Export Compliance Daily is providing readers with the top stories for Aug. 16-20 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 U.S. semiconductor manufacturer $469,060 for working with others to export chip-making equipment to Chinese companies on the U.S. Entity List, BIS said in an Aug. 16 order. The company, California-based Dynatex International, violated the Export Administration Regulations because it didn’t obtain the required BIS license before shipping the equipment. Although BIS said Dynatex knew it was shipping items to blacklisted companies, the agency substantially reduced the fine as part of a settlement agreement.
Taiwan is preparing for Beijing foreign policy to grow more aggressive in the coming months and is expecting a strong retaliatory response if it signs a free trade deal with the U.S., a senior Taiwan official said. But the official stressed that the country wants to complete a trade and investment agreement with the U.S. and other democracies, which could strengthen its position as a leading global provider of semiconductors.
Several companies recently disclosed their filings with the Committee on Foreign Investment in the U.S. or updated the status of their ongoing CFIUS reviews. Transactions involve Chinese technology companies, an agricultural technology business and a workplace learning technology provider.
South Korea recently unveiled plans to secure its rare metals supply chain and increase competitiveness, including through more industry support, the country’s Ministry of Trade, Industry and Energy said this month. The plan, which will cover a range of metals used to make semiconductor chips and batteries, includes tax breaks and other incentives for its rare metals sectors to reduce reliance on foreign suppliers. The measures are designed to “establish a secure supply chain to cope with potential supply uncertainties,” Argus said in an Aug. 5 blog post. The U.S. has taken similar measures to support its semiconductor industry (see 2107280051 and 2107220006).
Export Compliance Daily is providing readers with the top stories for Aug. 2-6 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
India's Directorate General of Foreign Trade extended until Sept. 30 the Chip Import Monitoring System, currently running on a trial basis to inspect and register imported integrated circuits. The CHIMS portal will become effective on Oct. 1, DGFT said Aug. 9. The registration requirement is for integrated circuits of Harmonized System Codes 85423100, 85423900, 85423200 and 85423300.
A group of House Republicans called on the Commerce Department to add Chinese smartphone maker Honor Device Co. Ltd. to the Entity List and asked for a briefing with the agency’s End-User Review Committee to ensure the administration is “moving with enough speed” on export controls. Because Huawei sold Honor Device Co., the company can access technology that “should be restricted,” the lawmakers said in an Aug. 6 letter to Commerce Secretary Gina Raimondo.
The U.S. needs to expand export and investment restrictions to prevent China from acquiring advanced semiconductor equipment and other sensitive technologies, former national security officials told Congress this week. One official specifically said the Commerce Department’s Bureau of Industry and Security should impose export controls more actively. Another said the Committee on Foreign Investment in the U.S. needs more resources.
The semiconductor industry urged the House to pass a bill it said will help boost U.S. chip research and innovation. The National Institute of Standards and Technology for the Future Act, passed by the House Science, Space and Technology Committee last month, would “maintain and build on U.S. science and technology leadership” by providing more funding for research at NIST, the Semiconductor Industry Association said Aug. 3 “The U.S. semiconductor industry relies on foundational research at NIST and other federal research agencies to help create the technologies of the future,” SIA President John Neuffer said in a statement. “We call on all House members to approve this important legislation.” SIA also continued to urge Congress to fund the CHIPS for America Act (see 2107220006).