Background

The Bureau of Industry and Security has issued a final rule that, effective Nov. 26, adds 27 entities in China, Japan, Pakistan, and Singapore to the Entity List. This rule also adds one entity in Russia to the military end-user list.

- One entity each in China, Japan, and Singapore is being added for involvement in sales of technology to Iran’s military and space programs, North Korean front companies, and Chinese government and defense industry subordinate entities.

- Eight technology entities based in China are being added to prevent U.S. emerging technologies from being used for China’s quantum computing efforts that support military applications and the ability to break encryption or develop unbreakable encryption.

- Sixteen entities operating in China and Pakistan are being added based on their contributions to Pakistan’s unsafeguarded nuclear activities or ballistic missile program.

For these entities BIS is imposing a license requirement for exports, reexports, and transfers (in-country) of all items subject to the EAR as well as a license review policy of presumption of denial. In addition, no license exceptions are available for such shipments to these entities.

BIS is also adding one entity in Russia to the MEU list on the basis of its production of military end-use products for a military end-user. For this entity BIS is imposing a license requirement for exports, reexports, and transfers (in-country) of all items subject to the EAR as well as a license review policy of presumption of denial. In addition, no license exceptions other than GOV are available for such shipments to this entity.

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 Nov. 26 pursuant to actual orders for export, reexport, or transfer to or within a foreign destination may proceed to that destination under the previous eligibility.

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.

Copyright © 2022 Sandler, Travis & Rosenberg, P.A.; WorldTrade Interactive, Inc. All rights reserved.

ST&R: International Trade Law & Policy

Since 1977, we have set the standard for international trade lawyers and consultants, providing comprehensive and effective customs, import and export services to clients worldwide.

View Our Services 

Close

Cookie Consent

We have updated our Privacy Policy relating to our use of cookies on our website and the sharing of information. By continuing to use our website or subscribe to our publications, you agree to the Privacy Policy and Terms & Conditions.