TradeLane

First Sale for Export is a duty mitigation program that is designed to reduce the dutiable value of eligible products imported into the United States. Usually, an importer would pay a higher duty amount based on the value of goods purchased from what is known as the ‘second sale’. This is the transaction between the importer and the middleman (vendor) which usually includes the middleman’s markup. Through the First Sale for Export program, importers are able to declare value on the goods purchased on the ‘first sale’, or the transaction between the middleman and the factory. In declaring First Sale valuation, an importer is able to cut out the middleman markup and to minimize the amount of duty paid when importing goods into the United States.

This duty savings program is especially popular among the textile and apparel industries where commodities have excessive middle man markups and duty rates as high as 32%. With a large potential to save on duty, it logically follows that this industry makes up the majority of the goods declared under the First Sale program.

Remember back in your college days, when you had to stay on top of all your financial aid forms?

Remember how your parents would nag you about CSS and FAFSA every year when the submissions were due?

As a current college student and Tradewin intern, I am no stranger to financial aid deadlines and nagging parents – in fact, I’ve got three years of experience under my belt. Although it’s a pain to keep track of all the forms, it is important to make sure they are all filled out correctly and submitted on time. Otherwise, the College Board (or worse, the federal government!) will make life difficult.

Beginning August 1, 2016, the Department of State’s Directorate of Defense Trade Controls is increasing the maximum amounts of the civil monetary penalties it assesses for violations of the of the Arms Export Control Act and the International Traffic in Arms Regulations (ITAR). 

You may have missed it but on February 24, 2016, H.R. 644 became public law. What is H.R. 644 you ask? It is the Trade Facilitation and Trade Enforcement Act of 2015.

Great. More rules. And largely with a focus on CBP, ICE and the GAO. Snooze.

But for importers there really is some awesome news!

I’m often tasked to speak about some of the trends that I see in global compliance. I’m privileged enough to get to interact on a daily basis with our practice leaders throughout the US, Canada, Europe, Asia, and the South Pacific. This allows for a more global perspective than most. The regulatory landscape is in a state of flux that has been rarely seen during my career, but to narrow it down, here are some of the big hitters that are shaping global compliance.