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Two Changes to List of Chinese Validated End-Users

Wednesday, October 28, 2015
Sandler, Travis & Rosenberg Trade Report

The Bureau of Industry and Security has issued a final rule that, effective Oct. 28, adds one item (ECCN 3B001.a.2) to the list of those that may be exported, reexported or transferred (in country) to Advanced Micro-Fabrication Equipment Inc. China’s eligible facility in China under authorization validated end-user. This rule also adds a facility (headquarters) and an item (ECCN 3E001, limited to technology for the development or production of items controlled by this ECCN) to Applied Material (China) Inc.’s list of eligible destinations and items under authorization VEU.

Authorization VEU is a mechanism to facilitate increased high-technology exports to companies in China and India that have a verifiable record of civilian end-uses for such items. End-users qualified as VEUs are eligible to receive a wide range of specified items on the Commerce Control List under this general authorization instead of under individual transaction-specific export licenses. Eligible items may include commodities, software and technology, except those controlled for missile technology or crime control reasons.

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