The Biden administration has tightened controls on exports to Nicaragua due to concerns about that country’s continuing dismantling of democratic institutions, attacks on civil society, and increased security cooperation with Russia.
The Bureau of Industry and Security has issued a final rule that, effective March 15, revises the Export Administration Regulations to apply more restrictive treatment to exports and reexports to Nicaragua of items subject to the EAR. Specifically, BIS has moved Nicaragua from Country Group B to Country Group D:1, a more restrictive country grouping, applying a stricter licensing policy for items controlled for national security reasons, and making the country subject to military end-use and military end-user restrictions.
Further, the State Department has issued a final rule that, effective March 15, adds Nicaragua to the list of countries subject to a U.S. arms embargo under the International Traffic in Arms Regulations. As a result, the export and import of defense articles and services destined for or originating in Nicaragua are generally prohibited.
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