The State Department added Cuba to a list of countries that do not cooperate with U.S. counterterrorism efforts and the Arms Export Control Act, adding that it will block sales or licenses involving exports of defense goods to Cuba, the agency said May 13. This year marked the first time the U.S. recognized Cuba as not cooperating with the AECA since 2015, the agency said. Others on the list include Iran, North Korea, Syria and Venezuela.
The Commerce Department’s Bureau of Industry and Security is allowing more time for comments on an information collection relating to technology letters of explanation, according to a notice. The letters provide assurance to BIS and requires the “consignee” to certify that an export involving controlled technical data will not be released to blocked countries. BIS first requested comments for the collection in February (see 2002050019).
The Treasury Department, the State Department and the Coast Guard issued a May 14 guidance on illegal shipping and sanctions evasion practices by Iran, North Korea and Syria. The guidance aims to help traders in the maritime industry -- including the energy and metal sectors -- avoid doing business with customers trying to avoid U.S. sanctions. The 35-page guidance updates previous shipping advisories, including a guidance on illegal North Korean ship-to-ship transfers (see 1903210052).
The Commerce Department announced increased restrictions on foreign-made chips exported to, and made by, Huawei and its affiliates, and said it does not expect to issue another temporary general license extension for the Chinese technology company after its latest 90-day renewal expires Aug. 13.
The European Commission on May 11 published guidance on delivering humanitarian goods to Syria despite European Union sanctions. The guidance will be the first in a “series” of “comprehensive” frequently asked questions provided to industry on exporting aid to sanctioned countries, the commission said in a May 12 notice. The guidance clarifies responsibilities of exporters and should help “speed up the channeling of equipment and assistance” to Syria. “Sanctions should not stand in the way nor impede the delivery of essential equipment and supplies necessary in the global fight against the coronavirus pandemic,” European Commission Vice President Josep Borrell said in a statement. “We need to ensure timely assistance and avoid negative consequences for the populations of conflict affected areas, who already are bearing a heavy burden.”
Hong Kong’s Trade and Industry Department issued a May 12 notice to traders about the U.S. Commerce Department’s upcoming elimination of license exceptions for civil end-users (see 2004270026), which will affect exports, reexports and transfers of U.S.-origin goods from Hong Kong. Hong Kong informed industry that exports usually allowed under the license exception will now require a U.S. authorization, adding that it will specifically impact shipments of electronics, computers and telecommunications products. Although the U.S. exemption will be eliminated, Hong Kong will make “no change” to its “import and export licensing control on strategic commodities,” the country said. Traders exporting or importing U.S. goods no longer covered by the exemption “are advised to liaise and check with their U.S. exporters/manufacturers, particularly to obtain the necessary and applicable US export authorisation,” the notice said.
The Treasury’s Office of Foreign Assets Control updated 490 North Korea-related entries on its Specially Designated Nationals List, according to a May 13 notice. The update stems from the 2020 National Defense Authorization Act, which modified the North Korea Sanctions and Policy Enhancement Act to block foreign subsidiaries of U.S. financial institutions “from knowingly engaging in transactions with” SDNs “that have been designated under North Korea-related authorities,” OFAC said. OFAC introduced a “descriptive text” to “clarify to the private sector what SDNs have this prohibition” and added the descriptive text to the SDN entries.
Nynas AB, a joint venture between biofuel producer Neste and Petroleos de Venezuela, S.A., is no longer designated by the Treasury Department after a “corporate restructuring” by the company, Nynas said May 12. The company’s restructuring “severs control by blocked persons and reduces the interest of blocked persons below 50 percent,” the Treasury’s Office of Foreign Assets Control said in a May 12 notice in which it announced it was revoking a general license for Nynas (see 2005120028). OFAC clarified that U.S. companies and people no longer need an authorization to deal with Nynas “provided such activities do not involve blocked persons.”
A U.S. information management company may have violated U.S. sanctions against Iran, the company said in a Securities and Exchange Commission filing released May 7. Iron Mountain, which provides information and data storage services, said its foreign subsidiary provided services to an Iranian government entity and another entity designated for weapons proliferation. Iron Mountain said the subsidiary provided “limited” record storage, container storage and handling services for both entities, which are both located outside of Iran. In both cases, the services began “at a time when U.S. sanctions law did not limit” the dealings, Iron Mountain said. The company’s gross revenues from providing services to both companies totaled about $300,000, Iron Mountain said, adding that “it is not possible to determine the exact amount of profits attributable to these services.”
The United Nations Security Council amended a Singapore-related entry on its sanctions list, according to a May 11 notice. The update amends identifying information for Yuk Tung Energy, a commercial ship manager for the tanker Yuk Tung, “which conducted ship-to-ship transfer of refined petroleum product,” the UNSC said.