IPC Global Advocacy Report
1/31/2020

Dear IPC Members:

As I write this, your IPC Government Relations team members are packing our bags for IPC APEX EXPO 2020, which kicks off in San Diego on Saturday and continues through next Thursday, Feb. 1-6. In addition to all the meetings, courses, networking events, and expo booths, our government relations activities will include educational sessions on EHS issues and export controls; planning meetings with our steering committees; a member survey on the policy issues that concern them most; and a happy hour reception on Tuesday.

We hope you will join us for any or all of this! You can read more about it on I-Connect007 and follow us day-by-day on LinkedIn and Twitter.

Meanwhile, other new developments covered here include updates on the next steps of USMCA; expanded U.S. tariffs on steel and aluminum; and an extended deadline for RoHS stakeholder consultations. Below are the latest highlights, and, as always, we welcome your questions and suggestions.

All the best,

Chris Mitchell
Vice President, Global Government Relations


TOP OF THE WEEK

Next Steps on USMCA: In the United States, after surprisingly uncontentious votes in Congress, President Trump on Wednesday signed a bill to implement the new U.S.-Mexico-Canada Agreement (USMCA). Mexico’s government approved the pact in December, and the Canadian government kicked off its ratification process last Monday. As the Wall Street Journal reports, “The timing of Canadian approval remains a wild card as the governing Liberals try to navigate a minority government, which gives the opposition parties—which have criticized elements of the deal—some leverage.” The pact won’t come into force until 90 days after the last country ratifies the deal. Read IPC’s statement on the passage of the trade deal, and stay tuned for more information on what to expect in the implementation phase. IPC Contact: Chris Mitchell.

Join Us for Happy Hour in San Diego! Join the IPC Government Relations (GR) team on Tuesday for a happy hour reception at IPC APEX EXPO in San Diego! Learn more about how IPC is advancing the interests of the global electronics manufacturing industry from Washington D.C. to Brussels, Beijing, and beyond. Hear directly from the IPC GR team about the industry’s top priorities for 2020 and how you can get involved. We’ll be in the San Diego Convention Center, Ballroom 20 Foyer (upper level), from 4:00 to 5:00 pm, and the drinks are on us! See you there! IPC Contact: Ken Schramko.

 

ENVIRONMENT, HEALTH AND SAFETY

EHS Issues on the IPC APEX EXPO Schedule: If you’re attending IPC APEX EXPO next week, please join us for several sessions tailored to members with EHS concerns. On Tuesday, February 4, from 3:30 to 5:00 pm, we’ll delve into California’s Proposition 65. On Wednesday, February 5, from 12:00 noon to 1:30 pm, our EHS Committee will discuss 2020 priorities (RSVP required, lunch provided). IPC Contact: Kelly Scanlon.

U.S. EPA Issues Advance Notice of Proposed Rulemaking on Certain PFAS: The U.S. EPA is exploring whether to add certain per- and polyfluoroalkyl substances (PFAS) to the U.S. Toxics Release Inventory (TRI), starting with an opportunity for all stakeholders to provide input. Specifically, EPA is seeking comments on which of the approximately 600 PFAS currently active in U.S. commerce should be evaluated, and how. Your company may be affected by this action if you manufacture, process, or otherwise use PFAS. Comments are due on or before February 3. IPC will track this and keep you posted. IPC Contact: Kelly Scanlon.

U.S. High Priority Chemical Substances Announced: The U.S. EPA has announced the final list of 20 chemicals to undergo risk evaluation under the Toxic Substances Control Act (TSCA). The 20 chemicals include seven chlorinated solvents, six phthalates, four flame retardants, formaldehyde, a fragrance additive, and a polymer precursor. By June, the EPA will finalize scoping documents for these 20 chemicals, which is the first step of the multi-year risk evaluation process. IPC will participate in the scoping process for those chemicals critical to electronics manufacturing, i.e., TBBPA. Please contact Kelly Scanlon if you would like to participate.

New Fees May Be Coming Under TSCA: Manufacturers and importers of chemical substances designated as High Priority Substances under the U.S. Toxic Substances Control Act (TSCA) may be subject to fee obligations. The fees are associated with each U.S. EPA-initiated risk evaluation for each of the 20 HP Substances. The EPA has opened a 60-day comment period during which the public has the opportunity to review preliminary lists of manufacturers and importers of the chemicals and self-identify irrespective if they are on the lists. The preliminary lists were developed using the most up-to-date information available, including information submitted to the EPA under the Chemical Data Reporting Rule and the Toxics Release Inventory. For more information about the fee categories and the fees for the administration of TSCA, please see the final fees rule. If you would like to comment on preliminary lists, please contact Kelly Scanlon.

Does Your Company Use Engineered Nanomaterials? The U.S. National Institute for Occupational Safety and Health (NIOSH) of the Centers for Disease Control and Prevention (CDC) intends to evaluate the scientific data on engineered nanomaterials to develop recommended occupational exposure limits based on the available scientific evidence. NIOSH is seeking materials, including published and unpublished reports and research findings, to evaluate the possible adverse health risks of occupational exposure to engineered nanomaterials. If you would like to share information with NIOSH or with us, please contact Kelly Scanlon.

47 New Chemicals Added to China’s Chemical Inventory: On January 3, China’s Ministry of Ecology and Environment (MEE) added 47 chemical substances to the Inventory of Existing Chemical Substances Produced or Imported in China (IECSC). Going forward, chemicals will no longer be limited by tonnage after being added to the IECSC. For six chemicals classified as hazardous substances of priority environmental concern, uses are explicitly specified and an application will be needed if those chemicals are to be used in other purposes. Further information about the additions is available from the MEE notice. IPC Contact: Kelly Scanlon.

Deadline Extended for RoHS Stakeholder Consultation: The Öko-Institut, consultants to the European Commission on RoHS policy issues, has announced an extension of the stakeholder consultation period for the review of certain restricted substances – TBBPA, Diantimony trioxide, and Medium Chain Chlorinated Paraffins – under RoHS. The consultation was initially expected to end on January 30 but has been extended to February 13. The consultation welcomes feedback on substance-specific reports that make the case for the expansion of the existing list of restricted substances under the RoHS Directive. If you are interested in providing information during the consultation, please contact Kelly Scanlon.

 

EUROPEAN UNION

UK Preparing to Withdraw from ECHA Decision-Making Process: The United Kingdom is set to relinquish its vote and representation on all committees and networks within the European Chemicals Agency (ECHA) and the European Commission when it officially leaves the European Union on January 31. During an 11-month transition period, which begins on February 1, the U.K. will continue to implement REACH decisions taken by the EU 27 countries, but it will have no say over them. IPC Contact: Alison James.

MEPs object to European Commission’s Proposal on Lead in PVC: The European Parliament’s Environment Committee last week objected to the European Commission’s proposal to restrict the use of lead in polyvinyl chloride (PVC) articles. The commission’s plan would set a higher limit for lead concentration in recycled PVC compared to virgin materials, which some Members of Parliament believe may prolong consumers’ exposure to lead and, therefore, should not be allowed. The draft motion, which will be put to a vote in the parliament’s plenary session the second week of February, calls upon the commission to withdraw the proposal and submit a new one. This is part of an ongoing discussion in the European Union of how to strike a balance between achieving a circular economy through increased recycling versus a non-toxic environment by regulating substances of concern. IPC Contact: Alison James.

 

TRADE & INVESTMENT

IPC, Other Associations Highlight Concerns with Proposed Rule on ICT Supply Chain: IPC recently joined 30 other industry associations in a joint letter expressing concerns with the Trump administration’s proposed restrictions on the information and communications technology (ICT) supply chain. The U.S. Department of Commerce’s proposed rule, announced on November 27, would address the possibility that foreign adversaries are exploiting ICT supply chains to commit cyber-crimes, including economic and industrial espionage against the United States. In the letter, IPC and the other associations sympathized with the proposal’s objective but expressed concerns about the rule’s lack of clarity and its overly broad scope. Last month, the department issued a supplemental notice of proposed rulemaking that said it will clarify and narrow the scope of the proposal; establish procedures for government accountability and due process; ensure confidentiality of sensitive commercial information in the review process; and define procedures for waivers, appeals, and mitigation. For further questions on the proposed rule, please contact Chris Mitchell.

Trump Administration Expands Aluminum Tariffs: Last Friday, President Trump issued a proclamation expanding existing steel and aluminum tariffs to cover downstream products that are manufactured using steel and aluminum. Aluminum is used in a variety of electronics-related applications. Beginning on February 8, the derivative aluminum products covered by the proclamation will be subject to a 10% tariff. Argentina, Australia, Canada and Mexico are exempt from these new tariffs. Please let us know if these increased tariffs will affect your company. IPC Contact: Chris Mitchell.

Tariffs on European Cars Back Under Consideration: Speaking at the World Economic Forum in Davos, Switzerland last week, President Trump revived the threat of tariffs on European cars and auto parts. However, the Trump Administration has refused a congressional demand to release a U.S. Department of Commerce report that the threatened tariffs are based upon. President Trump’s comments came amid softening rhetoric in America’s digital tax dispute with France, and hey demonstrates how volatile the trade situation with Europe continues to be. IPC Contact: Chris Mitchell.

 

UPCOMING EVENTS

IMPACT Washington, D.C.: March 25-26, 2020. This is IPC’s signature U.S. advocacy event, providing opportunities for members to educate policy makers on the issues that affect them most. Please learn more and plan on joining us in DC! IPC Contact: Chris Mitchell.

 

KEEP IN TOUCH WITH US

Subscribe to IPC Global Advocacy Report: If you’re a member of IPC, manage your e-mail preferences and opt in to receive “Advocacy” updates. If you are not an IPC member – or you’re not sure – please send a note to friends@ipc.org, and our staff will add you to the list.

Follow us on Twitter.

Contact one of us if you have any questions or insights to contribute.

Tell us how government policies affect your business.

See prior editions of Global Advocacy Report.

Explore our IPC Government Relations information online.