Venezuela’s oil production will continue to drastically decline in 2020 if Nicolas Maduro stays in power, potentially crippling future Venezuelan oil trade, said Alejandro Grisanti, director of the ad hoc board for Petroleos de Venezuela set up by opposition party leader Juan Guaido. Speaking during an Oct. 22 Atlantic Council panel, Grisanti said Venezuela’s oil production will fall to 450,000 barrels per day in 2020 if Maduro stays in power. The country’s oil production has fallen from 1.5 million to about 750,000 barrels per day this year due to U.S. sanctions, Grisanti said.
In the Oct. 17-21 editions of the Official Journal of the European Union the following trade-related notices were posted:
The European Commission updated a portion of its European Union dual-use export control list to bring it “in line … within the framework” of non-proliferation and export control regimes in 2018, the commission said Oct. 17. The updated list will take effect in about two months if its being approved by the European Council and European Parliament, according to an Oct. 21 post on the EU Sanctions blog. Changes to the list include new entries for discrete microwave transistors, microcomputer software and air-launch platforms for space launch vehicles, the post said, and amendments to entries for underwater submersible vehicles, hydrophones, cryptographic activation tokens, digital to analogue converters and multilayer mask control. The list deletes “technology for gas turbine engine components,” the post said, and contains new mentions of specific lasers and items designed for “civil industry application.”
The Treasury’s Office of Foreign Assets Control issued a Venezuela-related general license extending certain permitted transactions with Petroleos de Venezuela, Venezuela’s state-owned oil company, according to an Oct. 21 OFAC notice. General License No. 8D, which replaces No. 8C, authorizes certain transactions by Chevron Corp., Haliburton, Schlumberger Limited, Baker Hughes and Weatherford International until Jan. 22, 2020.
Companies are concerned about the “heavy-handed use” of export controls and sanctions by the Trump administration, which could lead to a less interconnected global trade order, said Babak Hoghooghi, a trade lawyer specializing in sanctions and export controls at Berliner Corcoran. Hoghooghi, speaking during an Oct. 18 panel hosted by American University's Administrative Law Review. He said the U.S.’s “overuse” of sanctions prompts other countries to consider decoupling from global economies and seek long-term workarounds to U.S. policies. Other trade experts have warned of similar consequences (see 1908010020). “I would venture to say that this process has already begun,” Hoghooghi said.
Google hired Scott Deutchman, previously with Neustar, as senior policy adviser-telecom, spectrum, export controls, privacy and intellectual property.
The House plans to pass a “strong, bipartisan” sanctions package this week in response to the Trump administration's decision to lift sanctions on Turkey in exchange for a ceasefire in Syria, House Speaker Nancy Pelosi said. Pelosi’s comments came after the Trump administration announced last week it would be suspending further sanctions on Turkey and plans to lift recently announced sanctions in exchange for the ceasefire.
Companies and trade groups warned the Treasury Department that the proposed regulations for the Foreign Investment Risk Review Modernization Act may repel foreign investors and customers, fails to clearly define “critical technologies” and could place trusted trading partners at disadvantages, according to comments due Oct. 17.
The Commerce Department's Bureau of Industry and Security is amending the Export Administration Regulations to further restrict exports and re-exports to Cuba, BIS said in a notice. The amendments change BIS licensing policies and exceptions for certain aircrafts and vessels, establish a 10 percent de minimis level for Cuba, make the Cuban government ineligible for certain donations and clarify the scope of unlicensed telecommunication items the Cuban government can receive. The Office of Information and Regulatory Affairs recently said it completed its review of the rule (see 1910150041)
RANCHO MIRAGE, Calif. -- CBP hopes to have a fully functioning electronic export manifest system up and running by the end of year, said Jim Swanson, CBP director-cargo and security controls, at the Western Cargo Conference (WESCCON) on Oct. 11. Specifically, Swanson is eyeing a “November time frame” for the ocean, air and rail modes, with truck coming at a later date after CBP completes its work on rebuilding the inbound manifest system for that mode, he said.