The State Department’s Directorate of Defense Trade Controls released guidance to help exporters comply with a proposal that could introduce new filing requirements for certain U.S. Munitions List items. The guidance -- which deals with a proposed rule by the Census Bureau that could require exporters to submit a new data element in the Automated Export System when shipping USML Category XXI items (see 2305020007) -- features a range of frequently asked questions, including about how exporters can determine whether their items are controlled under Category XXI, when exporters should use the data element and more.
U.S. export controls and investment restrictions can successfully maintain America’s lead over China in sensitive technologies, including semiconductors, said Michele Flournoy, a former Defense Department official. But she also warned against policies that could push the U.S. toward decoupling from Beijing, saying the government needs to do a better job working with industry to craft the restrictions.
A bill introduced in the Senate last week could create new export authorizations -- including a new open general license for certain defense exports and a new license exception for dual-use goods -- to expedite shipments to Australia, Canada and the U.K. The legislation, introduced by Sens. Jim Risch, R-Idaho, and Bill Hagerty, R-Tenn., also would allow the State Department to hire more export license review officers, create a “fast-track” foreign military sales process, reduce barriers to information sharing within the Australia-U.K.-U.S. partnership and more.
The European Commission and office of the EU High Representative for Foreign Affairs and Security Policy floated a proposal for a new sanctions regime to target corruption. In a joint communication to the European Parliament, the European Council and the European Economic and Social Committee, they said the regime would allow for sanctions where acts of corruption "seriously affect or risk affecting the fundamental interests of the Union and the objectives of the" Common Foreign and Security Policy. Such acts of corruption include "passive or active bribery" of a public official or "embezzlement or misappropriation" of funds by a public official.
China denied media reports it's exporting drones to the Russian military to be used in Ukraine, the Ministry of Commerce said, according to an unofficial translation. The ministry said China has "strict controls" on drone exports, adding that while there is no international control on civilian drones, many Chinese drone-makers have self-imposed such restrictions. China will continue looking to strengthen its export controls on drones, the ministry said.
The Biden administration this week released a national strategy for critical and emerging technology standards and outlined plans to strengthen American leadership in international standards bodies. The administration hopes the strategy helps the U.S. better work with allies to develop technologies that are “more accessible and sold more broadly across the globe, furthering market reach and helping to drive growth in our economies,” a senior administration official said during a May 3 call with reporters.
The Census Bureau this week previewed its new response code to prepare Automated Export System users ahead of a potential electronic export filing requirement for certain U.S. Munitions List items.
President Joe Biden signed an executive order this week that expands the U.S. sanctions authority against Sudan to target people threatening the peace, security or stability in the country. The order, issued after weeks of fighting between two Sudanese military forces for control of the country, also authorizes sanctions against people or entities undermining democracy, censoring freedom of expression, involved in corruption, committing human rights abuses, preventing peacekeeping missions and more.
Canada this week announced new sanctions against Iran for “gross and systematic” human rights violations. The designations target one entity and nine people, including members of Iran’s Morality Police unit who arrested Mahsa Amini, accusing her of not correctly wearing a hijab. Canada also sanctioned senior executives of Paravar Pars, an Iranian company that manufactures unmanned aerial vehicles for the country’s Islamic Revolutionary Guard Corps Aerospace Force. The U.S. imposed similar sanctions earlier this year (see 2304240023 and 2302030042).
U.S. export controls imposed against China’s semiconductor industry in October (see 2211010042) are so far having “only minimal effects” on the country’s artificial intelligence sector, Reuters reported May 3. Although the rules restricted shipments of certain chips “that have become the global technology industry's standard for developing chatbots” and other AI systems, including chips supplied by Nvidia, the U.S. technology company has created “variants of its chips for the Chinese market that are slowed down” to comply with the new license requirements, the report said.