The Office of Information and Regulatory Affairs on Dec. 8 completed a review of a final rule from the Bureau of Industry and Security that would clarify the scope of certain export restrictions to reflect decisions made at the June 2019 Australia Group plenary meeting. The rule, received by OIRA Nov. 16, would amend the scope of Export Control Classification Number 1C991, covering vaccines, immunotoxins, medical products, and diagnostic and food testing kits.
The State Department is circulating a proposed rule that would permanently revise the International Traffic in Arms Regulations to allow employees involved in ITAR-related activities to work remotely. To make the change, the rule would update the definition of a “regular employee” in ITAR, which would allow for greater flexibility for industry workers who telework, a State Department official said in a Dec. 9 email. The proposed rule was sent for interagency review last week (see 2012080011).
Some United Kingdom exporters may be experiencing delays in applications for three specific open general export licenses (OGEL) because of incorrect information submitted by the applicant, the U.K. said in a Dec. 7 notice. When applying for certain OGELs that require exporters to first obtain an approval letter from the Ministry of Defense (MOD), the applicants must include in their submission the “full contact details” of the Ministry of Defense Project Team that has awarded the exporter its contract. That information must include a telephone number and email address, the U.K. said. “Without this information [the U.K.’s Export Control Joint Unit] MOD will be unable to process the request which will be returned to the requester to provide the missing information,” the notice said. “This will lead to a delay in the exporter being able to use the OGEL.”
China said it will retaliate for U.S. sanctions against 14 National People’s Congress Standing Committee officials (see 2012070024), calling the moves damaging to U.S.-China relations. A Foreign Ministry spokesperson said the sanctions were imposed with “vicious intent” and urged the U.S. to reverse them. “We have this solemn message for the United States: The Chinese government is firmly determined to oppose U.S. interference in Hong Kong affairs, to uphold China's sovereignty, security and development interests, and to implement ‘one country, two systems,’” the spokesperson said Dec. 8. “In response to the egregious act by the U.S. side, China will take firm and strong countermeasures to defend its sovereignty, security and development interests.”
The Office of Foreign Assets Control on Dec. 7 issued two new frequently asked questions and updated four additional FAQs related to a January executive order that expanded U.S. sanctions authority against Iran (see 2001100050). The two new FAQs clarify whether transactions related to international organizations and Iran’s participation in international legal proceedings are subject to secondary sanctions.
The Office of Foreign Assets Control issued two sets of sanctions, one targeting Iran’s military, the other shipping companies transporting North Korean coal. The Dec. 8 announcements target two people, seven entities and four vessels.
The Office of Information and Regulatory Affairs began reviewing a final Bureau of Industry and Security rule concerning Sudan. The rule, received by OIRA Dec. 3, would revise the Export Administration Regulations to reflect the U.S. rescission of Sudan’s designation as a state sponsor of terrorism (see 2011020012).
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The Commerce Department will not publish its long-awaited proposed regulations on routed export transactions (see 2007150044) this year and is experiencing delays on other rules, including another set of export controls from the 2019 Wassenaar Arrangement, a Commerce official said. Hillary Hess, the Bureau of Industry and Security’s regulatory policy director, cited a combination of internal BIS delays and a backlog at the Federal Register for the slowdown.
China's attempts at using economic tools, such as export controls on rare earth minerals or punishing imports from Australia, have only been somewhat successful, according to Maximilian Ernst, the speaker on the American Institute for Contemporary German Studies webinar Dec. 7, called “How to Respond to China’s Carrots and Sticks? Prospects of a Transatlantic Response to Chinese Economic Coercion.” Ernst is researching Chinese coercion for a Ph.D.