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Export Restrictions Added for Chinese Entity

Tuesday, October 30, 2018
Sandler, Travis & Rosenberg Trade Report

The Bureau of Industry and Security has added one entity in China to the Entity List, which lists entities restricted from receiving U.S. exports of goods controlled under the Export Administration Regulations. BIS is adding this entity effective Oct. 30 after determining that it poses a significant risk of becoming involved in activities that could have a negative impact on U.S. national security interests.

For this Chinese entity there will now be a license requirement for exports, reexports, or transfers (in-country) of all items subject to the EAR and a license review policy of presumption of denial. In addition, no license exceptions are available for exports, reexports, or transfers (in-country) to this entity.

Shipments of items removed from eligibility for a license exception or export or reexport without a license (NLR) as a result of this rule that were en route aboard a carrier to a port of export or reexport on Oct. 30 pursuant to actual orders for export or reexport to a foreign destination may proceed to that destination under the previous eligibility or NLR.

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