Industrial Policy & Trade Monitor· 2667 actions· ✨ 89 recent

On 8 December 2023 the Bureau of Industry and Security (BIS) published a direct final rule (88 FR 85479; FR Doc 2023-26532) making two export-liberalisation amendments to the Export Administration Regulations (EAR). First, BIS removes Chemical and Biological Weapons (CB) proliferation column controls from the Commerce Country Chart for exports of certain pathogens and toxins (ECCNs 1C351, 1C353, and 1C354) when destined to Australia Group (AG) member countries, on the basis that AG members operate equivalent domestic CBW-export controls. Second, the rule revises the Crime Control and Detection (CC) column entries for Austria, Finland, Ireland, Liechtenstein, South Korea, Sweden, and Switzerland, reflecting the updated US assessment of those countries' law-enforcement export-control standards. Both changes are effective on publication and reduce US export-licensing burdens for allied-country destinations without altering controls for non-allied markets.

The Bureau of Industry and Security (BIS) amended the Export Administration Regulations (EAR) by adding 32 persons across 13 countries to the Unverified List (UVL) on the basis that BIS was unable to verify their bona fides through end-use checks. The largest concentration is in China (14 entities), followed by the UAE (5) and Turkey (4), with single entries in Bulgaria, Canada, Germany, Indonesia, Israel, Malaysia, and Singapore. UVL placement suspends EAR license exceptions for shipments to listed parties and requires US exporters to obtain a signed UVL Statement and file Electronic Export Information in the Automated Export System before shipping any item subject to the EAR. Published 24 March 2023 (88 FR 17706, FR Doc 2023-06171); effective 24 March 2023.

The Bureau of Industry and Security (BIS) added 10 entities under 13 destination entries to the Entity List, effective February 24, 2023. The additions span three groups: (1) five Chinese entities operating in the commercial satellite and dual-use space sector — most notably Spacety Co., Ltd. and China HEAD Aerospace Technology Co., both suspected of supplying satellite imagery and space technology in support of the Russian military in Ukraine; (2) two Canadian procurement intermediaries (CPUNTO Inc. and Electronic Network Inc.) facilitating illicit acquisition of US-origin controlled items; and (3) three Russian defense-industrial procurement companies supplying the Russian military. All listed entities are subject to a license requirement for all EAR-subject items with a policy of denial, except EAR99 food and medicine which receive case-by-case review.