The State Department is drafting a proposed rule that could revise the International Traffic in Arms Regulations by updating export controls on certain launch vehicles, ballistic missiles and other items in Category IV of the U.S. Munitions List and spacecraft and related items in Category XV of the USML. The rule, sent to the Office of Information and Regulatory Affairs Sept. 17, would "describe more precisely the articles warranting control on the USML," the agency said. It would build on an advance notice of proposed rulemaking issued in March 2019 that solicited comments on changes to Categories IV and XV.
The Bureau of Industry and Security is preparing a new interim final rule that would revise its space-related export controls “for changes made under Commerce authorities.” BIS sent the rule for interagency review Sept. 13. No further information was released.
Chinese and Dutch government officials met in China this week to discuss export restrictions as part of the fifth round of the two countries’ formal export control dialogue, China’s Ministry of Commerce announced, according to an unofficial translation. Officials discussed “issues of concern in the field of export control,” China said, and “agreed to further strengthen communication and exchanges” and “jointly maintain the stability of the semiconductor industry chain and supply chain.” The meeting was held days after the Netherlands put in place new export controls over certain semiconductor manufacturing tools (see 2409090024).
The U.S. is imposing export penalties against three Chinese companies, a Pakistani company and a Chinese national for their involvement in “missile technology proliferation activities,” the State Department said in a notice scheduled to be published in the Federal Register Sept. 12.
The Bureau of Industry and Security this week updated its guidance on applying for deemed export licenses, which people or companies must obtain before sharing a controlled item, software or technology with a foreign person on U.S. soil if a license would normally be required for that person's most recent country of citizenship or permanent residence. The guidance outlines the type of information applicants must submit, the information BIS takes into account when reviewing those licenses, and the set of conditions that the agency said are “standard” for approved licenses. A list of license condition best practices includes a reminder that approved applicants must annually verify to BIS that the foreign person has a “required work authorization” or that the foreign person has left the country.
The EU announced this week that it’s amending its dual-use export control list by adding and removing certain items, changing certain control parameters and revising technical definitions and descriptions. The changes reflect updates made by multilateral export control regimes during 2023, the European Commission said, including at the Australia Group, the Missile Technology Control Regime, the Nuclear Suppliers Group, the Wassenaar Arrangement and the Chemical Weapons Convention. The commission noted that these latest changes are “restricted in number because of the difficulties in the regimes’ proceedings,” alluding to the fact that Russia remains a member of Wassenaar and can veto new proposals (see 2405300063). The revisions will take effect one day after they’re published in the Official Journal of the EU.
The Netherlands last week said it expanded its export controls on advanced semiconductor manufacturing tools, imposing new license requirements on certain deep ultraviolet lithography equipment that can be used to make high-end chips. The new control, effective Sept. 7, is meant to restrict equipment that can be used to make chips with “advanced military applications,” the Dutch government said, which “has implications for the Netherlands’ security interests.”
The State Department completed a round of interagency review for a final rule that would amend restrictions against Cyprus under the International Traffic in Arms Regulations. The rule, sent to the Office of Information and Regulatory Affairs Aug. 29 (see 2409030006) and completed Sept. 5, could build on past measures to relax export restrictions for certain defense goods and services involving the country (see 2309130028).
Russia has “secretly” been using India as an alternative market to acquire export-controlled dual-use technologies and has explored building facilities in the country to obtain components for its war against Ukraine, the Financial Times reported Sept. 4. Plans drawn up by the Russian government show the country aimed to use “significant reserves” of rupees collected by Russian banks from oil sales to India to help with the effort, and considered “pumping investment into Russo-Indian electronics development and production facilities,” the report said.
The State Department’s Directorate of Defense Trade Controls this week updated its guidance and frequently asked questions for U.S. persons providing defense services abroad.