While the U.S. needs a comprehensive technology strategy, it first should create new bureaucratic processes to implement that strategy or else risk uncoordinated policies with little impact, the Center for a New American Security said in an April 20 report. The report, which builds off previous research (see 2103160047) by the think tank that called for a better technology strategy to counter China, argues that current U.S. agencies and government bodies are unequipped to maximize the effectiveness of export controls and other trade policy tools.
The Senate Foreign Relations Committee passed its comprehensive China bill with several amendments, sending a bill to the Senate floor that could update China-related sanctions, export controls and foreign investment reviews. Senators said they expect the Strategic Competition Act of 2021 -- which would authorize a host of measures to address trade and technology competition issues with China and expand the jurisdiction of the Committee on Foreign Investment in the U.S. (see 2104080066) -- to garner broad bipartisan support before the full Senate.
The European Council announced the alignment of a group of European countries with the European Union's restrictive measures against Myanmar officials and entities for their role in the nation's Feb. 1 coup. In an April 19 news release, the council said North Macedonia, Montenegro, Serbia, Albania, Bosnia and Herzegovina, Iceland, Liechtenstein, Norway, Ukraine and Moldova will now subject the listed groups to an asset freeze and travel ban.
Export Compliance Daily is providing readers with the top stories for April 12-16 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.
Three top Senate Democrats urged President Joe Biden to reverse a Trump-era rule that transferred export controls of firearms, ammunition and other defense items from the State Department to the Commerce Department, saying the transfer creates less oversight over dangerous weapons exports. The January 2020 rule (see 2001170030) put in place “less-restrictive controls” over a range of lethal weapons, Sens. Bob Menendez of New Jersey, Dianne Feinstein of California and Patrick Leahy of Vermont said in an April 19 letter. They also said the transfer eliminated Congress’ ability to “be aware of and legally disapprove” of sales above $1 million.
Despite more scrutiny from the U.S., Chinese foreign direct investment in North America grew by almost half in 2020 compared to 2019, according to an April 19 Baker McKenzie report. But trade and investment experts cautioned industry about placing too much stock in those numbers, saying two-way U.S.-China investment remains “very low” and Chinese firms are still wary about gaining approval from the Committee on Foreign Investment in the U.S.
Four Republicans senators reintroduced a bill last week that would require that the executive branch impose sanctions on foreigners responsible for taking U.S. hostages, even if those responsible are government officials. It also creates a mechanism for Congress to require that an administration open a review if a government official was responsible for a hostage taking, and therefore, must be covered by the sanctions. The bill was sponsored by Sen. Tom Cotton, R-Ark., Sen. Ted Cruz, R-Texas, Sen. Todd Young, R-Ind. and Sen. Rick Scott, R-Fla., and introduced April 16. Hawley and Cotton sponsored another bill, called the Global Hostages Act, in 2019 that did not move in committee. Although it is called the Global Hostage Act, it would also apply to politically motivated harassment, abuse, extortion or arrests of American citizens and permanent residents, not just imprisonment or detainment.
Sen. Chris Van Hollen, D-Md., and Sen. Roy Blunt, R-Mo., are promoting a bill they say should guide government investments in advanced manufacturing or industrial research, and should be a companion to the Endless Frontier Act. The National Strategy to Ensure American Leadership (SEAL) Act would ask the National Academies of Science, Engineering and Medicine to identify which technologies will be the critical ones in the next five to 10 years, where if the U.S. is not a strong player, it could hurt the economy.
The European Union expanded sanctions on Myanmar to include an additional 10 individuals and two military-controlled companies. The European Council added Myanmar Economic Holdings Public Co. Ltd. and Myanmar Economic Corp. Ltd. for their role in the Feb. 1 coup and subsequent repression “undermining democracy and the rule of law” in Myanmar, an April 19 news release said. The listed individuals, as published in the council decision, are Mahn Nyein Muang, Thein Nynt, Khin Maung Swe, Aye Nu Sein, Jeng Phang Naw Htaung, Maung Ha, Sai Long Hseng, Saw Daniel, Banyar Aung Moe and U Chit Naing. Sanctions are now placed on 35 individuals and two companies with all listed parties subject to an asset freeze and a travel ban.
The United Nations Security Council renewed its restrictions on Libyan petroleum products and extended the mandate for the panel of experts that oversees Libyan sanctions and embargoes, it said in an April 16 news release. The council unanimously voted to extend the restrictions on the “illicit export of crude oil and other petroleum products” from Libya until July 30, 2022, and extended the mandate of the panel of experts until Aug. 15, 2022. It also called on member states to continue complying with the U.N. arms embargo against the country. The council last year extended a measure to allow member states to inspect certain vessels for violating the Libyan arms embargo (see 2006080013).