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Almost 25% of Parties Couldn’t Pass End-Use Checks in FY23, BIS Says

The Bureau of Industry and Security completed nearly a quarter of its end-use checks with a “less than favorable outcome” in FY 2023, a Commerce Department official said, meaning the agency couldn’t verify those end-users as a reliable recipient of U.S.-origin export-controlled goods.

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The official, speaking on background as part of a policy for certain career personnel at the BIS annual conference last week, said the agency couldn’t establish a company’s bona fides in 24% of its end-use checks, which was a “pretty large number of companies” that couldn’t be verified. The person said BIS agents conducted 1,590 total end-use checks across 62 countries last year, which set a record (see 2401030074).

The official also said the BIS Office of Export Enforcement pursued more than 330 investigative leads, helped stop 240 illegal exports and contributed to 465 nominations to the Entity List.

“Hopefully we're going to get some more people in coming budgets,” the official said, referring to the agency’s ongoing campaign to push Congress for more resources and more enforcement agents (see 2403110065). “The more people they give us, the more checks we’ll do, and hopefully the more prevention we’ll be able to administer.”