February 5, 2025–Top Stories
White House Update
President Trump postponed the implementation of 25% tariffs on imports from Canada and Mexico for 30 days after negotiating with Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum.
Meanwhile, the U.S. imposed a 10% tariff on Chinese goods yesterday, and China responded with 15% retaliatory tariffs on U.S. exports of coal, liquefied natural gas, and more products. These retaliatory tariffs are set to take effect on Monday.
Peter Navarro, Trump’s Senior Counselor for Trade and Manufacturing, says these U.S. tariff actions are “not a trade war,” but rather a drug war. For more information, watch the full POLITICO interview.
AAEI will host two webinars on the new tariffs, scheduled for February 13th and 19th. Register to learn how your company can manage and mitigate the new costs. These webinars are free for AAEI members.
Legislative Update
The Senate Finance Committee will hold a confirmation hearing tomorrow for Jamieson Greer, nominee for U.S. Trade Representative.
Howard Lutnick’s confirmation hearing for Commerce Secretary took place last week, and his nomination has since advanced to a floor vote.
Regulatory Update
U.S. Customs and Border Protection determined today that, in accordance with 19 CFR 145.12(a)(1), formal entry is required for all mail shipments from China, regardless of value.
The U.S. Postal Service and CBP are working closely together to implement an efficient collection mechanism for the new China tariffs to ensure the least disruption to package delivery. This follows the removal of the de minimis exemption for imports valued under $800 from China and of Chinese origin.
Industry Insight
Supply chain managers have been tasked with preparing for President Trump’s new tariff strategy. Thomas Cook of Blue Tiger International shares four risk and cost mitigation solutions.
More Stories to Stay Informed:
- President Trump nominated William Kimmitt and Jeffrey Kessler for key Commerce Department roles to oversee trade policy and export controls on advanced technology. Kimmitt, a Kirkland & Ellis LLP partner, is nominated to lead the International Trade Administration, while Kessler, of WilmerHale, is tapped to head the Bureau of Industry and Security. Both served in the first Trump administration.
- CBP officials were notified today that CBP’s Commercial Customs Operations Advisory Committee (COAC) has resumed full operations. The Federal Register Notice for the March public meeting is expected to be published on Wednesday, February 12th. AAEI is awaiting confirmation on the status of the Trade Support Network (TSN).
