On September 21, 2018, OFAC extended certain Ukraine-related general licenses. OFAC issued General License No. 13D authorizing certain transactions necessary to divest or transfer debt, equity, or other holdings in listed blocked persons. OFAC also issued General Licenses No. 14A and 16A, which authorize certain activities necessary to the maintenance or wind down of operations or existing contracts with 1) United … Continue Reading
On August 30, 2018, the Bureau of Industry and Security (BIS) published in the Federal Register a final rule titled, “Revisions to the Export Administration Regulations Based on the 2017 Missile Technology Control Regime Plenary Agreements.” This new final rule amending the EAR reflects changes to the Missile Technology Control Regime (MTCR) Annex pursuant to the October 2017 agreement by the … Continue Reading
On August 10, the Council of EU amended its sanctions against South Sudan. This amendment clarifies the scope of limitations imposed on exports of military goods to South Sudan (Council Decision (CFSP) 2018/1125 and Council Regulation (EU) 2018/1116).… Continue Reading
On October 4, 2018, the Directorate of Defense Trade Controls (DDTC) announced in the Federal Register revisions to the ITAR titled, “Regulatory Reform Revisions to the International Traffic in Arms Regulations.” The revisions are in response to comments that the Department of State received. The new rule has removed certain notification requirements from the ITAR, and it removed certain items … Continue Reading
On September 20, 2018, President Trump issued a new CAATSA-related Executive Order (EO) titled, “Authorizing the Implementation of Certain Sanctions Set Forth in the Countering America’s Adversaries Through Sanctions Act” and an accompanying frequently asked question. This EO provides authority to the Secretary of Treasury to take certain actions to implement certain sanctions under the Countering America’s Adversaries Through Sanctions … Continue Reading
The amended EU Blocking Regulation entered into force on August 8. The amendment extended the scope of US sanctions against Iran with which EU citizens or entities must not comply. In addition to the updated EU Blocking Regulation, the European Commission issued: Guidance Note — Questions and Answers: adoption of update of the Blocking Statute Commission Implementing Regulation (EU) … Continue Reading
The European Commission published its draft guidance on the internal effective export control compliance programs. The guidance is subject to public consultation with all interested stakeholders. In order to take part in the consultation, it is necessary to submit a contribution via the on-line survey.… Continue Reading
The Department for International Trade has produced guidance, published on August 23, 2018, informing stakeholders how export controls would be affected if the UK leaves the EU with no deal. The notice explains how export licensing requirements for different groups of items would change and what the UK government proposed to simplify licensing. The export of many controlled items within … Continue Reading
The export control joint unit (ECJU) has amended the Export Control Order 2008 with effect from September 14, 2018. The new Order extends the controls on firearms to include devices capable of being converted to firearms. The ECJU has also updated the consolidated control list of strategic military and dual-use items that require export authorization. The additional devices include the … Continue Reading
In July, following decisions of the Sanctions Committee of the United Nations Security Council, the European Commission lifted the freeze of funds and economic resources sanctions imposed on certain Iraqi entities, including some state owned enterprises (Commission Implementing Regulation (EU) 2018/979, Commission Implementing Regulation (EU) 2018/1025 and Commission Implementing Regulation (EU) 2018/1066).… Continue Reading
The Office of Financial Sanctions Implementation (OFSI), which is part of HM Treasury and works to ensure that financial sanctions are properly implemented and enforced in the UK, has updated a number of financial sanctions currently in force. The recent updates are as follows: Financial sanctions, Libya; Financial sanctions, Ukraine (Sovereignty and Territorial Integrity); Financial sanctions, North Korea (Democratic People’s … Continue Reading
The Trump Administration has added eight Chinese entities and 36 of their subsidiaries to the US Department of Commerce, Bureau of Industry Security’s (BIS) Entity List. Per the final rule published in the Federal Register on August 2, 2018, “[t]he entities that are being added to the Entity List have been determined by the U.S. Government to be acting contrary … Continue Reading
Our Aerospace & Defense Group is pleased to partner once again with EGADD and Strategic Shipping Company Ltd to host the upcoming “The ITAR ‘Virus’ Continues to EARvolve!” US Export Controls Workshop in Stratford-Upon-Avon, UK, Monday, July 23 – Wednesday, July 25, 2018. 2018 welcomes the 11th anniversary of the workshop.… Continue Reading
On May 8, President Trump announced that the US is withdrawing from the Joint Comprehensive Plan of Action (JCPOA) entered among the P5+1 countries (the US, China, France, Germany, Russia and the UK), the European Union and Iran in July 2015. In our publication, we provide an overview of upcoming changes to US sanctions policy … Continue Reading
Directive 2009/43/EC (so-called the “Transfer Directive”) regulates terms and conditions of the transfer of defense-related products within the EU. According to the Transfer Directive, products are subject to licensing requirements to the extent they are “specially designed for military use”. The European Commission, in close cooperation with member states, has undertaken an initiative to clarify the scope of the term “specially designed … Continue Reading
On 1 March, the Office of Foreign Assets Control (OFAC) announced the amendment and reissuance in its entirety of the North Korea Sanctions Regulations, 31 C.F.R. part 510. These regulations were updated to reflect and incorporate the North Korea-related executive orders issued in recent years and additional changes to North Korea-related laws, specifically the North Korea Sanctions and Policy Enhancement … Continue Reading
The Council of the EU imposed new EU sanctions on Myanmar. The EU prohibited exports of dual-use goods for military and Border Guard Police end-users, and introduced restrictions on exports of equipment for monitoring communications that might be used for internal repression. Further, the Council of the EU froze assets of natural persons from the Myanmar Armed Forces (Tatmadaw) and … Continue Reading
Effective 15 April 2018 until 23 March 2025, the US Department of Commerce Bureau of Industry and Security (BIS) imposed a denial order of export privileges against Zhongxing Telecommunications Equipment Corporation of Shenzhen, China (ZTE Corporation) and ZTE Kangxun Telecommunications Ltd. of Hi-New Shenzhen, China (ZTE Kangxun) (collectively, ZTE). Additionally, both entities were added to the BIS Denied Persons List, … Continue Reading
The EU updated the list of national authorities participating in the Kimberley Process certification scheme for trade in rough diamonds. The list also includes the competent authorities of Venezuela that were readmitted to participate in this scheme. (Commission Implementing Regulation (EU) 2018/578)… Continue Reading
An unnamed UK company has recently been fined £109,312.50 for making unlicensed exports of military goods controlled by the Export Control Order 2008. The fine was issued by Her Majesty’s Revenue and Customs (HMRC), which is responsible for enforcing UK export control legislation in collaboration with the Crown Prosecution Service. The fine is an example of HMRC using its powers … Continue Reading
The Council of the EU has decided to prolong the application of its sanctions against persons responsible for serious human rights violations in Iran until 13 April 2019. (Council Decision (CFSP) 2018/568)… Continue Reading
On 11 April 2018, the Export Council Joint Unit (ECJU) published a new Open General Export Licence (OGEL) applicable to information security items. The purpose of this OGEL is to allow the export of “low risk” information security items deploying encryption to a wide range of destinations.… Continue Reading
On 6 April, the Office of Foreign Assets Control (OFAC) designated seven Russian oligarchs, 12 companies they own or control, 17 senior Russian government officials and a state-owned Russian weapons trading company and its subsidiary, a Russian bank, pursuant to Executive Order 13661, 13662 and the Countering America’s Adversaries Through Sanctions Act (CAATSA). According to the US Department of Treasury, … Continue Reading
