The Bureau of Industry and Security fined a U.S. semiconductor manufacturer $469,060 for working with others to export chip-making equipment to Chinese companies on the U.S. Entity List, BIS said in an Aug. 16 order. The company, California-based Dynatex International, violated the Export Administration Regulations because it didn’t obtain the required BIS license before shipping the equipment. Although BIS said Dynatex knew it was shipping items to blacklisted companies, the agency substantially reduced the fine as part of a settlement agreement.
Export Compliance Daily is providing readers with the top stories for Aug. 9-13 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
The Bureau of Industry and Security recently withdrew a proposed rule that would have imposed export controls on certain additive manufacturing equipment used to print “energetic materials” and related software and technology. BIS sent the rule for interagency review last month and was expected to propose the equipment for control at the Wassenaar Arrangement (see 2107270004). A BIS spokesperson declined to comment.
The Bureau of Industry and Security revoked export privileges for Matteo Taerri for violating the International Emergency Economic Powers Act, BIS said in an Aug. 10 order. Taerri was convicted June 4, 2020, after illegally trying to export a U.S.-origin Prostak filter module to Iran without the required license from the Treasury Department's Office of Foreign Assets Control. Taerri was sentenced to time served, three years of supervised release and issued a $200 fine. BIS denied Taerri’s export privileges for 10 years from the date of conviction.
Sen. Roger Wicker, R-Miss., the top Republican on the Senate Commerce Committee, is asking the Bureau of Industry and Security for information on Huawei export licenses. Wicker said BIS recently held an “informal briefing” with Wicker’s staff in which they withheld certain licensing information “based on confidentiality concerns,” but Wicker believes the information should have been provided. “The information requested neither focused on any particular company's compliance nor could have resulted in a breach of confidentiality for a company under investigation,” the senator said in an Aug. 11 letter to BIS.
The Bureau of Industry and Security and the Office of Foreign Assets Control issued a fact sheet this week highlighting the various exemptions and authorizations available for companies, people and exporters providing telecommunications goods and services to Cuba. The five-page guidance covers OFAC general licenses and BIS license exceptions and comes as the Biden administration tries to increase sanctions pressure on the Cuban government for its crackdown on pro-democracy protests in recent weeks (see 2107300063).
The Bureau of Industry and Security revoked export privileges for three people for illegally exporting defense goods without licenses, according to Aug. 9 orders.
The Bureau of Industry and Security on Aug. 10 completed its interagency review of a proposed rule that would impose export controls on certain additive manufacturing equipment used to print “energetic materials” and related software and technology (see 2107270004). The rule, first received by the Office of Information and Regulatory Affairs July 23, would classify the equipment as an emerging technology and would likely be proposed for multilateral control at the Wassenaar Arrangement. BIS plans to request public comments on the rule before the controls are finalized.
Export Compliance Daily is providing readers with the top stories for Aug. 2-6 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
The U.S. needs to expand export and investment restrictions to prevent China from acquiring advanced semiconductor equipment and other sensitive technologies, former national security officials told Congress this week. One official specifically said the Commerce Department’s Bureau of Industry and Security should impose export controls more actively. Another said the Committee on Foreign Investment in the U.S. needs more resources.