The Senate Commerce Committee voted 17-11 May 14 to approve former Energy Department official Paul Dabbar to be deputy commerce secretary, sending his nomination to the full Senate for its consideration. Asked in written questions whether he would ensure the Bureau of Industry and Security has the resources necessary to do its job, Dabbar said he would ensure the Commerce Department, including BIS, “completes its mission.” He also said he would work to "tighten export controls on critical and emerging technologies."

The U.S. government could improve its ability to wield its economic statecraft tools, including sanctions, export controls and investment screening, by making several organizational changes, such as creating an interagency coordinating body co-led by a new high-ranking official at the State Department, a researcher told the House Foreign Affairs Subcommittee on East Asia and the Pacific May 14.

The Bureau of Industry and Security officially announced this week that it plans to rescind the Biden administration’s AI diffusion export control rule and issue a “replacement rule in the future.” The agency also issued new guidance about how using Huawei Ascend chips and other Chinese chips likely violates U.S. export controls, published recommendations for companies to protect their supply chains against “diversion tactics,” and outlined the types of activities involving AI chips and AI models that may trigger a license requirement.

Alan Estevez, undersecretary of the Bureau of Industry and Security during the Biden administration, has joined Covington & Burling as a senior adviser. Estevez is joining the firm's practice groups working on the Committee on Foreign Investment in the U.S. and international trade controls. Estevez served as undersecretary for more than three years, during which he oversaw the introduction and implementation of a range of new export control rules to restrict sales of advanced semiconductors and chip-related technology to China; new export restrictions against Russia; the continued expansion of the Entity List; and more.

The State Department’s Directorate of Defense Trade Controls this month updated its list of commodity jurisdiction determinations for items and services controlled under the U.S. Munitions List. The new determinations cover certain amplifiers, drones, parts related to fuel tanks, freight advisory services, transceivers, helicopter training, engines and more. DDTC also said some of the items should be classified by the Bureau of Industry and Security under the Export Administration Regulations as EAR99 or other specific Export Control Classification Numbers.

Nature’s Sunshine Products, a dietary supplement manufacturer headquartered in Utah, may have violated U.S. sanctions and export controls, it disclosed this month.

The Bureau of Industry and Security officially announced May 13 that it plans to rescind the Biden administration’s AI diffusion export control rule and issue a “replacement rule in the future.” BIS enforcement officials won't be enforcing the Biden-era rule, the agency said, which was scheduled to take effect May 15. The agency said it plans to publish a formal rescission notice in the Federal Register.

Sen. Tom Cotton, R-Ark., introduced a bill last week that would require export-controlled advanced computing chips to contain location verification mechanisms to prevent their diversion to “adversaries” such as China.

The Trump administration’s request for an increased budget allocation for the Bureau of Industry and Security (see 2505020030) signals that export enforcement will be one of the administration's top priorities, said Gregory Allen, director of the Wadhwani AI Center at the Center for Strategic and International Studies.

The U.S. needs to better enforce its existing export controls on advanced AI chips and chip equipment while bolstering its ability to screen Chinese investments that may be looking to evade those restrictions, several witnesses told Congress this week. But another witness said the current U.S. chip controls have so far failed and called on the government to rework its export control strategy.