The top Republican on the House Foreign Affairs Committee urged Commerce Secretary Gina Raimondo to address the agency’s “incomplete” implementation of its emerging and foundational technology export control mandate when she testifies before the House this week. Raimondo -- who will testify May 6 before the House Appropriations Subcommittee on Commerce, Justice and Science -- should also address Commerce’s search for a Bureau of Industry and Security leader and outline the agency's export controls strategy to compete with China, said Rep. Michael McCaul, R-Texas.
The State Department fined a U.S. aerospace and technology company $13 million for illegally exporting technical data to several countries, including China, according to a May 3 order. Honeywell International sent drawings of parts for military-related items, including for engines of military jets and bombers, the agency said, all of which were controlled under the International Traffic in Arms Regulations. After discovering the violations, issuing a self-disclosure to the State Department and bolstering its compliance program, the company again illegally exported technical drawings, failing to abide by its improved compliance requirements, the order said.
Forwarders are seeing a rise in maximum penalties issued by CBP for violations surrounding ocean shipments that occurred over a year ago, National Customs Brokers & Forwarders Association of America officials said. Joe Brogan, the chair of NCBFAA’s export compliance subcommittee, said CBP officers are increasingly digging up old violations where forwarders submitted incorrect transportation-related information, such as the date of export or the port of export, and have levied penalties higher than $14,000 for a “single occurrence.”
A strong condemnation was issued by the presidents of the European Council, Commission and Parliament on the imposition of restrictive measures against eight European Union officials, the EC announced in an April 30 press release. The condemnation came following Russia's move to ban European Parliament President David Sassoli, European Commission Vice President Vera Jourova and six EU member states' officials from entering the country in retaliation for sanctions placed on Russia. “This decision, which directly targets the European Union and its Member States, is unacceptable, devoid of any legal justification and baseless,” the joint statement in the release said. “It serves to underline that the Russian Federation has so far chosen the path of confrontation instead of seeking to reverse the negative trajectory of EU-Russia relations.”
The Bureau of Industry and Security fined a California metalworking machinery company $60,000 for illegally exporting an item to the United Arab Emirates, BIS said in an April 30 order. The company, MDA Precision LLC, knowingly violated the Export Administration Regulations when it sold a $34,000 “five-axis benchtop milling machine” to the UAE without a license. BIS said the UAE customer likely intended to transfer the machine to Iran.
The Drug Enforcement Administration is listing four fentanyl-related substances -- fentanyl carbamate, ortho-fluoroacryl fentanyl, ortho-fluoroisobutyryl fentanyl and para-fluoro furanyl fentanyl -- under Schedule I of the Controlled Substances Act, it said in a final rule released May 3. The four substances had already been temporarily controlled under a 2018 order that's set to expire May 6 (see 2004090045). The permanent listing takes effect May 4. “The regulatory controls and administrative, civil, and criminal sanctions applicable to schedule I controlled substances on persons who handle (manufacture, distribute, reverse distribute, import, export, engage in research, conduct instructional activities or chemical analysis, or possess), or propose to handle any of these four specified fentanyl-related substances will continue to be applicable permanently as a result of this action.”
Although a court opinion last week cleared the way for exports of 3D-printed guns to be removed from State Department jurisdiction, the guns will continue to be covered under the agency’s U.S. Munitions List until the ruling is made official, the State Department said.
While Western sanctions against Russia haven’t fully succeeded, they’ve been more effective than widely assumed and have played a significant role in limiting Russia’s economic growth, economists and international relations experts said. The experts urged the U.S. and other Western countries to continue imposing sanctions against Russia, which may dissuade the country from pursuing destabilizing activities in Ukraine and interfering in foreign elections.
Syrian national Mazin Al-Tarazi, a Kuwait resident, will remain sanctioned by the European Union following an April 14 EU General Court decision dismissing his application to be removed from the list. The court found that while Al-Tarazi had raised a reasonable doubt as to his role in certain projects such as the construction of Marota City and investments in the construction and aviation industries, he is a “leading businessperson operating in Syria.” Al-Tarazi owns a luxury hotel in Syria and is licensed to operate a private airline, making him a prominent businessperson who “benefits from and/or supports the Syrian regime,” the court said.
President Joe Biden has made his choices for several senior positions at Treasury, including the agency’s top sanctions and foreign investment officials, Bloomberg reported April 30. Biden will nominate attorney Brian Nelson to be undersecretary of the Terrorism and Financial Intelligence office, which oversees the Office of Foreign Assets Control, and attorney Josh Berman to be assistant secretary overseeing Treasury’s work on the Committee on Foreign Investment in the U.S., according to the report.