On Monday, March 29, 2021, the United States Trade Representative (USTR) Katherine Tai announced that the USTR would Suspend Trade Engagement with Burma following Military Coup and Violence against Civilians. In the message, the USTR said the suspension of all U.S. engagement with Burma under the 2013 Trade and Investment Framework Agreement (TIFA) will remain in effect until a return of a democratically elected government.
In addition to the suspension of trade engagement, the USTR has also announced that it will evaluate Burma’s situation with respect to the Generalized System of Preferences (GSP) program reauthorization which has established standards for worker rights. The United States had previously suspended Burma’s GSP benefits in 1989 on worker rights grounds.
This announcement comes while the Treasury Department’s Office of Foreign Assets Controls (OFAC) has expanded Burma sanctions to two Burma military holding companies: Myanmar Economic Holdings Public Company Limited (MEHL) and Myanmar Economic Corporation Limited (MEC).
As a result of this action, all property, and interests in property by these entities that are in the U.S. or in the possession or control of U.S. persons are blocked and must be reported to OFAC. This includes any entities that are fifty percent owned, directly or indirectly, by one or more of the above-named entities.
If you have any questions, please contact your Noatum Logistics representative.