The Bureau of Industry and Security loosened its license review policy for exports of certain drones controlled under the Export Administration Regulations (see 2012150011). The move, following a similar announcement by the State Department in July (see 2007270035), will impose a case-by-case license review policy on certain unmanned aerial systems (UAS) as opposed to a review policy of presumption of denial. The change will impact drones controlled for missile technology (MT) reasons and that have a “range and payload capability equal to or greater than 300 kilometers/500 kilograms” and a “maximum true airspeed of less than 800 km/hour,” BIS said in a final rule. The agency said the case-by-case review policy will also apply to MT-controlled items for the design, development, production or use in such drones. The changes take effect Jan. 12.
The United Kingdom amended several entries under its Syria, Russia and chemical weapons sanctions regimes, Jan. 8 notices said. The revisions include changes to Kamal Cheikha’s entry under Syria and the entry of Russia’s State Unitary Enterprise of the City of Sevastopol (Sevastopol Sea Port). The other revisions amend seven entries designated for chemical weapons reasons: Andrei Veniaminovich Yarin, Sergei Vladilenovich Kiriyenko, Sergei Ivanovich Menyailo, Aleksandr Vasilievich Bortnikov, Pavel Anatolievich Popov, Aleksei Yurievich Krivoruchko and the State Scientific Research Institute for Organic Chemistry and Technology.
The State Department criticized the arrests of more than 50 pro-democracy activists in Hong Kong last week, saying the U.S. could levy more sanctions on Chinese officials. “The United States will consider sanctions and other restrictions on any and all individuals and entities involved in executing this assault on the Hong Kong people, explore restrictions against the Hong Kong Economic and Trade Office in the United States, and take additional immediate actions against officials who have undermined Hong Kong’s democratic processes,” Secretary of State Mike Pompeo said Jan. 6. The European Union also criticized the arrests but did not threaten more sanctions. It said Jan. 7 the arrests “are the latest indication that the National Security Law is being used by the Hong Kong and mainland authorities to stifle political pluralism in Hong Kong.”
The Office of Foreign Assets Control on Jan. 8 updated its list of Chinese military companies and sanctioned an Iraqi official for human rights abuses. OFAC designated Falih al-Fayyadh, a former national security adviser who serves as the Iraqi Popular Mobilization Committee chairman. OFAC said al-Fayyadh headed the PMC when its “subcomponents” fired live ammunition at peaceful protesters in 2019.
The United Kingdom’s Export Control Joint Unit on Jan. 8 updated its legislation and licensing guidance to consolidate all notices for exporters that affect the end of the U.K.’s transition period after its break with the European Union. The documents include guidance on exporting dual-use items, firearms, civil nuclear material and military items.
The U.S. needs to boost its manufacturing capabilities, invest in innovation and improve its ability to export goods around the world, the President-elect Joe Biden’s two top Commerce Department nominees said. The nominees, Gina Raimondo as Commerce secretary and Don Graves as Commerce deputy secretary, were announced Jan. 8 by Biden, who urged the Senate to swiftly confirm their nominations.
President-elect Joe Biden is expected to choose Rhode Island Gov. Gina Raimondo to serve as secretary of the Commerce Department, multiple outlets reported Jan. 7. Raimondo, governor since 2015, is viewed as a moderate Democrat and has an extensive background in the financial sector, including co-founding a venture capital firm, according to The New York Times. Raimondo will take over an agency that is in the process of pursuing export controls over a range of emerging and foundational technologies (see 2011250054 and 2009170040), and that frequently has been used by the Trump administration to blacklist Chinese state-owned entities (see 2012180039). A spokesperson for the Biden transition team didn’t comment.
The State Department officially added Cuba’s Banco Financiero Internacional to its Cuba Restricted List, a Jan. 8 notice said. The addition blocks direct financial transactions with the bank under the Cuban Assets Control Regulations, and subjects certain U.S. export applications for items to be used by the bank to a denial policy. The change takes effect Jan. 8.
The Office of Foreign Assets Control on Jan. 6 issued a frequently asked question to provide guidance on President Donald Trump’s November executive order to ban U.S. investment in Chinese military companies (see 2011130026). OFAC said market intermediaries and others may “engage in ancillary or intermediary activities that are necessary to effect divestiture during the relevant wind-down periods” with publicly traded securities of Chinese military companies. The agency clarified that transactions by U.S. people and investors involving investment funds “seeking to divest during the relevant wind-down periods to ensure compliance” with Trump’s order are allowed.
The European Commission on Jan. 7 updated a document authorizing certain dual-use export control authorities to European Union member states. The document lists national authorities “empowered in the member states” that can grant export licenses, block the transit of “non-community dual-use items” and grant authorizations for “the provision of brokering services.”