The State Department’s Directorate of Defense Trade Controls this week published two open general licenses to authorize reexports and retransfers of certain defense items and services to Australia, Canada and the U.K. The two authorizations, which are the first open general licenses issued by DDTC, will be valid starting Aug. 1 through July 31, 2023, as part of a new pilot program.
The Bureau of Industry and Security should harmonize the Entity List with other lists across various agencies to better capture foreign companies that should be subject to strict trade restrictions, lawmakers told BIS Undersecretary Alan Estevez this week. Others said BIS has failed to blacklist Chinese military companies that deserve placement on the Entity List, allowing the Chinese government to continue to buy sensitive American technologies.
The U.K. updated its Russia sanctions regime in a July 15 notice. The Office of Financial Sanctions Implementation dropped two names from the sanctions list, amended three others and corrected one more. OFSI removed Didier Casimiro, who was just designated in March (see 2203240016) and Zeljko Runje from the sanctions list; amended the entries for Sergei Ivanovich Saenko, Vladimir Leonidovich Sivkovich and Oleg Anatolyevich Voloshyn; and corrected the entry for Alrosa, a Russian diamond mining company.
The European Council renewed the EU terrorist list, which lays out the individuals and entities subject to anti-terrorism sanctions, for another six months, the council announced July 18. The list currently has 13 individuals and 21 groups and entities, subjecting them all to the freezing of assets. The sanctions regime was set up following the Sept. 11, 2001, terrorist attacks.
The European Commission on July 15 adopted a joint proposal for new measures to uphold the effectiveness of the EU's six sanctions packages against Russia following its invasion of Ukraine, the commission announced. Dubbed the "maintenance and alignment" package, it includes a new import ban on Russian gold, reinforces dual-use and advanced technology export controls, strengthens reporting requirements to shore up asset freezes, clarifies the scope of some sanctions and extends current sanctions until January 2023. “Russia's brutal war against Ukraine continues unabated," EC President Ursula von der Leyen said. "Therefore, we are proposing today to tighten our hard-hitting EU sanctions against the Kremlin, enforce them more effectively and extend them until January 2023. Moscow must continue to pay a high price for its aggression.”
The National Customs Brokers & Forwarders Association of America recently updated its U.S. Principal Party in Interest Responsibility Information Sheet and its Shipper’s Letter of Instruction (SLI) Model, the group said in a July 18 email to members. Forwarders can distribute the USPPI sheet to help their export customers better understand their exporting responsibilities, including commodity jurisdiction issues, due diligence requirements and export filing mandates. The updated SLI model focuses on the fields needed to submit Electronic Export Information and comply with export control requirements, NCBFAA said.
The Bureau of Industry and Security recently revoked export privileges for a New Jersey woman for illegal exports to Iran. BIS said Joyce Marie Eliabachus was convicted Oct. 7, 2020 (see 2010070026), after she worked with others to directly or indirectly ship U.S. aircraft components to Iran, including to Mahan Air, the country’s sanctioned airline (see 2008210041). Eliabachus was sentenced to 18 months in prison, one year of supervised release and a $100 fine. BIS denied Eliabachus’ export privileges for 10 years from the date of conviction.
CBP has completed work on its upcoming mandated electronic export manifest for ocean, air and rail (see 2205060015), and is inching closer to issuing a public rulemaking, said Thomas Overacker, CBP’s executive director of cargo and conveyance security, speaking July 18 during CBP’s Trade Facilitation and Cargo Security Summit. He said the agency also is “finalizing internal work” on mandated EEM for truck. “So watch for that,” he said. “In the coming year, we'll have more to announce.”
The U.K.'s Export Control Joint Unit updated the open general export license for military goods and technology to India. The move updated the conditions for shipping software or source code under the license. One condition says software or source code being exported must not be intended to boost the military capability of the end user beyond what was originally supplied under the U.K.'s license issued within the previous two years.
The EU released guidance on the transit of goods from Russia. The guidance, published by the European Commission, confirms that the transit of sanctioned goods by road is not allowed under EU sanctions but said these restrictions don't apply to rail transport, without prejudice to member states' obligations to exercise effective controls. The shipment of sanctioned military and dual use goods and technology is barred regardless of the mode of transport, the guidance said.