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 8,500 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, Salvatore Di Misa, and Elina Tsapouri.
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Last week’s highlights of The Daily Bugle included in this edition are:
- Treasury/OFAC Targets Maritime Entities for Supporting Illegitimate Maduro Regime in the Venezuela Oil Trade; Tuesday, 2 June 2020; Item #5.
- EU Council: “High Representative on Behalf of the EU on Hong Kong”; The Daily Bugle; Tuesday, 2 June 2020; Item #6.
- Commerce/BIS: “Expansion of Export, Reexport, and Transfer (in-Country) Controls for Military End Use or Military End Users of China, Russia, or Venezuela”; The Daily Bugle; Wednesday, 3 June 2020; Item #1.
- Treasury/OFAC: “Publication of Syria-related Sanctions Regulations”; The Daily Bugle; Thursday, 6 June 2020; Item #6.
- EU Commission Reports on Latest Negotiating Round with Australia; The Daily Bugle; Friday, 5 June 2020; Item #10
Treasury/OFAC Targets Maritime Entities for Supporting Illegitimate Maduro Regime in the Venezuela Oil Trade
(Source: Treasury/OFAC, 2 Jun 2020) [Excerpts]
Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) designated four companies for operating in the oil sector of the Venezuelan economy. Additionally, OFAC identified four vessels as blocked property. The United States reiterates that the exploitation of Venezuela’s oil assets for the benefit of the illegitimate regime of President Nicolas Maduro is unacceptable, and those that facilitate such activity risk losing access to the U.S. financial system. …
Today’s action, pursuant to E.O. 13850, as amended, further targets the following entities in Venezuela’s oil sector that continue to provide financial resources to the illegitimate regime of President Maduro:
- AFRANAV MARITIME LTD is based in the Marshall Islands and is the registered owner of the vessel ATHENS VOYAGER.
- ATHENS VOYAGER is a Panamanian flagged crude oil tanker (IMO: 9337391) that has continued to lift oil cargoes from Venezuelan ports as recently as mid-February 2020.
- SEACOMBER LTD is based in Greece and is the registered owner of the vessel CHIOS I.
- CHIOS I is a Maltese flagged crude oil tanker (IMO: 9792187) that has continued to lift oil cargoes from Venezuelan ports as recently as mid to late February 2020.
- ADAMANT MARITIME LTD is based in the Marshall Islands and is the registered owner of the vessel SEAHERO.
- SEAHERO is a Bahamian flagged crude oil tanker (IMO: 9315642) that has continued to lift oil cargoes from Venezuelan ports as recently as late February 2020.
- SANIBEL SHIPTRADE LTD is based in the Marshall Islands and is the registered owner of the vessel VOYAGER I.
- VOYAGER I is a Marshall Islands flagged crude oil tanker (IMO 9233789) that has continued to lift oil cargoes from Venezuelan ports as recently as late April 2020. …
EU Council: “High Representative on Behalf of the EU on Hong Kong”
(Source: Council of the European Union, 29 May 2020)
The EU expresses its grave concern at the steps taken by China on 28 May, which are not in conformity with its international commitments (Sino-British Joint Declaration of 1984) and the Hong Kong Basic Law. This risks to seriously undermine the “One Country Two Systems” principle and the high degree of autonomy of the Special Administrative Region of Hong Kong.
EU relations with China are based on mutual respect and trust. This decision further calls into question China’s will to uphold its international commitments. We will raise the issue in our continuing dialogue with China.
Commerce/BIS: “Expansion of Export, Reexport, and Transfer (in-Country) Controls for Military End Use or Military End Users of China, Russia, or Venezuela”
(Source: Federal Register) [Excerpts]
* 85 FR 34306: Final Rule; correction
* AGENCY: Bureau of Industry and Security, Commerce.
* ACTION: Final rule; correction.
* SUMMARY: The Bureau of Industry and Security (BIS) is correcting the formatting of a final rule that appeared in the Federal Register of April 28, 2020 (here and after referred to as the April 28 rule), which becomes effective on June 29, 2020.
The April 28 rule amends the Export Administration Regulations (EAR) to expand license requirements on exports, reexports, and transfers (in-country) of items intended for military end use or military end users in the People’s Republic of China (China), Russia, or Venezuela.
Specifically, this rule expands the licensing requirements for China to include “military end users,” in addition to “military end use.” It broadens the list of items for which the licensing requirements and review policy apply and expands the definition of “military end use.”
Next, it creates a new reason for control and the associated review policy for regional stability for certain items exported to China, Russia, or Venezuela, moving existing text related to this policy.
Finally, it adds Electronic Export Information filing requirements in the Automated Export System for exports to China, Russia, and Venezuela. This rule supports the objectives discussed in the National Security Strategy of the United States. This correction publishes the full text of each revised Export Control Classification Number on the Commerce Control List.
* DATES: This correction is effective June 29, 2020.
Treasury/OFAC: “Publication of Syria-related Sanctions Regulations”
(Source: Treasury/OFAC, 4 Jun 2020)
The Office of Foreign Assets Control (OFAC) is issuing regulations to implement Executive Order 13894 of October 14, 2019 (“Blocking Property and Suspending Entry of Certain Persons Contributing to the Situation in Syria”). These regulations are currently available for public inspection with the Federal Register and will take effect upon publication in the Federal Register on June 5, 2020. OFAC intends to supplement these regulations with a more comprehensive set of regulations, which may include additional interpretive and definitional guidance, general licenses, and statements of licensing policy.
EU Commission Reports on Latest Negotiating Round with Australia
(Source: European Commission, 2 Jun 2020)
As part of its transparency commitment, the European Commission today published the report summarising progress made during the latest negotiation round for the EU-Australia trade agreement. The seventh round of negotiations for an EU-Australia trade agreement was held virtually from 4 to 15 May 2020. By holding this round, the EU and Australia demonstrated a commitment to progress in the negotiations, despite the current difficult context. The discussions confirmed a shared commitment to rules-based trade as well as to helping both economies recover from the global pandemic.
The constructive discussions allowed progress in a number of areas such as dispute settlement, customs and trade facilitation, competition, services and investment.