscher

 

Quick takes

  • The United Kingdom and the European Union reached agreement to resolve Brexit-related differences over the Northern Ireland Protocol.
  • The White House announced appointments to the President’s Export Council, which has been inactive since 2016.
  • President Biden suggested he may veto legislation passed by both chambers of Congress that would block implementation of a Labor Department rule allowing retirement plans to consider climate factors in their investment decisions. 
  • Mexican President Andres Manuel Lopez Obrador announced a virtual summit to be held April 5 with Argentina, Bolivia, Brazil, Colombia, Chile, Cuba, and Honduras to develop a regional plan to tackle inflation by eliminating tariffs on agriculture and other goods. Ecuador and Costa Rica also signed a Free Trade Agreement earlier this week.
  • The White House released on March 2 a new National Cybersecurity Strategy, seeking to shift  responsibility for cybersecurity from individual users and small organizations to large entities through new sectoral cybersecurity requirements and increased federal assistance.

NOTICES, BILLS & HEARINGS

Federal Register Notices

Newly Introduced Legislation

House

  • H.R.1330 (Steel, D-CA) Would provide defense article loans and leases to Taiwan.
  • H.R.1324 (Pfluger, R-TX) Would require the Administration to assess using existing sanctions criteria whether Chinese entities should be sanctioned. 
  • H.R.1254 (Morelle, D-NY) Would direct the President to build support among countries who have frozen Russian central bank assets to use them for the reconstruction of Ukraine.
  • H.R.1176 (Connolly, D-VA) Would require the United States to oppose China’s attempts to undermine Taiwan initiatives in international organizations. 
  • H.R.1171 (Banks, R-IN) Would impose sanctions on the government of China.
  • H.R.1161 (Waters, D-CA) Would align SEC regulations for the World Bank’s International Development Association Act.
  • H.R.1159 (Wagner, R-MO) Would require updated reports relating to the Department of State’s Taiwan Guidelines.
  • H.R.1157 (Barr, R-KY) Would create a fund to counter PRC’s malign influence.
  • H.R.1156 (Spanberger, D-VA) Would mitigate financial threats from China.
  • H.R.1151 (Meeks, D-NY) Would hold China accountable for violating U.S. airspace.

Senate

  • S.653 (Klobuchar, D-MN) Would lift the trade embargo on Cuba.
  • S.629 (Coons, D-DE) Would provide the President with authority to enter into a comprehensive trade agreement with the United Kingdom.
  • S.591/ S.588 (Rubio, R-FL) Would sanction China in response to certain activities in the South China Sea and East China Sea/ Would sanction China for the failure to allow an investigation into the origins of COVID-19. 
  • S.587/S.586 (Rubio, R-FL) Would sanction non-U.S. persons for negligent creation of space debris/Would limit U.S.-China military-to-military exchanges and remove the exception for search and rescue and humanitarian operations.
  • S.585 (Rubio, R-FL) Would require the Administration to assess using existing sanctions criteria whether Chinese entities should be sanctioned. 
  • S.584 (Rubio, R-FL) Would reauthorize the North Korea Human Rights Act of 2004.
  • S.580 (Rubio, R-FL) Would provide greater scrutiny of visas for Chinese Communist Party members. 
  • S.552 (Rubio, R-FL) Would extend duty-free treatment to imports from Haiti.
  • S.548 (Barrasso, R-WY) Would enhance U.S. security and its allies.
  • S.538 (Rubio, R-FL)  Would prohibit the removal of Cuba from the list of state sponsors of terrorism until Cuba satisfies certain conditions.
  • S.536 (Daines, R-MT) Would authorize the confiscation of Russian assets to offset the U.S. cost of assistance to Ukraine.

Upcoming Congressional Hearings

House

Senate

WHO’S WHO

Arrivals

  • Mr. James Schindler, Senate Commerce Committee Republican Counsel
  • Mr. Landon Heid, House Select Committee on China Technology Policy Professional Staff Member
  • Ms. Laura Rosenberger, American Institute in Taiwan Chair 
  • Mr. Laurent Billi, French Ambassador to the United States
  • Mr. Mark Ein, President’s Export Council Chair
  • Mr. Rodrigo Valdés, IMF Western Hemisphere Department Director
  • Ms. Zephranie Buetow, Assistant DHS Secretary for Legislative Affairs

Departures

  • Mr. Eric Green, NSC Senior Director for Russia and Central Asia

Want more scoops on personnel moves? Find the most recent Who’s Who here.

UPCOMING EVENTS

  • PRC National People’s Congress and Chinese People’s Political Consultative Conference opening sessions (Beijing), March 4-5
  • U.S. Congress in session, March 6-10
  • ASEAN Senior Officials’ Meeting (Jakarta), March 6-8
  • 35th ASEAN-U.S. Dialogue (Jakarta), March 7
  • WTO Trade Policy Review of Turkey, March 8 & 10

Looking farther ahead? Find the most recent full international events calendar here.

Alix Hess
In

International Issues Update

ON OUR DESKS

  • Advising clients on engagement opportunities during the U.S. APEC host year
  • Assessing Congressional trade priorities and pending trade program renewals
  • Reporting on dumping and countervailing duties determinations
  • Developing client positions on international food safety standards

These are just examples of client service. How can we help you? Email any IBC counsellor for assistance or consult our issues list to find the expert you’re looking for.

WIBC DISCUSSIONS

In case you missed it:

  • March 1: Deputy Assistant USTR for China Affairs Timothy Wineland, U.S.-Taiwan Initiative on 21st-Century Trade Priorities

Upcoming WIBC events:

  • March 7: Assistant USTR for Small Business, Market Access, and Industrial Competitiveness Sushan Demirjian, Global Arrangement on Steel and Aluminum, the Inflation Reduction Act, and supply chain issues
  • March 21: Special Representative for Subnational Diplomacy Ambassador Nina Hachigian, Subnational economic diplomacy and the upcoming Cities Summit of the Americas

WIBC discussions are open to WIBC members only. Not a member? Contact Alix for membership inquiries.

YOU NEED TO KNOW

China 

During the February 28 first hearing convened by the House Select Committee on the Strategic Competition, topics covered included Taiwan, trade, human rights, and more. China’s Foreign Ministry criticized the Committee as displaying “ideological bias and zero-sum Cold War mentality.”  In Washington, the Committee was praised for exhibiting rare bipartisanship. 

Other Congressional action on China included a House Science Committee hearing on the need to increase research to out compete China. The House Foreign Affairs Committee held a February 28 hearing on China policy with administration witnesses and approved legislation to remove China’s developing country status and other bills focused on discouraging China’s malign behavior. The House Financial Services Committee approved legislation that would distance financial institutions from China and require China’s removal from the G20 and other global organizations if they threaten Taiwan. Some on the Committee, including ranking member Maxine Waters (D-CA) pushed for more modest measures while calling for Congress to make progress on issues that could overall weaken the U.S. economy like the debt ceiling.

Meanwhile, the Biden Administration’s assessment of China’s membership in the World Trade Organization concluded that China’s continuing state-led economic and trade approach “runs counter to the open, market-oriented principles endorsed by all members of the organization.”

Contact: Chris Benscher, Pat Sheehy

Russia and Eurasia

G20 foreign ministers – including U.S. Secretary of State Antony Blinken, Russia’s Sergei Lavrov, and China’s Qin Gang – convened March 2 in Delhi. The meeting marked Secretary Blinken and Minister Lavrov’s first in-person engagement since the start of the war. 

G20 President India had aimed to focus on issues affecting developing countries, but the agenda was overtaken by debate on the war in Ukraine and did not reach consensus on a ministers declaration. “The Quad” (India, Japan, Australia, and the United States) instead issued a joint statement affirming their commitment to a free and open Indo-Pacific. 

Prior to the G20 ministerial, Secretary Blinken traveled to Kazakhstan and Uzbekistan in an effort to offset Russia’s influence in Central Asia. He thanked Central Asian nations for their adherence to U.S. sanctions and export controls on Russia and emphasized the United States’ continued support for the sovereignty and development of post-Soviet states. 

In a March 3 White House meeting, President Biden and German Chancellor Olaf Sholz got “in the weeds” on Ukraine, with Sholz reaffirming Germany will support Ukraine for “as long as it takes.” 

Separately, Commerce, Treasury, and Justice released on March 1 a joint advisory on sanction compliance, detailing common diversion and sanctions evasion schemes.

Contact: Pat Sheehy

Trade

USTR released on March 1 its 2023 Trade Policy Agenda and 2022 Annual Report, citing the Indo-Pacific Economic Framework for Prosperity (IPEF) and the Americas Partnership for Economic Prosperity (APEP) as top priorities.  

The Trade Policy Agenda reiterates the Biden administration’s emphasis on a “worker-centered trade policy,” highlighting labor enforcement under the USMCA’s rapid response mechanism (RRM). In the context of re-aligning the U.S.-China trade relationship, the agenda indicates a continued focus on China’s forced labor and non-market economic policies, while noting that USTR will continue a targeted tariff exclusions process for Section 301 actions to ensure that U.S. economic interests are being served.

House Ways and Means Committee Chairman Jason Smith (R-MO) released the committee’s trade priorities, which include focus on trade negotiations, enforcement (USMCA in particular), China (intellectual property, trade remedies), implementation of all existing trade agreements, trade preferences (the Miscellaneous Tariff Bill, the Generalized System of Preferences, the African Growth and Opportunity Act, and duty-free treatment for Haiti), forced labor, and customs reauthorization. 

Contact: Steve Ziehm, Chris Benscher

Quick takes

  • The United Kingdom and the European Union reached agreement to resolve Brexit-related differences over the Northern Ireland Protocol.
  • The White House announced appointments to the President’s Export Council, which has been inactive since 2016.
  • President Biden suggested he may veto legislation passed by both chambers of Congress that would block implementation of a Labor Department rule allowing retirement plans to consider climate factors in their investment decisions. 
  • Mexican President Andres Manuel Lopez Obrador announced a virtual summit to be held April 5 with Argentina, Bolivia, Brazil, Colombia, Chile, Cuba, and Honduras to develop a regional plan to tackle inflation by eliminating tariffs on agriculture and other goods. Ecuador and Costa Rica also signed a Free Trade Agreement earlier this week.
  • The White House released on March 2 a new National Cybersecurity Strategy, seeking to shift  responsibility for cybersecurity from individual users and small organizations to large entities through new sectoral cybersecurity requirements and increased federal assistance.

NOTICES, BILLS & HEARINGS

Federal Register Notices

Newly Introduced Legislation

House

  • H.R.1330 (Steel, D-CA) Would provide defense article loans and leases to Taiwan.
  • H.R.1324 (Pfluger, R-TX) Would require the Administration to assess using existing sanctions criteria whether Chinese entities should be sanctioned. 
  • H.R.1254 (Morelle, D-NY) Would direct the President to build support among countries who have frozen Russian central bank assets to use them for the reconstruction of Ukraine.
  • H.R.1176 (Connolly, D-VA) Would require the United States to oppose China’s attempts to undermine Taiwan initiatives in international organizations. 
  • H.R.1171 (Banks, R-IN) Would impose sanctions on the government of China.
  • H.R.1161 (Waters, D-CA) Would align SEC regulations for the World Bank’s International Development Association Act.
  • H.R.1159 (Wagner, R-MO) Would require updated reports relating to the Department of State’s Taiwan Guidelines.
  • H.R.1157 (Barr, R-KY) Would create a fund to counter PRC’s malign influence.
  • H.R.1156 (Spanberger, D-VA) Would mitigate financial threats from China.
  • H.R.1151 (Meeks, D-NY) Would hold China accountable for violating U.S. airspace.

Senate

  • S.653 (Klobuchar, D-MN) Would lift the trade embargo on Cuba.
  • S.629 (Coons, D-DE) Would provide the President with authority to enter into a comprehensive trade agreement with the United Kingdom.
  • S.591/ S.588 (Rubio, R-FL) Would sanction China in response to certain activities in the South China Sea and East China Sea/ Would sanction China for the failure to allow an investigation into the origins of COVID-19. 
  • S.587/S.586 (Rubio, R-FL) Would sanction non-U.S. persons for negligent creation of space debris/Would limit U.S.-China military-to-military exchanges and remove the exception for search and rescue and humanitarian operations.
  • S.585 (Rubio, R-FL) Would require the Administration to assess using existing sanctions criteria whether Chinese entities should be sanctioned. 
  • S.584 (Rubio, R-FL) Would reauthorize the North Korea Human Rights Act of 2004.
  • S.580 (Rubio, R-FL) Would provide greater scrutiny of visas for Chinese Communist Party members. 
  • S.552 (Rubio, R-FL) Would extend duty-free treatment to imports from Haiti.
  • S.548 (Barrasso, R-WY) Would enhance U.S. security and its allies.
  • S.538 (Rubio, R-FL)  Would prohibit the removal of Cuba from the list of state sponsors of terrorism until Cuba satisfies certain conditions.
  • S.536 (Daines, R-MT) Would authorize the confiscation of Russian assets to offset the U.S. cost of assistance to Ukraine.

Upcoming Congressional Hearings

House

Senate

WHO’S WHO

Arrivals

  • Mr. James Schindler, Senate Commerce Committee Republican Counsel
  • Mr. Landon Heid, House Select Committee on China Technology Policy Professional Staff Member
  • Ms. Laura Rosenberger, American Institute in Taiwan Chair 
  • Mr. Laurent Billi, French Ambassador to the United States
  • Mr. Mark Ein, President’s Export Council Chair
  • Mr. Rodrigo Valdés, IMF Western Hemisphere Department Director
  • Ms. Zephranie Buetow, Assistant DHS Secretary for Legislative Affairs

Departures

  • Mr. Eric Green, NSC Senior Director for Russia and Central Asia

Want more scoops on personnel moves? Find the most recent Who’s Who here.

UPCOMING EVENTS

  • PRC National People’s Congress and Chinese People’s Political Consultative Conference opening sessions (Beijing), March 4-5
  • U.S. Congress in session, March 6-10
  • ASEAN Senior Officials’ Meeting (Jakarta), March 6-8
  • 35th ASEAN-U.S. Dialogue (Jakarta), March 7
  • WTO Trade Policy Review of Turkey, March 8 & 10

Looking farther ahead? Find the most recent full international events calendar here.

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