The Bureau of Industry and Security this week renewed the temporary denial order for Moscow-based air cargo carrier Aviastar. BIS first suspended the export privileges of the Russian cargo charter airline in April (see 2204210043), barring it from participating in transactions with items subject to the Export Administration Regulations. The agency renewed the denial order for another 180 days after finding Aviastar continued to illegally operate aircraft subject to the EAR, including for flights between Russia and China.
Many companies are still trying to assess the “exact implications” of the U.S.’s new export controls on China (see 2210070049) and are hoping guidance from the Bureau of Industry and Security provides some answers, said Paul Trulio, an expert at the Center for Strategic and International Studies. Trulio told Bank of America that the controls are “still in the early stage” and it's too soon to “quantify the impact,” according to an Oct. 19 readout of a call published by the bank.
Artificial intelligence export controls should only be imposed multilaterally and should contain no ambiguity in order to minimize harm on U.S. competitiveness, trade groups told the Commerce Department this week. They said the controls also should clearly distinguish between “general purpose” and “application specific” AI software so the restrictions only cover items that pose genuine national security concerns.
The Bureau of Industry and Security issued a temporary denial order for Russian airline Ural Airlines after it violated U.S. export controls by flying multiple aircraft to Russia, BIS said. Under the order, Ural Airlines’ export privileges will be revoked for at least 180 days.
The Bureau of Industry and Security last week updated its “Don’t Let This Happen To You” guidance with new summaries and case examples of past export control investigations. The guidance now includes new case summaries of violations involving export controls against China, Russia, Iran and other countries.
New advanced computing and chip export controls against China (see 2210070049) represent an “unprecedented degree” of U.S. intervention to preserve technology leadership and could deal a major blow to China’s semiconductor industry, the Center for Strategic and International Studies said in a report last week. But there are several “lingering gaps” in the new policy that the Bureau of Industry and Security should “swiftly” address if it hopes to make the rules as effective as possible, the report said, including adding more companies to the Entity List, making sure the restrictions are adopted by allies and ensuring the agency is properly staffed.
The State Department’s Directorate of Defense Trade Controls is working on a range of technology improvements for its website and applications, including a new Part 130 decision tool and a voluntary disclosure application, said Frances Moore, DDTC’s deputy chief information officer. The agency also is working to revamp its website and is coordinating with the Bureau of Industry and Security on a new system to more efficiently share data.
The Bureau of Industry and Security received more than 150 questions ahead of its Oct. 13 public briefing on its new China-related export controls (see 2210070049) and plans to issue guidance for the restrictions on a rolling basis, senior BIS official Thea Kendler said during the briefing. She said guidance will include frequently asked questions that the agency will look to continually update on a “rolling” basis. “Let me assure you that we understand the need for speed in issuing FAQs,” Kendler said.
The top Republican on the Senate Banking Committee, Sen. Pat Toomey, R-Pa., said the administration has "a strong case for what they're doing" in restricting U.S. technology that aids the Chinese semiconductor industry (see 2210070049), but he questions how effective it will be unless the Netherlands and Japan go along.
The Bureau of Industry and Security is "undertaking a vigorous outreach effort" to educate companies on the broad China-related export controls announced last week (see 2210070049) and plans to issue guidance soon, a Commerce Department spokesperson said Oct. 12. That guidance will likely take the form of frequently asked questions, the spokesperson said. The agency is also hoping its Oct. 13 public briefing helps answer some industry questions.