The Bureau of Industry and Security has issued a final rule that, effective June 12, added 31 entities in China, five in the United Arab Emirates, four in Pakistan, three in South Africa, two in the United Kingdom, and one each in Kenya, Laos, Malaysia, Singapore, and Thailand to the Entity List. This rule also removed one entity in Latvia from the list.
BIS added these entities for various reasons, including (1) providing training to Chinese military pilots using Western and NATO sources, (2) acquiring U.S.-origin items in support of China’s military modernization, (3) participating in a conspiracy to supply China’s navy with U.S. military-grade vessels and equipment, (4) procuring items that enable the Chinese government to carry out human rights abuses, and (5) contributing to Pakistan’s ballistic missile program or advanced weapons capabilities.
For all of these entities BIS is imposing a license requirement for exports of all items subject to the Export Administration Regulations. BIS will review license applications for some of these entities under a presumption of denial, while others will be reviewed pursuant to 15 CFR 744.2(d) and 744.3(d). In addition, BIS is restricting exports to some of these entities of foreign-produced items subject to the EAR.
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 June 12 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 July 12. Any such items not actually exported, reexported, or transferred before midnight on July 12 will require a license in accordance with this rule.
For more information on restrictions on exports to persons on the Entity List or other lists, please contact Kristine Pirnia at (202) 730-4964 or via email.
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