The Office of Foreign Assets Control this week sanctioned three people for being members of the Workers’ Party of Korea and helping North Korea develop weapons of mass restriction and ballistic missiles. The designations target Jon Il Ho, Yu Jin and Kim Su Gil, OFAC said. Brian Nelson, Treasury's undersecretary for terrorism and financial intelligence, said the sanctions were in response to North Korean missile launches (see Ref:2211070016]).
The U.S. expects allies to eventually impose similar semiconductor export controls against China, said National Security Adviser Jake Sullivan, echoing comments by Commerce Department officials earlier this year (see 2210270047 and 2211040014). Sullivan, speaking Nov. 30 during a conference hosted by the Center for Strategic and International Studies and the South Korean JoongAng media group, said the U.S. “engaged in intensive consultations” with South Korea and Japan before the administration's latest chip controls were released in October (see 2210070049), which ultimately shaped how the restrictions were crafted and could lead to those two countries and other joining the U.S.
The U.K. Department for Transport recently amended its transport sanctions to add guidance on Belarus ship sanctions and expand the guidance on Belarus aircraft sanctions. The agency also updated the guidance on Russia ship and aircraft sanctions.
The U.K. added 22 new entries to its Russia sanctions list, the Office of Financial Sanctions Implementation announced Nov. 30. All 22 are government and military officials, including officials responsible for promoting and enforcing the conscription of citizens to fight the war in Ukraine, OFSI said. The listings include Russian Deputy Prime Minister Denis Valentinovich Manturov; 10 governors and regional heads, including the governors of Dagestan and Kalmykia; five military commissars of Moscow, the Kaliningrad and Rostov regions; Arkady Alexandrovich Gostev, director of the Russian Federal Penitentiary Service; Ivan Prokopenko, head of the Tula Federal Penitentiary Service; Dmitry Bezrukikh, head of the Federal Punishment Service of the Rostov Region; and Ella Pamfilova, chairperson of the Central Election Commission.
The Pentagon this week released its annual report to Congress on Chinese military and security developments, detailing China’s strategy to become the world’s technology leader and other efforts that threaten U.S. national security. The report outlines initiatives by China to illegally acquire dual-use equipment through “espionage” and to subsidize domestic firms to disadvantage foreign businesses, as well as its relationship with heavily sanctioned countries, including North Korea and Iran.
DOJ unsealed a 15-count indictment Nov. 29 charging Madison County, Alabama, resident Ray Hunt with conspiring to violate U.S. sanctions on Iran, defrauding the U.S., smuggling goods from the U.S., and submitting false export information, the department announced. Hunt faces a maximum penalty of up to 20 years in prison and a $1 million fine for violating U.S. sanctions against Iran, up to five years for the count of conspiracy, 10 for the smuggling charge and another five for the false information charge.
The Bureau of Industry and Security is seeking public comments on priorities for export control cooperation with Japan, the agency said this week. BIS said the comments will help inform work under the Japan-U.S. Commercial and Industrial Partnership's Export Control Working Group, including efforts to ensure the two countries’ dual-use controls are “more transparent, more efficient and effective, and more convergent.” BIS said comments also will help the group identify and control emerging and foundational technologies and better enable collaboration between U.S. and Japanese research organizations.
The maritime industry should see an increase in Russian sanctions evasion tactics as the U.S., the EU and others prepare to set a price cap on Russian oil, said David Tannenbaum, a former sanctions compliance specialist at the Office of Foreign Assets Control. Logistics companies and others should be on the lookout for a rise in deceptive maritime practices, which could call for more compliance work and recordkeeping to avoid running afoul of U.S. sanctions, said Marco Crusafio, an international shipping lawyer with Squire Patton.
The U.S. is looking to “aggressively” reform and bolster its export controls and investment screening tools to counter China, particularly surrounding emerging and foundational technologies, Commerce Secretary Gina Raimondo said, speaking Nov. 30 at the Massachusetts Institute of Technology. Raimondo outlined what she called the U.S.’s “economic competitiveness strategy” toward China, stressing that the administration isn't looking to sever trade ties with the country but that companies in sensitive sectors should be reassessing business with China.
Mike Walsh, former chief of staff and acting general counsel at the Commerce Department, has joined Shearman & Sterling as a partner in the Washington, D.C., office's litigation wing, the firm announced. His practice will center on the national security elements of cross-border transactions, including matters involving the Committee on Foreign Investment in the U.S., export controls, Office of Foreign Assets Control sanctions and other cross-border investment proceedings. From 2018 to 2021, Walsh oversaw "legal initiatives" at Commerce, including CFIUS, export enforcement functions and appellate litigation. Most recently, Walsh was a partner at Foley & Lardner.