Critical Minerals Clampdown, Enforcement Surge, and AI at the Border
NEWSLETTER | Trade Insight AI
BIS Restricts Exports of Black Mass, Tungsten Scrap Until August 2027
STR Trade Report • August 7, 2026
Following a presidential determination, BIS issued a temporary final rule imposing near-total export restrictions on lithium-ion battery “black mass” and tungsten waste/scrap from Aug. 27, 2026 to Aug. 27, 2027, requiring U.S. sellers to allocate 100% of monthly sales to U.S. persons unless granted an exception. CBP may detain covered exports while BIS reviews, and materials must remain in the U.S. absent authorization, though limited relief may be allowed (e.g., for offshore processing with return of resulting material); comments are due Nov. 4 as BIS considers extending similar controls to other critical minerals.
Enforcement & Security Actions
CBP Uncovers $1B in EAPA Duties; 14 Determinations Signal Crackdown
STR Trade Report •August 7, 2026
CBP reports identifying more than $1 billion in additional duties owed under the Enforce and Protect Act—a first in the program’s 10-year history and roughly 300% above its annual average—signaling a sharp escalation in anti-evasion enforcement. Year-to-date, the agency has issued 14 determinations spanning products from solar cells and lumber to pipes, xanthan gum, metal lockers, wooden furniture, and tow-behind lawn groomers, with on-site verifications in Mexico, Thailand, India, New Zealand, and the UK; importers should expect rapid interim measures within 90 days and potential civil or criminal probes if evasion is confirmed.
U.S. Imposes Two-Year Export and Procurement Bans on 22 Entities
STR Trade Report •August 7, 2026
The State Department imposed nonproliferation penalties on 22 entities in Russia, Malaysia, Taiwan, Iran, North Korea, Syria, and China for transfers involving controlled items that could support WMD or missile programs in Iran, Syria, or North Korea. Effective July 24 for two years, actions suspend existing and deny new EAR licenses for exports to these parties, terminate USML/AECA sales, and bar all U.S. government procurement and assistance. U.S. exporters and government contractors should immediately screen for these parties, halt affected transactions, and reassess exposure across supply chains and sales pipelines.
CBP Indianapolis Seizes 96 Counterfeit Luxury Watches from Hong Kong
CBP Media Releases •August 6, 2026
CBP officers at Indianapolis’ express consignment facility seized 96 counterfeit watches on July 30 from a Hong Kong shipment bound for an Ohio residence, with a notional MSRP exceeding $4.5 million; brands included Swatch, Audemars Piguet, and Rolex, and CBP’s Centers of Excellence confirmed the items were inauthentic and infringing recorded trademarks. The seizure underscores heightened scrutiny of express and e-commerce parcels and high-risk categories like watches and jewelry, signaling importers, marketplaces, and logistics providers to tighten supplier vetting, brand recordation checks, and compliance controls.
FCC Weighs Expanded Drone Import Ban; Comments Due Aug. 31
STR Trade Report •August 6, 2026
The FCC is taking comments through Aug. 31 on proposals to broaden Covered List restrictions by adding specified foreign-produced drones, components and white-labeled devices, plus certain communications/video equipment, to the U.S. import and marketing ban. A separate proposal would extend the prohibition to previously authorized military-grade UAS and critical components, effectively closing the current grandfathering exception. Importers and distributors in UAS and surveillance sectors should ready contingency sourcing and inventory plans if these rules are finalized.
Trade Remedies & Tariff Actions
Section 201 TRQ Hits Quartz Surfaces Aug. 15; 50% Above-Quota Tariff
STR Trade Report •August 6, 2026
Effective Aug. 15, 2026, the U.S. will impose a four-year Section 201 tariff-rate quota on quartz surface products, covering slabs and fabricated surfaces such as countertops and tiles (HTSUS 6810.99.0020, 6810.99.0040, 7020.00.6000). Year one allows 13.0 million m² in-quota at 25% duty, allocated quarterly; shipments above quota face 50%, with in-quota rates stepping down and quota volumes rising annually through year four. Exemptions apply to Canada, Mexico, most FTA partners, and eligible developing/CBERA beneficiaries, and USTR may negotiate export-limiting agreements that secure additional country exclusions—importers should re-source and manage quarterly allocations to avoid steep above-quota costs.
AD/CVD Roundup: China Corrosion Inhibitors Continued; Reviews Rescinded
STR Trade Report •August 7, 2026
Sunset reviews found that revoking orders on China chassis and boltless steel shelving would likely see dumping or subsidies recur (up to 188.05% and 12.4% to 80.39%, respectively), while AD/CVD orders on China corrosion inhibitors are formally continued effective Aug. 4. Commerce also rescinded numerous administrative reviews across a wide range of products and countries and instructed CBP to liquidate covered entries at cash-deposit rates. Separately, preliminary 2024 CVD rates for South Korean large-diameter welded pipe were set at 0.27% and 1.0%.
U.S. AD/CVD Roundup: Bed Cover Deposits, R-32 Upheld, Cylinder Probes
STR Trade Report •August 6, 2026
Commerce issued a preliminary affirmative CVD finding on Chinese truck bed covers, triggering new cash deposits of 8.72% to 100.95%, while the ITC opened AD/CVD injury investigations into linear hydraulic cylinders from Canada, China, India, Mexico, and South Korea. The ITC kept the AD order on Chinese R-32 after a sunset review, and Commerce initiated sunset reviews of AD/CVD orders on Chinese seamless carbon and alloy steel pipe; final review margins for German thermal paper were minimal (0% and 0.76%). Importers should prepare for higher costs on bed covers, monitor the cylinder probes and steel pipe reviews that could sustain duties, and note limited exposure on German thermal paper.
UK opens safeguard probe into PET imports; comments due Aug 19
WTO Latest News •August 4, 2026
The United Kingdom notified the WTO on 5 August 2026 that it has launched a safeguard investigation into imports of certain polyethylene terephthalate (PET), with the Trade Remedies Authority (TRA) conducting the case. Interested parties must register and submit comments via the Trade Remedies Service by 23:59 UK time on 19 August 2026 and may request a hearing. If increased PET imports are found to cause serious injury, the UK could impose temporary import restrictions, affecting packaging supply chains and PET exporters to the UK.
CBP Reclassifications Raise Foot Warmer Duties, Cut Medical Array Tariffs
STR Trade Report •August 6, 2026
CBP’s July 29, 2026 Customs Bulletin revokes prior rulings and, effective for entries on or after Sept. 27, reclassifies electric foot warmers, upholstered bed frames, and certain tumor‑treating transducer arrays. Foot warmers move to HTSUS 6307.90.98, increasing duty to 7% from 2.7%; transducer arrays shift to 9018.19.75 and become duty‑free from 2.6%; upholstered bed frames move to 9403.89.60 and remain duty‑free. Importers should update classifications and assess downstream impacts on duty liability and any trade‑remedy applicability tied to HTSUS headings.
Border Operations & Data Policy
CBP OFO unveils 2026–2030 strategy: AI screening, port upgrades
CBP Media Releases •August 6, 2026
CBP’s Office of Field Operations released a 2026–2030 roadmap to strengthen national and economic security by expanding AI-driven targeting, modernizing port infrastructure, integrating systems, and investing in its workforce. Backed by increased funding, the plan aims to speed compliant trade and travel while tightening risk mitigation—critical at OFO’s scale of $3.6 trillion in FY2025 imports and 380 million travelers. Trade stakeholders should anticipate more data-driven enforcement and process updates that impact port operations and compliance programs.
CBP appoints De La O to lead $315B Laredo trade hub
CBP Media Releases •August 6, 2026
CBP named Jennifer De La O director of Field Operations for the Laredo Field Office, its largest operation and a critical U.S.–Mexico gateway. She will oversee nearly 3,500 personnel across eight ports spanning 450 miles that handle 60% of Southwest border truck traffic and 82% of railcars, accounting for more than $315 billion in trade annually. For shippers and brokers, leadership at Laredo—home to the Machinery Center of Excellence and Expertise—could influence enforcement posture and processing efficiency across 18 bridges, eight airports, three rail crossings, and one seaport.
CBP Opens Comment Period on Manifests, ISF, and ACAS Collections
STR Trade Report •August 6, 2026
CBP is seeking public comments on proposed new, revised, or extended information collections spanning cargo declarations and manifests (Forms 1302/1302A/7509/7533), ACAS, container status messages, electronic air/ocean/rail export manifests, FTA-related documentation, importer security filing (ISF 10+2), manifest confidentiality, and vessel stow plans. Carriers, NVOCCs, importers, exporters, and brokers should review the notice and provide input on data elements, filing processes, and estimated burden to help shape future compliance requirements.
Compliance Calendar & Legal Updates
FDA hikes FY 2027 VQIP, reinspection, and certification fees
STR Trade Report •August 7, 2026
FDA set FY 2027 user fees for food imports, raising the Voluntary Qualified Importer Program fee to $9,994, payable by Oct. 1 for eligibility. Reinspection and recall-order noncompliance fees are $354 per hour with domestic travel and $414 per hour with foreign travel, though invoicing may be delayed pending small-business hardship guidance and importer fee collection policies. Fees under the third‑party certification program also increased (e.g., $56,272 initial accreditation applications), affecting VQIP eligibility and import clearance for higher‑risk foods.
WTO to host AI-and-trade summit on policy, costs, inclusion
WTO Latest News •August 2, 2026
On 14 September in Geneva, the WTO will host the inaugural World Trade and Tech Day, bringing together trade and ICT policymakers, industry leaders and other stakeholders to shape practical AI policies for inclusive trade. Discussions will focus on regulatory frameworks, standards, IP, services and supply-chain applications that can cut trade costs and help developing economies integrate into AI value chains. The WTO cites analysis that AI could lift global GDP by 13% and trade by up to 37% by 2040—if governments address uneven adoption, labor disruptions and unequal benefit distribution.
CBP Detroit Trade Day: Cross-Border Updates and 7.5 CE Credits
CBP Media Releases •August 3, 2026
CBP’s Detroit Field Office will host a free Trade Day at Huntington Place on Aug. 12 (8 a.m.–4 p.m.), featuring briefings on import/export programs, current initiatives, and regulatory updates. Attendees can engage directly with CBP, Canadian officials, and partner agencies focused on trade facilitation and enforcement; advance registration closes Aug. 7 (on-site 7:30 a.m.–1:30 p.m.). Licensed customs brokers can earn 7.5 CE credits toward the 20-credit requirement for the Jan. 1, 2025–Jan. 31, 2027 cycle.
CIT Opens Registration for 23rd Judicial Conference; Agenda Available
CIT News •August 4, 2026
The U.S. Court of International Trade has opened registration for its 23rd Judicial Conference, with program details and related information available via the published agenda. Trade counsel, importers, and compliance leaders should review the agenda and register to stay current on court practice and evolving trade litigation trends.
PACER Maintenance Aug. 9 to Disrupt CIT CM/ECF, Payments
CIT News •August 5, 2026
PACER will undergo maintenance Sunday, August 9, 2026, from 6:55 a.m. to 7:00 p.m. ET. Users may experience intermittent issues accessing CM/ECF and completing payments; plan e-filings and fee transactions outside this window to avoid delays.
