October 15, 2025—Top Stories:
China’s New Export Controls Spark Brief Trade Skirmish
Treasury Secretary Scott Bessent on Monday said the United States is in talks with China about how to de-escalate a trade war that reignited last week after Beijing announced plans to impose export controls on rare earth magnets used in a variety of high-tech products.
“There has been substantial communications over the weekend,” Bessent said in an interview on Fox Business, adding that more “staff level” talks are expected this week in Washington when Chinese officials are in town for the annual fall meetings of the World Bank and the International Monetary Fund.
Bessent also said he expects President Donald Trump will still meet with Chinese President Xi Jinping in South Korea in late October, just before that country hosts the annual meeting of leaders from the 21 economies in the Asia-Pacific Economic Cooperation.
Last week, the Chinese government announced broad new export controls on rare-earth magnets and their raw materials on grounds of national security. Importers will need a government license to access not only certain rare-earth magnets, but also refined metals and alloys that go into magnets.
President Trump in turn announced 100 percent tariff on Chinese imports — a hefty increase on the current average 55 percent levy on those goods — in a fiery Truth Social post last Friday in which he slammed Beijing’s move to curtail exports of rare earths and related technologies as “absolutely unheard of in International Trade, and a moral disgrace in dealing with other Nations.” Trump said the tariff hike will go into effect Nov. 1 along with unspecified new export curbs on “any and all critical software.”
The Chinese government then came out swinging in response to President Donald Trump’s threat Friday of 100 percent tariffs on China’s imports in response to Beijing’s new export curbs on rare earths. In its first official reaction to that warning, Beijing on Sunday signaled that it will retaliate against any new levies that the Trump administration may impose on Chinese imports.
The Chinese government has come out swinging in response to President Donald Trump’s threat 100 percent tariffs on China’s imports in response to Beijing’s new export curbs on rare earths. In its first official reaction to that warning, Beijing on Sunday signaled that it will retaliate against any new levies that the Trump administration may impose on Chinese imports.
USMCA Review: US Preparatory Steps and Review Timeline
To help AAEI members better understand the USMCA review process, AAEI has put together a simple USMCA review timeline.
The U.S. Trade Representative (USTR) has published a notice before the joint review begins and is soliciting public comment and holding at least one public hearing. USTR must submit a report to Congress by early 2026 (e.g. by January) that assesses how USMCA has functioned and states its position on extension and possible changes. Any changes to the agreement might require congressional approval and/or regulatory changes.
Entry into force
USMCA went into effect on July 1, 2020
Six-year “Joint Review”
By July 1, 2026, the U.S., Mexico, and Canada must convene a joint review of how the agreement is operating, consider any recommendations, and decide whether to extend the agreement.
Term extension / renewal
As part of the 2026 review, each party must confirm (in writing) whether it wants to extend USMCA for another 16 years. If all agree, it continues until 2042.
If no unanimous extension in 2026
The agreement will enter a period of annual reviews (for up to 10 years) to resolve outstanding issues. If no consensus is reached by July 1, 2036, the USMCA would expire.
Subsequent 6-year cycles
If extended in 2026, the next formal joint review would fall in 2032, at which point another decision to extend could be made (i.e. potentially to 2048, etc.).
AAEI is accepting comments on the benefits and challenges of USMCA. Please forward your comments to [email protected].
Four Days Ahead of Ship Docking Fees, USTR Announces Changes
A week after CBP instructed vessel operators how to pay fees under a Section 301 shipping action, and four days before those fees are due, the Office of the U.S. Trade Representative changed the fee structure.
CBP had “strongly encouraged” companies to pay three business days ahead of arrival, “as vessels without proof of payment will be subject to denial of lading or unlading operations,” so some of the fees may have been paid already.
However, the notice, which will not be published in the Federal Register until after the effective date, does allow vessels where fees are changing — LPG and other liquefied gas carriers, and roll-on/roll-off vessels — to defer payment of the fees from Oct. 14 through Dec. 10.
CBP issued and updated CSMS message based on the USTR modifications.
China’s Ministry of Transport announced Friday that it will impose matching fees on the U.S. However, that is expected to have minimal impact because so few U.S.-flagged vessels dock at Chinese ports.
US Close to Trade Deal with Cambodia
U.S. Trade Representative Jamieson Greer welcomed H.E. Sun Chanthol, Deputy Prime Minister of Cambodia to confirm the significant progress made on the U.S.–Cambodia Agreement on Reciprocal Trade. The USTR and Cambodian negotiating teams have been negotiating closely to further our bilateral trade relationship. During the productive meeting, Ambassador Greer underscored President Trump’s commitment to America First Trade Policy, including ensuring that American workers and businesses have a level playing field on which to compete and addressing the harmful U.S. trade deficit.
Cambodia is a major supplier of textiles and apparel to the U.S. The Trump administration has been eager to find new markets for U.S. agricultural goods to make up for rapidly falling exports to China. Greer said late last month he hoped to wrap up trade negotiations “with a lot” of Southeast Asian countries by the APEC meeting in South Korea at the end of the month. That group includes Vietnam, the Philippines, Malaysia and Thailand, in addition to Cambodia.
So far, only one Southeast Asian nation, Indonesia, has released a joint statement with the U.S. outlining details of their “framework” agreement.
AAEI Meets with Saudi EXIM
Many foreign dignitaries are in Washington this week for the International Monetary Fund meetings. AAEI took this opportunity to meet with the Saudi EXIM organization and EXIM Bank CEO H.E. Eng. Saad Alkhalb. Saudi EXIM’s mission is to ensure Saudi exporters and importers have access to new markets. Saudi EXIM also highlights that U.S. companies can leverage Saudi Arabia as a “de-risker” when using Saudi Arabia as a transshipment point to Africa and Asia.
Last year, AAEI signed a cooperation agreement with Saudi EXIM to help facilitate trade between U.S. and Saudi companies. Saudi EXIM invited AAEI to its first annual conference in November. Both organizations agreed to work on a trade mission in the first quarter of 2026, where a group of Saudi companies would visit the United States. If your company is currently doing business in Saudi Arabia or is interested in growing its business in Saudi Arabia, please send your feedback to [email protected].
AAEI Welcomes New Membership Manager
This week, Abigail Bayer joins AAEI as its new Membership Manager, replacing Nandini Tivakaran. Abi is known throughout the association world as an association professional who leverages a background in marketing and communications to drive member engagement and growth. She excels at developing and executing strategic campaigns that blend digital marketing, automation, and personalization to attract, engage, and retain members.
An accomplished volunteer leader within the association community, Abi earned her Certified Association Executive (CAE) credential in 2022, holds a Diversity, Equity, and Inclusion in the Workplace Certificate from the University of South Florida, and was recognized with the Executive Rising Star Award for her significant contributions to the industry from the Florida Society of Association Executives.
Let’s all welcome Abi to AAEI. She can be reached at [email protected].
AAEI Industry Insight: Embedding "Reasonable Care" in U.S. Trade Compliance: A Practical Guide for Business
In U.S. trade compliance, “reasonable care” is more than a legal expectation—it’s a business commitment. AAEI’s latest article, written by Gil Armstrong of GNA Trade Consultants LLC, offers practical guidance on how companies can define, communicate, and embed reasonable care across all levels of the organization.
