Biden-Era Firearms Export Rule ‘Inconsistent’ With Trump Views, Commerce Head Says
Commerce Secretary Howard Lutnick confirmed June 5 that the Commerce Department is reviewing a Biden administration interim final rule that increased restrictions on firearms exports.
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“We’re looking into it now,” Lutnick told the House Appropriations Subcommittee on Commerce, Justice and Science. “I find it inconsistent with our views, so we’re examining it now and you should expect us to comment on it shortly.”
Rep. Andrew Clyde, R-Ga., welcomed Lutnick’s comments, saying the rule has harmed the U.S. firearms industry and should be rescinded. Two people familiar with Commerce’s plans indicated in late May that the agency intends to reverse the rule, which, among other things, created a presumption of denial for firearms export licenses for certain countries (see 2505290012).
Lutnick also testified that Commerce is reviewing the Obama administration’s Export Control Reform Initiative. "We are on that topic,” the secretary said in response to Rep. Riley Moore, R-W.Va., who is concerned that the initiative’s creation of the "600 series" on the Commerce Control List resulted in “gaps” in critical technology restrictions. "This is how some of our defense technology gets out there," Moore asserted.
Items in the 600 series were previously controlled on the U.S. Munitions List or are covered by the Wassenaar Arrangement Munitions List, according to the Bureau of Industry and Security, which oversees the Commerce Control List.
Also during the hearing, Lutnick defended BIS's request for a 77% funding increase in FY 2025 (see 2505020030), saying the agency needs more agents to enforce export controls. “We have two agents in China. Come on,” he said. “We just need more agents to protect and defend our policies and that is what the request is for. Let’s grow our agents in field to enforce the policies that we make at home.”
Lutnick suggested BIS could use the agents to carry out a greater number of end-use checks. "The idea is to add enforcement agents. Agents who carry weapons. Agents who go and examine warehouses, examine those people who are exporting, examine the imports, find the particular items and make sure [our] export controls are rigorously enforced," he said. "So that is the specific use of the funds, is more people to protect and defend our export controls."
Lutnick also said he is pushing to open foreign markets to U.S. agricultural products, including beef, poultry, seafood and corn. “You won’t believe how poorly our farmers are treated, our ranchers are treated, and our fisherman are treated,” he said.
Turning to the “planned partnership” between Japan-based Nippon Steel and U.S. Steel that President Donald Trump announced last month (see 2505230075), Lutnick said the Trump administration is “discussing how to make sure that that protects” the U.S. He declined to provide details about the arrangement, which calls for a $14 billion investment in U.S. Steel but has been largely shrouded in secrecy (see 2505290058 and 2506030032).
Rep. Frank Mrvan, D-Ind., whose state is home to U.S. Steel's large Gary Works plant, urged Lutnick to ensure the United Steelworkers union has a “seat at the table” to prevent the transfer of work to non-union plants. Lutnick said Trump “knows the steelworkers union concerns and I think they will be very happy with the outcome.”