The Senate will work over the next several months to build a bill Majority Leader Chuck Schumer, D-N.Y., sees as a sequel to its China package -- also known as the Chips Act -- that could expand China-related export controls and investment restrictions.
A potential Chinese military invasion of Taiwan could lead to an unprecedented level of new sanctions and export controls against Beijing, including U.S. financial sanctions against major Chinese companies and export prohibitions on anything related to the country’s military, trade lawyer David Wolber said. Banks in particular are concerned about the possibility of sweeping financial restrictions, Chloe Cina of Deutsche Bank said, adding that some are beginning to prepare for a worst-case sanctions scenario.
Seven attorneys and two international trade professionals, all from McDermott Will, joined Blank Rome's international trade practice group in Washington. The new lawyers are partners Joanne Osendarp and Eric Parnes, senior counsel Lynn Kamarck and Alan Kashdan, of counsel Conor Gilligan, and associates Tyler Kimberly and Brendan Saslow. Also joining are Jorge Miranda as trade economic adviser and Deborah Flinn as international trade manager, both from McDermott Will. Osendarp will co-chair the practice group with Anthony Rapa. The attorneys' practices involve trade remedy cases, export controls and sanctions proceedings and False Claims Act litigation, among other things, Blank Rome said.
The Office of Foreign Assets Control this week sanctioned two financial facilitators of sanctioned Syria-based terrorist groups Hay’at Tahrir al-Sham (HTS) and Katibat al-Tawhid wal-Jihad (KTJ). The designations, imposed alongside the Turkish government, target Omar Alsheak, a senior HTS leader, and Istanbul-based Kubilay Sari, who works on KTJ fundraisers to buy weapons systems, including firearms and mortars.
Placing export controls now on quantum information science technologies likely would “cause more harm than good,” Sam Howell, a research assistant with the Center for a New American Security, said in a May 1 article for the Lawfare blog. Although the U.S. could take several paths in imposing quantum technology restrictions -- including specific end-user controls or broader restrictions targeting “entire integrated quantum systems” -- she said each carries “significant pitfalls and are unlikely to be effective in protecting the U.S.’s strategic edge at this stage of development.”
U.S. hardware supplier MaxLinear said it submitted a “comprehensive” voluntary self-disclosure to the Bureau of Industry and Security in March detailing its potential illegal exports to a Chinese foundry on the Entity List. The company, which submitted an initial notification to BIS last year (see 2211070014), has since hired outside counsel who recently completed a “privileged investigation” of the potential violation, according to its April filing with the SEC. The company also “took immediate action to remediate, including by preventing recurrence.”
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The Census Bureau this week proposed that exporters submit a new data element in the Automated Export System when shipping items classified under U.S. Munitions List Category XXI. Census said the proposed change, previewed by an agency official last month (see 2304260047), could help the Commerce Department “collect additional data” on Category XXI exports, which includes articles, technical data and defense services “not otherwise enumerated” under other USML categories.
An influx of delisting requests spurred by the rapid pace of sanctions against Russia could strain already limited resources at the Treasury Department, former officials and lawyers said, increasing fears that removal efforts will be overlooked even as law firms see an uptick in business.
The U.K. issued a General License under its Russia and Belarus sanctions regimes permitting sanctioned individuals and entities to pay legal fees to law firms and counsel. The license took effect on April 29 and permits these payments in relation to any matter, except defamation or malicious falsehood proceedings, until Oct. 28. The license distinguishes between legal services issued pre-listing and post-listing.