Manufacturing Industry Advisor

In relation to our recent insights Brexit: Mexico and the United Kingdom sign Trade Continuity Agreement and Brexit: A First Look at UK-Mexico Trade Continuity Agreement’s Relevant Issues, the Governments of Mexico and the United Kingdom have informed that although their internal ratification procedures have not yet been completed, they both have established transitional mechanisms to maintain, beginning as of January 1, 2021, preferential tariff treatment in accordance with the following: The Government of…
As we have covered previously, earlier declines in demand for most raw materials during the early months of the coronavirus pandemic caused many suppliers to reduce capacity.  This is now resulting in higher prices and more limited supply of many raw materials, such as steel (click here to read our earlier article on the topic). Many automotive suppliers and other manufacturers face complications in procuring enough raw material, including the prospect of paying…
Four and One-Half Years! January 1, 2021 … at last … at long last as some might celebrate… or, as others might lament, a day which should have never come.  Brexit is finally arriving.  Four and one-half years have passed since the June 23, 2016 United Kingdom (“UK”) referendum on UK membership in the European Union (“EU”).  On that day, UK voters narrowly chose to end its 40+ years’ membership in the EU.  Since 2016,…
As previously reported on December 15, 2020, the Mexican Secretary of Economy and the Secretary of State for International Trade of the United Kingdom issued a joint statement to communicate the signing of the UK-Mexico Trade Continuity Agreement (the Continuity Agreement). This document intends to summarize some relevant facts and provisions relating to the Continuity Agreement. Origin As we know, on June 23, 2016, voters in the United Kingdom of Great Britain and Northern Ireland…
On December 20, 2020, Congress introduced a long-anticipated additional round of COVID relief legislation, known as the Bipartisan-Bicameral Omnibus COVID Relief Deal. This relief bill provides much-needed stimulus to individuals, businesses, and hospitals in response to the economic distress caused by the coronavirus (COVID-19) pandemic. The House and Senate are expected to vote on the bill this evening, and the President is expected to sign it into law. The bill summary can be found here,…
Demand for most raw materials generally fell significantly in the early months of the Coronavirus pandemic, including the demand for steel. The sharp decline in demand caused many steel mills to curb production, which caused capacity utilization to drop to multi-year lows.  The early decreases in production, together with the continuing impact of the pandemic on supply chains and economic activity that has rebounded as the country reopened, has resulted in a potent mix of…
On December 15, 2020, the Mexican Secretary of Economy and the Secretary of State for International Trade of the United Kingdom, issued a joint statement through which they communicated the signing of the UK-Mexico Trade Continuity Agreement.   Based on the joint statement, the Agreement will maintain preferential access for trade between the two countries following the end of the United Kingdom’s Transition Period with the European Union on December 31, 2020, when the European…
Several years into EPA’s mobile source enforcement initiative, the agency recently issued an updated enforcement policy addressing vehicle and engine tampering and aftermarket defeat devices (the “Tampering Policy”). The Tampering Policy was posted to the EPA Office of Enforcement & Compliance Assurance’s website in late November, along with a separate pre-publication notice soliciting comment on EPA’s 1986 enforcement policy related to catalytic converters. EPA issued the revised Tampering Policy on the heels of a recent…
It is common in the manufacturing industry that, with the idea of optimizing production processes, companies enter into agreements with subcontractors to complete part of their operation. In general terms, the role of a subcontractor is to perform specific tasks as part of the overall production process of a company. Mexico regulates the use of subcontracting by IMMEX companies when it involves the transfer of temporarily imported materials to be processed.  The Mexican IMMEX Program…
As the COVID-19 pandemic continues, and with an incoming Biden administration that is expected to step up efforts to control the spread of the virus, use of personal protective equipment (“PPE”) and cleaning/disinfectant products has never been more important or widespread among the public.  However, in late October, the Consumer Product Safety Commission (“CPSC”) issued guidance on its website asserting that certain consumer protection rules within its jurisdiction apply to PPE, and reminding consumers of…