The State Department needs a better system to review export license applications for firearms, and the Bureau of Industry and Security needs to address employee shortages that are hindering its end-use checks for those exports, the Government Accountability Office said in a new report.
U.S. Defense Secretary Pete Hegseth met with Australian Defense Minister Richard Marles last week to discuss the Australia-U.K.-U.S. (AUKUS) agreement, under which the countries share defense technology. Hegseth said President Donald Trump is “very familiar with the agreement and equally supportive of it,” according to a Pentagon press release published after the meeting. Hegseth added that “this is not a mission in the Indo-Pacific that America can undertake by itself. It has to [include] robust allies and partners. Technology sharing and subs are a huge part of it."
The Bureau of Industry and Security revoked the export privileges of a Florida-based freight forwarding company, the company’s owner and five other businesses for illegally shipping export controlled items to Russia as recently as last year, according to a BIS temporary denial order and court documents.
The Bureau of Industry and Security last week modified its temporary denial order against Russian airline Azur Air to update the airline’s address. The order now lists Azur Air as located in Krasnoyarsk, Russia. It was previously listed with a Moscow address. BIS last renewed the order for one year in September, barring the airline from participating in transactions with items subject to the Export Administration Regulations (see 2409200059).
President Donald Trump’s efforts to slash the federal workforce are unlikely to target the Bureau of Industry and Security, which is already dealing with employee shortages as it carries out U.S. export control policy, a former senior BIS official said.
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California-based machine tool manufacturer Haas Automation will pay more than $2.5 million to the U.S. government after being accused of illegally shipping parts and other items to sanctioned and Entity Listed companies in China and Russia.
The State Department’s Directorate of Defense Trade Controls is revising its trade regulations to add and remove items from the U.S. Munitions List and to clarify the control scope of others. The changes, outlined in an interim final rule released Jan. 16 and effective Sept. 15, include new defense articles that DDTC said should be subject to export controls under the International Traffic in Arms Regulations and delete others “that no longer warrant inclusion” or that will soon become subject to the Commerce Department’s licensing jurisdiction.
The Bureau of Industry and Security is adding 27 technology companies to the Entity List, mostly in China, for helping Beijing make or procure advanced semiconductors or for supporting the country’s military modernization efforts through AI, the agency said in two final rules released Jan. 15 and effective Jan. 16. It’s also removing three entities tied to an Indian atomic energy agency.
The Bureau of Industry and Security announced another set of changes to its semiconductor-related export controls Jan. 15, creating new lists of trusted chip designers and service providers, introducing new reporting requirements for certain higher-risk customers and making a host of other revisions, clarifications and updates to its existing restrictions, including its latest advanced AI chip controls released earlier this week.