The Automated Export System will add 13 new Export Control Classification Numbers to its reference table to allow exporters to report electronic export information in the wake of the transfer of export controls over firearms from the State Department to the Commerce Department (see 2001170030 and 2003090029), the Census Bureau said in a notice emailed March 11. The notice contains instructions for determining which new ECCNs are eligible for certain license types. Census also clarified that by using any of the license exceptions or “No License Required,” exporters “are certifying that the terms, provisions, and conditions described in the [Export Administration Regulations] have been met.”
The Commerce Department is still considering placing export controls on Gate-All-Around Field Effect Transistor (GAAFET) technology, despite withdrawing the rule from the Office of Management and Budget last month (see 2002130033), said Hillary Hess, the Bureau of Industry and Security’s director of regulatory policy. The rule was expected to be one of six controls issued by Commerce early this year (see 1912160032) as part of the agency’s effort to control emerging technologies.
The Commerce Department extended the validity for its temporary general license for Huawei and 115 of its non-U.S. affiliates until May 15, the agency said in a notice. The extension replaces the previous license renewal for Huawei issued in February, which was set to expire April 1 (see 2002130059).
Export controls over technology and software used for the 3D printing of firearms will not transition from the State Department to the Commerce Department after a Washington court granted a request to block the Trump administration from completing the transfer. The court, whose March 6 order temporarily blocked portions of a January final rule to transfer the controls, suggested the administration likely violated notice-and-comment standards and pointed to the “grave reality” the transfer might have on the proliferation of 3D printed guns. The decision stemmed from a January request (see 2001240047 and 2002070043) filed by 20 states and Washington, D.C., to urge the court to vacate the final transfer rules, which were scheduled to take effect March 9 (see 2001170030).
The Commerce Department issued a correction to its final rule that revised the country groups for Russia and Yemen under the Export Administration Regulations (see 2002210031), the agency said in a notice. The notice corrects the rule to “provide an instruction” to remove Yemen from Country Group B, which was the intention of the rule.
Export Compliance Daily is providing readers with some of the top stories for Feb. 24-28 in case you missed them.
A lawsuit filed by 20 states to block the transfer of export controls over firearms from the State Department to the Commerce Department is unfounded, the State Department said, adding that the states don’t understand the International Traffic in Arms Regulations and the Export Administration Regulations. The “plaintiffs are simply wrong,” the State Department said in a Feb. 24 court filing. “Several basic misunderstandings about how the respective regimes operate negate the Plaintiffs’ claims and any basis for preliminary injunctive relief.”
U.S. administration officials will meet with the European Union and Japan next month to lobby for increased scrutiny of transactions involving sensitive technologies, a top Treasury Department official said. The meetings will also feature discussions of recent U.S. reforms to foreign direct investment screening, said Thomas Feddo, Treasury’s assistant secretary of investment security, and come as the U.S. begins to implement those reforms as part of the Foreign Investment Risk Review Modernization Act (see 2001140060). Feddo spoke during a Feb. 26 event hosted by the Asia Society.
The Commerce Department Bureau of Industry and Security issued guidance Feb. 25 clarifying that the virus causing the outbreak of the coronavirus disease, SARS-CoV-2, will continue to be classified under the Export Control Classification Number EAR99, meaning export licenses are generally not required for exports of the virus. BIS said it issued the guidance in response to a report recently published by the International Committee on Taxonomy of Viruses, which classified the virus, SARS-CoV-2, as belonging to a species similar to SARS-CoV, a virus controlled under the Export Administration Regulations under ECCN 1C351.a.46. But because SARS-CoV-2 is a “genetically distinct virus,” “causes a clinically distinct disease” and the “specifics of the disease … are still being investigated,” BIS said it considers SARS-CoV-2 to be “distinct” from SARS-CoV, adding that it does not yet warrant increased controls. BIS did warn, however, that some end-users, end-uses and destination countries may require a license for exports of EAR99 items, and exporters “should continue to screen all requests in accordance” with the Export Administration Regulations.
The Commerce Department Bureau of Industry and Security will send an information collection proposal to the Office of Management and Budget relating to foreign availability procedures, according to a notice published in the Federal Register. The information collection is used by Congress and industry to make foreign availability determinations under the Export Administration Regulations. Comments are due to the Office of Information and Regulatory Affairs at OIRA_Submission@omb.eop.gov by March 26.