Bureau of Industry and Security – Federal Register Recent Federal Regulation Documents

In this advance notice of proposed rulemaking (ANPRM), the Department of Commerce's Bureau of Industry and Security (BIS) seeks public comment on issues related to transactions involving information and communications technology and services (ICTS) that are designed, developed, manufactured, or supplied by persons owned by, controlled by, or subject to the jurisdiction or direction of foreign adversaries, pursuant to Executive Order (E.O.) 13873, "Securing the Information and Communications Technology and Services Supply Chain," and that are integral to unmanned aircraft systems (UAS). This ANPRM will assist BIS in determining the technologies and market participants that may be appropriate for regulation in order to address undue or unacceptable risks to U.S. national security, including U.S. ICTS supply chains and critical infrastructure, or/and to the security and safety of U.S. persons.

The Bureau of Industry and Security (BIS) is amending the Export Administration Regulations (EAR) to implement changes agreed to by Australia Group (AG) member countries at recent meetings. These include controlling: instruments for the automated chemical synthesis of peptides (automated peptide synthesizers), dipropylamine, and neosaxitoxin; and revising the controls for botulinum toxins, toxic gas monitors, and centrifugal separators. This rule also makes minor conforming changes for the new controls and revisions to existing controls.

The Bureau of Industry and Security (BIS) is seeking public comments on the impact that implementation of the Chemical Weapons Convention (CWC or "the Convention"), through the Chemical Weapons Convention Implementation Act of 1998 and the Chemical Weapons Convention Regulations (CWCR), has had on commercial activities involving "Schedule 1" chemicals during calendar year 2024. The purpose of this notice of inquiry is to collect information to assist BIS in its preparation of the annual certification to the Congress on whether the legitimate commercial activities and interests of chemical, biotechnology, and pharmaceutical firms are harmed by such implementation. This certification is required under Condition 9 of Senate Resolution 75 (April 24, 1997), in which the Senate gave its advice and consent to the ratification of the CWC.

In this final rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) by adding 140 entities to the Entity List. These entries are listed on the Entity List under the destinations of China, People's Republic of (China), Japan, South Korea, and Singapore and have been determined by the U.S. Government to be acting contrary to the national security and foreign policy interests of the United States. This final rule also modifies 14 existing entries on the Entity List, consisting of revisions to 14 entries under China. This final rule publishes concurrently with BIS's interim final rule, "Foreign-Produced Direct Product Rule Additions, and Refinements to Controls for Advanced Computing and Semiconductor Manufacturing Items" (0694-AJ74), which makes additional changes to the EAR controls on advanced computing items and semiconductor manufacturing items. This final rule is part of this larger effort to ensure that appropriate EAR controls are in place on these items, including in connection with transactions destined to or otherwise involving the entities being added to the Entity List, as well as for existing entries on the Entity List that are being modified. All of these entities (those newly added and those being modified) are involved with the development and production of "advanced-node integrated circuits" ("advanced-node ICs") and/or semiconductor manufacturing items, and/or have supported the Chinese government's Military-Civil Fusion (MCF) Development Strategy. Additionally, this final rule designates nine of these entities being added and seven of the entries being modified as entities for which entity-specific restrictions involving foreign-produced items apply. This final rule also amends the EAR by removing three entities from the Validated End- User (VEU) Program.

The Bureau of Industry and Security (BIS) is amending the Export Administration Regulations (EAR) by imposing new licensing requirements on exports, reexports, and transfers (in-country) to and within Pakistan of certain items identified on the Commerce Control List (CCL) that are not currently subject to a license requirement when destined for Pakistan. This change is being made to ensure that such transactions receive U.S. government review to reduce the risk of diversion to an end use or end user of concern.

On October 23, 2024, the Bureau of Industry and Security (BIS) published in the Federal Register the interim final rule, "Export Administration Regulations: Revisions to Space-Related Export Controls" with comments originally due November 22, 2024. This notification extends the deadline for written comments to December 23, 2024. This extension is being made to allow for commenters to have additional time to review the interim final rule and to be informed by the public outreach that BIS is conducting on the rule in preparing their comments. Extending the public comment period will not in any way undermine the rule or national security of the United States.

On October 23, 2024, the Bureau of Industry and Security (BIS) published in the Federal Register related rules: a final rule, "Export Administration Regulations: Removal of License Requirements for Certain Spacecraft and Related Items for Australia, Canada, and the United Kingdom," and an interim final rule, "Export Administration Regulations: Revisions to Space-Related Export Controls." This document announces that, on November 6, 2024, BIS will host a public briefing on these rules. This document also provides details on the procedures for participating in the public briefing. Elsewhere in this issue of the Federal Register, BIS is publishing notification of the public briefing on related proposed rulemaking.

In this final rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) by adding 26 entries to the Entity List, under the destinations of the People's Republic of China (China), Egypt, Pakistan, and the United Arab Emirates (UAE) and modifies one existing entry under the destination of China. This rule also removes two entities from the entity list: one entity listed under the destination of China, and a second entity listed under the destinations of Canada, India, Japan, Malaysia, Sweden and the UAE.

In this interim final rule (IFR), the Bureau of Industry and Security (BIS) makes changes to controls for spacecraft and related items under the Export Administration Regulations (EAR). This IFR reduces license requirements on less sensitive items to reflect the close relations with certain countries to better facilitate space collaboration; and makes refinements and clarifications to existing controls. These changes will better enable a globally competitive U.S. space industrial base while continuing to protect U.S. national security and foreign policy interests.

On September 16, 2024, the Bureau of Industry and Security (BIS) published a final rule amending administrative and enforcement provisions in the Export Administration Regulations (EAR). The rule contained an error in an amendatory instruction. This document corrects that error.

The Bureau of Industry and Security (BIS) is requesting public comments on the effectiveness of its licensing procedures as defined in the Export Administration Regulations (EAR) for the export and reexport of agricultural commodities to Cuba. BIS will include a description of any comments it receives in its biennial report to Congress, as required by the Trade Sanctions Reform and Export Enhancement Act of 2000, as amended (TSRA).

This rule revises the version date for the License Exception Implemented Export Controls (IEC) table posted on the Bureau of Industry and Security (BIS) website and replaces the long URL address for the table to a shorter and simpler URL address. BIS posted an updated table on September 17, 2024, that updated the eligible countries for License Exception IEC by adding Denmark, Finland, and Japan to appropriate items in the table.

In this rule, the Department of Commerce, Bureau of Industry and Security (BIS), amends the Export Administration Regulations (EAR) to expand the Validated End User Authorization (VEU) program to include VEU Authorization for data centers located in specified destinations ("Data Center VEU" or "Data Center VEU Authorization"). This expansion of the VEU program to include Data Center VEU is intended to facilitate quick and reliable export or reexport of items on the Commerce Control List necessary for a data center, including advanced computing items, to preapproved trusted end users. Data Center VEU adopts much of the framework of the existing VEU program, with additional requirements. This expansion of eligibility is intended to update the VEU program to recognize the advancement and benefits of artificial intelligence. As under the original VEU Authorization Program, the U.S. government will rigorously review Data Center VEU candidates' applications subject to detailed and verifiable criteria.