Sen. Bob Menendez, D-N.J., for a second time announced he will block the Trump administration’s efforts to transfer export controls of firearms from the State Department to the Commerce Department, according to a Dec. 13 press release. In a Dec. 10 letter to Secretary of State Mike Pompeo, Menendez said the military items should not be removed from the State Department’s U.S. Munitions List and should instead be subject to “more rigorous controls” and oversight. The senator previously announced a hold on the transfer in February (see 1903060021).

The Commerce Department plans to release its first set of proposed controls on emerging technologies in six areas, including the semiconductor and artificial intelligence sectors, a top Commerce official said. The six proposed rules (see 1912130055), which may not be released until early next year, include restrictions on items in the fields of quantum technology, semiconductor design, chemicals, biotechnology, artificial intelligence and possibly 3D printing, said Matt Borman, Commerce’s deputy assistant secretary for export administration. The controls stem from an advance notice of proposed rulemaking published more than a year ago.

Douglas Hassebrok was appointed by Commerce Secretary Wilbur Ross to be deputy assistant secretary for export enforcement in the Bureau of Industry and Security and acting assistant secretary for export enforcement, according to Jim Bartlett of Full Circle Compliance. Hassebrok was previously BIS director of the Office of Export Enforcement. John Sonderman was named to Hassebrok's previous role at BIS in an acting capacity, Bartlett said, citing agency sources. BIS didn't comment.

The Ports Regulator of South Africa released new port tariffs for the period ranging from April 2002 to March 2021, according to a Dec. 13 report from the Hong Kong Trade Development Council. The announcement made “significant changes” to individual tariff categories, the HKTDC said. Rates will be increased for “marine services and related tariffs” by 5.5 percent on April 1, 2020, the HKTDC said, while export cargo duties will decrease by 20 percent. Export cargo dues of coal and “magnetite” will increase by 10 percent while other dues remain the same, the report said, but “caps will be applied.” Other changes were made to tariffs related to “locally registered vessels,” the HKTDC said.

European Union leaders may delight in the long-sought clarity brought by the United Kingdom’s decisive re-election of Prime Minister Boris Johnson, but more Brexit uncertainty may be on the horizon as they prepare to hammer out final details with the U.K. over the coming year on what Brexit will actually look like in the long term.

The government of Canada issued the following trade-related notices as of Dec. 13 (note that some may also be given separate headlines):

China’s “advance classification advisory service” for samples of imports will start Dec. 20, according to a Dec. 13 report from the Hong Kong Trade Development Council. The measure will help companies gain a “preliminary ruling” on the classification of commodities for both imports and exports, the report said. To use the service, Chinese importers are required to apply to their local customs office when importing goods that have completed safety and quality assessments “via pre-shipment inspection,” or when importing samples of goods imported at a later date, the HKTDC said.

China recently announced plans to increase penalties for violations of intellectual property rights, according to a Dec. 12 report from the Hong Kong Trade Development Council, an issue at the center of the U.S.-China trade deal negotiations. China will raise its penalty from “three times the actual damages incurred” to “five times the actual damage,” the HKTDC said. The announcement is part of a China initiative to improve intellectual property rights protections in two phases by 2025, the report said.

The Justice Department announced three “key changes” for companies that submit voluntary disclosures of export controls and sanctions violations, the agency said in a Dec. 13 press release. The changes emphasize voluntary disclosures and lean toward rewards for companies that cooperate with the Justice Department through non-prosecution agreements and “significant” reductions in penalties, the press release said.

Senate Majority Leader Mitch McConnell, R-Ky., filed cloture Dec. 12 on the FY 2020 National Defense Authorization Act. S. 1790 includes language targeting Huawei and ZTE. McConnell’s cloture motion sets up a likely Senate vote this week. The House approved the measure Wednesday on a 377-48 vote. The House and Senate Armed Services committees released the conference text earlier in the week after months of work to blend the Senate- and House-passed (HR. 2500) measures. The conference version includes a modified text of House-side anti-Huawei language originally sought by Rep. Mike Gallagher, R-Wis., that would modify conditions for the Commerce Department to lift the Bureau of Industry and Security’s addition of Huawei to its entity list. It would require Huawei to prove it “sufficiently resolved or settled” supply chain security issues that led to its inclusion on the BIS entity list. The Commerce Department has since approved Huawei-related export licenses for U.S. companies to have their products included in the Chinese telecom equipment maker's products. The conference NDAA also includes Gallagher’s proposal to direct the president to report to Congress on ZTE's compliance with a 2018 agreement that lifted Commerce's ban on U.S. companies selling telecom software and equipment to ZTE.