The Bureau of Industry and Security on Nov. 12 issued a new 16-page guidance on its recently issued export controls on certain cybersecurity items, which take effect Jan. 19 (see 2110200036). The guidance includes 29 frequently asked questions on how the items will be controlled, how BIS defines certain control terms, when licenses are required for cybersecurity exports and more. The FAQs also define the term “government end-user” under new License Exception Authorized Cybersecurity Exports (ACE), and list situations when a license requirement is triggered for cybersecurity exports, when universities may need a license for teaching and training, and when certain carve-outs apply.
The Bureau of Industry and Security extended the comment period for an information collection involving the Chemical Weapons Convention provisions in the Export Administration Regulations (see 2107200010), the agency said in a notice. The information collection describes U.S. reporting obligations and information on certain end-use certificates. BIS said it will allow an additional 30 days of public comments. Comments are due by Dec. 13.
The Bureau of Industry and Security revoked export privileges for Manuel Valencia-Hermosillo for illegally exporting ammunition and magazines to Mexico, BIS said in a Nov. 9 order. The agency said Valencia-Hermosillo violated the Arms Export Control Act when he shipped 11,000 rounds of Wolf 7.62 X 39mm ammunition, 100 Palmetto State Armory 5.56 rifle magazines and 100 Korean 7.62 X 39 rifle magazines, all of which were controlled under the U.S. Munitions List. Valencia-Hermosillo was convicted Oct. 13, 2017, and sentenced to 15 months in prison, three years of supervised release and a $100 fine. BIS denied Valencia-Hermosillo’s export privileges for seven years from the date of conviction.
The Bureau of Industry and Security on Nov. 8 revoked export privileges for four people after they illegally exported a range of military-related items, including weapons parts, ammunition and technical data for defense items. Hersel Lincoln McKenzie was convicted Jan. 8, 2020, after illegally exporting 7.62 x 39 mm ammunition to Mexico, BIS said. McKenzie was sentenced to one year and one day in prison and a $100 fine. BIS denied McKenzie’s export privileges for five years from the date of conviction.
Export Compliance Daily is providing readers with the top stories for Nov. 1-5 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
The Bureau of Industry and Security fined a Pennsylvania-based scientific equipment manufacturer $80,000 for illegally exporting goods to Huawei and HiSilicon Technologies in 2019, according to a Nov. 8 enforcement order. The company, SP Industries, exported more than $170,000 worth of goods to the Chinese technology companies just after they were added to the Entity List (see 1905160072).
The Commerce Department should tread carefully when imposing new export controls, foreign investment restrictions and limits on standards collaboration, which may jeopardize the U.S.’s position in global information and communications technology supply chains, U.S. companies and trade groups told the agency this month. Some of those regulatory restrictions are already having chilling effects on U.S. competitiveness, they said, as foreign firms and countries can quickly fill voids in overseas markets and leadership positions in global standards bodies.
The Bureau of Industry and Security added four technology companies in Israel, Russia and Singapore to the Entity List for “acting contrary” to U.S. foreign policy and national security through “malicious cyber activities,” BIS said in a notice released Nov. 3. The companies either operate or supply technologies in the cyberintelligence and information security sectors and will be subject to a license review policy of presumption of denial for all items subject to the Export Administration Regulations. No license exceptions will be available for controlled exports to the four companies. The additions are effective Nov. 4.
Export Compliance Daily is providing readers with the top stories for Oct. 25-29 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
The Bureau of Industry and Security will add four entities in Israel, Russia, and Singapore to the Entity List for "malicious cyber activities" that are contrary to U.S. foreign policy and national security, BIS said in a notice. The two Israeli companies supply malicious spyware to foreign governments, and the companies in Russia and Singapore “traffic in cyber exploits” that threaten the “privacy and security of individuals and organizations worldwide.” BIS will impose a license review policy of presumption of denial for all items subject to the Export Administration Regulations. The Commerce Department said the Entity List additions are part of a government-wide effort to "stem the proliferation of digital tools used for repression." The additions take effect Nov. 4.