Enforcement Takes Center Stage: Self-Disclosure Incentives, Origin Crackdowns, and New Tariff Fronts
NEWSLETTER | Trade Insight AI
DOJ unveils department-wide policy rewarding corporate self-disclosure with non-prosecution
STR Trade Report • March 19, 2026
The Justice Department issued its first department-wide corporate enforcement policy (excluding antitrust), aligning the Criminal Division’s 2025 framework and offering declinations when companies promptly self-disclose misconduct, fully cooperate, and remediate, absent aggravating factors. Companies that cooperate and remediate but lack a qualifying voluntary disclosure or face aggravating factors may still receive NPAs with terms under three years, no monitor, and 50-75% off the low end of the U.S. Sentencing Guidelines fine range—an incentive especially relevant as DOJ maintains priorities on trade and customs fraud; otherwise, outcomes remain at prosecutors’ discretion.
Compliance & Controls: Origin, Valuation, and Digital Tools
White House Orders Crackdown on False U.S.-Origin Claims, Marketplace Oversight
STR Trade Report •March 18, 2026
On March 13, President Trump issued an executive order directing the FTC to prioritize enforcement against false “Made in USA” claims and consider rules that could deem online marketplaces’ failure to verify origin as a deceptive practice. The order also pushes agencies to promote voluntary U.S.-origin labeling and requires federal procurement officials to verify claims, remove misrepresented products, and refer violators for False Claims Act actions. Companies selling into the U.S.—especially via marketplaces or to the federal government—face elevated enforcement risk and should review substantiation, supplier documentation, and labeling controls now.
CBP Clarifies Rules for AI Tools and Unlicensed Import Platforms
STR Trade Report •March 20, 2026
In a Jan. 16, 2026 ruling, CBP set boundaries for foreign tech platforms that offer importer services without a customs broker license. Matchmaking importers with licensed brokers is allowed, and general six‑digit HTSUS suggestions are permissible, but CBP says tools that prefill entry data, generate 8–10 digit classifications tied to an entry, or prepare/submit Form 5106 constitute customs business; it also bars brokering powers of attorney and flags chat confidentiality, fee‑sharing tied to entries (19 CFR 111.36(b)), and conducting customs business outside the U.S. (111.3(a)). Platforms, brokers, and importers should reassess features, workflows, and pricing—or obtain licensing—to mitigate compliance and enforcement risk.
Turn Retroactive Transfer Pricing Adjustments into Duty Refunds via CBP Reconciliation
STR Trade Report •March 19, 2026
Retroactive transfer pricing adjustments are part of customs value and, through CBP’s reconciliation program, importers can either tender additional duties or recover refunds on downward adjustments—provided entries are flagged, provisional values declared, a pre-set formula is in place, and related‑party pricing meets 19 CFR Part 152 arm’s‑length requirements within a 21‑month window. Executed correctly, this strategy can lower duty liability and bolster liquidity amid rising tariffs; missteps risk steep penalties of 200–800% of lost revenue.
Apply by April 3 to Shape ITAR on State’s DTAG
STR Trade Report •March 20, 2026
The State Department’s Defense Trade Advisory Group (DTAG) is seeking new members, with applications due via postmark by April 3. DTAG serves as the department’s formal industry consultative body on defense exports, advising on AECA/ITAR implementation, U.S. Munitions List issues, licensing procedures, and policy matters including foreign military sales and technology transfer. U.S. citizen subject-matter experts from industry, trade and labor associations, academia, and foundations are eligible—offering a direct avenue to influence export control policy and processes affecting defense exporters.
Remedies & Tariff Actions: AD/CVD, 201, 301, Safeguards, and WTO
Arbitrator to set Indonesia–EU retaliation level; WTO opens China SEP panel
WTO Latest News •March 18, 2026
WTO members sent Indonesia’s request to retaliate against the EU in the palm-oil biofuels case to arbitration, after Jakarta sought authorization to suspend concessions worth US$2.8–5.6 billion annually across goods, services, and IP, citing EU non‑compliance as of 24 February. The EU objected to the proposed level and noted it offered a sequencing agreement, which Indonesia said came too late. Separately, the DSB established a panel on the EU’s complaint against China’s worldwide SEP licensing measures, a case with broad third‑party interest that could reshape cross‑border IP licensing strategies.
USTR Launches Section 301 Probe Into Structural Manufacturing Overcapacity
USTR Press Releases •March 16, 2026
USTR announced a new Section 301 investigation into structural excess capacity and production practices in manufacturing sectors, targeting market-distorting policies that depress prices and displace U.S. output. The review could lead to additional trade remedies—including tariffs or other actions—and is expected to include opportunities for stakeholder input. Companies should map exposure now and prepare evidence on injury, sourcing alternatives, and potential tariff scenarios ahead of any proposed measures.
AD/CVD Roundup: Silicon Metal Injury Affirmed, Steel Wheel Circumvention Probed
STR Trade Report •March 20, 2026
U.S. trade agencies issued several AD/CVD actions: the ITC finalized affirmative injury findings on silicon metal from Angola and Laos (including CVD for Laos) and terminated the Thailand CVD injury case for negligible imports, clearing the way for duties on Angola/Laos but not Thailand. Commerce opened circumvention inquiries into steel wheels shipped from Thailand and Vietnam that may be evading China orders and corrected Vietnam’s dumping margin to 47.12% in the hard empty capsules orders covering Brazil, China, India, and Vietnam. Administrative reviews set a preliminary 0.74% AD rate for Chinese alloy/carbon steel threaded rod for the 4/1/2024–3/31/2025 period and final CVD rates of 0.57–5.96% for Indian off-the-road tires for calendar year 2023.
ITC Reviews Solar Section 201 Safeguard's Impact; Hearing June 12
STR Trade Report •March 19, 2026
The U.S. International Trade Commission has opened a review to determine whether the Section 201 safeguard on crystalline silicon photovoltaic (CSPV) cells and modules, which expired Feb. 6, 2026, enabled the domestic industry to make a positive adjustment to import competition. Imposed in January 2018, the measure combined a tariff-rate quota on CSPV cells with higher duties on imported modules. A hearing is set for June 12, with requests to appear and pre-hearing briefs due June 5, written testimony and slides due June 11, and post-hearing briefs due June 22.
Canada launches safeguard inquiry into vegetable goods; June hearing set
WTO Latest News •March 17, 2026
Canada initiated a safeguard investigation on 16 March 2026 into imports of certain vegetable goods and notified the WTO on 18 March. The Canadian International Trade Tribunal (CITT) set key deadlines: Notices of Participation/Representation due 2 April, questionnaire responses due 10 April, and a hybrid hearing starting 15 June. Importers, exporters, and producers should engage quickly, as findings could lead to temporary import restrictions if serious injury is determined.
Policy & Negotiations: Critical Minerals, USMCA Prep, and WTO Processes
U.S., Japan launch critical minerals plan, eye plurilateral price floors
USTR Press Releases •March 19, 2026
On March 19, the United States and Japan enacted a joint Action Plan on critical minerals to develop strategic trade policies and border mechanisms that reduce supply chain vulnerabilities and safeguard downstream manufacturers. The initiative lays groundwork for a binding, plurilateral agreement that could include price floors and other market-stabilizing measures, deepening coordination with a key Indo-Pacific partner. Companies reliant on critical mineral inputs should watch for potential shifts in sourcing, border processes, and pricing dynamics as details emerge.
U.S. trade agenda wobbles: Malaysia exits, India delays; Korea proceeds
STR Trade Report •March 19, 2026
Malaysia walked away from a U.S. reciprocal-tariff deal after a Supreme Court ruling undercut its economic value, while India is holding off on an interim pact amid a new probe despite a February understanding tying U.S. tariff cuts to commitments including lower duties, curbing Russian oil imports, and a $500 billion purchase pledge. Meanwhile, the Commerce Department withdrew a planned AI chip export rule as preliminary, and South Korea passed a special bill to implement its $350 billion U.S. investment pledge to secure favorable reciprocal tariff rates—signaling volatile timelines, shifting tariff outcomes, and evolving export-control requirements.
USTR cues WTO reform update; watch dispute settlement priorities
USTR Press Releases •March 19, 2026
The referenced USTR page is currently unavailable, so specific details of the announcement cannot be confirmed. Given active WTO reform talks, any USTR communication is likely to focus on restoring a durable dispute settlement system, stronger transparency/notification disciplines, and updated rules on subsidies and digital trade—areas with direct compliance and market-access implications. Monitor for the full release to assess timelines and negotiating red lines that could affect strategy.
The United States and Mexico Announce Next Steps in Bilateral Discussions in Advance of the USMCA Joint Review
USTR Press Releases •March 18, 2026
On March 18, Ambassador Jamieson Greer and Secretary Marcelo Ebrard launched technical talks to prepare for the July 1 USMCA Joint Review, directing teams to propose options to boost North American manufacturing and jobs while limiting non‑market inputs and addressing supply chain gaps through cooperation on economic security, rules of origin, and complementary trade actions. A regular meeting cadence and defined deliverables ahead of July 1 signal a focus on ROO and sourcing scrutiny that could affect manufacturers relying on third‑country content in North American supply chains.
WTO Market Access body to record resolutions; backs menstrual product HS update
WTO Latest News •March 15, 2026
The WTO Committee on Market Access adopted procedures to systematically record when and how trade concerns are resolved, adding a standing agenda item for outcome reporting and directing the Secretariat to capture resolved and partially resolved cases in the Trade Concerns Database. The committee also endorsed a request to the WCO HS Committee to create specific HS subheadings for menstrual products (heading 96.19) to improve tariff classification and trade data; members discussed 33 concerns (seven new), including EU steel measures, EU photovoltaic provisions, Egypt’s sugar restrictions, Colombia–Ecuador frictions, and India’s toner cartridge tariff—moves that collectively enhance transparency and inform compliance and advocacy planning.
Border & IP Enforcement: Seizures, Safety, and Section 337
ITC Issues GEO on Splash Guards; Milk Powder Penalties up to $1.8M
STR Trade Report •March 20, 2026
The U.S. International Trade Commission issued a general exclusion order and cease-and-desist orders in 337-TA-1430 covering urine splash guards and components, while assessing civil penalties ranging from $200,000 to $1.8 million for violations of cease-and-desist orders in 337-TA-1232 involving chocolate milk powder and packaging. The GEO enables CBP to bar infringing splash-guard imports from all sources, and the penalties underscore the high risk of importing after a 337 order, heightening compliance stakes for importers and distributors.
CBP, NHTSA Seize 35 Noncompliant Chinese E-Bikes in Norfolk
CBP Media Releases •March 17, 2026
CBP seized 35 e-bikes from China at the Port of Norfolk after NHTSA found they failed to meet federal motor vehicle safety standards, including missing certification labels. The shipment, inspected Jan 7 and seized Feb 27 after the importer declined to re-export, underscores heightened scrutiny of e-mobility imports amid rising rider injuries. Importers should verify FMVSS compliance under 49 USC 30112 or risk detention, refusal, and seizure.
Outbound CBP inspection finds 39 live pythons, seizes tractor
CBP Media Releases •March 17, 2026
CBP officers at Laredo’s World Trade Bridge intercepted 39 live pythons concealed in a tractor bound for Mexico during a March 5 outbound inspection, issued $34,824 in export-violation penalties, and seized the tractor and trailer; U.S. Fish and Wildlife Service took custody of the animals and, with HSI, continues the investigation. The case underscores heightened outbound wildlife enforcement and the stakes for exporters: live reptile shipments must meet USFWS, USDA, Census FTR, and CITES requirements or risk seizures, penalties, and disruptions.
CBP blocks $125K in counterfeit designer goods at Rochester, Buffalo
CBP Media Releases •March 13, 2026
CBP officers at the Ports of Rochester and Buffalo seized multiple shipments of counterfeit designer goods over the past month, including Rolex‑branded watches, handbags, jewelry, and apparel, with a combined genuine-MSRP value of about $125,000. The actions highlight sustained IPR enforcement at northern border ports; infringing goods are subject to detention, seizure, forfeiture, and destruction, and even individual buyers can face penalties. Importers and brand owners should verify trademark authorization and product authenticity and leverage CBP’s e-Recordation tools to mitigate risk.
Market & Outlook: Trade Flows and Operational Certainty
WTO sees 2026 trade growth slowing to 1.9% amid Middle East risks
WTO Latest News •March 18, 2026
The WTO projects global merchandise trade growth to cool to 1.9% in 2026 (from 4.6% in 2025) as AI-driven goods demand normalizes, with services trade easing to 4.8%. A prolonged Middle East conflict that keeps oil and LNG prices elevated would shave 0.3 percentage points from global GDP and 0.5 points from trade, cutting goods growth to 1.4% and services to 4.1%, while Strait of Hormuz and airspace disruptions raise logistics, fertilizer, and food costs. Upside remains if the conflict ebbs and AI investment persists—potentially lifting merchandise growth by 0.5 points to 2.4%—but firms should plan for route diversions, higher transport insurance, and uneven regional impacts.
January U.S. Trade Gap Narrows 25% on Record Exports
STR Trade Report •March 19, 2026
The U.S. trade deficit shrank to $54.5 billion in January, down 25% from December, as exports jumped 5.2% to a record $302.1 billion while imports edged down 0.3% to $356.6 billion. Goods exports rose 8.1% on strong shipments of gold, other precious metals, and computers, while goods imports fell 1.0% on softer pharmaceuticals and vehicles; services trade also hit records, with exports at $106.7 billion and a $27.3 billion surplus. Year over year, the gap narrowed 57.6% amid exports up 10.4% and imports down 11.3%, with notable shifts including a sharply smaller deficit with the EU and larger U.S. surpluses with the UK and Singapore.
U.S. Ends RRM Hold, Resumes Liquidation for ThyssenKrupp Auto Parts Plant
USTR Press Releases •March 16, 2026
The United States closed a USMCA Rapid Response Labor Mechanism case at ThyssenKrupp Springs & Stabilizers in San Luis Potosí after the plant reinstated two workers with backpay, signed a facility-access protocol with an independent union, and adopted neutrality and freedom-of-association guidelines with companywide training; Mexico also provided trainings and monitored compliance. USTR directed Treasury to resume liquidation of unliquidated entries from the automotive suspension-components facility. The decision restores customs-processing certainty for importers and underscores active USMCA labor-rights enforcement in Mexico’s auto supply chain.
