The Bureau of Industry and Security released four new rules Jan. 15, including one that will make more changes to its semiconductor-related export controls -- including by creating a new list of trusted chip designers and service providers -- another rule that will place new controls on certain biotechnology equipment and technology, and two rules that will add companies to the Entity List.
One interim final rule, which has an effective date of Jan. 16 and a compliance date of Jan. 31, will impose a broader license requirement for chip foundries and packaging companies exporting certain advanced chips, unless those exports are destined to a list of trusted chip designers, chip assembly and test services firms, or other companies outside of U.S.-embargoed countries that meet certain conditions. BIS also said the rule sets out "additional due diligence procedures" for exporters of advanced chips, introduces new reporting requirements for certain higher-risk customers and makes other changes, clarifications and updates to BIS export controls for advanced semiconductors and related items, including its latest controls on advanced AI chips released Jan. 13.
Another interim final rule will introduce new export controls for certain biotechnology-related items, including “high parameter flow cytometers” and “liquid chromatography mass spectrometers specially designed for top-down proteomics.” BIS said this equipment can be used for “innovative solutions” in the fields of health and climate change, but they can also be “misused by countries of concern,” including through training AI systems for military purposes. The controls take effect Jan. 16.
BIS will also add 27 entries to the Entity List for helping China make or procure advanced semiconductors or for supporting China’s military modernization efforts through AI research, the agency said in a pair of notices effective Jan. 16. The entities are located in China and Singapore, and they will be subject to license requirements for all items subject to the Export Administration Regulations, and licenses will be reviewed under a presumption of denial. Some will be subject to certain foreign direct product rule restrictions.
A new Bureau of Industry and Security rule released Jan. 13 will place new, worldwide export controls on advanced computing chips and certain closed artificial intelligence model weights, capping the number of AI chips that can be sent to most countries while introducing an exception for a group of allies that the Biden administration said already have strong AI technology protection rules. The 168-page interim final rule also creates new license exceptions for certain supply chain activities and low-volume shipments of powerful chips -- except for China, Russia and other U.S.-embargoed countries -- and updates the agency’s validated end-user program (VEU) to lift certain licensing requirements for certain data centers that meet stringent new security conditions.
License applications will be reviewed under a presumption of approval until the total quantity of controlled chips exported to that country exceeds the specified cap outlined in the rule, BIS said. After a country reaches that cap, applications will be reviewed under a policy of denial. A presumption of denial remains in place for arms-embargoed countries, regardless of quantity.
The rule takes effect Jan. 13, although exporters and others won’t need to comply with most changes until May 15 and portions of the new VEU-related security requirements until Jan. 15, 2026. Public comments are due May 15.
The U.S. on Jan. 10 announced a new set of sanctions against Russia’s energy sector, targeting major Russian oil producers, oil service providers and insurance companies, as well as vessels and traders moving Russian oil as part of the country’s shadow fleet. Treasury said the designations target two of Russia’s “most significant” oil producers and exporters -- Gazprom Neft and Surgutneftegas -- along with more than 180 other people, ships and traders involved in Russian oil trade.
The Treasury Department also issued two new determinations that authorize sanctions against any person or entity with ties to Russia’s energy sector and that block the provision of U.S. petroleum services to parties in Russia. New general licenses authorize certain transactions with the designated companies and vessels.
The Bureau of Industry and Security on Jan. 6 will add 13 companies to the Entity List for illegally shipping export-controlled items in support of China’s military modernization efforts or Pakistan’s ballistic missile program. The entities are located in Myanmar, China and Pakistan, the agency said in a final rule released Jan. 3. They will be subject to license requirements for all items subject to the Export Administration Regulations, and licenses will be reviewed under a presumption of denial.