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:
- EU Commission: “EU Sanctions Tool”; Tuesday, 13 Oct 2020; Item #4
- EU Commission: “2020 Update of the EU Control List of Dual-Use Items”; Tuesday, 13 Oct 2020; Item #5
- Justice: “Justice Department Charges More than 14,200 Defendants with Firearms-Related Crimes in FY20”; Wednesday, 14 Oct 2020; Item #6
- EU Council: “Libya – Further Sanctions Over Violations of the UN Arms Embargo”; Thursday, 15 Oct 2020; Item #6
- UK ECJU: “Notice to Exporters 2020/14 – Sign up for the EU Dual-Use OGEL”; Friday, 16 Oct 2020; Item #5
EU Commission: “EU Sanctions Tool”
(Source: European Commission, 12 Oct 2020)
This Tool is intended to assist EU economic operators, especially Small and Medium-sized Enterprises (SMEs), interested in engaging in business involving Iran.
The development of the EU Sanctions Tool (“Tool”) has been funded under the Partnership Programme managed by the European Commission’s Service for Foreign Policy Instruments.
The Tool provides an easily accessible source of information on EU restrictive measures. Its objective is to give a first general and non-binding orientation to assist EU economic operators, especially EU SMEs, in pursuing business projects, in full awareness and compliance with EU restrictive measures against Iran.
The Tool is divided into four parts:
- The first part determines whether the Tool is applicable to a specific EU economic operator interested in engaging in business with Iran;
- The second part determines whether the EU economic operator is permitted to engage with the proposed business partner in Iran;
- The third part provides an assessment of whether the proposed activity involving Iran is compliant with EU restrictive measures; and
- The final section, Conclusion, presents a summary of any applicable restrictions based on the answers given.
For further assistance on restrictive measures, please consult the following complementary resources:
Iran specific resources
- EU Q&A on Due Diligence on Restrictive Measures for EU Businesses dealing with Iran;
- EU JCPOA Information Note, concerning lifted and currently applicable sanctions as well as any exceptions and the necessary requisite authorisations regarding certain activities;
- EU information page and Q&A on the JCPOA Procurement Channel.
General information on EU restrictive measures
- EU Sanctions Map offering easily accessible information on all EU restrictive measures regimes currently in place; and
- EU Sanctions Guidelines.
Note that the implementation of EU restrictive measures is within the competence of EU Member States; EU operators are encouraged to contact the national competent authority (NCA) in their respective Member State for further assistance.
EU Commission: “2020 Update of the EU Control List of Dual-Use Items”
(Source: European Commission, 8 Oct 2020)
On 7 October 2020, the European Commission adopted the annual Delegated Regulation that updates the EU dual-use export control list in Annex I to Regulation (EC) No 428/2009. This brings it in line with the decisions taken within the framework of the international non-proliferation regimes and export control arrangements in 2019 and until end of February 2020 (in order to take into account the decisions taken in the Australia Group in February 2020). The majority of the changes result from amendments agreed at the Wassenaar Arrangement, but important changes also reflect the decisions taken in the Australia Group in February 2020.
The main changes resulting from amendments at the Wassenaar Agreement include the following:
- New decontrol note for certain carbon “fibrous or filamentary materials” (1A002 – Note 5)
- Replacement of national equivalents with “equivalent standards” (1A005.b.)
- Amendment to control entry for planar absorbers made of sintered ferrite (1C001.a -Note 1.d.2.)
- Amendment to control entry for metal alloys (1C002 – Technical Note 3)
- Amendment to control entry for fluids and lubricating materials (1C006.d.)
- Amendment to control entry for anti-friction bearings and bearing systems (2A001)
- Addition of a New Note to control entry for machine tools equipped with electronic
- devices for “numerical control” (2B001 – Note 4)
- Amendment to control entry for simulation software (3D003) and new Technical Note for local definition of ‘computation lithography’ (Technical Note & Note)
- New local definition of ‘floating-point’ and ‘fixed-point’ for technology for the development or production of microprocessor microcircuits (3E002.a., .b., .c. –
- Technical Notes 1 & 2)
- New entry for certain “software” specially designed for monitoring or analysis by law enforcement (5D001.e.1., .2.) including new Technical Notes 1 & 2 and related decontrol note
- Amendment to control entry for Information security system to refer to secure
- “cryptographic activation” (5A002.a.)
- Amendment to decontrol note for information security system in order to include gateways (5A002.a. – Note 2.h.)
- New entry for systems, equipment and components for defeating, weakening or
- bypassing “information security” (5A004.b.1. – .2.) accompanied with a Technical Note and decontrol notes Note 1 and Note 2
- Amendment to entries 5D002.a.3. and 5D002.c.3. to include new sub-paras
- New decontrol Note for “technology” for information security system (5E002.a.-Note)
- Amendment to control entry for space qualified components for optical system(6A004.c.4)
- Amendments to control entry for some lasers (6A005.a.1. – .2.a.)
- New entry for “sub-orbital craft” (9A004.h.)
- New local definition for ‘combined cycle engines’ (9A011 – Technical Note)
- Amendment to control entry for ‘fan blades’ including new sub-paras (9E003.a.11.a. -.b.) and a new local definition of ‘fan blades’ (Technical note to 9E003.a.11.a)
Some changes result from amendments and new controls agreed at the Australia Group, including:
- New entry for 24 chemicals, including Novichok nerve agent precursors (1C350.66. to
- Amendment to decontrol note for chemical mixtures (1C350 – Note 3)
- New entry for Middle East Respiratory Syndrome-related coronavirus (MERS-related
- coronavirus – 1C351.a.59)
- Amendments to control entries for valves and components (2B350.g.1.a. – .2.a.) and
- new Technical Note on Nominal size and Nominal Pipe Size of such items
- New Technical Note for cultivation chamber holding devices (2B352.b. – Technical
- Note 2)
- Some changes result from amendments agreed at the Missile Technology Control Regime, including:
- New local definition for ‘CEP’ and new Technical Note for ‘CEP’ (7A103.c. – Technical Note 2)
- Amendment to control entry 7A117 and related Technical Note (‘Circle of Equal Probability’ being replaced by ‘CEP’ (Circular Error Probable of Circle of Equal Probability)
- Amendment to entry for turbojet and turbofan engines (9A101.a.1. – .a.2.) and new Technical Note for clarification on determination of specific fuel consumption (9A101.a. – Technical Note 2)
- Amendment to control entry for test benches or test stands (9B117).
Other changes were substantially editorial changes made to bring Annex I controls in line with Regime controls and changes for the correction of minor errors.
Subject to the Council and the European Parliament raising no objections within a period of 2 months, the Commission Delegated Regulation is scheduled for publication in the Official Journal of the European Union on 14 December 2020 and will enter into force on the day following that of its publication.
The 2020 Commission Delegated Regulation
The Comprehensive Change Note Summary 2020 provides a detailed overview of all technical changes compared to the 2019 EU Dual-Use Control List across all 10 categories.
Justice: “Justice Department Charges More than 14,200 Defendants with Firearms-Related Crimes in FY20”
(Source: Justice, 13 Oct 2020) [Excerpts]
Today, the Justice Department announced it charged more than 14,200 defendants with firearms-related crimes during Fiscal Year (FY) 2020, despite the challenges of COVID-19 and its impact on the criminal justice process.
These cases have been a department priority since November 2019 when Attorney General William P. Barr announced his commitment to investigating, prosecuting, and combatting gun crimes as a critical part of the department’s anti-violent crime strategy. These firearms-related charges are the result of the critical law enforcement partnership between U.S. Attorneys’ Offices and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), led by Acting Director Regina Lombardo, who has made firearms-related investigations a priority.
“The number one priority of government is to keep its citizens safe,” said Attorney General Barr. “By preventing firearms from falling into the hands of individuals who are prohibited from having them, we can stop violent crime before it happens. Violating federal firearms laws is a serious crime and offenders face serious consequences. The Justice Department is committed to investigating and prosecuting individuals who illegally buy, sell, use, or possess firearms. Reducing gun violence requires a coordinated effort, and we could not have charged more than 14,000 individuals with firearms-related crimes without the hard work of the dedicated law enforcement professionals at the ATF, our U.S. Attorneys’ Offices across the country, and especially all of our state and local law enforcement partners.” …
EU Council: “Libya – Further Sanctions Over Violations of the UN Arms Embargo”
(Source: Council of the European Union, 15 Oct 2020)
The Council today imposed targeted restrictive measures on one person engaged in and providing support for acts that threaten the peace, security or stability of Libya, including through violations of the UN arms embargo. The sanctions imposed against this person comprise a travel ban and an asset freeze. In addition, EU persons and entities are forbidden from making funds available to those listed.
With this new designation, the EU now has imposed a travel ban on 16 listed individuals and an asset freeze on 20 persons and 19 entities.
The Council remains gravely concerned about the situation in Libya and in particular about the acts that threaten the peace, security or stability of Libya, including through violations of the UN arms embargo, human rights abuses and violations as well as the attempted illicit export of petroleum from Libya.
The EU’s sanctions complement and reinforce the sanctions adopted by the UN, which include the UN arms embargo and individual measures, including for human rights abuses.
The relevant legal acts, including the names of the persons and entities concerned, have been published in the Official Journal.
UK ECJU: “Notice to Exporters 2020/14 – Sign up for the EU Dual-Use OGEL”
(Source: UK ECJU, 16 Oct 2020)
Check whether you need the new Open General Export Licence (“OGEL”) to continue trading in dual-use controlled items with the EU from 1 January 2021.
This OGEL will be required if you are exporting dual-use items in Annex 1 of EU Regulation 428/2009 to any EU member state from 1 January 2021. This licence also covers exports to the Channel Islands. For those who have not seen the OGEL – or are yet to register – you are advised to make your registration on SPIRE (the online exporting licencing system) as part of your business preparedness plans.
Exporters who may not previously have needed a licence to export may now need one.
Read the full notice here.