What we’re talking about
The Bureau of Industry and Security (BIS) has expanded its Validated End User (VEU) Program to include controls for data centers in an effort to create a trusted ecosystem for artificial intelligence (AI) development. The VEU will now review applicants data centers to ensure application of appropriate safeguards and security measures. This update to the
The Bureau of Industry and Security (BIS) has amended the Voluntary Self Disclosure (VSD) process in the Export Administration Regulations (EAR). The newly released amendment to CFR 15 Section 764.5 and Supplement No. 1 to part 766 provides guidance for settlement determinations of penalties for administrative enforcement cases. This action evolved from a series of
The U.S. Department of State announced on August 15, 2024 that progress had been made in the AUKUS defense trade integration. This has resulted in an interim final rule amendment to the International Traffic in Arms Regulations (ITAR) that will facilitate billions of dollars in secure license-free defense trade between Australia, the United Kingdom, and
The Bureau of Industry and Security (BIS) has released guidance on improving academia research export compliance programs. This guidance is based on recent trends in Voluntary Self-Disclosures conducted by academic institutions where Export Administration Regulations (EAR) violations occurred . Voluntary Self-Disclosures A Voluntary Self-Disclosure (VSD) is conducted when an organization recognizes that violations or suspected
Integrating physical security requirements is an area of growing concern for organizations of all sizes. Aside from insuring basic safety for personnel and physical assets, businesses are faced with security requirements for cybersecurity and export compliance. This necessitates a non-siloed approach to an often overlooked management function. Basic Physical Security Measures Every organization should ensure
The Bureau of Industry and Security (BIS) has issued guidance that recommends using a new export screening list as additional due diligence to prevent diversion risks. This new database, The Trade Integrity Project has been released by the Open Source Center, which is based in the United Kingdom. This list focuses on entities involved in
AUKUS eases export restrictions under ITAR and EAR for certain defense related articles and technologies between the United States, Australia, and the United Kingdom. This strategic initiative has been taken to enhance the defense capabilities of all three nations to respond to national security threats posed by the Peoples Republic of China (PRC) and Russia.
President Biden signed H.R. 815 into law on April 24, 2024 to address specific foreign policy and national security issues. This legislation includes an extension (Section 3111) for the International Emergency Economic Powers Act (IEEPA) and the Trading with the Enemy Act (TWEA) from five to ten years. This statute of limitations is applicable to
Cyber-intrusion and data exfiltration are subjects of increased concern for the Bureau of Industry and Security (BIS). In its March 2024 release of Don’t Let This Happen to You!, BIS reiterates its growing role in export enforcement to protect U.S. national security and foreign policy concerns. It emphasizes the importance of developing effective export compliance programs
Nicaragua export restrictions have been increased by both the Directorate of Defense Trade Controls (DDTC) and the Bureau of Industry and Security (BIS) as of March of 2024. These actions were taken in response to United States national security and foreign policy concerns regarding the continuing deterioration of the nation’s human rights, civil institutions, and
Foreign based businesses and persons involved in the reexport of items controlled under the Export Administration Regulations (EAR) and the International Traffic in Arms Regulations (ITAR) are subject to the regulations and associated sanctions. This also holds true for foreign producers of items that incorporate threshold percentages (de minimis) of controlled items in their products
The Disruptive Technology Strike Force was launched February 16, 2023 by the Department of Commerce, the Department of Justice, and the Federal Bureau of Investigation in an effort to prevent the unlawful acquisition of advanced technologies by foreign adversaries. To date this effort has resulted in numerous cases being filed against parties involved in sanctions
As 2024 begins, it will be interesting to note how developments in Export Administration Regulations (EAR) will unfold. The previous year has seen tightening of export controls, increased enforcement activities, increased penalties, and co-operation of the Bureau of Industry and Security (BIS) with enforcement agencies in this nation and abroad. What are Export Administration Regulations
A 2023 report from the U.S. House of Representatives stressed the importance of Bureau of Industry and Security (BIS) export controls to mitigate threats economic and national security threats from China. The bipartisan report stressed that China is using military, economic strength, and it technological base to further an agenda of global domination. It further
Performance of export control classifications is a requirement for businesses conducting sales of products and services, even if the sale is conducted within the United States, because the customer may be a non-U.S. person. Classification of products provides a determination that a proposed transaction is allowed under federal regulations, is prohibited, or requires licensing or
The National Security Guardrails for CHIPS have been established by the U.S. Department of Commerce in an effort to prevent manufacturing subsidies for semiconductor manufacturing and research and development from being diverted into nations considered to be national security threats. The CHIPS and Science Act, originally published in March of 2023 is an incentive to
