The Bureau of Industry and Security December rule (see 2012220053) that removed Hong Kong as a separate destination under the Export Administration Regulations has implications for EAR requirements but does not impact certain Census Bureau reporting requirements, Census said. In a Dec. 29 email to industry, Census said the BIS rule does not change Census' Foreign Trade Regulations ultimate consignee, country of destination and intermediate consignee reporting requirements, which contribute to certain trade statistics.
Export Compliance Daily is providing readers with the top stories for Dec. 21-24 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.
The Bureau of Industry and Security reduced licensing restrictions for certain exports to Ukraine, Mexico and Cyprus by revising their Country Group designations in the Export Administration Regulations (see 2011230010), according to a final rule released Dec. 23. The rule moves Ukraine from Country Group D to County Group B and adds Mexico and Cyprus in Country Group A:6, making more license exceptions available for each country. The changes take effect Dec. 28.
The Office of Information and Regulatory Affairs on Dec. 21 completed its review of a final Bureau of Industry and Security rule concerning Sudan. The rule, received by OIRA Dec. 3 (see 2012080003), would revise the Export Administration Regulations to reflect the U.S.'s rescission of Sudan’s designation as a state sponsor of terrorism (see 2012170015).
Export Compliance Daily is providing readers with the top stories for Dec. 14-18 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.
The Bureau of Industry and Security removed Hong Kong as a separate destination from China under the Export Administration Regulations (see 2012160010) in response to Hong Kong losing its autonomy from Beijing, BIS said in a Dec. 22 notice. The measures, which take effect Dec. 23, remove provisions that provide Hong Kong “differential and preferential treatment” for exports, reexports or transfers for items subject to the EAR.
The Bureau of Industry and Security will amend the Export Administration Regulations (EAR) Dec. 23 to add the new military end-user list (see 2012210047), consisting of 103 entities subject to export licensing requirements, the agency said in a Dec. 22 notice. Licenses will be required to export, reexport or transfer certain items described in the EAR that are subject to military end-use (MEU) or end-user licensing requirements. A BIS spokesperson said the 102 cited in the notice is a typo.
The Bureau of Industry and Security published a set of frequently asked questions to provide industry guidance on its summer update to the foreign direct product rule, which increased restrictions on certain foreign-made items (see 2009170026). The guidance, issued this week, features FAQs that cover how the restrictions apply to companies and products, and how they impact prior exports, manufacturing plants, supply chains, prior licenses and more. BIS also outlined how the restrictions may apply to various scenarios faced by industry, including licensing responsibilities and due diligence requirements.
The State Department issued a notice Dec. 17 officially rescinding Sudan’s designation as a state sponsor of terrorism (see 2010230022), which is expected to loosen certain export restrictions against the country under the Arms Export Control Act and the Export Administration Regulations. Sudan likely will no longer be subject to antiterrorism controls under the EAR and will be allowed to import a range of U.S. commercial goods, including electronics and software, according to a Dec. 14 post by Wiley Rein lawyers. Those trade restrictions have not yet been lifted, but the process should start soon, according to a Dec. 16 post by Akin Gump. The law firm urged companies to continue to be “diligent” and asses which remaining federal and state restrictions, including state level divestment sanctions regarding Sudan, as well as contractual or other relevant restrictions regarding Sudan still in place, may affect new business opportunities.”
The Office of Information and Regulatory Affairs on Dec. 15 completed its review of a final Bureau of Industry and Security rule that would remove Hong Kong as a “separate destination” under the Export Administration Regulations. OIRA began reviewing the rule in November (see 2011090007). BIS said in its fall regulatory agenda that it hopes to publish the rule in February 2021 (see 2012150037).