International Trade Acronyms

Welcome to our weekly list of acronyms used in international trade.  The acronyms found here represent terms used in logistics, imports, exports, government agencies and more.  This week we cover acronyms that start with “D.”    Please feel free to contribute additional acronyms to the list.

DAP	Delivered at Place (Incoterms©)
DAT	Delivered at Terminal (Incoterms©)
DCMA	Defense Contract Management Agency
DCS	Destination Control Statement
DDC	Destination Delivery Charge
DDP	Deliver Duty Paid, Named Place of Destination (Incoterms©)
DDTC	Directorate of Defense Trade Controls
DFARS	Defense Federal Acquisition Regulation Supplement
DHS	Department of Homeland Security
DOC	Department of Commerce
DoD	Department of Defense
DOJ	Department of Justice
DOT	Department of Transportation
DPL	Denied Party List
DR-CAFTA	Dominican Republic-Central America-United States Free Trade Agreement
DTC	Office of Defense Trade Control
DWT	Dead Weight Tonnage

Eau De Prison – A Fragrance for Counterfeiters

Eau De Prison may be the new fragrance three Chinese nationals face after being indicted for trafficking in counterfeit goods and conspiracy. Shaoxia Huang, Shaoxiong Zhou and Shaowu Zhou allegedly imported over 37,000 units of counterfeit perfume bearing trademarks of popular perfume brands and were packaged in a manner that was confusingly similar to the brand name products.

Although the parties are presumed innocent until proven guilty, each party faces up to five years in prison for conspiracy, up to ten years in prison for importing counterfeit products and ordered to pay over $2 million in fines.  The government also requests forfeiture of profits and seizure of the infringing goods.

If convicted, each defendant faces up to five years in prison on the conspiracy charge, up to 10 years in prison on the counterfeit products charge, and fines of up to $2,250,000. The indictment also seeks forfeiture of profits from illicit trafficking in counterfeit goods as well as the seizure of the goods.

As part of the Department of Justice Task Force on Intellectual property, this case is being investigated by U.S. Immigration and Customs Enforcement (ICE).

.

Source:

Department of Justice. (2011, March 23). Chinese counterfeit perfume importers indicted for allegedly trafficking in counterfeit goods. Retrieved from http://www.justice.gov/opa/pr/2011/March/11-crm-359.html

Should Inmates Have An Expectation Of Privacy In Prison Email?

The saga continues for Angela Aguilar, the Mexican woman arrested for alleged violation of the FCPA. Aguilar was arrested in August 2010 and remains in jail without bond. Her husband was also indicted, but he has not been apprehended. Now, it appears that Aguilar’s counsel is trying to get all charges dropped based on misconduct of the government prosecution. Aguilar’s attorney filed a Motion to Dismiss her indictment for Prosecutorial Misconduct.


So, what did the prosecution do that was so bad? The motion alleges that the prosecution violated the attorney-client privileges by intercepting email sent through the correction email system provided for use by inmates. The government also allegedly violated Aguilar’s spousal privilege by monitoring emails and phone conversations between Aguilar and her fugitive husband. These allegations sound bad for the government, but should the entire case against Aguilar be dismissed as a result? Sure, a dismissal would send a big warning to the prosecution that they better play by the rules or risk losing a big case.

Did the government break the rules? There is a piece of information missing and that is the agreement concerning use of the inmate email system. Does the corrections system furnish the equipment and access to the Internet and what do inmates sign before they are allowed to use the Internet. Does the prison system provide internet access similar to the employer/employee relationship where the employee (the inmate in this case) is warned that they should not have any expectation of privacy because the employer (the government in this case) furnishes the equipment and access? Should prisoners have an expectation or a right to privacy for email communications sent from equipment and Internet provided by the government? We may need a little more information, but what do you think?

Export Control News

SNAP-R
The Bureau of Industry and Security reminds the trade that all companies that are registered for SNAP-R must designate an administrator by June 9, 2011. After that date, SNAP-R accounts without a designated administrator will become inactive until the company designates at least one administrator.



Export Conference
The 2011 Update Conference on Export Controls & Policy has been scheduled for July 19 – 21, 2011 in Washington, DC. This conference provides the trade community with an opportunity to discuss current export control issues with U.S. Government officials, network with colleagues and discover various services offered by the exhibitors. Additional information about the conference will be published in late spring. The BIS requests that suggestions of topics for the agenda be submitted to updateconference@bis.doc.gov.

Multiple Choice Question for Cheaters

Your company is faced with having to pay $1.15 million in antidumping duties on plastic bags imported from China.  Which of the following options would you pick?

A.  Don’t import the plastic bags

B.  Pay the $1.15 million

C.  Find a way to import the bags without paying the duties

According to a federal grand jury indictment, Jin Qin Huang and the company he controls, Woncity, Inc., selected Option C.  Huang was indicted for conspiracy, smuggling, making false entries and providing incorrect classifications in his efforts to avoid paying antidumping duties on the imported plastic bags.   Antidumping duties are assessed on plastic bags at a rate of 77.57 percent from China.   

If convicted, Huang and Woncity could face a maximum fine of $250,000 for each of the 10 counts in the indictment and forfeiture of at least $1.15 in antidumping duties.   Huang could fact five years in prison for conspiracy, 20 years for each of the three counts of smuggling and two years for each of the three counts of making false classification of the goods.  Looks like Mr. Huang failed this multiple-choice test and won’t get the opportunity to take it over.

CBP Plays Musical Chairs

In order for CBP’s trade facilitation and enforcement divisions to gain a better understanding of what each other’s responsibilities, CBP’s Commissioner Alan Bersin moved Dan Baldwin, the assistant commissioner for international trade to the new executive director for cargo and conveyance security programs in the Office of Field Operations.   Alan Gina moves from the assistant commissioner for international affairs to the head of the Office of International Trade.

Stunning Export Violations

On February 28^th, the Bureau of Industry & Security (BIS) issued charging letters to two individuals involving the export of stun guns without the appropriate licenses.  Amy Farrow, the owner of Wholesale Discount Store in Pennsylvania, agreed to a two-year export denial order and Sandra Stevens of California agreed to a one-year denial order to settle the charges against her.

International Trade Acronyms

Welcome to our weekly list of acronyms used in international trade.  The acronyms found here represent terms used in logistics, imports, exports, government agencies and more.  This week we review the other half of the acronyms that start with “C.”  Please feel free to contribute additional acronyms to the list.

CIF	Cost, Insurance & Freight, Port of Destination (Incoterms©)
CIP	Carriage & Insurance Paid to, Named Place of Destination (Incoterms©)
CIP	Compliance Improvement Plan
CISG	Convention on Contracts for the International Sale of Goods
CIT	Court of International Trade
CITA	Committee for the Implementation of Textile Agreements
CITES	Convention on International Trade in Endangered Species
COAC	Commercial Operations Advisory Committee
COFC	Container on Flat Car
COGSA	Carriage of Goods by Sea Act
COO	Certificate of Origin
COO	Country of Origin
CPSC	Consumer Product Safety Commission
CPSIA	Consumer Product Safety Improvement Act
CPT	Carriage Paid to, Named Place of Destination (Incoterms©)
CROSS	Customs Rulings Online Search System
CSD	Container Security Device
CSI	Container Security Initiative
CSMS	Cargo Systems Messaging Service
CTP	Clean Truck Program
C-TPAT	Customs Trade Partnership Against Terrorism
CV or CVD	Countervailing Duty
CY	Container Yard

FTA Tug-of-War

Last week, U.S. Trade Representative Ronald Kirk testified before the U.S. Senate Committee on Finance and announced that the U.S.-Korea free trade agreement is ready for consideration by Congress. President Obama would like to see a vote on the agreement this spring. Kirk also provided updates on the Panama and Colombia trade agreements, but apparently, that wasn’t enough for some Republican senators.

Over forty Republican senators issued a letter to Senate Majority Leader Harry Reid that stated they would refuse to approve any of the nominees for trade-related executive branch positions until the Colombia and Panama free trade agreements are submitted for Congressional approval and President Obama commits to signing the implementing legislation into law. Executive positions waiting to be approved include replacements for Commerce Secretary and the head of the Commerce Department’s Import Administration. Nominations for officials currently serving appointments as Customs Commissioner, Deputy U.S. Trade Representative and the Bureau of Industry and Security Chief could also be delayed.

Stay tuned to see which side is winning the FTA Tug-of-War!

CPSC Launches New Database SaferProducts.gov

On Friday March 11, 2011, the U. S. Consumer Product Safety Commission (CPSC) launched the SaferProducts.gov database.  Consumers can submit reports of harm or potential risks and search for safety information on products.  Required by the Consumer Product Safety Improvement Act, the database will be monitored by CPSC, which will review the reports, submit qualifying reports to the manufacturers, review responses by manufacturers and post the report and comments on the website when all requirements have been met. Reports missing required information or that have been found to contain materially inaccurate information will not be posted to the site.

The CPSC has been testing the process since January and has received almost 1500 reports during the testing period.  Manufacturers that sign up on the Business Portal receive a copy of their reports via email.  The reports filed during the test phase will not be made public on the site, but are being processed. The CPSC will continue to accept written, phone and fax reports.    Reports filed via the online portal should be available for review in April.  Until April, only the CPSC’s recall information is searchable in the database.

Click HERE for additional information.

CBP Offers Tips for Spring Break Travel

It’s that time of year where the birds fly north and the college students fly south for spring break.  With the official start of spring break, students from Canada and the U.S. will flock to warmer climates in the U.S. and the Caribbean.  For those of you planning trips to Mexico and other foreign destinations with warmer climates, don’t make a mistake that could ruin your spring break. U.S. Customs and Border Protection posted some helpful tips for travelers planning trips across the border.   

·         Make sure you have proper documents. U.S. and Canadian citizens age 16 and older must present documentation that provides identify and citizenship to enter the U.S. by land or sea. Acceptable documents include a passport, enhanced driver’s license or trusted traveler program card.

·         Anticipate heavy air and land vehicle traffic.  Avoid traveling during peak border crossing times between 7 a.m. and 7 p.m.

·         Expedite Inspection. Do not wrap gifts or consider leaving one end of the box open to facilitate inspection.

·         Avoid contraband.  Avoid bringing fruits, meats and other food products into the U.S. from Canada or Mexico.  Check the “Know Before You Go” tip sheet and other traveler documents for additional information. 

Have a happy, fun and safe spring break!