Export Compliance Daily is providing readers with the top stories from last week, in case you missed them. You can find any article by searching for the title or by clicking on the hyperlinked reference number.
California-based electronic design automation firm Cadence will pay more than $140 million in combined civil fines, criminal penalties and forfeitures after the U.S. said it violated export controls against China. The company pleaded guilty to illegally exporting EDA hardware, software and semiconductor design intellectual property technology to Chinese entities, including a university and company on the Entity List.
In separate letters to the Trump administration, more than 20 former national security officials along with five Senate Democrats urged the Commerce Department to reverse its decision to approve exports of Nvidia’s advanced AI chips to China.
The U.S. and the EU reached a trade deal this week that will include a 15% U.S. tariff on most EU exports and will eliminate duties on both sides for other items, including aircraft parts and certain semiconductor equipment, agricultural products and more. The EU also will buy advanced American AI chips along with more American energy as part of the bloc’s effort to phase out purchases from Russia, European Commission President Ursula von der Leyen said.
The U.S., Australia and the U.K. need to make more items eligible for defense trade exemptions under the AUKUS partnership, an Australian researcher said last week.
The Trump administration should carefully study any new export controls on the subsystems of semiconductor manufacturing equipment so it doesn’t unintentionally undercut U.S. chip tooling firms, wrote Ruby Scanlon, a research assistant with the Center for a New American Security.
The Trump administration is launching a new program to increase U.S. exports of AI technologies and services as part of an effort to spread the adoption of American AI systems around the world.
Lawmakers expressed concerns this week that the Federal Maritime Commission may not have enough resources to continue reforming ocean shipping regulations and enforcing existing shipping laws, particularly after a host of employees resigned from the agency this year.
Commerce Secretary Howard Lutnick said that where the line should be drawn on export controls will be on the table during negotiations with Chinese officials in Stockholm next week.
The U.S. should impose new export controls on the subsystems of semiconductor manufacturing equipment and double down on enforcement for exports of advanced AI chips, including by potentially mandating that chip exporters use location-tracking features, the White House said in its new AI action plan. While the plan calls for tighter controls against China and other “strategic adversaries,” it also said the U.S. should strike deals with other countries to export American AI systems around the world.