CBP and other export enforcement agencies are increasing detentions of shipments to China and Hong Kong due to a series of recently imposed export restrictions announced by the Trump administration, trade lawyer Doug Jacobson said. Jacobson said he has noticed a “dramatic increase” in detentions and seizures, and said he is spending “a lot of time” working with agencies to provide information on clients’ shipments.
Intel was granted U.S. export licenses to supply certain products to Huawei, an Intel spokesperson said in a Sept. 23 email. Intel received the licenses despite increased U.S. restrictions against the Chinese technology company, including the Bureau of Industry and Security's August revisions to the foreign direct product rule that were intended to block Huawei’s ability to access U.S. technology (see 2008170029). The Intel spokesperson declined to provide more details on the licenses. A BIS spokesperson said the agency does not comment on licensing issues.
The Bureau of Industry and Security revoked Walid Chehade’s export privileges after he was convicted of illegally exporting guns and gun parts to Lebanon, a Sept. 21 order said. Chehade, of Westlake, Ohio, was convicted May 8, 2019, and sentenced to time served, a $5,000 fine and one year of supervised release. BIS revoked Chehade’s export privileges for seven years from the date of conviction, which means until May 8, 2026.
The Bureau of Industry and Security’s proposal to reduce the number of countries eligible for license exception Additional Permissive Reexports (APR) (see 2004270025) could damage U.S. competitiveness and lead to overly broad export restrictions, trade groups and industry said in comments released this month. If BIS follows through on the change, commenters suggested that it first limit the scope of the rule, which could potentially restrict more than 20 countries from receiving certain U.S. reexports that are controlled for national security reasons.
The Bureau of Industry and Security added 47 entities and individuals to its Entity List for “acting contrary” to U.S. national security and foreign policy interests. The additions include entities in Canada, China, Hong Kong, Iran, Malaysia, Oman, Pakistan, Thailand, Turkey, the United Arab Emirates and the United Kingdom. Designations were for a range of illegal procurement activities, including sending nuclear-related items and other products to Iran. BIS will also correct four existing entries under China.
The Office of Information and Regulatory Affairs began a review of a final rule from the Bureau of Industry and Security related to its “national security license application review policy” for China, Russia and Venezuela. OIRA received the rule Sept. 17.
The Bureau of Industry and Security plans to add 47 entities to its Entity List for “acting contrary” to U.S. national security and foreign policy interests. The additions include entities in Canada, China, Hong Kong, Iran, Malaysia, Oman, Pakistan, Thailand, Turkey, the United Arab Emirates and the United Kingdom. BIS designated the entities for a range of illegal procurement and nuclear-related activities, including sending nuclear-related items and other products to Iran. BIS will also correct four existing entries under China.
Industry should expect the Bureau of Industry and Security's increased activity around export controls to continue, including more additions to the Entity List and the “refinement” of export controls for Hong Kong, said Tim Mooney, a BIS senior export policy analyst.
The Bureau of Industry and Security is preparing industry guidance for its August restrictions on Huawei, including changes to the foreign direct product rule (see 2008170029), Deputy Assistant Secretary of Commerce for Export Administration Matt Borman said. He said BIS will issue a series of frequently asked questions similar to its “fairly extensive” FAQs issued in June for new licensing restrictions for military-related exports (see 2006290045). Borman did not say when they will be released.
The U.S. needs a clearer approach to its export control regime and should coordinate more closely with allies to counter China’s technological rise, Sen. Mark Warner, D-Va., said, adding that the U.S. needs to better communicate to industry about the risks of doing business with China and its government-sponsored human rights abuses.