The U.S. has asked China to amend its increased export control inspections that are causing delays of medical supply shipments (see 2004160035, 2004150034 and 2004130014), according to a State Department spokesperson. “We appreciate the efforts to ensure quality control. But we do not want this to serve as an obstacle for the timely export of important supplies,” the spokesperson said in an April 17 statement. The spokesperson added that the U.S. has “raised these concerns” with China and requested that it “revise its new requirements to allow the expeditious export of vital [personal protective equipment] to the United States.” The U.S. is working “closely” with U.S. companies exporting medical supplies from China to help them “understand the new regulations and raise concerns about held-up shipments,” the spokesperson said. The request was first reported by Reuters.
The United Kingdom’s Office of Financial Sanctions Implementation corrected several entries in its Iran (human rights) sanctions regime, according to an April 17 notice. The notice corrected entries for Mohammad Hosseini, Ali Ashraf Rashidi Aghdam, Hossein Taeb and the Iranian Cyber Police. All four entries are still subject to an asset freeze.
Despite calls from industry and lawmakers, the Treasury Department does not plan to introduce new authorizations for humanitarian exports to Iran, said Andrea Gacki, director of the Office of Foreign Assets Control. Gacki said OFAC’s current general licenses are sufficient, adding that the agency has not received many license applications to export medical goods that are not already covered by an existing exemption.
The European Commission introduced draft legislation to narrow European Union-wide export controls and extend export exemptions to more territories, according to an April 14 notice. Under the new legislation, the restrictions, which currently apply to a range of personal protective equipment (see 2003200029), would only restrict sales of protective masks. The restrictions would also only last for 30 days beginning April 26, the notice said. The commission said the masks is the “only remaining category, where an export authorization is necessary” to maintain EU supply.
The Drug Enforcement Administration is designating norfentanyl as a fentanyl precursor chemical and setting controls for it as a schedule II substance under the Controlled Substances Act, the DEA said in a final rule. “The scheduling of norfentanyl as an immediate precursor of the schedule II controlled substance, fentanyl, subjects norfentanyl to all of the regulatory controls and administrative, civil, and criminal sanctions applicable to the manufacture, distribution, dispensing, importing, and exporting of a schedule II controlled substance,” DEA said. The final rule takes effect May 18.
The Treasury’s Office of Foreign Assets Control issued an April 16 guidance clarifying available humanitarian trade exemptions for U.S. sanctions regimes that target Iran, Venezuela, North Korea, Syria, Cuba and Ukraine/Russia. The guidance outlines the specific exemptions available for personal protective equipment and stresses that the U.S. will not target legitimate humanitarian trade to sanctioned countries. The guidance comes amid calls from current and former lawmakers and trade experts for more clarity surrounding OFAC humanitarian waivers (see 2004100044, 2004070028 and 2004010019), which has caused confusion among industry (see 2004140027).
The United Kingdom’s Department for International Trade updated its licensing data for its strategic export controls, according to an April 15 notice. The update provides new licensing data and statistics from 2017 through 2019.
Senate Armed Services Committee Chairman Jim Inhofe of Oklahoma and five other Senate Republicans urged the departments of Commerce, Defense, Energy and State Tuesday to “issue regulations as soon as possible confirming that U.S. participation in 5G standards-setting is not restricted by export control regulations” in order to ensure U.S. technology “continues to form the core of 5G foundational technology.” U.S. tech leaders “have been constrained from full participation in 5G standards-setting bodies” since Commerce's Bureau of Industry and Security’s addition of Chinese equipment maker Huawei to its entity list, the senators wrote Energy Secretary Dan Brouillette, Defense Secretary Mark Esper, Secretary of State Mike Pompeo and Commerce Secretary Wilbur Ross. “We are deeply concerned about the risks to the U.S. global leadership position” in 5G “as a result of this reduced participation, and the economic and national security implications of any diminished U.S. role in 5G.” When U.S. export controls “restrict U.S. companies from participating in standards-setting bodies,” Huawei “is well positioned to fill any gaps,” the senators said. The other GOP senators signing the letter were: John Cornyn of Texas, Tom Cotton of Arkansas, Mike Crapo of Idaho, Marco Rubio of Florida and Todd Young of Indiana.
Several U.S. agencies, including the State Department and Treasury Department, issued an April 15 guidance on cyber threats posed by North Korea, including sanctions in place to counter those threats. The guidance includes information on the types of North Korean actions that constitute “sanctionable conduct,” entities and people currently designated for cyber activity, how Treasury investigates possible cyber-related sanctionable conduct and more.
European Parliament members sent a letter earlier this month urging the European Commission to refrain from lifting sanctions against Russia, according to a member of the parliament. Although some officials have called for a global cessation of all sanctions during the pandemic (see 2003250010), 19 members said sanctions should only be lifted in cases in which they hinder humanitarian trade. “[N]ot all existing sanctions prevent sanctioned countries from obtaining medical equipment and essential goods,” the letter said. The members stressed that European Union sanctions on Russia include an arms embargo, an export ban for dual use goods and restrictions on access to sensitive technologies, but do not prohibit Russia from importing medical goods. The EU should do “everything in your power to maintain” Russian sanctions, the letter said.