Italy on July 1 published a national export control list for goods that aren’t yet listed by the EU’s dual-use export control regulation but that the country is requiring to have a license for export, Italian trade consultant ZPC said in a client alert, according to an unofficial translation. The announcement follows similar moves by Spain, France and the Netherlands, ZPC said, adding that the lists are a way for European countries to coordinate on export restrictions that aren’t yet agreed to by all member states or at multilateral export control forums, such as the Wassenaar Arrangement. The European Commission began publishing a compilation of member states' national export control lists last year (see 2310270019).
Commerce Secretary Gina Raimondo and South Korean Minister of Trade, Industry, and Energy (MOTIE) Ahn Duk-geun convened last week for the second meeting of the U.S.-Korea Supply Chain and Commercial Dialogue Ministerial, where the two leaders discussed dual-use export controls, cooperation on semiconductor production and various supply chain resilience issues. The two leaders acknowledged the need to “protect our critical and emerging technologies from countries that may misuse them to undermine peace and security,” and agreed to continue “existing cooperation under the Dual-Use Export Controls working group to address national security threats while minimizing supply chain disruption.” The meeting was held one day after leaders from the U.S., South Korea and Japan met to discuss various trade issues, including export controls (see 2406270011).
Although Huawei has been able to overcome strict U.S. export controls to design advanced, high-performing chips in recent years (see 2403070059, 2309190052 and 2309120005), a report this month from Georgetown University's Center for Security and Emerging Technology suggests that Huawei’s chip performance increase is “smaller than advertised” and the company still faces significant production limits.
Senior trade officials from the U.S., Japan and South Korea, during a meeting this week, discussed the importance of using export controls to stop foreign adversaries from acquiring their countries’ sensitive technologies, including semiconductors, clean energy technology and artificial intelligence. A readout of the meeting -- held with U.S. Commerce Secretary Gina Raimondo, Japanese Minister of Economy, Trade and Industry Saito Ken, and Korean Minister of Trade, Industry and Energy Ahn Duk-geun -- said the countries want to “deepen our coordination of export controls on advanced technologies” and take other actions to improve the security of their supply chains.
Russia has been able to sustain its war effort against Ukraine because of its ability to evade Western export controls on key military parts and semiconductors, said Maria Snegovaya, a senior fellow with the Europe, Russia and Eurasia Program at the Center for Strategic and International Studies. She said Russia is importing large amounts of controlled items from China and continuing to indirectly buy from Eastern European nations like Turkey through transshipment tactics and shell companies.
The State Department sent an interim final rule for interagency review that would make “targeted revisions” to items on the U.S. Munitions List. The rule, sent to the Office of Information and Regulatory Affairs June 21, would revise and exclude USML entries that no longer warrant inclusion and add entries for critical and emerging technologies that warrant more strict export licensing requirements. The rule “also seeks to limit the items categorized” in USML Category XXI (Articles, Technical Data, and Defense Services Not Otherwise Enumerated) by “updating the appropriate USML paragraph,” the agency said.
Canada recently imposed export controls on five technologies related to quantum technology, advanced semiconductors and semiconductor equipment, the country said in a June 19 notice. The controls took effect June 20.
A government technical advisory committee is working on two reports about compliance challenges posed by the Bureau of Industry and Security's foreign direct product rule and its semiconductor export controls.
The Bureau of Industry and Security is drafting an interim final rule that could introduce a new “Plurilateral Consensus Coalition” country group into the Export Administration Regulations. The rule, sent to the Office of Information and Regulatory Affairs June 11, would make additions and revisions to the Commerce Control List and put in place a new License Exception Plurilateral Consensus Coalition (PCC) for certain exports to countries in the coalition.
Members of the multilateral Australia Group in meetings earlier this month discussed dual-use export controls, updated the group’s control list and considered ways to better counter weapons proliferation, according to a statement of the group’s chair published by the State Department June 14.