| | | | |  | | By Ari Hawkins | | | With help from Doug Palmer
| | — Sens. Sherrod Brown (D-Ohio), Joe Manchin (D-W.V.) and Shelley Moore Capito (R-W.V.) are lauding determinations by the Department of Commerce to set steep tariffs on steel imports used in can-making ahead of an ITC vote next month. — Washington’s top trade representative Katherine Tai will travel to India this week to co-chair the annual Trade Policy Forum with her Indian counterpart, Commerce Minister Piyush Goyal, in a signal of more regular U.S.-India economic engagement. — The Office of the U.S. Trade Representative announced that Greta Peisch is stepping down from her position as general counsel and handing the reins to her deputy, Juan Millán. It’s Monday, Jan. 8. Welcome to Morning Trade. Your fun fact of the week: Certain mushrooms, like the oyster mushroom from your local veggie aisle, are carnivorous, feasting on wayward worms that traverse their fleshy caps. I was cursed with this knowledge the other day, and now I’m spreading the wealth. Tips? Chai recs? Expectations for Congress? Contact the Trade team at: ahawkins@politico.com, gbade@politico.com and dpalmer@politico.com. You can also follow us on X: @_arihawkins, @gavinbade and @tradereporter.
| | | | A message from Consumer Brands Association: The Commerce Department’s final duty levels on imports of tin mill steel effectively reject Cleveland-Cliffs’ tariff petition that would have significantly hurt consumers and domestic manufacturing jobs. When the International Trade Commission votes in February, it should also reject Cleveland-Cliffs’ incredulous claims. Food and other everyday product manufacturers rely on higher quality tin mill steel that Cleveland-Cliffs cannot or has refused to make. America’s largest manufacturing sector and consumers shouldn’t pay the price for Cleveland-Cliffs’ shortcomings. Learn more. | | | | | | | 
Sen. Sherrod Brown, D-Ohio, right, and Sen. Joe Manchin, D-W.Va., attend a news conference at the House Triangle in 2017, with the United Mine Workers of America on the Miners Protection Act. | Tom Williams/CQ Roll Call | STEEL FOR TIN MILL TARIFFS: Some lawmakers are celebrating a recent Commerce decision as a win for the domestic steel industry in a case brought by Cleveland-Cliffs and the United Steelworkers over concerns that foreign-made tin-plated products are being unfairly dumped in the United States. “This decision from Commerce drives home the point that the International Trade Commission must rule in favor of Ohio steelworkers and implement anti-dumping and countervailing duties to ensure the industry gets sufficient relief from unfair trade practices of foreign competitors,” Sen. Sherrod Brown, the influential chair of the Senate Banking Committee, told Morning Trade. Sens. Shelley Moore Capito, Senate Environment and Public Works ranking member, and Joe Manchin, Senate Energy and Natural Resources chair, also praised the decision as a potential boon for West Virginia industry. “When West Virginia competes, West Virginia wins, but we must make sure it's on a level playing field,” Manchin told Morning Trade, adding that he hopes the ITC “will make an affirmative finding of injury” in its final review. Commerce on Friday announced combined duties of more than 450 percent on imports of tin mill products from China as well as much lower duties of less than 6 percent on imports of the same products from Germany, Canada and South Korea. It also continued to find no evidence of dumping by the Netherlands, Taiwan, Turkey and the U.K.
| | | | Tune in on Wednesday, Jan. 10, as POLITICO explores Taiwan's upcoming presidential election. Hear from our panel on the potential outcomes to the race and the profound implications for U.S.-China relations depending on who wins. REGISTER HERE. | | | | | Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You’ll also receive daily policy news and other intelligence you need to act on the day’s biggest stories. But the trade commission has the final say on whether duties are imposed in the case, and is expected to vote Feb. 6. A decision in favor of the new tariffs would anger industry stakeholders, as well as dozens of lawmakers who signed a letter warning the new restrictions would fan inflationary flames. David Chavern, president and CEO of the Consumer Brands Association, which represents nearly 2,000 brands like Campbell Soup Company and Del Monte Foods, warned higher duties would ultimately harm American consumers. “While we are disappointed to see any level of suggested duties on tin mill steel from ally countries like Germany, Canada and South Korea, we appreciate Commerce’s determination of no evidence of dumping from the Netherlands, Taiwan, Turkey and the United Kingdom,” Chavern said in a statement. “The extremely low duties suggested for Germany, Canada and South Korea differ markedly from the extraordinarily high levels requested by Cleveland-Cliffs, underscoring how the company incorrectly sought unsubstantiated tariffs at the expense of other U.S. manufacturers and consumers,” Chavern added. Players to watch: Brown, Manchin and Capito, as well as Reps. Bill Johnson (R-Ohio) and David Rouzer (R-N.C.), testified in an ITC hearing last week alongside foreign and industry stakeholders. By the numbers: The final determinations were largely in line with the preliminary anti-dumping findings the Commerce Department announced last year, with the exception of South Korea, which had a 2.69 percent anti-dumping duty set for most producers. The department previously had not found any South Korean dumping. TAI HEADS TO INDIA AS MC13 LOOMS: USTR Katherine Tai heads to India later this week for the annual Trade Policy Forum meeting with her Indian counterpart, Commerce Minister Piyush Goyal. The bilateral forum dates back to 2005, but fell out of use during the latter part of the Obama administration and most of the Trump administration. This week’s meeting is the third in three years, in a sign of more regular U.S.-India economic engagement. Tai and Goyal will chair the TPF on Friday, and the U.S. trade chief will also meet that day with Indian Minister of External Affairs Subrahmanyam Jaishankar. Tai will meet with civil society representatives, business leaders and others on Saturday. WTO wildcard: This year’s forum comes just weeks before the World Trade Organization holds its next ministerial conference in Abu Dhabi, the United Arab Emirates, in late February. Frictions between the United States and India are expected to be on display at that meeting in areas ranging from agriculture to pharmaceuticals to e-commerce. QUECTEL UNDER SCRUTINY: Quectel Wireless Solutions is pushing back against claims from congressional China hawks alleging the company, which produces modules that enable devices to connect to the internet, could be helping to fuel the Chinese military. “We are disappointed that members of the U.S. Congress would sign a letter making false accusations about Quectel. Our products are designed only for civil use cases and do not pose any threat to the national security of the United States. There is no basis to add Quectel to any U.S. Government restricted list,” Norbert Muhrer, president and chief sales officer of Quectel, said in a statement to Morning Trade. Reminder: The House’s top China hawks sent a letter last week pressing the Pentagon and Treasury Department to add the IOT giant to its blacklist over alleged ties to Beijing’s military-industrial complex — and its growing footprint in American smart devices.
| | | | A message from Consumer Brands Association:   | | | | | | | 
U.S. Trade Representative Katherine Tai speaks at the Semafor World Economic Summit on April 12, 2023 in Washington. | Drew Angerer/Getty Images | GENERAL COUNSEL CHANGE AT USTR: Greta Peisch is stepping down as USTR general counsel after three years on the job, handing the reins to her deputy, Juan Millán, who will serve as acting general counsel. “Greta has been a steady, knowledgeable, and trusted hand here at USTR, and as she moves on from her role, we are immensely grateful for her service,” U.S. Trade Representative Katherine Tai said in a statement. Peisch played a leading role in talks with the EU on the proposed Global Arrangement on Sustainable Steel and Aluminum, which failed to reach agreement by the Oct. 31 deadline. Her departure raises more questions about whether a deal can be struck in the year ahead. There was no word on Peisch’s future plans. She follows Jayme White, who served as deputy USTR for Europe and the Americas before leaving late last year. Both Peisch and White previously worked for Senate Finance Committee Chair Ron Wyden (D-Ore.), although Peisch is not expected to return to his office. Peisch was senior international trade counsel on Finance from 2015 to 2021 before rejoining USTR. Before that, she worked in the USTR general counsel’s office as the chief counsel for negotiations, legislation and administrative law. Millán is a long-time USTR career employee who most recently was deputy general counsel for monitoring and enforcement. Tai called Millán “a proven leader” whose “experience and expertise speak for themselves.” That includes a seven-year stint in Geneva and a deep immersion in agricultural trade issues. SHEIN TAPS KNUTSON: Fast fashion giant Shein has tapped a veteran retail lobbyist to steer its lobbying operation as the e-commerce company works to fend off criticism from Washington over a slew of issues, including trade practices, POLITICO Influence reports. Kent Knutson, the former longtime head of Home Depot’s D.C. office, is joining the retailer, which is now headquartered in Singapore, as its chief U.S. government affairs officer. Knutson was most recently vice president of government relations at Tractor Supply Co.
| | | | GLOBAL PLAYBOOK IS TAKING YOU TO DAVOS! Unlock the insider's guide to one of the world's most influential gatherings as POLITICO's Global Playbook takes you behind the scenes of the 2024 World Economic Forum. Author Suzanne Lynch will be on the ground in the Swiss Alps, bringing you the exclusive conversations, shifting power dynamics and groundbreaking ideas shaping the agenda in Davos. Stay in the know with POLITICO's Global Playbook, your VIP pass to the world’s most influential gatherings. SUBSCRIBE NOW. | | | | | | | | | — China on Sunday announced sanctions on five American defense-related companies in response to U.S. arms sales to Taiwan, according to the Associated Press. — The CEO of the Canadian Chamber of Commerce, in a letter to the Canadian prime minister, said Ottawa should begin preparing now for the 2026 U.S.-Mexico-Canada Agreement review. — The trade relationship between the EU and China took another hit on Friday as China announced it would investigate whether European producers of liquors are dumping their products on its market, our European colleagues report. — Congressional leaders have clinched a deal on overall budget totals that could pave the way for a broader government funding compromise in the coming weeks, per Caitlin Emma and Jennifer Scholtes. — Polish farmers ended a blockade of a border crossing with Ukraine after reaching an agreement with Warsaw that met their demands, per Paula Andrés. THAT’S ALL FOR MORNING TRADE! See you again soon! In the meantime, drop the team a line: ahawkins@politico.com, gbade@politico.com and dpalmer@politico.com. Follow us @POLITICOPro and @Morning_Trade.
| | | | A message from Consumer Brands Association: The Commerce Department’s final duty levels on imports of tin mill steel effectively reject Cleveland-Cliffs’ tariff petition that would have significantly hurt consumers and domestic manufacturing jobs. When the International Trade Commission votes in February, it should also reject Cleveland-Cliffs’ incredulous claims. Food and other everyday product manufacturers rely on higher quality tin mill steel that Cleveland-Cliffs cannot or has refused to make. America’s largest manufacturing sector and consumers shouldn’t pay the price for Cleveland-Cliffs’ shortcomings. Learn more. | | | | | | | Follow us on Twitter | | | | Follow us | | | | |
