The State Department issued a notice Dec. 17 officially rescinding Sudan’s designation as a state sponsor of terrorism (see 2010230022), which is expected to loosen certain export restrictions against the country under the Arms Export Control Act and the Export Administration Regulations. Sudan likely will no longer be subject to antiterrorism controls under the EAR and will be allowed to import a range of U.S. commercial goods, including electronics and software, according to a Dec. 14 post by Wiley Rein lawyers. Those trade restrictions have not yet been lifted, but the process should start soon, according to a Dec. 16 post by Akin Gump. The law firm urged companies to continue to be “diligent” and asses which remaining federal and state restrictions, including state level divestment sanctions regarding Sudan, as well as contractual or other relevant restrictions regarding Sudan still in place, may affect new business opportunities.”
The Office of Information and Regulatory Affairs on Dec. 15 completed its review of a final Bureau of Industry and Security rule that would remove Hong Kong as a “separate destination” under the Export Administration Regulations. OIRA began reviewing the rule in November (see 2011090007). BIS said in its fall regulatory agenda that it hopes to publish the rule in February 2021 (see 2012150037).
The Office of Information and Regulatory Affairs on Dec. 14 began reviewing an interim final Bureau of Industry and Security rule that will expand end-use controls. If published, the rule will expand certain end-use and end-user controls on “specific activities of U.S. Persons.” A BIS spokesperson declined to comment.
The European Union on Dec. 14 updated its list of dual-use items subject to export controls. The 280-page document lists a range of items and decisions reached for various multilateral export regimes during 2019, including the Wassenaar Arrangement, the Missile Technology Control Regime, the Nuclear Suppliers Group, the Australia Group and the Chemical Weapons Convention. The regime also includes new controls on precursors for Novichok nerve agents, which was agreed to by the Australia Group in 2020, according to Stephane Chardon, the European Commission’s chief export control official.
The Office of Information and Regulatory Affairs completed a review of a final Bureau of Industry and Security rule that would change the license review policy for exports of certain drones. The rule, received by OIRA Nov. 20 (see 2011230009) and completed Dec. 14, would change the review policy for exports of unmanned aerial systems to reflect the U.S.'s July decision to loosen restrictions on those exports (see 2007270035).
The State Department’s Directorate of Defense Trade Controls Dec. 14 issued guidance on the recently imposed U.S. sanctions against Turkey, detailing how it will implement various export restrictions. DDTC said it will not approve “any specific license or authorization” for exports or reexports for transactions where Turkey’s Presidency of Defense Industries (SSB) is a party, including for “defense articles,” technical data or defense services. While the restrictions do not apply to “temporary import authorizations” or current and valid reexport authorizations, they do apply to all new export and reexport authorizations, DDTC said. That includes “amendments to previously approved licenses or agreements and licenses in furtherance of previously approved agreements.”
The State Department’s Directorate of Defense Trade Controls is establishing an industry working group to receive regular feedback on the Defense Export Controls and Compliance System, DDTC said Dec. 14. The agency said it is looking for 50 industry volunteers for the DECCS “User Group,” which will “identify functional and technical challenges” with DECCS and recommend system improvements. The group’s first virtual meeting is scheduled for Jan. 26, 2021. DDTC said the “initial plan is for the User Group to span one calendar year.” Applicants should email PM_DDTCProjectTeam@state.gov with their name and affiliation by Dec. 23. The agency said it will choose members by Jan. 11.
The Office of Information and Regulatory Affairs on Dec. 8 completed a review of a final rule from the Bureau of Industry and Security that would clarify the scope of certain export restrictions to reflect decisions made at the June 2019 Australia Group plenary meeting. The rule, received by OIRA Nov. 16, would amend the scope of Export Control Classification Number 1C991, covering vaccines, immunotoxins, medical products, and diagnostic and food testing kits.
The Office of Information and Regulatory Affairs began reviewing a final Bureau of Industry and Security rule concerning Sudan. The rule, received by OIRA Dec. 3, would revise the Export Administration Regulations to reflect the U.S. rescission of Sudan’s designation as a state sponsor of terrorism (see 2011020012).
The Office of Information and Regulatory Affairs began reviewing a proposed State Department rule concerning the definition of a regular employee in the International Traffic in Arms Regulations. OIRA received the rule Dec. 3. The State Department’s Directorate of Defense Trade Controls didn’t comment.