A new Bureau of Industry and Security license exception that could allow U.S. exporters to continue shipping certain advanced technologies to a list of close American allies is promising, but it presents some “limitations” if not implemented correctly, the Center for Strategic and International studies said this week.
No policy option available to the U.S. government, including lifting export controls, will persuade China to stop trying to de-Americanize and decouple its semiconductor equipment sector, the Center for Strategic and International Studies argued in a new report this week.
Recently issued Bureau of Industry and Security guidance that outlined the agency’s due diligence expectations for banks (see 2411010030) was a “warning shot” to financial institutions that they must take export compliance seriously, Meshkat Law said in a November client alert. The firm said the new guidance dispelled “any notions that compliance with the [Export Administration Regulations] is just for exporters.”
Although President-elect Donald Trump has vowed to dismantle the federal bureaucracy in Washington, a key architect of recent DOJ export control and sanctions initiatives believes those efforts will echo through the next administration.
The Bureau of Industry and Security added more than 100 entities to the Entity List and released a new set of semiconductor-related export controls on Dec. 2, introducing new license requirements for both U.S.-origin and foreign-produced chip tools and publishing new red flag guidance on how companies should be vetting Chinese chip factories.
New guidelines issued by the European Banking Authority are designed to help EU financial firms set common policies and procedures to comply with sanctions, export controls and other “restrictive measures.” The document offers separate guidelines for large banks and other sets of financial institutions, such as payment service providers and crypto-asset service providers, and includes recommendations around sanctions screening, risk assessments, due diligence and customer monitoring.
The Bureau of Industry and Security is extending the public comment period for an information collection involving the Chemical Weapons Convention provisions in the Export Administration Regulations. The collection describes the purpose of the CWC, U.S. reporting obligations and information on certain end-use certificates. Comments were due Oct. 28, but BIS said it’s allowing for another 30 days (see 2408270015).
The State Department this week announced penalties on three people and two entities and their subsidiaries for illegal transfers under the Iran, North Korea and Syria Nonproliferation Act.
The founder and former CEO of a California-based freight forwarding company pleaded guilty on Nov. 26 to conspiring to violate export laws by sending goods to Chinese companies on the Commerce Department's Entity List, DOJ announced.
Senate Foreign Relations Committee Chairman Ben Cardin, D-Md., urged the Biden administration last week to try to expand and better enforce the U.N. Security Council's arms embargo on war-torn Sudan.