Supreme Court Scrutiny, U.S.–China De‑escalation, and Tightening Tech Controls
NEWSLETTER | Trade Insight AI
Supreme Court Signals Doubt on IEEPA Tariffs; Protect Refund Claims Now
STR Trade Report • November 7, 2025
After a Nov. 5 hearing, several justices appeared skeptical that the International Emergency Economic Powers Act permits the sweeping “reciprocal” tariffs imposed this year and separate fentanyl‑linked tariffs on imports from China, Canada, and Mexico, raising major‑questions and taxing‑power concerns. A ruling could arrive within months; if the Court invalidates some or all measures, importers may recover duties—but typically only if they preserve rights through timely protests, with refund administration potentially remanded and delayed. Even if the tariffs stand, companies should evaluate other mitigation and refund avenues.
Tariffs, Deals, and Section 301 Outlook
Executive Orders Halve Fentanyl Tariff, Keep China ‘Reciprocal’ Tariff at 10%
STR Trade Report •November 6, 2025
On Nov. 4, President Trump issued executive orders implementing parts of the late-October U.S.–China agreement, cutting the fentanyl-related surcharge on Chinese imports from 20% to 10% effective Nov. 10, 2025, and holding the China-wide “reciprocal” tariff at 10% through Nov. 10, 2026 (averting a planned rise to 34%). The measures can be revised if China fails to meet commitments, and MFN rates plus longstanding Section 301 tariffs (7.5%–100%) still apply—meaning many imports will continue to face layered duties.
U.S.–China Deal Cuts Tariffs; Pauses Ship Fees and Export Curbs
STR Trade Report •November 4, 2025
The U.S. and China reached a de‑escalation agreement that extends U.S. tariff relief through Nov. 10, 2026 (keeping “reciprocal” duties at 10% and certain Section 301 exclusions) and, effective Nov. 10, 2025, halves the fentanyl‑related surcharge to 10%, while Beijing suspends post–Mar. 4, 2025 retaliatory tariffs and non‑tariff measures and extends its own exclusions to Dec. 31, 2026. The U.S. will pause until Nov. 10, 2026 the expansion of export restrictions to subsidiaries (the “50% rule”) and suspend fees on Chinese‑owned/built vessels; China will remove shipping sanctions, suspend rare‑earth export controls for one year, and commit to sizable U.S. ag purchases (12 MMT soybeans in late 2025; 25 MMT annually 2026–2028), while ending semiconductor‑sector probes. Expect near‑term tariff, compliance, and logistics relief and improved market access, but many U.S. steps still require implementing action and China’s promised general licenses for critical minerals remain uncertain.
USTR Welcomes U.S.-China Trade and Economic Deal
USTR Press Releases •November 5, 2025
USTR issued a statement praising a U.S.-China trade and economic deal, framing it as a constructive step for bilateral economic ties. While specific terms were not provided, companies should monitor for potential impacts on tariffs, market access, enforcement priorities, and implementation timelines.
Senate Rebukes Tariff Emergencies as Bills Target AI, Seafood, China
STR Trade Report •November 4, 2025
The Senate approved resolutions to end tariff-related national emergencies tied to Brazil, Canada, and broad reciprocal measures—signaling bipartisan pushback—even as House action appears unlikely. New proposals would ban new tariffs on coffee, require AI chip exporters to countries of concern to certify U.S. buyer priority, mandate larger country-of-origin labels for seafood, and expand CPSC mandatory recall authority for hazardous China-made goods, while lawmakers urge USTR/USDA to reconsider expanded Argentine beef imports over reciprocity and animal-health risks.
USTR Seeks Comments to Suspend Section 301 Action on China’s Maritime Sectors
USTR Press Releases •November 6, 2025
USTR opened a public docket to gather input on suspending action in its Section 301 investigation into China’s targeting of the maritime, logistics, and shipbuilding sectors. Any pause or recalibration could affect prospective remedies, including tariffs or other measures, so companies across shipping, ports, logistics, and shipbuilding supply chains should prepare comments addressing commercial and operational impacts.
Border & Enforcement Actions
Chicago CBP seizes 43,200 unapproved, undervalued ENDS bound for Mississippi
CBP Media Releases •November 6, 2025
CBP officers in Chicago seized 43,200 Kangvape Onee Stick vaping devices in a China-to-Mississippi shipment after determining the goods were unmanifested, lacked FDA marketing authorization, and were grossly undervalued to evade duties—violations of the FD&C Act. Valued at more than $358,000, the products were referred to CBP’s Fines, Penalties and Forfeiture office; FDA notes only 39 e-cigarette products are legally authorized for U.S. sale. Importers should expect heightened scrutiny of ENDS shipments and ensure accurate manifests, proper valuation, and FDA authorization to avoid seizures and penalties.
CBP Chicago Seizes Over $8.5M in Counterfeit Watches from China
CBP Media Releases •November 4, 2025
On Oct. 23, CBP officers at an express consignment facility near Chicago intercepted a parcel from China headed to a local residence and seized 26 luxury-brand watches and two Rolex bracelets bearing counterfeit marks. The haul—featuring Richard Mille, Audemars Piguet, Diesel, and G‑Shock labels—would have exceeded $8.5 million MSRP if genuine, with CBP’s Centers of Excellence and Expertise confirming inauthenticity. For importers and marketplaces, the case underscores intensified IPR enforcement in e-commerce small parcels and the need for rigorous supplier vetting and brand authorization controls.
Louisville CBP seizes $6.6M in counterfeit luxury watches from Hong Kong
CBP Media Releases •November 3, 2025
On Oct. 28, CBP officers in Louisville seized two Hong Kong-origin parcels containing 53 counterfeit luxury watches (including Richard Mille, Rolex, Hublot, Cartier, Swarovski, G‑Shock, and Patek Philippe) with a combined MSRP of $6.6 million; the shipments, destined for Union City, GA and Doral, FL, were referred to HSI. CBP notes jewelry, watches, and handbags remain the top IPR seizure categories, with China and Hong Kong accounting for about 90% of FY2024 quantities—signaling continued scrutiny on luxury goods imports and the need for robust brand authorization and supplier due diligence.
FDA Expands Import Alerts to Lasers, Rice, Pistachios, Produce
STR Trade Report •November 5, 2025
In the past week (as of Nov. 5, 2025), FDA import alerts were newly issued or modified for chinigura rice (Bangladesh), cinnamon powder (Sri Lanka/Vietnam), dehydrated spinach powder (China), eggplant with sauce (Lebanon), papaya (Mexico), pistachios (Afghanistan), plum wampee (Hong Kong), medical therapy laser systems (China), and nicotine delivery products (Poland). These listings expose shipments to detention without physical examination (DWPE) and potential refusal unless importers can provide adequate evidence of compliance; affected companies should confirm red/green/yellow list status and prepare for holds, testing, and delays.
Technology, Security, and ICT Import Controls
FCC Closes Grandfathering Loophole on Insecure Communications Equipment and Components
STR Trade Report •November 5, 2025
The FCC voted Oct. 28 to authorize targeted prohibitions on the continued importation, sale, and marketing of devices that were previously authorized but later added to the Covered List for national security risks, closing a long-standing loophole. The rules also bar certain Covered List modular transmitters from being used as components in otherwise lawful devices and launch a rulemaking to consider extending authorization bans to a broader class of foreign adversary-controlled devices while strengthening enforcement against unlawful marketing. Importers, OEMs, and retailers should reassess inventory and component sourcing tied to Covered List entities and prepare for tighter compliance and potential product disqualification.
House Chairs Press Commerce to Expand China ICT Import Controls
STR Trade Report •November 6, 2025
In an Oct. 30 letter, five Republican House committee chairs urged the Commerce Department’s Office of Information and Communications Technology and Services to investigate and restrict a broad set of China-linked technologies, including AI infrastructure, IoT modules, routers, EDA tools, industrial control systems, semiconductor equipment, subsea cables, and unmanned systems. The push follows BIS’s rule targeting connected passenger vehicles (software effective MY2027; hardware MY2030/Jan. 1, 2029) and signals potential ICTS import bans or mitigation orders that could reshape procurement and compliance across critical tech supply chains.
BIS Prioritizes Urgent SNAP-R Licenses for National Security Amid Funding Lapse
STR Trade Report •November 5, 2025
During the federal funding lapse, BIS and interagency partners will fast-track export license applications in SNAP-R that are urgently needed for U.S. national security or safety-of-life (including support for U.S. and allied military operations). Exporters should request expedited processing in the “Additional Information” block with a brief justification and email EmergencyLicense@bis.doc.gov detailing the nexus to urgent security or safety needs. Non-urgent applications may face delays, so companies should triage shipments and flag critical cases immediately.
North America & Market Access
USTR Extends USMCA Review Hearing to Three Days, Dec. 3-5
STR Trade Report •November 7, 2025
USTR has expanded its public hearing on USMCA implementation to three days, now scheduled for Dec. 3-5, following the Nov. 3 deadline for written comments. Testimony will shape U.S. positions for the July 1, 2026 joint review that evaluates the agreement and sets the course toward the 2036 renewal decision. Expected topics include compliance, implementation, investment climate and competitiveness in North America, and responses to non-market policies.
Trade Roundup: Mexico Customs Fines Spike; China–ASEAN Upgrade; MMPA Stay
STR Trade Report •November 6, 2025
Mexico’s updated customs code links MVE errors to pedimento errors, exposing importers to combined fines over 70,000 pesos (~$3,800) per shipment—raising compliance risk and potentially slowing cross‑border flows. China and ASEAN signed an upgraded FTA to deepen regional integration amid ongoing U.S. tariff pressures. Separately, NOAA/NMFS settled litigation with NFI, staying an import ban while it reconsiders comparability findings for swimming crab fisheries in Vietnam, the Philippines, Indonesia, and Sri Lanka, with consultations due within 60 days.
Global Rules, Origin, and Climate Policy
WTO origin committee spotlights LDC cumulation and transparency measures
WTO Latest News •November 4, 2025
Members reviewed transparency and notification practices for preferential and non-preferential rules of origin, while the LDC Group tabled updated expectations and proposed March 2026 ministerial language to accelerate agreement on trade‑facilitating best practices—drawing caution from some preference‑granting members. Preference‑granting economies announced updates to LDC schemes, led by the UK’s DCTS reforms creating a 50‑country African regional cumulation group and liberalizing apparel rules from 2026; six members also submitted updated notifications as the Secretariat noted uneven use of non‑preferential rules. An information session highlighted business needs and China called for greater transparency amid tariff volatility, signaling compliance changes ahead and new cumulation opportunities in African supply chains.
China, Japan press WTO carbon standards talks; transparency, development prioritized
WTO Latest News •November 3, 2025
At the 4 Nov CTE meeting, China proposed WTO-wide coordination on carbon standards—systematic review, information sharing across bodies, and support for developing members—while Japan, now with eight co‑sponsors, advanced non-binding guidance to improve transparency and coherence in embedded‑carbon methodologies. Members broadly backed transparency and alignment with TBT work but cautioned against prescriptive guidance and stressed development needs; a December session will keep the focus on transparency and development. With COP30 imminent, Brazil flagged plans to launch an Integrated Forum on Climate Change and Trade, and the WTO reported 1,637 environment-related measures in 2024, alongside discussions on sustainable agriculture.
Compliance Operations & Court Filings
Nov. 8 Pay.gov Maintenance Halts Fee Filings at CIT
CIT News •November 3, 2025
Pay.gov will be unavailable Saturday, Nov. 8, 2025, from 6–10 p.m. ET, preventing fee-required filings in the CIT’s CM/ECF system. Filers should plan submissions and payments outside this window to avoid delays or missed deadlines.
PACER Maintenance Nov. 9: CM/ECF and Pay.gov Disruptions Expected
CIT News •November 3, 2025
PACER will undergo scheduled maintenance on Sunday, November 9, 2025, from 5:00 a.m. to 4:00 p.m. ET, causing intermittent issues accessing CM/ECF and processing payments via Pay.gov. Court filers should plan submissions and fee payments outside this window to avoid disruptions and potential deadline risks.
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