DOJ unveiled last week that it had seized two "mission crew trainers" in 2024 that allegedly were bound for the Chinese military from a South African flight academy on the Entity List. The agency made the announcement Jan. 15 while filling a forfeiture complaint for both trainers with the U.S. District Court for the District of Columbia.
Although the Trump administration plans to allow Nvidia H200 chips to be exported to China, a White House official stressed last week that those exports will be closely scrutinized and that the U.S. will continue to restrict exports of the most leading-edge American chips and technology. Michael Kratsios, director of the White House Office of Science and Technology Policy, also said he doesn’t believe the Bureau of Industry and Security needs any additional authorities from Congress to boost its export control implementation or enforcement powers.
Citing economic and national security concerns, a panel of experts called on lawmakers Jan. 14 to overturn the Trump administration’s decision last month to allow Nvidia to export its H200 AI chips to China (see 2512080059).
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The Bureau of Industry and Security is easing its license review policy for certain chip exports to China but requiring exporters to meet several pre-conditions, including by certifying that there is “sufficient supply” of the chip in the U.S. and that the chips will be subject to “rigorous” know your customer procedures.
The Bureau of Industry and Security is easing its license review policy for exports of Nvidia H200 chips and their equivalents that are destined to China and Macau, BIS said in a final rule released Jan. 13 and effective Jan. 15. License applications for those chips will be reviewed under a case-by-case policy instead of a presumption of denial as long as the semiconductors set to be exported are commercially available in the U.S. and the exporter can attest to several certifications, including that there is “sufficient supply” in the U.S.; the chip has “sufficient security procedures”; that production of the chip won’t “divert global foundry capacity for similar or more advanced products for end users in the United States”; the chip had undergone third-party testing; and more.
The Bureau of Industry and Security reached a $1.5 million settlement this week with an international procurement company after its Shanghai affiliate admitted to illegally transferring low-level semiconductor equipment to a Chinese company on the Entity List.
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The Census Bureau alerted exporters this week about changes to Automated Export System codes that were previously used for certain validated end users, noting that the updates reflect an August rule from the Bureau of Industry and Security that removed China-based facilities as VEUs.
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