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17-0623 Friday “Daily Bugle”

17-0623 Friday “Daily Bugle”

Friday, 23 June 2017

TOPThe Daily Bugle is a free daily newsletter from Full Circle Compliance, containing changes to export/import regulations (ATF, Customs, NISPOM, EAR, FACR/OFAC, FTR/AES, HTSUS, and ITAR), plus news and events. Subscribe here for free subscription. Contact us for advertising inquiries and rates.

  1. President Continues National Emergency with Respect to North Korea
  2. President Continues National Emergency with Respect to the Western Balkans
  1. Ex/Im Items Scheduled for Publication in Future Federal Register Editions 
  2. Commerce/BIS: (No new postings.) 
  3. DHS/CBP Announces ACE Production Outage on 24-25 June
  4. DHS/CBP Updates Draft Daily Statements CATAIR Chapter Production Outage on 24-25 June
  5. DHS/ICE: Federal Agents Thwart Smuggling Attempt
  6. State/DDTC Posts Name Change Announcement
  7. Hong Kong TID Releases Updates Concerning Strategic Commodities Regulations
  8. Singapore Customs Releases Update Concerning EUS Formats for STS Bulk Permit and Individual Permit
  1. Reuters: “Under Pressure, Western Tech Firms Bow to Russian Demands to Share Cyber Secrets”
  2. ST&R Trade Report: “Dates and Deadlines: NAFTA, Drawback, Customs Enforcement, Textiles and Apparel”
  1. R.C. Burns: “The Chewbacca Defense: Export Edition”
  1. Chad Leezer Moves to UTC Aerospace Systems
  1. Friday List of Approaching Events
  1. Bartlett’s Unfamiliar Quotations 
  2. Are Your Copies of Regulations Up to Date? Latest Changes: ATF (15 Jan 2016), Customs (27 Jan 2017), DOD/NISPOM (18 May 2016), EAR (22 Jun 2017), FACR/OFAC (16 Jun 2017), FTR (19 Apr 2017), HTSUS (26 Apr 2017), ITAR (10 Jun 2017)
  3. Weekly Highlights of the Daily Bugle Top Stories 

EXIMEX/IM ITEMS FROM TODAY’S FEDERAL REGISTER

EXIM_a1

1. 
President Continues National Emergency with Respect to North Korea

(Source: Federal Register)[Excerpts.]
 
82 FR 28743-28744: Continuation of the National Emergency with Respect to North Korea
 
On June 26, 2008, by Executive Order 13466, the President declared a national emergency with respect to North Korea pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701-1706) to deal with the unusual and extraordinary threat to the national security and foreign policy of the United States constituted by the existence and risk of proliferation of weapons-usable fissile material on the Korean Peninsula.
. . . .
I am continuing for 1 year the national emergency with respect to North Korea declared in Executive Order 13466.
 
This notice shall be published in the Federal Register and transmitted to the Congress.
 
  DONALD J. TRUMP
 
  THE WHITE HOUSE,
  June 21, 2017.

* * * * * * * * * * * * * * * * * * * *

EXIM_a2

2. 
President Continues National Emergency with Respect to the Western Balkans

(Source: Federal Register)[Excerpts.]
 
82 FR 28745: Continuation of the National Emergency with Respect to the Western Balkans
 
On June 26, 2001, by Executive Order 13219, the President declared a national emergency with respect to the Western Balkans, pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701-1706) . . . .
 I am continuing for 1 year the national emergency with respect to the Western Balkans declared in Executive Order 13219.
 
This notice shall be published in the Federal Register and transmitted to the Congress.
 
  DONALD J. TRUMP
 
  THE WHITE HOUSE,
  June 21, 2017.

* * * * * * * * * * * * * * * * * * * *

OGSOTHER GOVERNMENT SOURCES

OGS_a13
. Ex/Im Items Scheduled for Publication in Future Federal Register Editions
 

(Source:
Federal Register)
* Treasury; Foreign Assets Control Office; NOTICES; Blocking or Unblocking of Persons and Properties [Publication Dates: 26 June 2017.] 

* * * * * * * * * * * * * * * * * * * *

* * * * * * * * * * * * * * * * * * * *

OGS_a3
5. 
DHS/CBP Announces ACE Production Outage on 24-25 Jun

(Source: CSMS# 17-000373, 23 June 2017.)
 
There will be an ACE PRODUCTION Outage Saturday evening, 24 June 2017 from 2200 ET to 0400 ET Sunday, 25 June 2017 for ACE infrastructure maintenance. 

* * * * * * * * * * * * * * * * * * * *

OGS_a4
6.

DHS/CBP Updates Draft Daily Statements CATAIR Chapter Production Outage on 24-25 Jun

(Source: CSMS#
17-000374, 23 June 2017.)
 
As stated in CSMS #17-000364 dated 20 June 2017, the ACE CATAIR PF Daily Statement Chapter has been updated and was posted to the CBP website effective 23 June 2017.
 
The PF-Daily Statement Chapter changes are:
 
  – The Electronic Invoice Indicator (Q2 position 59) and the Census Warning flag (Q2 position 61) have been changed to filler for the PF – Q2 record for statement reporting. The “I” and ST columns are removed from the printed version of the PF statements.
  – The above changes have been deployed to ACE Certification environment for Trade testing.
  – The document can be found here.  
 
To download a copy of the Draft Daily Statements CATAIR chapter, please visit the “ACE Automated Broker Interface (ABI) and CBP and Trade Automated Interface Requirements (CATAIR)” page of CBP.gov/ACE. You may also copy and paste the URL above to your internet browser.

* * * * * * * * * * * * * * * * * * * *

OGS_a57.

DHS/ICE: Federal Agents Thwart Smuggling Attempt

 
A Mexican national was arrested Monday for allegedly attempting to smuggle more than 7,000 rounds of ammunition into Mexico following a probe by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) with assistance provided by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
 
Eduvier Navidad-Vizcarra, 22, was booked into the custody of the U.S. Marshals Service based on charges detailed in a federal criminal complaint which accuses him of attempting to illegally export goods from the United States. …
 
The charges contained in the criminal complaint are merely accusations and a defendant is presumed innocent unless and until proven guilty.
If convicted, Navidad faces a possible sentence of 10 years in federal prison. …

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OGS_a6
8.

State/DDTC Posts Name Change Announcement

(Source:
State/DDTC) [Excerpts.]
 
Effective July 1, 2017, Toshiba Defense & Electronics Systems will change as follows: Toshiba Infrastructure Systems and Solutions. Due to the volume of authorizations requiring amendments to reflect this change, the Deputy Assistant Secretary for Defense Trade Controls is exercising the authority under 22 CFR 126.3 to waive the requirement for amendments to change currently approved license authorizations. The amendment waiver does not apply to approved or pending agreements. . . . 

* * * * * * * * * * * * * * * * * * * *

OGS_a7
9. 
Hong Kong TID Releases Updates Concerning Strategic Commodities Regulations 

(Source: Hong Kong TID)
 
The Trade and Industry Department (TID) of Hong Kong has released Circular No. 8/2017, informing traders of the Commencement Date of the Import and Export (Strategic Commodities) Regulations (Amendment of Schedule 1) Order 2017. In addition, it released a PowerPoint presentation of 29 May 2017 Seminar on the Amendment of Schedule 1 to the Import and Export (Strategic Commodities) Regulations.
 
The presentation is available here. Circular No 8/2017 is included below.
 
Commencement Date of the Import and Export (Strategic Commodities) Regulations 
(Amendment of Schedule 1) Order 2017

 
Further to Strategic Trade Controls Circulars No. 5/2017, this is to inform traders of the planned commencement date of the Import and Export (Strategic Commodities) Regulations (Amendment of Schedule 1) Order 2017 (“the Order”).
 
Planned Commencement Date of the Order
 
In accordance with Section 6B of the Import and Export Ordinance, the Director-General of Trade and Industry has made a Commencement Notice published in the Gazette today (i.e. 26 May 2017) to appoint 3 July 2017 as the commencement date of the Order.   The Commencement Notice will be tabled in the Legislative Council for negative vetting on May 31.  We will inform the traders through another circular when the effective date of the Order is confirmed. 
 
Changes Made to Hong Kong’s Control List
 
The Order amends Schedule 1 to the Import and Export (Strategic Commodities) Regulations (“the Regulations”) to reflect the changes to the control lists of strategic commodities adopted by international non-proliferation regimes which have come into effect after the last amendment of Schedule 1 in 2015.  For details of the amendments, please refer to the Order by visiting the website of the Strategic Commodities Control System or the Gazette online [Legal Supplement No. 2 of the Gazette published on 24 March 2017 (No. 12, Vol. 21)].
 
Reminder
 
Section 6A of the Import and Export Ordinance stipulates that no person shall import or export any article specified in the Schedules to the Import and Export (Strategic Commodities) Regulations except under and in accordance with a licence issued by the Director-General of Trade and Industry.  Any person who contravenes the provision commits an offence and is liable:
 
  (a) on summary conviction to a fine of HK$500,000 and to imprisonment for two years; and
  (b) on conviction on indictment to an unlimited fine and to imprisonment for seven years.
 
In addition to prosecution, the Trade and Industry Department may impose administrative actions against these persons.  Such administrative actions may involve, but shall not necessarily be confined to, suspension of a licence, refusal to issue a licence, debarment of all licensing facilities, etc.
 
Enquiry
 
If you have any question about the changes brought about by the Order, please contact Classification Section of Strategic Trade Controls Branch at 2398 5587.  For other licensing matters, please contact our Licensing Section at 2398 5575.

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OGS_a8
10.

Singapore Customs Releases Update Concerning EUS Formats for STS Bulk Permit and Individual Permit

 
Singapore Customs released Circular No. 06/2017, informing traders and declaring agents of the New End-User Statement (EUS) Formats for Strategic Trade Scheme (STS) Bulk Permit and Individual Permit, respectively. 

The circular is available here.

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NWSNEWS

NWS_1
11.

Reuters: “Under Pressure, Western Tech Firms Bow to Russian Demands to Share Cyber Secrets”

(Source:
Reuters, 23 June 2017.)
 
Western technology companies, including Cisco, IBM and SAP, are acceding to demands by Moscow for access to closely guarded product security secrets, at a time when Russia has been accused of a growing number of cyber attacks on the West, a Reuters investigation has found.
 
Russian authorities are asking Western tech companies to allow them to review source code for security products such as firewalls, anti-virus applications and software containing encryption before permitting the products to be imported and sold in the country. The requests, which have increased since 2014, are ostensibly done to ensure foreign spy agencies have not hidden any “backdoors” that would allow them to burrow into Russian systems.
 
But those inspections also provide the Russians an opportunity to find vulnerabilities in the products’ source code – instructions that control the basic operations of computer equipment – current and former U.S. officials and security experts said.
 
While a number of U.S. firms say they are playing ball to preserve their entree to Russia’s huge tech market, at least one U.S. firm, Symantec, told Reuters it has stopped cooperating with the source code reviews over security concerns. That halt has not been previously reported.
 
Symantec said one of the labs inspecting its products was not independent enough from the Russian government.
 
U.S. officials say they have warned firms about the risks of allowing the Russians to review their products’ source code, because of fears it could be used in cyber attacks. But they say they have no legal authority to stop the practice unless the technology has restricted military applications or violates U.S. sanctions.
 
From their side, companies say they are under pressure to acquiesce to the demands from Russian regulators or risk being shut out of a lucrative market. The companies say they only allow Russia to review their source code in secure facilities that prevent code from being copied or altered. (Graphic on source code review process: tmsnrt.rs/2sZudWT)
 
The demands are being made by Russia’s Federal Security Service (FSB), which the U.S. government says took part in the cyber attacks on Hillary Clinton’s 2016 presidential campaign and the 2014 hack of 500 million Yahoo email accounts. The FSB, which has denied involvement in both the election and Yahoo hacks, doubles as a regulator charged with approving the sale of sophisticated technology products in Russia.
 
The reviews are also conducted by the Federal Service for Technical and Export Control (FSTEC), a Russian defense agency tasked with countering cyber espionage and protecting state secrets. Records published by FSTEC and reviewed by Reuters show that from 1996 to 2013, it conducted source code reviews as part of approvals for 13 technology products from Western companies. In the past three years alone it carried out 28 reviews.
 
A Kremlin spokesman referred all questions to the FSB. The FSB did not respond to requests for comment. FSTEC said in a statement that its reviews were in line with international practice. The U.S. State Department declined to comment.
 
Moscow’s source code requests have mushroomed in scope since U.S.-Russia relations went into a tailspin following the Russian annexation of Crimea in 2014, according to eight current and former U.S. officials, four company executives, three U.S. trade attorneys and Russian regulatory documents.
 
In addition to IBM, Cisco and Germany’s SAP, Hewlett Packard Enterprise Co and McAfee have also allowed Russia to conduct source code reviews of their products, according to people familiar with the companies’ interactions with Moscow and Russian regulatory records.
 
Until now, little has been known about that regulatory review process outside of the industry. The FSTEC documents and interviews with those involved in the reviews provide a rare window into the tense push-and-pull between technology companies and governments in an era of mounting alarm about hacking.
 
Roszel Thomsen, an attorney who helps U.S. tech companies navigate Russia import laws, said the firms must balance the dangers of revealing source code to Russian security services against possible lost sales.
 
  “Some companies do refuse,” he said. “Others look at the potential market and take the risk.”

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NWS_a2
12.

ST&R Trade Report: “Dates and Deadlines: NAFTA, Drawback, Customs Enforcement, Textiles and Apparel”

 
Following are highlights of regulatory effective dates and deadlines and federal agency meetings coming up in the next week.
 
  – 26 Jun: USDA meeting to prepare for session of Codex Alimentarius Commission
  – 26 Jun: deadline for comments to ITC on expanding NAFTA duty-free treatment
  – 26 Jun: deadline for comments to State Dept. on defense export advisory opinion form
  – 27 Jun: deadline for comments on USDA information collections on imports and exports of animal products
  – 30 Jun: deadline for comments to ITC on duty-free imports of apparel from Dominican Republic
  – 30 Jun: deadline for comments on USDA information collections on imports of beef, pork, and fruit

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COMMCOMMENTARY

COMM_a0113.

R.C. Burns: “The Chewbacca Defense: Export Edition”

(Source:
Export Law Blog
. Reprinted by permission.)
 
* Author: R. Clifton Burns, Esq., Bryan Cave LLP, Wash DC,
Clif.Burns@bryancave.com
, 202-508-6067).
 
The decision in United States v. Burden, decided back in November of 2016, is not breaking news, but as I’ve seen several commentaries on it recently, I thought I might weigh in.  The defendants in that case argued that they had not violated the Arms Export Control Act because – get this – ammunition magazines and grenade launcher mounts, according to the defendants, are not defense articles. The defendants argued that these items are not defense articles because they can also be used with airsoft guns.  Accordingly they claimed the magazine and mount are not defense articles as defined in section 120.4 of the International Traffic in Arms Regulations and no license was required for their export.   This is pretty much like arguing that cannons are not defense articles because you could use them in circuses to shoot people into trampoline nets.
 
For reasons that are not clear, this led the District Court to actually consider whether these items were defense articles or not as defined in section 120.4.  That section deals with commodity jurisdiction determinations and had no relevance to the case under consideration.  The question properly before the court was whether the grenade mounts and ammunition magazines are on the United States Munitions List (“USML”), not whether they are defense articles.
 
If the items are on the USML, they are by definition defense articles.  The very first sentence of the USML makes this crystal clear:
 
U.S. Munitions List
. In this part, articles, services, and related technical data are designated as defense articles or defense services pursuant to sections 38 and 47(7) of the Arms Export Control Act.
 
This means that the only real question the court had to answer was whether the grenade mount and ammunition magazine were described in Category I(h) of the USML which covers “[c]omponents, parts, accessories and attachments” of firearms described in Category I, subparts (a) through (h). It doesn’t matter that these items can be used on airsoft or paintball guns any more than it matters that a cannon can be used in a circus act or a performance of the 1812 Overture. Certainly the magazine meets the definition of a component and the mount meets the definition of an attachment and that, pretty much, should have been the end of it.
 
Even so, the court decided that the items were defense articles not because they were on the USML but because an expert witness from DDTC said that they were defense articles. The expert in question was Robert Warren, formerly Division Chief of the Plans, Personnel, Programs, and Procedures Division of DDTC, an odd choice in comparison to, say, the division chief for the division that handles licensing for firearms.  In any event, the court noted that Warren testified that “a defense article as we termed it is anything that has a military significance or military application.”  And that, according to the court, settled the question as to whether the mount and the magazine were defense articles.
 
Of course, the idea that something is a defense article if it has a military application is the equally stupid mirror argument to the defendants’ nonsensical claim that something is not a defense article if it has a non-military use.  Under the standard articulated by Warren, a water canteen purchased at a camping store or a pair of camo pants purchased from a clothing store would be defense articles.
 
As noted above, there was no need for anyone to dive down this rabbit hole and figure whether the mount and the magazine were defense articles.  If they were described by Category I(h) as attachments and components of firearms then they were defense articles.  End of story.  No further proof as to whether they were defense articles was necessary.   And, given that the defendants did not appear to dispute that these items were components and attachments of firearms but only that they were defense articles, it is not unfair to accuse them of raising the fabled Chewbacca defense.

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MSEX/IM MOVERS AND SHAKERS

MS_114
Chad Leezer Moves to UTC Aerospace Systems

(Source: Editor)

Charles (“Chad”) Leezer has transferred from DDTC to his new position as an International Trade Compliance Program Manager at UTC Aerospace Systems in Charlotte, North Carolina. Contact Chad at 
charles.leezer@utas.utc.com
 or 704-998-6832.

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TEEX/IM TRAINING EVENTS & CONFERENCES

TE_a215
. Friday List of Approaching Events

(Sources: Event sponsors.) 
 
Published every Friday or last publication day of the week. Send events to
apbosch@fullcirclecompliance.eu
, composed in the below format:

* DATE: PLACE; “TITLE;” SPONSOR; WEBLINK; CONTACT (email and phone number)

#” New listing this week:   
 
Continuously Available Training:
* Executive Masters: “
International Trade Compliance
;” University of Liverpool;
exed@liverpool.ac.uk
;
+44 (0) 20 768 24614
* E-Seminars: “
US Export Controls” / “Defense Trade Controls
;” Export Compliance Training Institute;
danielle@learnexportcompliance.com 
* On-Line: “
Simplified Network Application Process Redesign (SNAP-R)
;” Commerce/BIS; 202-482-2227
* E-Seminars: “
Webinars On-Demand Library
;” Sandler, Travis & Rosenberg, P.A.
 
Training by Date:

* Jun 26: London, UK; “
Smart Practice in Trade Compliance and Supply Chain Security
;” Trade Security Journal


* Jun 28-29: Chisinau, Moldova; ”
Regional Workshop for Eastern Europe
;” EU P2P Export Control Programme

* Jul 5: Cambridge UK; ”
Beginners Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Jul 5: Cambridge UK; ”
Licenses Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Jul 10-12; Baltimore MD; “
2017 Summer Back to Basics Conference
;” Society for International Affairs

* July 11-12: Seattle WA; “ITAR/EAR Boot Camp;” spalmer@exportcompliancesolutions.com; 866-238-4018 / 410-757-1919

* Jul 17-19: Hilton Head Island SC; “
Basics of Government Contracting
;” Federal Publications Seminars
*
Jul 20: Webinar; ”
Destination Control Statements;” Shipman & Goodwin LLP

* Jul 26-27: Oklahoma City OK; ”
Complying with U.S. Export Controls;” Dept. of Commerce/Bureau of Industry and Security

* Jul 26-27
: Seattle WA; “
2017 Export Controls Conference
;” Dept. of Commerce/U.S. Commercial Service, Dept. of Homeland Security/Homeland Security Investigations, Seattle University, Dorsey & Whitney LLP

*
Jul 27: Webinar; ”
Site Visits, Enforcement Actions, and Voluntary Disclosures;” Shipman & Goodwin LLP
*
Aug 1: Webinar; ”
Consideration for Exporting to China;” Shipman & Goodwin LLP
* Aug 2-3: Naperville, IN; “Automated Export System Compliance Seminar and Workshop;” Commerce/Census, Commerce/BIS, DHS/CBP, State/DDTC, Treasury

* Aug 14-16: McLean VA; “
Basics of Government Contracting
;” Federal Publications Seminars

*
Aug 17: Webinar; ”
Export Controls in the Cloud;” Shipman & Goodwin LLP

* Sep 4-9: Galveston TX;ICPA Conference at Sea;”

International Compliance Professionals Association; wizard@icpainc.org

* Sep 4: Glasgow, UK; ”
Intermediate Seminar;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Sep 5: Glasgow, UK; ”
Beginners Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Sep 5: Glasgow, UK; ”
Licenses Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Sep 5: Glasgow, UK; ”
Control List Classification – Combined Dual Use and Military;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Sep 6: Nashville TN; ”
AES Compliance Seminar;” Dept. of Commerce/Census
Bureau;
itmd.outreach@census.gov 

* Sep 12-13: Annapolis MD; “ITAR/EAR Boot Camp;” spalmer@exportcompliancesolutions.com; 866-238-4018 / 410-757-1919

* Sep 12-13: Louisville KY; ”
Complying with U.S. Export Controls;” Dept. of Commerce/Bureau of Industry and Security

* Sep 12-13: Milpitas CA; ”
Complying with U.S. Export Controls;” Dept. of Commerce/Bureau of Industry and Security

* Sep 12-13: Wash DC; “Interactive Export Controls Workshop;” ECTI; jessica@learnexportcompliance.com; 540-433-3977

* Sep 14: Milpitas CA; “
Encryption Controls;”
Dept. of Commerce/Bureau of Industry and Security

* Sep 18-21: Austin TX; “ITAR Defense Trade Controls / EAR Export Controls Seminar; ECTI; jessica@learnexportcompliance.com; 540-433-3977
* Sep 18-20: Las Vegas NV; “
Basics of Government Contracting;” Federal Publications Seminars

* Sep 21: 
Webinar; “
US Export Administration Regulations
;
” Foreign Trade Association 

* Sep 20-22: Houston TX; ”
Advanced Topics in Customs Compliance Conference;” Deleon Trade LLC
* Sep 27: Oxford, UK; ”
Intermediate Seminar;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Sep 27-28: Rome, Italy; “Defence Exports 2017;” SMi

* Sep 28: Oxford, UK; ”
Beginners Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 
* Sep 28: Oxford, UK; ”
Licenses Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Oct 2-5: Columbus OH; “University Export Controls Seminar;” ECTI; jessica@learnexportcompliance.com; 540-433-3977

* Oct 10-12: Dallas TX; “
‘Partnering for Compliance™’ West Export/Import Control Training and Education Program
;” Partnering for Compliance
 
* Oct 12-13: Boston, MA; “Automated Export System Compliance Seminar and Workshop;” Commerce/Census, Commerce/BIS, DHS/CBP, State/DDTC, Treasury 

* Oct 22-24: Grapevine TX; “
Annual ICPA Fall Conference
;” International Compliance Professional Association;
Wizard@icpainc.org 

* Oct 23-24: Arlington VA; “
2017 Fall Advanced Conference
;” Society for International Affairs

* Oct 30-Nov 2: Phoenix AZ; “
ITAR Defense Trade Controls / EAR Export Controls Seminar
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977
* Nov 5-7: Singapore; ”
ICPA Singapore Conference;”
International Compliance Professionals Association;
wizard@icpainc.org 

* Nov 6-8: Chicago IL; “Basics of Government Contracting;” Federal Publications Seminars

* Nov 7: Norfolk, VA; “
AES Compliance Seminar
;
” Dept. of Commerce/Census
Bureau;
itmd.outreach@census.gov 

* Nov 9-10: Shanghai, China;
ICPA China Conference;”
International Compliance Professionals Association;
wizard@icpainc.org 

* Nov 13-16: Wash DC; “ITAR Defense Trade Controls / EAR Export Controls Seminar;” ECTI; jessica@learnexportcompliance.com; 540-433-3977

* Nov 15: Leeds, UK; ”
Intermediate Seminar;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Nov 16: Leeds, UK; ”
Beginners Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Nov 16: Leeds, UK; ”
Licenses Workshop;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Nov 16: Leeds, UK; ”
Control List Classification – Combined Dual Use and Military;” UK Department for International Trade;
denise.carter@trade.gsi.gov.uk 

* Nov 16: Nijkerk, the Netherlands; “Training Export Control” [in Dutch]; Fenedex
* Dec 4-7: Miami FL; “
ITAR Defense Trade Controls / EAR Export Controls Seminar;” ECTI; jessica@learnexportcompliance.com; 540-433-3977
* Dec 5: San Juan PR; “AES Compliance Seminar in Spanish;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov

* Dec 6: Wood Ridge NJ; “
AES Compliance Seminar
;” Dept. of Commerce/Census Bureau;
itmd.outreach@census.gov 

* Dec 7: Laredo, TX; “AES Compliance Seminar in Spanish;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Dec 11-13: Sterling VA; “
Basics of Government Contracting
;” Federal Publications Seminars

* Mar 11-14: San Diego CA; ”
ICPA Annual Conference;”
International Compliance Professionals Association;
wizard@icpainc.org 
* * * * * * * * * * * * * * * * * * * * 

ENEDITOR’S NOTES

EN_a116
. Bartlett’s Unfamiliar Quotations

(Source: Editor)

* Edward VIII (Edward Albert Christian George Andrew Patrick David; 23 Jun 1894 – 28 May 1972, was King of the United Kingdom and the Dominions of the British Empire, and Emperor of India, from 20 January 1936 until his abdication on 11 December 1936 to marry American divorcée Wallis Simpson.)
  – “The thing that impresses me most about America is the way parents obey their children.”
 
* Giambattista Vico (23 Jun 1668 – 23 Jan 1744, was an Italian political philosopher and rhetorician, historian and jurist, of the Age of Enlightenment.  His intellectual magnum opus is the book Scienza Nuova (1725, “New Science”) that attempts a systematic organization of the humanities as a single science that recorded and explained the historical cycles by which societies rise and fall.)
  – “Uniform ideas originating among entire peoples unknown to each other must have a common ground of truth.”
 
Friday Funnies:
 
Classic insults: 
*
The exchange between Churchill & Lady Astor:  She said, “If you were my husband I’d poison your tea.” Churchill replied, “If you were my wife, I’d drink it.”
*
A member of Parliament to Disraeli: “Sir, you will either die on the gallows or of some unspeakable disease.” “That depends, Sir,” said Disraeli, “whether I embrace your policies or your mistress.”
* “He has all the virtues I dislike and none of the vices I admire.” —
Winston Churchill
* “He has never been known to use a word that might send a reader to the dictionary.” —
William Faulkner (about Ernest Hemingway).
* “He has no enemies, but is intensely disliked by his friends.” – 
Oscar Wilde
* “I am enclosing two tickets to the first night of my new play; bring a friend… if you have one.” —
George Bernard Shaw to Winston Churchill.  “Cannot possibly attend first night, will attend second… if there is one.” — Winston Churchill, in response.
* “He is a self-made man and worships his creator.” —
John Bright
* “He is not only dull himself; he is the cause of dullness in others.” —
Samuel Johnson

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EN_a217. Are Your Copies of Regulations Up to Date?
(Source: Editor)

The official versions of the following regulations are published annually in the U.S. Code of Federal Regulations (C.F.R.), but are updated as amended in the Federal Register.  Changes to applicable regulations are listed below.
 
*
ATF ARMS IMPORT REGULATIONS
: 27 CFR Part 447-Importation of Arms, Ammunition, and Implements of War
  – Last Amendment:
15 Jan 2016: 81 FR 2657-2723: Machineguns, Destructive Devices and Certain Other Firearms; Background Checks for Responsible Persons of a Trust or Legal Entity With Respect To Making or Transferring a Firearm
 
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CUSTOMS REGULATIONS
: 19 CFR, Ch. 1, Pts. 0-199
  – Last Amendment: 27 Jan 2017: 82 FR 8589-8590: Delay of Effective Date for Importations of Certain Vehicles and Engines Subject to Federal Antipollution Emission Standards [New effective date: 21 March 2017.]; and 82 FR 8590: Delay of Effective Date for Toxic Substance Control Act Chemical Substance Import Certification Process Revisions
[New effective date: 21 March 2017.]

* DOD NATIONAL INDUSTRIAL SECURITY PROGRAM OPERATING MANUAL (NISPOM): DoD 5220.22-M
  – Last Amendment: 18 May 2016: Change 2: Implement an insider threat program; reporting requirements for Cleared Defense Contractors; alignment with Federal standards for classified information systems; incorporated and canceled Supp. 1 to the NISPOM  (Summary here.)

* EXPORT ADMINISTRATION REGULATIONS (EAR): 15 CFR Subtit. B, Ch. VII, Pts. 730-774 
  – Last Amendment: 22 Jun 2017: 82 FR 28405-28410: Russian Sanctions: Addition of Certain Entities to the Entity List

  
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FOREIGN ASSETS CONTROL REGULATIONS (OFAC FACR)
: 31 CFR, Parts 500-599, Embargoes, Sanctions, Executive Orders
  – Last Amendment: 16 Jun 2017: 
82 FR 27613-27614: Removal of Burmese Sanctions Regulations
 
 
*
FOREIGN TRADE REGULATIONS (FTR)
: 15 CFR Part 30
– Last Amendment: 
19 Apr 2017: 
82 FR 18383-18393: Foreign Trade Regulations: Clarification on Filing Requirements 
  – HTS codes that are not valid for AES are available 
here.
  – The latest edition (19 Apr 2017) of Bartlett’s Annotated FTR (“BAFTR”), by James E. Bartlett III, is available for downloading in Word format. The BAFTR contains all FTR amendments, FTR Letters and Notices, a large Index, and footnotes containing case annotations, practice tips, and Census/AES guidance.  Subscribers receive revised copies every time the FTR is amended. The BAFTR is available by annual subscription from the Full Circle Compliance 
website.  BITAR subscribers are entitled to a 25% discount on subscriptions to the BAFTR.

 
*
HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES (HTS, HTSA or HTSUSA)
, 1 Jan 2017: 19 USC 1202 Annex. (“HTS” and “HTSA” are often seen as abbreviations for the Harmonized Tariff Schedule of the United States Annotated, shortened versions of “HTSUSA”.)
  – Last Amendment: 26 Apr 2017: Harmonized System Update 1703, containing 2,512 ABI records and 395 harmonized tariff records.
  – HTS codes for AES are available

here
.
  – HTS codes that are not valid for AES are available
here.
 
*
INTERNATIONAL TRAFFIC IN ARMS REGULATIONS (ITAR)
: 22 C.F.R. Ch. I, Subch. M, Pts. 120-130
  – Latest Amendment: 11 Jan 2017: 82 FR 3168-3170: 2017 Civil Monetary Penalties Inflationary Adjustment
  – The only available fully updated copy (latest edition 10 Jun 2017) of the ITAR with all amendments is contained in Bartlett’s Annotated ITAR (“BITAR”), by James E. Bartlett III.  The BITAR contains all ITAR amendments to date, plus a large Index, over 750 footnotes containing case annotations, practice tips, DDTC guidance, and explanations of errors in the official ITAR text.  Subscribers receive updated copies of the BITAR in Word by email, usually revised within 24 hours after every ITAR amendment.  The BITAR is available by annual subscription from the Full Circle Compliance website.  BAFTR subscribers receive a 25% discount on subscriptions to the BITAR, please contact us to receive your discount code.  

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EN_a318
. Weekly Highlights of the Daily Bugle Top Stories

(Source: Editor)
 

Review last week’s top Ex/Im stories in “Weekly Highlights of Daily Bugle Top Stories” posted here.

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EPEDITORIAL POLICY

* The Ex/Im Daily Update is a publication of FCC Advisory B.V., edited by James E. Bartlett III and Alexander Bosch, and emailed every business day to approximately 8,000 readers of changes to defense and high-tech trade laws and regulations. We check the following sources daily: Federal Register, Congressional Record, Commerce/AES, Commerce/BIS, DHS/CBP, DOJ/ATF, DoD/DSS, DoD/DTSA, State/DDTC, Treasury/OFAC, White House, and similar websites of Australia, Canada, U.K., and other countries and international organizations.  Due to space limitations, we do not post Arms Sales notifications, Denied Party listings, or Customs AD/CVD items.

* RIGHTS & RESTRICTIONS: This email contains no proprietary, classified, or export-controlled information. All items are obtained from public sources or are published with permission of private contributors, and may be freely circulated without further permission. Any further use of contributors’ material, however, must comply with applicable copyright laws.

* CAVEAT: The contents cannot be relied upon as legal or expert advice.  Consult your own legal counsel or compliance specialists before taking actions based upon news items or opinions from this or other unofficial sources.  If any U.S. federal tax issue is discussed in this communication, it was not intended or written by the author or sender for tax or legal advice, and cannot be used for the purpose of avoiding penalties under the Internal Revenue Code or promoting, marketing, or recommending to another party any transaction or tax-related matter.

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