A U.S. website infrastructure company said it may have violated U.S. sanctions and export reporting requirements, according to its regulatory filing with the Securities and Exchange Commission. Cloudflare, based in California, told the SEC it voluntarily disclosed possible export and sanctions violations to the Bureau of Industry and Security and the Office of Foreign Assets Control this year. The violations included submitting “incorrect information” about hardware exports to Commerce and receiving payments from people and entities on OFAC’s Specially Designated Nationals List.
President Donald Trump’s order to reduce the number of advisory committees will not affect Commerce’s committees involved with export controls reform, a top Commerce official confirmed. The executive order, issued in June, directed the executive branch's departments and agencies to cut down their advisory boards by one-third by Sept. 30. Speaking during a Sept. 5 Materials Technical Advisory Committee, Rich Ashooh, Commerce’s assistant secretary for export administration, confirmed that several Commerce committees dealing with export controls are safe because they are authorized by (see 1908080033) the Export Control Reform Act.
Britain's Department for International Trade updated its guidance on special rules for exporting military or dual-use goods, including when exporters need a license, various required forms and how the U.K. determines whether to approve a license, according to an Aug. 30 notice. The guidance also includes information on how to export dual-use goods if the U.K. leaves the European Union without a deal.
The Commerce Department's Bureau of Industry and Security issued a guidance for exports, re-exports and transfers to Pakistan, covering license requirements for items subject to the Export Administration Regulations and best practices for screening Pakistani customers.
The United Kingdom’s department of Revenue and Customs on June 10 submitted written evidence to an inquiry from the U.K.’s Committee on Arms and Export Controls. The questions and answers document includes details on how the department determines enforcement penalties for export violations, how the department decides when to proceed with certain cases, the department’s “high vacancy rate” among staff and more. The department also addressed why it only conducted six “full criminal investigations” of a total of 652 "preliminary assessments" of potential breaches of export controls in 2016, difficulties in investigating end-user violations and what plans it has for preparing U.K. export controls after Brexit.
Secretary of State Mike Pompeo dismissed the notion that the Trump administration has sent mixed messages on Huawei, saying the president’s plans have “been unambiguous.” Pompeo’s comments came days after Trump said the U.S. would not be extending a temporary general license for Huawei, followed by the Commerce Department extending the license for 90 days (see 1908190039).
President Donald Trump on Aug. 19 designated Brazil a major non-North Atlantic Treaty Organization ally “for the purposes … of the Arms Export Control Act,” according to a notice. The announcement allows the U.S. to loan and sell Brazil certain goods and services subject to the AECA.
The State Department's Directorate of Defense Trade Controls changed identifying information for Sofradir EC Inc. and Bell company entities and is waiving the requirement for amendments to change approved license authorizations because of the large number of authorizations requiring amendments to reflect the change in each instance, the DDTC said. Sofradir EC is being changed to Lynred USA Inc., the DDTC said. The DDTC also modified names and addresses for more than 30 Bell companies.
Future Commerce Department export controls on artificial intelligence could end up blunting AI technology development in the U.S., according to an Aug. 8 post from Lowenstein Sandler.
The Commerce Department’s Bureau of Industry and Security is seeking comments on the impact that proposed additions to the Chemical Weapons Convention (CWC) will have on U.S. industries and commerce, according to a notice in the Federal Register. BIS is seeking comments about the additions to Schedule 1 in the “Annex on Chemicals” in the CWC that were implemented through the Chemical Weapons Convention Implementation Act and the Chemical Weapons Convention Regulations. BIS said it wants to assess the impact on U.S. chemical, biotechnology and pharmaceutical companies of the five “chemical families” being added to the annex. Comments are due Sept. 13.