When the Ways and Means Trade Subcommittee held a hearing on the U.S.-Japan mini-deal, the Office of the U.S. Trade Representative declined to send anyone to testify. Rep. Ron Kind, D-Wis., one of the biggest boosters of free trade in the Democratic caucus, said that absence represents “the disdain the current administration has" for Congress, and its role in setting trade policy. He predicted that "this will have serious ramifications for the next time" Congress has a vote on fast-track authority.
The Treasury’s Office of Foreign Assets Control is amending the Venezuela Sanctions Regulations by adding recent Venezuela-related executive orders, a recent general license and an “interpretive provision,” OFAC said in a Nov. 22 notice. OFAC is adding a general license “previously posted only on OFAC’s website” that authorizes certain U.S. government activities in Venezuela. The interpretive provision, which involves settlement agreements and enforcements of liens, judgments or “other orders through” the “judicial process,” clarified that the “entry into a settlement agreement … is prohibited unless authorized pursuant to a specific license issued by OFAC.”
A U.S. defense technology manufacturer said it takes U.S. export controls “very seriously” and vowed to improve its compliance after it settled for $1 million with the State Department for export violations. The company, AeroVironment, illegally exported goods and technical data in violation of the Arms Export Control Act and the International Traffic in Arms Regulations (see 1911200054). “We understand the importance of protecting our technology while making it available to help protect our allies,” Melissa Brown, AeroVironment’s vice president and general counsel, said in a Nov. 21 statement. “We will continue to enhance our export controls and appreciate the Department of State’s acknowledgement of the corrective actions we have already taken.”
The Commerce Department will likely seek multilateral support for upcoming export controls on additive manufacturing of metals, said Sean Ghannadian, a Bureau of Industry and Security official and part of Commerce’s Wassenaar Arrangement group. Commerce is also moving toward controlling certain ceramic coating technologies as part of the agency’s effort to identify and restrict sales of emerging technologies (see 1911200045), Ghannadian said.
The European Commission launched an online portal to provide businesses guidance on verifying actors in their supply chains and to aid with sanctions compliance, the commission said in a Nov. 19 press release. The “Due Diligence Ready!” portal will help businesses “check the sources of the metals and minerals entering their supply chain” and improve due diligence, the commission said. Specifically, the portal will help businesses identify whether their supplies are originating from human rights abusers who may be subject to European sanctions by providing access to training materials, guidance information and due-diligence requirements.
A U.S. manufacturer of defense technology products was fined $1 million by the Directorate of Defense Trade Controls and agreed to improve its compliance program after it violated the Arms Export Control Act and the International Traffic in Arms Regulations, DDTC said in a Nov. 20 enforcement order. The company, AeroVironment, illegally exported goods and technical data to Canada, Australia, France, Thailand and Britain, according to a charging letter. The company also violated terms and conditions of licenses and did not keep records of ITAR-controlled sales.
The U.S. is continuing sanctions on Burundi, the White House said in a Nov. 19 notice. The situation in Burundi -- marked by “violence” and “political repression” -- continues to “pose an unusual and extraordinary threat” to U.S. national security, the White House said. The sanctions are being renewed for one year from Nov. 22. The national emergency with regard to Burundi was originally declared Nov. 22, 2015.
The Securities and Exchange Commission’s recent penalty against a U.S. company’s sanctions and anti-corruption violations may be an indication of the SEC’s intent to begin penalizing sanctions violators, according to a Nov. 18 post by Squire Patton Boggs. The penalty marked a “rare foray” by the SEC into sanctions enforcement, the post said, and may signal its aim to explore new ways of policing companies.
The Commerce Department Bureau of Industry and Security finalized some interagency reviews of Huawei license applications and will begin issuing approvals and denials on a “rolling basis,” according to Matt Borman, Commerce deputy assistant secretary for export administration. The announcement was first made by Secretary Wilbur Ross, who told Fox Business on Nov. 19 that Commerce has started “to send out the 20-day intent-to-deny letters and some approvals.” Ross also said Commerce has received about 290 “requests for specific licenses.”
If President Donald Trump signs the bill that passed the Senate unanimously Nov. 19 and passed the House 417-1 on Nov. 20, the secretary of state will have to certify within 180 days whether Hong Kong continues to warrant special treatment under U.S. law because of its special status under Chinese rule. It also requires a report by that date on whether items exported to Hong Kong that are on export controls lists are being transshipped.