The European Union is bracing for a large workload and host of new “responsibilities” as it prepares to implement its new dual-use export control regime, said Denis Redonnet, the European Commission’s chief trade enforcement officer. Redonnet said the regime will “test” EU agencies and governments and will only succeed with cooperation from industry experts.
Leaders of a congressional commission on China asked Intel and Nvidia to explain whether they knew their technology exports to China would help the government conduct mass surveillance of Muslim minorities and eventually lead to human rights violations. In Dec. 4 letters, Rep. James McGovern, D-Mass., and Sen. Marco Rubio, R-Fla., chair and co-chair, respectively, of the Congressional-Executive Commission on China, said they are concerned that sales of the companies’ computer chips are helping to power a Chinese supercomputer being used to suppress minorities in the Xinjiang region, The New York Times reported Nov. 22.
China's attempts at using economic tools, such as export controls on rare earth minerals or punishing imports from Australia, have only been somewhat successful, according to Maximilian Ernst, the speaker on the American Institute for Contemporary German Studies webinar Dec. 7, called “How to Respond to China’s Carrots and Sticks? Prospects of a Transatlantic Response to Chinese Economic Coercion.” Ernst is researching Chinese coercion for a Ph.D.
The Defense Department on Dec. 3 released another list of Chinese companies with ties to the country’s military, including Semiconductor Manufacturing International Corporation, China’s top chipmaker (see 2011300038). The other companies are China Construction Technology Co. Ltd., China International Engineering Consulting Corp. and China National Offshore Oil Corp. The Defense Department said it designated the companies to “highlight and counter” China’s military-civil fusion efforts, adding that China’s government uses what appear to be civilian entities to acquire advanced technologies. DOD released two similar lists earlier this year (see 2008300001 and 2006250024) and said it will continue to update the lists.
The Justice Department plans to announce more indictments involving cases of Chinese technology theft before the Joe Biden administration takes over in January, top U.S. security officials said. Under the agency’s China initiative (see 2008130036), the U.S. has targeted and arrested Chinese nationals for trying to steal export-controlled technology, an effort that has resulted in more than 1,000 Chinese researchers leaving the country since July, said John Demers, the U.S. assistant attorney general for national security.
The Defense Department plans to add several more Chinese companies, including its top chipmaker, to a blacklist of firms with ties to the country’s military (see 2011230007), Reuters reported Nov. 29. The additions to the list, which have not yet been published, include Semiconductor Manufacturing International Corporation, China National Offshore Oil Corp. (CNOOC), China Construction Technology Co. Ltd. and China International Engineering Consulting Corp., Reuters said. The companies will likely fall under President Donald Trump’s November executive order to ban Americans from investing in Chinese military companies (see 2011130026).
The board of directors of the Semiconductor Industry Association elected Qorvo CEO Bob Bruggeworth and Qualcomm CEO Steve Mollenkopf as the group’s chair and vice chair, respectively, for 2021, SIA said in a Nov. 19 press release. SIA President John Neuffer said both are “dedicated industry leaders and accomplished champions for chip technology,” adding that they will “greatly benefit” SIA as it pursues “industry priorities in Washington and capitals around the world.”
Cordell Hull, who has led the Bureau of Industry and Security for the last year (see 1911180040), will resign next month ahead of the incoming Joe Biden administration. His last day will be Dec. 4, a BIS spokesperson said. “I am proud of what we have achieved on important issues of national security at BIS and I have decided to look for the next challenge in the private sector,” Hull said in a Nov. 19 statement. “I am grateful to Secretary [Wilbur] Ross for giving me this opportunity to serve.”
The U.S. needs to work closer with allies on export controls and foreign investment screening to counter China, a Republican House member and two former Trump administration officials said. They said the U.S.’s current unilateral approach to trade restrictions is not working and could cede U.S. technology leadership to China.
Export Compliance Daily is providing readers with the top stories for Nov. 9-13 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.