Background

President Trump has issued an executive order that allows for the use of trade policy as part of a broader effort to protect U.S. nationals from wrongful detention abroad.

The EO empowers the State Department to designate any foreign country (or any entity controlling significant territory in a country, even if not recognized as that country’s government) as a state sponsor of wrongful detention based on specified criteria concerning its involvement in or support for the wrongful detention of U.S. nationals.

For any country so designated State is directed to (1) review existing authorities to respond to and deter the foreign government actions at issue and (2) take steps to implement certain measures. This includes imposing sanctions available under the International Emergency Economic Powers Act and restricting exports of certain goods to that country under the Arms Export Control Act, the Export Control Reform Act of 2018, or any other federal law. Other measures could include restrictions on assistance to that country, travel to that country by those holding U.S. passports, and travel to the U.S. by nationals of that country.

State may terminate such designations if the foreign government releases wrongfully detained U.S. nationals, has demonstrated changes in leadership or policies with respect to wrongful detention, and provides credible assurances against future violations.

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