The Bureau of Industry and Security has issued a final rule that, effective July 3, adds two entities in China, two in the United Arab Emirates, and one each in South Africa and the United Kingdom to the Entity List. This rule also modifies the listings for one entity each in China and Russia to ensure restrictions on exports to these entities are more targeted and effective.
The six entities are being added for (1) their training of China’s military forces using Western and NATO sources. (2) shipping U.S.-origin commodities to Russia, and/or (3) repeatedly engaging in “dilatory or evasive conduct, including the provision of false, misleading, or incomplete information, during end-use checks.”
For all of these entities BIS is imposing a license requirement for exports of all items subject to the Export Administration Regulations and a license application review policy of presumption of denial.
Shipments of items removed from eligibility for a license exception or for export, reexport, or transfer (in-country) without a license (NLR) as a result of this rule that were en route aboard a carrier to a port of export, reexport, or transfer on July 3 pursuant to actual orders for export, reexport, or transfer to or within a foreign destination may proceed to that destination under the previous eligibility before Aug. 2. Any such items not actually exported, reexported, or transferred before midnight on Aug. 2will require a license in accordance with this rule.
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