The Bureau of Industry and Security withdrew a proposed rule from the Office of Information and Regulatory Affairs related to its strategic trade authorization (STA) license exception. The rule, which was received by OIRA Aug. 27 (see 2008280022) and withdrawn Nov. 12, would have clarified the “availability” and expanded restrictions on availability of the license exception under the Export Administration Regulations. A BIS spokesperson said the agency is still considering proposing the rule. “The rule was withdrawn for further informal interagency consultation,” the spokesperson said.

More than 20 industry groups urged the Bureau of Industry and Security to be cautious as it considers controls over foundational technologies (see 2008260045), saying the wrong approach could stifle innovation, damage U.S. competitiveness and lead to costly shifts in global supply chains. The groups said any new controls should only be imposed after a calculated process with significant input from industry, and should include license exceptions and exclusions.

Arena Solutions and Trade Compliance Group will partner to help regulated manufacturers understand export control laws, the companies said in a Nov. 10 news release. Arena Solutions provides product development services for the high tech, consumer electronics and medical device industries. “Many companies are either unaware or ill-prepared to meet [International Traffic in Arms Regulations] and [Export Administration Regulations],” Arena Solutions CEO Craig Livingston said. “Our platform provides a secure way to manage product development and management across the full lifecycle, and we are excited to have TCG provide import and export compliance consulting to our customers.”

The Bureau of Industry and Security extended the comment period for an information collection related to foreign importer certificates, end-user certificates, delivery verification certificates and firearms entry clearance requirements, a notice released Nov. 9 said. BIS said it wants more feedback on its collection for import and end-user certificates -- which are “obtained by the foreign importer and transmitted to the U.S. exporter” -- and delivery verification for BIS-controlled items. The agency is also seeking feedback on its information collection for firearms clearance requirements, which have changed due to the recent transfer of certain firearms controls from the State Department. “The Department of Commerce controls the [Commerce Control List] and must now take over this collection of information,” BIS said. The “entry clearance requirements for temporary imports will specify the [Export Administration Regulations] procedures for temporary imports and subsequent exports.” Comments are due Dec. 10.

The Office of Information and Regulatory Affairs began a review of a final rule from the Bureau of Industry and Security to remove Hong Kong as a “separate destination” under the Export Administration Regulations. OIRA received the rule Nov. 6. BIS announced in June that it suspended license applications for shipments to Hong Kong (see 2006300050) to further align Hong Kong export regulations with mainland China.

FedEx is appealing a U.S. court’s September decision to dismiss the company’s 2019 lawsuit against the Bureau of Industry and Security (see 2009110038), according to court records filed Nov. 5. The shipping company told the U.S. District Court for the District of Columbia that BIS was acting outside the authority of the Export Administration Regulations by applying overly burdensome liability standards on carriers (see 1906250030). But BIS said FedEx’s allegations were politically driven (see 1909110073) and the court said FedEx failed to prove the allegations (see 2009110038). In September, FedEx said it was “disappointed” by the court’s ruling and was considering an appeal (see 2009140003).

The Bureau of Industry and Security had planned to submit several export control proposals for the 2020 Wassenaar Arrangement but will have to wait another year due to disruptions caused by COVID-19 (see 2004290044). Matt Borman, the Commerce Department's deputy assistant secretary for export administration, said Wassenaar has been unable to meet this year and could not gather recommendations for dual-use controls from member states.

China’s new export control law (see 2010190033 and 2010220024) is expected to significantly impact trade and may include “very broad” catch-all controls, leading to compliance burdens for companies doing business in China, law firms said. Businesses should review their compliance programs to make sure they are prepared for the regulations and to avoid potential Chinese penalties, firms said, which could be severe.

The Bureau of Industry and Security revised its license review policy for items controlled for national security reasons and destined for China, Venezuela and Russia (see 2010230007), the agency said in a final rule released Oct. 28. The rule, which takes effect Oct. 29, said BIS and other “reviewing agencies” will determine whether those exports will make a “material contribution” to the weapons systems of the countries before approving the shipments.

The Census Bureau issued a guidance on Oct. 8 on the mandatory filing requirements outlined in the Bureau of Industry and Security's April rule on military-related exports (see 2006250026). Census said it received a “number” of questions on the rule, which increased due diligence requirements for certain exports to China, Russia and Venezuela and requires certain Electronic Export Information filings for some exports captured under the rule (see 2004270027).