BIS Regulatory Agenda Includes Plans to Finalize New China Chip Controls in March
The Commerce Department published its fall 2022 regulatory agenda for the Bureau of Industry and Security, including one new rule that will finalize new chip export controls against China and others that could revise chemical weapons reporting requirements, the Export Administration Regulations and the Entity List.
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BIS mentioned a new final rule to finalize its October interim final rule that introduced a broad set of new export controls to restrict China’s ability to acquire advanced computing chips and manufacture advanced semiconductors (see 2210070049). A BIS official in December said the agency planned to issue a final version of the rule after reviewing public comments and potentially making some changes (see 2212140038), although Undersecretary Alan Estevez said he expects any revisions to be minor (see 2212060059). The comment period for the interim final rule ends Jan. 31 (see 2212050068), and the agency plans to issue the final rule in March.
The agenda also mentioned a new proposed rule that could create a “mandatory electronic submission requirement” for annual declarations, reports and amendments under the Web-Data Entry System for Industry (Web-DESI) for the Chemical Weapons Convention Regulations. This requirement would also apply to “submissions of the No Changes Authorization Form and Change in Inspection Status Form under the CWCR provisions that describe the declaration requirements applicable to the production by synthesis of unscheduled discrete organic chemicals (UDOCs),” BIS said. “The Web-DESI mandatory electronic submission requirement would not apply in certain situations in which BIS would authorize paper submissions of declarations, reports, and amendments.” Electronic submissions also wouldn’t be required for “advance notifications of exports and imports of Schedule 1 chemicals (to, or from, other States Parties) or to reports of inspection-related costs.”
BIS also mentioned several new rules that will make changes to the EAR. One final rule, expected in March, will revise the regulations to “protect U.S. national security and foreign policy interests.” Another final rule to update the EAR is expected in May, while a third final rule, which was expected in December, will update the list of countries imposing “substantially similar export controls” on Russia and Belarus. Those countries are exempt from certain licensing requirements under the foreign direct product rule for Russia and Belarus.
The agency also made several new mentions of rules that are expected to revise and update the Entity List and Unverified List. One final rule, which was due in December, will add new entities to the Entity List and designate a new entity as a military intelligence end-user. Other final rules, due this month and in February, will also add new entities to the Entity List. Another final rule, expected this month, will make changes to the UVL.
Agenda Highlights
Highlights of the BIS rulemakings that are at the pre-rule, proposed or final stages are below. New items are marked with an asterisk (*).
| Proposed Rule Stage |
|---|
| Clarification of the Definition of a Routed Export Transaction |
| License Exception AVS Updates and Clarifications |
| Nuclear Propulsion Plant End-Use Restrictions; Restrictions on Shipments to Aircraft and Vessels or to Installations and Facilities Located in International or Foreign Waters or in Antarctica |
| Commerce Control List: Amendments to Controls Related to Military Vehicles, Vessels of War, Submersible Vessels, Oceanographic Equipment, and Auxiliary and Miscellaneous Military Equipment |
| Commerce Control List Changes due to Revisions to Categories V, X and XI of the U.S. Munitions List (USML) |
| Section 232 Steel and Aluminum Tariff Exclusions Process |
| Review of Commerce Control List for Items Transferred From United States Munitions List Categories IV and XV |
| Section 1758 Technologies: Proposed Controls; Request for Comments |
| Revision to Country Groups |
| Request for Comments Concerning the Imposition of Export Controls on Certain Brain-Computer Interface (BCI) Emerging Technology |
| Proposed Additional General Approved Exclusions for Steel Articles |
| Crime Controls for Human Rights Concerns on the Commerce Control List |
| The Imposition of Emerging Technology Export Controls on Instruments for the Automated Chemical Synthesis of Peptides |
| Section 232 Exclusions Process |
| *Chemical Weapons Convention Regulations: Mandatory Electronic Submission of Declarations, Reports, and Amendments through the Web-Data Entry System for Industry (Web-DESI) |
| Final Rule Stage |
| Editorial Revisions, Clarifications, and Corrections to the Export Administration Regulations |
| Updated Statements of Legal Authority for the Export Administration Regulations |
| Modification of License Exception Additional Permissive Reexports (APR) |
| Emerging and Foundational Technologies: Implementation of Certain 2021 Wassenaar Arrangement Decisions |
| Additional Protocol Regulations: Establishment of a Mandatory Electronic Submission Requirement for Reports |
| Authorization of Certain "Items" to Entities on the Entity List in the Context of Specific Standards Activities |
| Export Administration Regulations: Corrections and Clarifications |
| Implementation of Australia Group Decisions (November 2021 and March 2022 Virtual Implementation Meetings; July 2022 Plenary): Controls on Marine Toxins, Plant Pathogens and Biological Equipment |
| Commerce Control List: Amendments to Reflect Updates to the Australia Group Common Control Lists |
| Export Administration Regulations: Implementation of Wassenaar Arrangement 2022 Plenary Agreements |
| End User Controls to Address Human Rights Concerns Under the Export Administration Regulations |
| Revision of Licensing Requirements of Certain Cameras, Systems, or Related Components |
| Reducing the Concentration Threshold for Mixtures Containing Chemical Weapons Convention Schedule 2A Chemicals |
| Clarifications of Availability and Expansion of Restrictions on Availability of License Exception Strategic Trade Authorization Under the Export Administration Regulations |
| Export Administration Regulations: Corrections and Clarifications |
| Commerce Control List: Updates Based on the Latest Nuclear Suppliers Group (NSG) Plenary Meetings |
| Revisions to the Export Administration Regulations Based on 2021 Missile Technology Control Regime Plenary Agreements; and Revisions to License Exception Eligibility |
| Implementation of 2021 Wassenaar Arrangement Decisions |
| Imposition of Restrictions on Exports, Reexports and Transfers (In-Country) to Persons Whose Property and Interests in Property are Blocked Pursuant to Executive Order 14024 |
| Export Administration Regulations: Revisions to Russia and Belarus Sanctions and Related Provisions; Corrections and Clarifications |
| *Revisions to the Export Administration Regulations (EAR) |
| *Implementation of Additional Export Controls: Certain Advanced Computing and Semiconductor Manufacturing Items; Supercomputer and Semiconductor End Use; Entity List Modification |
| *Change to EAR |
| *Additions of Entities to the Entity List; Designation of Additional 'Military-Intelligence End User' |
| *Addition to the List of Countries Excluded From Certain License Requirements Under the Export Administration Regulations (EAR) |
| *Additions of Entities to the Entity List |
| *Revisions to the Unverified List |
| *Additions of Entities to the Entity List |