The State Department sent an interim final rule for interagency review that would seek public comments on revisions to the U.S. Munitions List. The rule, sent for review Feb. 2, would request feedback “regarding the technology frontier,” which could help the agency identify specific technology capabilities that have “sufficiently evolved” to consider amending the International Traffic in Arms Regulations. The State Department would revise and exclude entries on the USML that “no longer warrant inclusion” and “add entries for critical and emerging technologies that do.”
U.S. leaders “must act” to ensure America remains competitive in the emerging biotechnology sector, including through trade restrictions and other controls, the Center for New American Security’s new Biotech Task Force said in a “statement of purpose” this week. In an emailed news release, the task force said the U.S. must constrain “harmful tech development by certain actors with updated mitigation strategies,” including ones that use “export controls and investment restrictions.” The strategies should also include “updating regulations, forging collaboration with trusted international partners, and reinforcing international law and norms.”
The Bureau of Industry and Security scheduled a temporary outage of its Simplified Network Application Process – Redesign (SNAP-R) system for the weekend of Feb. 4-5 as the agency completes the transfer of data and connectivity points for the system software. “BIS regrets the inconvenience to users due to this necessary outage,” it said.
The Bureau of Industry and Security's top export enforcement official is in Canada this week to discuss improving U.S.-Canadian enforcement efforts. Matthew Axelrod, BIS assistant secretary for export enforcement, said he’s meeting with the Canada Border Services Agency and the Global Affairs Canada Royal Canadian Mounted Police to share information on Russian “diversion actors,” coordinate the “targeting and conduct of pre- and post-shipment verifications and audits,” upgrade efforts to “inspect, detain, and seize illicit shipments,” and work to “reduce threats through coordinated outreach, investigations, and enforcement actions.”
The Biden administration recently notified companies it no longer will approve license applications for technology shipments to Huawei, moving toward a “total ban” on U.S. sales to the Chinese telecommunications company, the Financial Times reported this week. The Commerce Department already employs a strict licensing policy for exports to the company, but the report said the administration is looking to take “an even tougher stance on China, particularly in the area of cutting-edge technology.”
The Defense Export Controls and Compliance System User Group is looking for people who use the DECCS who would be willing to test new functions and to participate in two user group meetings a year. Volunteers can be company employees, government agency employees or from third-party organizations. They can be from either the U.S. or abroad. They can suggest DECCS enhancements, as well as identify challenges in using it.
The U.S. has been “abusing export controls” and “politicizing tech and trade issues and using them as a tool and weapon” to “hold on to its hegemony and serve its selfish agenda,” Chinese foreign ministry spokesperson Mao Ning said in response to a question about a reported agreement on chip controls between the U.S., the Netherlands and Japan (see 2301270002). “China is firmly against this,” she said at a regularly scheduled press conference Jan. 30. “Such practices serve no one’s interests. They destabilize global industrial and supply chains and have given rise to global concerns.”
Japan last week strengthened its sanctions and export controls against Russia to better restrict sensitive technologies and align its controls with “measures taken by other major countries.” The new measures impose asset freezes on a range of people and entities involved in Russia’s war in Ukraine, restrictions on “capital transactions” with certain Russian people and entities and an export prohibition on shipments to 49 entities. Japan also said it will impose export controls on “dual-use items which could contribute to the development of military capacity.”
Japan and the Netherlands will soon join the U.S. in imposing export restrictions on certain advanced semiconductor machinery destined to China, Bloomberg reported Jan. 26. Although the three countries have been discussing the controls for months, the report said talks were expected to conclude Jan. 27 and would result in new, expanded Dutch restrictions on ASML and new Japanese controls on Nikon. The Netherlands will prevent ASML from selling “at least some” of its deep ultraviolet lithography machines to China (see 2301250022), with Japan setting “similar limits” on Nikon, the report said, adding that the countries haven’t yet decided on a date for a public announcement.
A former undersecretary of Commerce now at the Center for Strategic and International Studies, Bill Reinsch, said there has been relatively little impact on chip companies and chipmaking equipment companies from export controls on sales to China announced last October (see 2210070049).