The U.S. will not sell F-35 fighter jets to Turkey because of the country’s recent purchase of Russian defense items, including S-400 missile parts, President Donald Trump said during a July 16 Cabinet meeting. But Trump did not say whether the U.S. would impose sanctions on Turkey, adding that he has a “good relationship” with Turkish President Recep Tayyip Erdogan and that Turkey was placed in a “very tough situation.” Trump said the U.S. is “speaking to Turkey.” “With all of that being said, we’re working through it,” Trump said. “We’ll see what happens."
Ian Cohen
Ian Cohen, Deputy Managing Editor, is a reporter with Export Compliance Daily and its sister publications International Trade Today and Trade Law Daily, where he covers export controls, sanctions and international trade issues. He previously worked as a local government reporter in South Florida. Ian graduated with a journalism degree from the University of Florida in 2017 and lives in Washington, D.C. He joined the staff of Warren Communications News in 2019.
Global export controls and international sanctions are not stopping luxury goods from entering North Korea, which is employing a significantly larger smuggling scheme than previously known, according to a July 16 report from the Center for Advanced Defense Studies (CADS), a nonprofit research organization in Washington. The 56-page report details how North Korea works with intermediaries, freight forwarders, private financiers and others to smuggle luxury goods into the country. The report also places North Korea’s smuggling system into context: Between 2015 and 2017, at least 90 countries “served as luxury goods procurement sources” for North Korea, the report said.
Bipartisan members of the Senate and House introduced a bill on July 16 that would prevent the Trump administration from removing Huawei from Commerce’s Entity List without congressional approval. The bill would also give Congress oversight of Huawei-related export licenses granted by Commerce, allowing Congress to issue a “joint resolution of disapproval” to render any export license inactive.
The U.S. has not yet delivered the $8 billion in emergency arms sales to Saudi Arabia and the United Arab Emirates it announced on May 24, a State Department official told a Senate committee, causing both Republican and Democratic senators to question why the sales justified an emergency.
Britain is offering to release Grace 1, the seized Iranian oil tanker, if Iran can provide proof the ship is not transporting oil to Syria, United Kingdom Foreign Minister Jeremy Hunt said July 13. The ship was originally seized by Gibraltar Port and Law Enforcement on July 4 after British authorities suspected it of shipping oil to Syria, which would have violated European Union sanctions (see 1907080022). The ship was seized in Gibraltar territorial waters.
China plans to impose sanctions on U.S. companies that sell defense products to Taiwan, China’s Foreign Ministry spokesperson Geng Shuang said July 12.
Commerce’s Bureau of Industry and Security and the Census Bureau plan to issue a proposed rule for routed export transactions during the summer or fall of 2019, said Sharron Cook, a senior export policy analyst with BIS, at BIS’s annual export controls conference on July 10. The long-awaited proposed rule is expected to update parties’ responsibilities under the Export Administration Regulations in a routed export transaction.
After more than 25 industry associations urged the Commerce Department to grant more time for comments on its next advance notice of proposed rulemaking for foundational technologies, top Commerce officials said it will consider the request but suggested that U.S. industries have had ample time to prepare comments.
As the Trump administration pushes for export controls on certain firearms to be transferred from the State Department to the Commerce Department, top Commerce officials said the move should not be a cause for concern and said they are welcoming feedback from the public and members of Congress.
The Commerce Department is reviewing export license applications to sell to Huawei in order to “mitigate as much of the negative impacts of the entity listing as possible” and hopes to have decisions “soon,” said Nazak Nikakhtar, Commerce undersecretary for the industry and security.