The Office of Foreign Assets Control on June 2 sanctioned six people who support the Cartel de Jalisco Nueva Generacion (CJNG), a Mexico-based drug trafficking organization. The designations target Severo Flores Mendoza, a "corrupt municipal police" official; Julio Cesar Montero Pinzon, member of a "violent" CJNG enforcement group; and six family members of a former senior member of CJNG: Esther Godoy Arellano, Angelberto Rincon Godoy, Julio Efrain Rincon Godoy and Moises Gonzalez Anguiano. OFAC previously designated CJNG members of the cartel last year (see 2110060017) and 2202180011). The agency said it worked with the Mexican government, Drug Enforcement Agency and CBP to impose the sanctions.
The U.S. on June 2 issued another round of Russia sanctions, targeting additional Russian oligarchs and elites close to Russia President Vladimir Putin. The sanctions also targeted Russian government officials and business leaders, the luxury property of elites, and luxury asset management and service companies key to Russian attempts to evade sanctions.
The U.S. and South Korea may have to build more trust if they want to effectively coordinate on technology competition issues, experts said during a June 2 event hosted by the Center for Strategic and International Studies. Although the May meeting between President Joe Biden and South Korean President Yoon Suk Yeol was a good first step, speakers said the two sides will likely face challenges implementing some of their goals, including an improved trade and technology partnership.
The U.K. issued two General Licenses under its Russia sanctions regime, permitting certain action for charities and telecommunications services. Under the "Russia Designated Persons -- Charities and Interim Managers and trustees" license, the Office of Financial Sanctions Implementation permits an interim manager or trustee of a charity linked to a listed individual or entity to make payments to meet the charity's basic needs until May 30, 2023.
The U.S. announced it is starting negotiations with Taiwan on trade facilitation, sanitary and photosanitary regulations for agricultural imports, digital trade, and coordinating to confront non-market practices. The U.S.-Taiwan Initiative on 21st-Century Trade is similar to the Indo-Pacific Economic Framework in its scope, but Taiwan was not invited to join IPEF negotiations.
The U.N. Security Council recently amended six entries on its ISIL (Da'esh) and al-Qaida Sanctions list, according to two separate notices. The revisions change identifying information for each of the entries.
The Office of Foreign Assets Control published three new FAQs related to the Chinese Military-Industrial Complex Sanctions, according to a June 1 notice. The FAQs address how U.S. financial institutions must deal with transactions involving Chinese Military-Industrial Complex Companies' (CMIC) securities, how holders of CMIC are affected by dividends, and whether they are required to divest interests.
The EU extended its Syria sanctions regime for another year, with restrictions to expire June 1, 2023, the European Council announced May 31. The sanctions apply to 289 individuals and 70 entities, subjecting all to an asset freeze and the individuals to a travel ban. The restrictions were imposed in 2011 to counter the state violence following the Arab Spring protests and ensuing civil war.
Through April 8, the EU froze over $7.1 billion and blocked over $24.3 billion in Russian assets stemming from its sanctions regime on Russia following its invasion of Ukraine. The European Commission confirmed these figures in a May 30 answer to a Parliamentary question over how the sanctions on Russian and Belarusian oligarchs has led to action. The figures for frozen Russian and Belarusian assets ballooned to $10.3 billion by April 29, with another $3.2 billion seized April 8 to April 29.
The U.S. and the EU should focus export control efforts under the Trade and Technology Council (see 2205160033) around end-use and end-user controls, rather than on a technology’s “capabilities,” industry told the EU in comments released May 31. Trade groups also said the U.S. and the EU should better harmonize their restrictions around “intangible” transfers, which have been implemented differently and have caused confusion among companies.