The U.S. should coordinate more closely with European partners on a sanctions framework aimed at Lebanese government officials, Senate Foreign Relations Committee leaders said. In an Oct. 29 letter to Treasury Secretary Janet Yellen and Secretary of State Antony Blinken, senators said the U.S. should “complement” the European Union’s recent sanctions against Lebanon so that the country’s leaders “fully understand the consequences, including the freezing of any assets subject to U.S. jurisdiction, of their behavior.”
The new Department of Justice enforcement and disclosure policies (see 2110280051) could substantially increase scrutiny on corporate trade violators, law firms said, especially those with a history of misconduct. The policies, announced last week by Deputy Attorney General Lisa Monaco, revealed the Biden administration’s “extensive agenda that is designed to be tough” on corporations, Wiley Rein said, and may foreshadow more changes. “As she made clear,” the firm said Oct. 29, “the Biden DOJ is serious about revamping corporate enforcement and this is just the first wave of reform.”
The trial involving Danish fuel supply Dan-Bunkering and its parent company Bunker Holding kicked off on Oct. 26, EU Sanctions reported. Denmark in 2019 charged Dan-Bunkering with violating the European Union's Syrian sanctions regime by selling jet fuel to Syria. Between 2015 and 2017, around 172,000 tons of jet fuel were allegedly sold to Russian companies and shipped to Syria using intermediaries, EU Sanctions said.
President Joe Biden extended a national emergency that authorizes certain sanctions against people and entities in Sudan, the White House said Oct. 29. Sudan has “made strides in its transition toward democracy.” but the “military takeover of the government and arrest of civilian leaders now threaten those positive gains,” the White House said. The emergency was extended for one year beyond Nov. 3.
The Office of Foreign Assets Control on Oct. 29 updated a Liberia-related vessel on its Specially Designated Nationals List. The entry lists the Oman Pride, a Liberia-flagged crude oil tanker subject to secondary sanctions. The tanker was sanctioned in August for being operated by Bravery Maritime, a company owned by Iranian oil shipper Mahmood Rashid Amur Al Habsi (see 2108130041).
The Office of Foreign Assets Control sanctioned four people and two companies for providing “critical support” to Iran’s Islamic Revolutionary Guard Corps’ unmanned aerial vehicle programs, the agency said Oct. 29. The designations target Iran-based Kimia Part Sivan Co. (KIPAS) and Oje Parvaz Mado Nafar Co. (Mado) for helping to bolster Iran’s UAV capabilities. OFAC also sanctioned Mohammad Ebrahim Zargar Tehrani, who helps KIPAS source its components from foreign companies; Yousef Aboutalebi, managing director for Mado; IRGC Brig. Gen. Abdollah Mehrabi, who is chairman of Mado; and IRGC Brig. Gen. Saeed Aghajani, who oversees the IRGC’s aerospace and UAV operations.
The State Department amended the International Traffic in Arms Regulations to reflect the sanctions imposed against Ethiopia and Eritrea last month (see 2109170036 and (see 2109200006). The agency revised the ITAR to “codify” that the U.S. will adopt a policy of denial for export licenses for defense articles and services to certain end-users in those countries, according to a notice. The policy of denial applies to defense exports to or for “armed forces, police, intelligence, or other internal security forces” for both Ethiopia and Eritrea. The agency also revised the ITAR to make certain technical and administrative changes to reflect the new policy. The changes are effective Nov. 1.
The Bureau of Industry and Security on Oct. 28 updated its guidance on the Foreign-Produced Direct Product Rule to further clarify situations when goods are subject to the FDP rule and require a license. The guidance, which includes a set of frequently asked questions (see 2012210044), now includes new FAQ No. 4 under the "supply chain" subheading, which starts on page four and continues onto page five, a BIS spokesperson said.
“Very few” of the Chinese military’s artificial intelligence equipment suppliers face specific U.S. export controls, allowing China’s defense industry access to a range of sensitive U.S. technologies, Georgetown’s Center for Security and Emerging Technology said in an October report. The absence of specific export restrictions over AI suppliers highlights significant “gaps” in U.S. export control policies, the report said, and could lead to “lapses in due diligence” by U.S. exporters.
The U.S. should continue to impose export controls on advanced semiconductor manufacturing equipment and machinery but be careful about restricting sales of finished semiconductor products to China, Chinese economics and technology policy experts said. Controls on finished products may risk hurting U.S. semiconductor exporters and would not stop China from importing those goods elsewhere, they said.