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US Increases Export Controls for Cambodia

The U.S this week imposed an arms embargo and new, broad export restrictions on Cambodia in response to government corruption and human rights abuses. The restrictions, released Dec. 8 by the Commerce and the State departments and effective Dec. 9, will apply more stringent controls on a range of dual-use and military-related exports to the country (see 2112020015).

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The restrictions come less than a month after the U.S. sanctioned two senior Cambodian military officials and issued an advisory about the risks to businesses operating in the region (see 2111100027). But the situation hasn't improved, Commerce said, adding that the Biden administration is concerned about China's “growing influence” in the region, including its efforts to build military facilities in Cambodia. “[E]xpanded Chinese military influence in Cambodia and corruption and human rights abuses committed by Cambodian government actors, including the Cambodian military, are contrary to U.S. national security and foreign policy interests,” the agency said.

In a final rule, the Commerce Department’s Bureau of Industry and Security imposed a stricter licensing policy on certain national security controlled exports to Cambodia and added the country to its military and military intelligence end-use and end-user lists, which subject certain exports to a licensing policy of presumption of denial. Cambodia joins Myanmar, China, Russia and Venezuela on both the MEU and MIEU lists.

BIS also added Cambodia to its list of countries subject to a U.S. arms embargo under Country Group D:5 in the Export Administration Regulations. Similarly, the State Department amended the International Traffic in Arms Regulations to add Cambodia to the list of countries that are subject to a license policy of presumption of denial for exports of defense articles and defense services. The agency said certain “conventional weapons destruction and humanitarian demining activities” will be exempted from the denial policy.

All exports, reexports and transfers that now require a license as a result of Commerce’s increased export restrictions and that were aboard a carrier to a port as of Jan. 10, 2022, may proceed to their destinations under the previous eligibility, the agency said.

The new controls will essentially restrict Cambodia's access to dual-use items and “certain less-sensitive military items” under Commerce’s jurisdiction and all defense articles and services under the State Department’s jurisdiction, Commerce said. “We urge the Cambodian government to make meaningful progress in addressing corruption and human rights abuses, and to work to reduce the influence of the [China’s] military in Cambodia, which threatens regional and global security,” Commerce Secretary Gina Raimondo said.