The Trump administration plans to substantially increase fines against companies that violate export controls, including against China, Commerce Secretary Howard Lutnick said this week. He also said the U.S. is planning to incorporate export control commitments into free trade deal negotiations as a way to incentivize trading partners to better restrict their sensitive technologies.

OpenAI, Google and other leading technology companies and organizations urged the U.S. this month to rework the Biden administration’s artificial intelligence diffusion rule, saying it places too many restrictions on American firms and its trading partners.

A State Department notice declaring that all agency efforts to control international trade now constitute a "foreign affairs function" of the U.S. under the Administrative Procedure Act will ultimately be subject to the discretion of the courts, trade lawyers told us.

Former U.S. national security adviser Jake Sullivan defended the Biden administration's final weeks of moves that imposed sanctions against Russia and export controls on China, saying they set up the current administration for success.

The Senate voted 54-45 late March 13 to confirm Washington trade lawyer Jeffrey Kessler to be undersecretary of commerce for industry and security. The vote came a week after the Senate Banking Committee approved Kessler’s nomination along party lines (see 2503060043). Kessler has said he would conduct a host of reviews at the Bureau of Industry and Security, including whether the agency needs more statutory authorities to do its job (see 2503060043).

It’s possible that the Trump administration offers Russia some “symbolic” sanctions relief as part of peace negotiations with Ukraine, but the broader lifting of sanctions on Russia’s oil sector is more unlikely, a former U.S. sanctions official said this week.

Sen. John Cornyn, R-Texas, introduced a bill March 13 to restrict U.S. outbound investment in China, the latest of several attempts to pass legislation on a topic many lawmakers consider critical to national security.

The EU and Canada announced retaliatory tariffs against the U.S. this week, targeting billions of dollars' worth of American exports in response to what they said were unjustified global 25% steel and aluminum duties imposed by the Trump administration. Other nations also criticized the U.S. tariffs as they mulled countermeasures of their own.

The Bureau of Industry and Security could face significant challenges imposing and enforcing export controls against China if the Trump administration continues to slash government workers and resources, particularly in the national security sphere, a technology policy researcher said in a new report. The report said the U.S. needs to continue investing in efforts to close export control loopholes that allow China to acquire advanced artificial intelligence chips, but it also said that even “extremely aggressive” controls are unlikely to give the U.S. a large lead in the AI race.

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