Bureau of Industry and Security (BIS)

The Biden administration’s last-minute publication of complex, consequential national security-related rulemakings appear to “bypass standard rulemaking processes” and are creating challenges for American technology companies, six trade groups representing major U.S. tech firms wrote in a letter to President Joe Biden earlier this week.

The State Department’s Directorate of Defense Trade Controls is revising its trade regulations to add and remove items from the U.S. Munitions List and to clarify the control scope of others. The changes, outlined in an interim final rule released Jan. 16 and effective Sept. 15, include new defense articles that DDTC said should be subject to export controls under the International Traffic in Arms Regulations and delete others “that no longer warrant inclusion” or that will soon become subject to the Commerce Department’s licensing jurisdiction.

The Bureau of Industry and Security this week issued a summary of the various export control actions it has taken under the Biden administration, including its various semiconductor-related rules, export restrictions against Russia, Entity Listings, academic outreach efforts (see 2408140049) and more. It also highlighted the administration’s export control work with U.S. allies, including with the U.K. and Australia under the AUKUS partnership (see 2404180035), initiatives with Japan and South Korea (see 2404260067), and enforcement coordination with the Group of 7 nations (see 2409250004).

The Bureau of Industry and Security is placing new export controls on certain laboratory equipment that can be used for biotechnology purposes that may threaten U.S. national security, the agency said in an interim final rule released this week.

The Bureau of Industry and Security is adding 27 technology companies to the Entity List, mostly in China, for helping Beijing make or procure advanced semiconductors or for supporting the country’s military modernization efforts through AI, the agency said in two final rules released Jan. 15 and effective Jan. 16. It’s also removing three entities tied to an Indian atomic energy agency.

The Bureau of Industry and Security announced another set of changes to its semiconductor-related export controls Jan. 15, creating new lists of trusted chip designers and service providers, introducing new reporting requirements for certain higher-risk customers and making a host of other revisions, clarifications and updates to its existing restrictions, including its latest advanced AI chip controls released earlier this week.

The Bureau of Industry and Security is planning to release two new rules Jan. 15, Undersecretary Alan Estevez said during a Jan. 14 event hosted by the Center for Strategic and International Studies. “One will be related to biotech,” and the other is “related to compliance around semiconductors,” Estevez said. He didn't give further details. A BIS spokesperson said the agency has "nothing else to add beyond Estevez’s remarks."

Outgoing Bureau of Industry and Security Undersecretary Alan Estevez said he would advise his successor to continue coordinating export controls with allies and to not immediately turn to extraterritorial restrictions, such as the foreign direct product rule.

The Bureau of Industry and Security released four new rules Jan. 15, including one that will make more changes to its semiconductor-related export controls -- including by creating a new list of trusted chip designers and service providers -- another rule that will place new controls on certain biotechnology equipment and technology, and two rules that will add companies to the Entity List.

A new Bureau of Industry and Security rule that will place new, worldwide export controls on advanced computing chips and certain closed artificial intelligence model weights was widely panned by the American semiconductor and technology industry this week, even as U.S. officials said the restrictions are necessary to keep American companies ahead of their Chinese competitors.