The EU and Japan this week met for the first time as part of a new supply chain working group to discuss economic security issues. The EU said the forum will allow the two sides to ensure a "level playing field by regulating state intervention in support to industrial sectors," swap “trade strategies” and talk about efforts to diversify supply chains. The European Commission said the new working group is “especially relevant” to the bloc’s recently published economic security strategy see (see 2306200052 and 2401240078), adding that it wants to partner with allies such as Japan on “anti-coercion instruments, export controls and investment screening.”
The U.S. and the EU held the fifth meeting of the U.S.-EU Trade and Technology Council in Washington on Jan. 30, where the two sides again committed to increasing trade and cooperating on economic security and emerging technology issues, according to a European Commission readout of the meeting. The commission said the EU and the U.S. agreed to “explore ways to facilitate trade in goods and technologies that are vital for the green transition” and strengthen approaches to investment screening, export controls, outbound investment and “dual-use innovation.”
The Biden administration this week updated its guidance for companies doing business in Myanmar with new industry sectors and business activities that may lead to sanctions evasion, export control violations or other supply chain risks. The update now specifically mentions Myanmar’s rare earth elements; base metals and gold; timber; and aviation services industries, and warns companies about goods being diverted to military end uses and end users in the country; risks posed by financial services provided by state-owned banks; and ongoing forced labor and human rights abuses against Myanmar workers.
Two House committee chairs have urged the Biden administration to place export restrictions and sanctions on four “highly troubling” Chinese companies that are slated to provide software and other technology to a planned electric vehicle battery factory in the U.S.
The Biden administration’s proposal to impose new restrictions on U.S. investment in certain Chinese technology sectors is a complex undertaking that will be difficult to implement, a former Treasury Department official said on Jan. 30.
Several lawmakers on Jan. 29 urged the Biden administration to reimpose sanctions on Venezuela after the country’s supreme court barred opposition leader Maria Corina Machado from this year’s presidential election (see 2401290048).
The Office of Foreign Assets Control this week sanctioned two cybersecurity experts with ties to the Islamic State group along with a “financial facilitator” that has helped to transfer funds to Islamic State officials in Syria.
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The U.S. is reversing the sanctions relief it gave to Venezuela last year after finding the Nicolas Maduro-led regime has failed to take steps to hold free and fair elections, which has included barring the opposition candidate from participating in the elections and arresting members of the opposition party.
The Bureau of Industry and Security reached a $153,175 settlement with Wabtec, a U.S. rail technology manufacturer and supplier, after the company violated BIS’ antiboycott regulations. The agency said Wabtec committed 43 violations when it failed to report to BIS that it received requests from a Pakistani customer to boycott goods from Israel.