ON OUR DESKS
- Assisting with USG outreach on technology supply chains and competitiveness
- Advising on business impacts of defense appropriations legislation
- Monitoring USMCA rules of origin hearing
How can we help you? Email any IBC counsellor for assistance or consult our issues list to find the expert you’re looking for.
In case you missed it:
- WIBC meetings are on summer break for August and will return in September
Up next: Register for upcoming WIBC discussions here
WIBC discussions are open to WIBC members only. Not a member? Contact Christina for membership inquiries.
YOU NEED TO KNOW
The Senate and House passed July 27 and 28, respectively, a slimmed down semiconductor bill (the CHIPS and Science Act of 2022), providing $280 billion dollars in subsidies to boost manufacturing and supply chains. The bill excludes trade provisions that had been in the original Senate (the U.S. Innovation and Competition Act) or House (America COMPETES Act) versions. President Biden is expected to sign the bill into law on Friday or over the weekend.
Unexpectedly reaching compromise on other administration priorities, Senate Democratic Leader Chuck Schumer (D-NY) and Senator Joe Manchin (D-WV) struck a deal on budget reconciliation. The compromise bill (the Inflation Reduction Act of 2022) contains climate provisions including a $7,500 electric vehicle consumer tax credit, tax provisions including a 15% domestic minimum tax, and drug price provisions including giving Medicare authority to negotiate drug prices.
If all Democratic senators (notably including Senator Sinema) support it, there is a good chance the bill will move forward, though other hurdles remain before the bill can be voted on by a September 30 deadline – primarily, the “Byrd Bath” test to ensure the bill is germane to budgeting.
Contact: Chris Benscher
President Biden and Chinese President Xi Jinping conducted a two hour bilateral call July 28 and reportedly agreed to an in-person meeting at a mutually agreeable time. The leaders discussed Ukraine, as well as the U.S. commitment to preventing any unilateral change in Taiwan’s status. House Speaker Nancy Pelosi’s reported travel to Taiwan was discussed, but the White House noted any decision rests solely with Speaker Pelosi.
President Biden also conveyed longstanding U.S. economic and trade concerns, but White House officials cautioned against associating the call specifically with any review of the Section 301 tariffs on imports from China. Other topics discussed included health and climate, but the leaders did not discuss caps on Russian energy prices or actions in the South China Sea.
Contact: Pat Sheehy
Indo-Pacific Economic Framework (IPEF)
U.S. Trade Representative Katherine Tai and Secretary of Commerce Gina Raimondo hosted a virtual IPEF ministerial on July 27.
IPEF participants discussed the scope of future engagement on the following pillars: trade; supply chains; clean energy, decarbonization, and infrastructure; and tax and anti-corruption. Partner countries reportedly called for transition periods to ensure binding commitments can be met by all. South Korean Trade Minister Ahn Duk-geun said IPEF partners should provide guidance to companies to help meet tangible accomplishments “to better connect and integrate the Indo-Pacific region.”
The United States is exploring ways to transform cooperation on Russia export controls and sanctions between close allies into a new multilateral regime limiting high tech exports to anti-democratic countries, according to statements by officials from the Bureau of Industry and Security (BIS).
Under Secretary of Commerce Alan Estevez and Deputy Secretary of Commerce Don Graves spoke on the matter during a July 14 Congressional hearing and a July 25 event at the Center for Security and International Studies, respectively. The Administration is exploring the possible membership of such a body to ensure high ambition outcomes and coordinated action.
Contact: Pat Sheehy
- Secretary of State Antony Blinken will travel to Cambodia, the Philippines, South Africa, the Democratic Republic of the Congo, and Rwanda from August 2-12. He will participate in the U.S.-ASEAN Ministerial Meeting, the East Asia Summit Foreign Ministers’ Meeting, and the ASEAN Regional Forum. He will meet with the Philippines’ President Marcos in Manila. Blinken will then fly to South Africa and launch the U.S. Strategy for Sub-Saharan Africa in Pretoria before traveling for bilateral meetings with leaders in the DRC and Rwanda.
- Speaker of the House, Nancy Pelosi (D-CA), is leading a delegation to Japan, South Korea, Malaysia, and Singapore departing on July 29. Speaker Pelosi listed a Taiwan stop as tentative and is likely to cancel it following opposition from the Administration.
- A new Global Food Security Act was introduced in the Senate July 22, reauthorizing for five years the Feed the Future Initiative. A House companion bill is expected soon.
- The United States will host the 2022 Africa Growth and Opportunity Act (AGOA) Ministerial Meeting December 13 in Washington. South Africa will host the 2023 AGOA Forum.
- Secretary of State Antony J. Blinken and Secretary of Commerce Gina M. Raimondo co-hosted the first meeting of the U.S.-Japan Economic Policy Consultative Committee (EPCC) with Japanese Foreign Minister Hayashi Yoshimasa and Minister of Economy, Trade, and Industry Hagiuda Koichi on July 29. Industrial policy, cooperation on advanced technology, and competition with China are expected to feature heavily in the discussion.
- The Department of State released on July 28 its 2022 Investment Climate Statements, summarizing investment climates and detailing key investment barriers in foreign markets (e.g., Chinese restrictions on data and Mexican energy policies.
- The Treasury Department’s Office of Foreign Assets Control (OFAC) imposed sanctions on Russian parties linked to election interference in the U.S. and globally on July 28.
NOTICES, BILLS & HEARINGS
Federal Register Notices
- H.R.8547 (Wittman, R-VA) Prevents the sale of crude oil from the Strategic Petroleum Reserve to certain countries.
- H.R.8544 (Schiff, D-CA) Sanctions Chinese arms sales to Russia.
- H.R.8520 (Wild, D-PA) Requires entities to report the use of certain foreign sourced telecommunications equipment and services.
- H.R.8503 (Manning, D-NC) Requires the development of a worldwide telecommunications infrastructure strategy.
- H.R.8480 (Tenney, R-NY) To prohibit the provision of Federal funds to certain entities subject to sanctions imposed by the United States.
- H.R.8465 (Cohen, D-TN) To designate as democratic allies, the Republic of Georgia, and the Republic of Moldova and Ukraine.
- H.R.8459 (Barr, R-KY) Sanctions foreign persons that engage in certain transactions with Ukrainian property.
- S.4648 (Ossoff, D-GA) Establishes U.S. embassies in the Republic of Vanuatu, the Republic of Kiribati, and the Kingdom of Tonga.
- S.4632 (Risch, R-ID) Promotes economic and commercial opportunities internationally.
- S.4620 (Rubio, R-FL) Sanctions oil and gas shipments or transshipments from Russian to China.
- S.4617 (Menendez, D-NJ) Authorize contributions to international financial institutions..
- S.4615 (Rounds, R-SD) Requires the Secretary of Defense to engage Jordan’s Defense Ministry on military cybersecurity activities.
- S.4600 (Cruz, R-TX) Reimposes terrorism sanctions against Colombia’s FARC.
Upcoming Congressional hearings
- Foreign Relations: Fick Nomination, August 3, 10:00 am
- Foreign Relations: Taiwan Policy, August 3, 2:30 pm
- Camille Stewart Gloster, Deputy National Cyber Director for Technology and Ecosystem Security
- Dominic Ng, Chair of the Asia-Pacific Economic Cooperation (APEC) Business Advisory Council (ABAC)
- 19 new U.S. CEO members were named to the U.S.-India CEO Forum by Commerce Secretary Gina Raimondo
- Samantha Cantrell, Communications Director for Representative David Kustoff (R-TN)
- Taylor Hulsey, Communications Director for Representative Troy Nehls (R-TX)
- Lale Morrison, Chief of Staff for Representative Stephanie Murphy (D-FL)
- Robert Dornbush III, Chief of Staff and Special Assistant to the Press Secretary
- Maxwell Hamilton, NSC Director for North America
- Stephanie Klein, Deputy Assistant Secretary of Energy for Public Engagement
- Paul Rosen, Assistant Secretary of Treasury at Investment Security
- Steven Kelly, NSC Senior Director for Cybersecurity and Emerging Technology
- Shelley Greenspan, NSC Director for Partnerships and Global Engagement
- Derrick Brent, Deputy Undersecretary of Commerce for Intellectual Property, Deputy Director of the U.S. Patent and Trademark Office
- Blake Narendra, Homeland Security Director for Legislative Affairs
- Hugo Yue-Ho Yon, Ambassador to Maldives
- Richard Mills, Jr., Ambassador to Nigeria
- Chanan Weissman, NSC Director for Partnerships and Global Engagement
Want more scoops on personnel moves? Find the most recent Who’s Who here.
- ASEAN Ministerial, July 30-August 6
- U.S. Senate will be in session and the House will be in recess (until Sept 6 committee workweek), August 1-5
Looking farther ahead? Find the most recent full international events calendar here.