The Daily Bugle Weekly Highlights: Week 20 (17-21 May 2021)

Every Monday we post the highlights out of last week’s FCC Export/Import Daily Update (“The Daily Bugle”). Send out every business day to approximately 9,500 readers of changes to defense and high-tech trade laws and regulations, The Daily Bugle is a free daily newsletter from Full Circle Compliance, edited by James E. Bartlett III and Elina Tsapouri.

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Last week’s highlights of The Daily Bugle included in this edition are:

  1. Commerce/BIS: “Joint United States – European Union Statement on Addressing Global Steel and Aluminum Excess Capacity”; Monday, 17 May 2021; Item #3
  2. Justice/BATFE to Use ATF Form 5400.28 to Determine Qualifications to Possess, Ship, Transport, Receive, or Possess Explosives; Tuesday, 18 May 2021; Item #1
  3. Justice: Aerojet Rocketdyne, Inc. to Pay $37K to Settle ITAR Employment Discrimination Claim; Tuesday, 18 May 2021; Item #5
  4. Treasury/OFAC Modifies Terrorism List Governments Sanctions Regulations; Thursday, 20 May 2021; Item #2
  5. ATF PostsDefinition of ”Frame or Receiver” and Identification of Firearms;Friday, 21 May 2021; Item #1



Commerce/BIS: “Joint United States – European Union Statement on Addressing Global Steel and Aluminum Excess Capacity”

(Source: Commerce/BIS)


United States Trade Representative Katherine Tai, U.S. Secretary of Commerce Gina M. Raimondo, and European Commission Executive Vice President Valdis Dombrovskis today announced the start of discussions to address global steel and aluminum excess capacity. During a virtual meeting last week, the leaders acknowledged the need for effective solutions that preserve our critical industries, and agreed to chart a path that ends the WTO disputes following the U.S. application of tariffs on imports from the EU under section 232.

Ambassador Tai, Secretary Raimondo, and Executive Vice President Dombrovskis acknowledged the impact on their industries stemming from global excess capacity driven largely by third parties. The distortions that result from this excess capacity pose a serious threat to the market-oriented EU and U.S. steel and aluminum industries and the workers in those industries. They agreed that, as the United States and EU Member States are allies and partners, sharing similar national security interests as democratic, market economies, they can partner to promote high standards, address shared concerns, and hold countries like China that support trade-distorting policies to account.

They agreed to enter into discussions on the mutual resolution of concerns in this area that addresses steel and aluminum excess capacity and the deployment of effective solutions, including appropriate trade measures, to preserve our critical industries. To ensure the most constructive environment for these joint efforts, they agreed to avoid changes on these issues that negatively affect bilateral trade. They committed to engaging in these discussions expeditiously to find solutions before the end of the year that will demonstrate how the U.S. and EU can address excess capacity, ensure the long-term viability of our steel and aluminum industries, and strengthen our democratic alliance.



Justice/BATFE to Use ATF Form 5400.28 to Determine Qualifications to Possess, Ship, Transport, Receive, or Possess Explosives

(Source: 86 FR 26941, 18 May 2021) (PDF) [Excerpts] 


* AGENCY: DEPARTMENT OF JUSTICE, Bureau of Alcohol, Tobacco, Firearms, and Explosives

* ACTION: 60-Day notice.

* SUMMARY: The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Department of Justice (DOJ), will submit the following information collection request to the Office of Management and Budget (OMB) for review and approval in accordance with the Paperwork Reduction Act of 1995. The proposed collection OMB 1140-0072 (Explosives Employee Possessor Questionnaire–ATF Form 5400.28) is being revised to include additional questions, and a new format and layout to improve user experience. This collection is also being published to obtain comments from the public and affected agencies.

* DATES: Comments are encouraged and will be accepted for 60 days until July 19, 2021.



Justice: Aerojet Rocketdyne, Inc. to Pay $37K to Settle ITAR Employment Discrimination Claim

(Source: DOJ Office of Public Affairs, 18 May 2021) [Excerpts]

The Department of Justice today announced that it reached a settlement with Aerojet Rocketdyne Inc. (Aerojet Rocketdyne), a rocket and missile propulsion manufacturer. The settlement resolves a charge brought by a lawful permanent resident whom Aerojet Rocketdyne did not consider for a mechanic position because of his immigration status.  

The department’s investigation concluded that Aerojet Rocketdyne violated the anti-discrimination provision of the Immigration and Nationality Act (INA) when it only considered U.S. citizens for 12 mechanic positions in Jupiter, Florida, without legal justification. 

“Employers cannot limit positions only to U.S. citizens unless they have a legal requirement to do so,” said Principal Deputy Assistant Attorney General Pamela S. Karlan of the Justice Department’s Civil Rights Division. “The department commends Aerojet Rocketdyne for quickly changing its practices when it learned of the issue, and for its cooperation throughout the department’s investigation.” 

Aerojet Rocketdyne builds and sells advanced propulsion and energetics systems to customers including the U.S. government and private companies. The department’s investigation determined that Aerojet Rocketdyne did not allow the Charging Party and other non-U.S. citizens to apply for 12 mechanic positions, based on their citizenship status. The investigation also concluded that the company misunderstood its obligations under federal regulations, such as the International Traffic in Arms Regulations (ITAR), by mistakenly believing that they imposed restrictions on the company’s ability to hire non-U.S. citizens, which they do not. The investigation also determined that the company incorrectly believed that some of its government contracts required it to fill the 12 mechanic positions with U.S. citizens. When it learned of the investigation, Aerojet Rocketdyne was forthcoming and quickly changed its practices to avoid future discrimination. 

The INA protects U.S. citizens, non-citizen nationals, refugees, asylees, and recent lawful permanent residents from hiring discrimination based on citizenship status. The law has an exception if an employer or recruiter is required to limit jobs due to a law, regulation, executive order, or government contract. 

Today’s settlement agreement requires Aerojet Rocketdyne to take several steps to ensure it follows the law, including training its employees who conduct hiring in its Jupiter, Florida location. The company also must pay a $37,008 civil penalty. As with its other settlements, the department will monitor the company to make sure it is complying with the agreement. . . .



Treasury/OFAC Modifies Terrorism List Governments Sanctions Regulations

(Source: Federal Register, 20 May 2021) [Excerpts]


86 FR 27273: Rule

* 31 CFR Part 596 Terrorism List Governments Sanctions Regulations 

* AGENCY: Office of Foreign Assets Control, Treasury.

* ACTION: Final rule.

* SUMMARY: The Department of the Treasury’s Office of Foreign Assets Control (OFAC) is amending the Terrorism List Governments Sanctions Regulations to implement changes resulting from the Secretary of State’s December 14, 2020, rescission of the designation of Sudan as a State Sponsor of Terrorism. Specifically, OFAC is removing one general license in full and amending another general license to remove references to the Government of Sudan and Sudanese nationals because financial transactions with the Government of Sudan are no longer prohibited by the Terrorism List Governments Sanctions Regulations.

* DATES: This rule is effective May 20, 2021.



ATF Posts Definition of ”Frame or Receiver” and Identification of Firearms

(Source: 86 FR 27720, 21 May 2021) [Excerpts]


* AGENCY: Bureau of Alcohol, Tobacco, Firearms, and Explosives; Department of Justice.
* ACTION: Notice of proposed rulemaking; request for comment.
* SUMMARY: The Department of Justice proposes amending Bureau of Alcohol, Tobacco, Firearms, and Explosives (”ATF”) regulations to provide new regulatory definitions of ”firearm frame or receiver” and ”frame or receiver” because the current regulations fail to capture the full meaning of those terms. The Department also proposes amending ATF’s definitions of ”firearm” and ”gunsmith” to clarify the meaning of those terms, and to provide definitions of terms such as ”complete weapon,” ”complete muffler or silencer device,” ”privately made firearm,” and ”readily” for purposes of clarity given advancements in firearms technology. Further, the Department proposes amendments to ATF’s regulations on marking and recordkeeping that are necessary to implement these new or amended definitions.
* DATES: Written comments must be postmarked and electronic comments must be submitted on or before August 19, 2021. Commenters should be aware that the electronic Federal Docket Management System will not accept comments after Midnight Eastern Time on the last day of the comment period.  . . .

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