Sean Stein highlights how export control delays and tariff fraud are hindering the economic goals of the Trump administration.
The Trump administration has faced significant hurdles in executing its economic strategy, specifically regarding export controls and tariffs. Sean Stein, head of the US China Business Council, noted that while export controls are vital for national security, the Bureau of Industry and Security (BIS) has been slow-walking licenses, with 95 percent of firms selling to China facing delays. These delays have resulted in billions of dollars in lost sales for American companies. Kate Koren, deputy head of the economics program at the Center for Strategic and International Studies, attributed these delays to incoherent policy signaling and high turnover within the BIS. Meanwhile, tariffs have faced legal setbacks and issues with fraud. A Supreme Court ruling struck down several tariffs, and reports indicate that transshipment and underreporting of cargo values are costing the U.S. billions. William George, head of research at trade data firm Import Genius, observed that the drop in cargo values from China suggests non-physical schemes are being used to minimize the tariff burden.