Starting Sept. 20, the Bureau of Industry and Security will require export licenses for all items subject to the Export Administration Regulations, including “EAR99” items, for shipments to 12 Chinese entities, BIS said in a final rule (here). Current license requirements for the 12 entities exclude “EAR99” items. BIS is issuing the rule to prevent certain encryption items from export, re-export, or transfer to certain prohibited end-users without a license, it said. BIS announced in a separate rule (here) it is moving items under Export Control Classification Numbers 5A992.a, 5A992.b, 5D992.a, 5D992.b, and 5E992.a, in the Commerce Control List, to “EAR99” designations. The rule requiring licenses to export to the Chinese entities covers those items being moved.

CBP will not immediately reject export filings without data required by the National Marine Fisheries Service once NMFS ACE export requirements take effect Sept. 20 (see 1608150011), according to an update from the National Customs Brokers & Forwarders Association of America. Export filers that do not include the additional data elements will receive a “verify” or “warning” message at this time, although eventually the missing data will cause a fatal error, the update said. The Automated Export System is already programmed to accept the additional NMFS data elements, and by Oct. 1 will include Schedule B and Harmonized Tariff Schedule flags, it said. "If the exporter's commodities are subject to the NMFS regulation, they will have to provide you with the data elements and in turn, you will have to provide them with the ITN [(internal transaction number)] so that they can upload the necessary documents to NMFS,” the NCBFAA said. CBP did not immediately comment.

The Bureau of Industry and Security is soliciting public comments on effects of current foreign policy-based export controls in the Export Administration Regulations (EAR), which will be included in a report submitted to Congress required under the Export Administration Act (EAA), BIS said (here). Comments must be filed by Oct. 8. “Foreign policy-based export controls” pertain to certain microprocessors for military end-uses and end-users, encryption items, and crime control and detection items, for example. Export controls maintained for foreign policy purposes require annual extension, and the EAA directs that a report must be sent to Congress whenever this occurs, BIS said. BIS is planning to extend the deadline for existing foreign policy-based export controls from January 2017 to January 2018, it said. Criteria considered in deciding whether to extend foreign policy-based export controls include compatibility of the controls with U.S. foreign policy objectives, whether the foreign policy objective of the controls can be achieved through negotiations or another way, and the ability of the U.S. to enforce the controls.

The Census Bureau is accepting revised certification of authority forms for authorization to access export reports in ACE, Census said in an email. “The goal of this new form is to expedite the vetting process and continue to ensure privacy and data confidentiality per the Foreign Trade Regulations," Census said. Exporters who want to access ACE Export Reports should log into their CBP.gov ACE Exporter Account, select the “accounts” tab, select “exporter” from the left-side pulldown menu, select “go,” then select their account located on the bottom-left, by clicking the expand button (“+”), then selecting “EIN” or “account name,” Census said. After this, exporters can click “Request EIN Reports Authorization” on the top-right of the page, and then will be “prompted to the REVISED COA.” No immediate action is required for ACE users who have submitted their request and provided a certification form, Census said. Additional information on ACE Export Reports can be found (here).

The Bureau of Industry and Security is proposing a rule that would extend the time limit of return shipments under a license exception for temporary exports and re-exports to Mexico, from one year to four years, BIS said (here). License Exception Temporary Imports, Exports, Re-exports and Transfers (in-country), or TMP, allows for temporary export and re-exports of various U.S. items subject to the Export Administration Regulations (EAR), as long as they are returned no later than one year after export, re-export or transfer if not consumed or destroyed during the time frame of authorized use. Under the proposed rule, items temporarily exported or re-exported under license exception TMP and imported under the provisions of Mexico’s Decree for the Promotion of Manufacturing, Maquiladora and Export Services (IMMEX) program would be authorized to stay in Mexico for up to four years after the date of export. BIS is accepting comments on the proposed rule until Oct. 21.

The Bureau of Industry and Security added 10 people, accounting for a total of 14 designations, to the Specially Designated Nationals list: six for Turkey, four for Syria, three for Iraq and one for the Philippines, BIS said (here). Items subject to a removed license exception or to a discontinuation of allowance to export or re-export without a license that are in transit as of Aug. 23, may proceed to foreign destinations under that previous eligibility, BIS said.

The Bureau of Industry and Security is again extending a temporary general license that maintains normal licensing requirements for exports, re-exports and in-country transfers to Zhongxing Telecommunications Equipment (ZTE) Corporation and ZTE Kangxun, until Nov. 28, BIS said (here). The temporary license was previously set to expire Aug. 30, after BIS extended the original deadline of June 30 (see 1606270013). After announcing sanctions against ZTE, ZTE Kangxun and two affiliated firms on March 8, alleging the companies conspired to re-export controlled defense-related items to Iran contrary to U.S. law (see 1603070001), BIS on March 24 created the temporary license to restore the pre-sanction licensing and other policies of the Export Administration Regulations regarding exports, re-exports and transfers to the companies.

The Bureau of Industry and Security is denying export privileges for a North Carolina resident and company, for allegedly committing eight violations of the Export Administration Regulations in connection with the export of about 6,557 kilograms of U.S.-origin T300 carbon fiber, worth about $288,736, to Singapore without required BIS licenses, BIS said (here). BIS reported that Walter Anders and Terand, Inc., agreed with the president of Middletown, N.Y.-based Performance Engineered Nonwovens that Terand would “falsely act” as the U.S. exporter of record for unlicensed exports after Performance Engineered Nonwovens’ export license was revoked over concerns with the recipients. Under the agreement, Terand was to receive a $1,400 commission for every successful export on Performance Engineered Nonwovens’ behalf. Commercial invoices drawn up by Terand falsely named itself as the exporter and falsely stated: “This commodity technology exported from the United States is in accordance with the Export Administration Regulations.” Terand and Anders also performed as an intermediary between Performance Engineered Nonwovens and the freight forwarder, instructing the forwarder, signing required shipping documents, and receiving status reports on the progress of the exports, BIS said.

At the urging of industry, CBP and the Bureau of Industry and Security on July 28 applied a new decrementing function within the Automated Export System for BIS export licenses that returns one or more informational messages to the filer, BIS’ Outreach and Educational Services Division said in an email. Depending on circumstances of export filings, filers may be notified of remaining license value balances, of BIS license values met or exceeded by a prior filing, or of a current filing that exceeded the license value or the allowable shipping tolerance of 10 percent over BIS license value, BIS said. Industry had told BIS that license decrementation should be automated similarly to licenses issued by the State Department Directorate of Defense and Trade Controls for U.S. Munitions List items. “The intent of this action is to enable filers to better track their own license usage and to identify potential filing errors so that corrective action can be taken immediately,” the email said. The informational messages won’t preclude issuance of an Internal Transaction Number or result in a “fatal error,” BIS said.

The Commerce Department Bureau of Industry and Security is amending the Export Administration Regulations (EAR) to make targets made of or containing lithium "specially designed" for the production of tritium by insertion into a nuclear reactor, and related development and production technology, subject to the EAR, and is putting a licensing restriction on those items, BIS said (here). Commerce, concurring with the Defense, State and Energy departments, is issuing an interim final rule to add the items to the 0Y521 series, because those items provide a significant military or intelligence advantage to the U.S. or because foreign policy reasons justify the controls, Commerce said. License applications for the goods may be submitted through the Simplified Network Application Process Redesign. Commerce will accept comments until Oct. 7 on the interim rule, which takes effect Aug. 8.