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19-0320 Wednesday “Daily Bugle”

19-0320 Wednesday “Daily Bugle”

Wednesday, 20 March 2019

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

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[No items of interest noted today.] 

  1. Items Scheduled for Publication in Future Federal Register Editions 
  2. Commerce/BIS: (No new postings.)
  3. DoD/DSCA Policy Memos of Interest: Foreign Military Sales
  4. State Announces Sanctions Against Venezuelan Gold Sector
  5. State/DDTC: (No new postings.)
  6. Treasury/OFAC Publishes “Important Technical Notice” for Users of OFAC’s Sanctions List Data Files
  7. Canada GA Publishes Information Concerning the Strengthening of Canada’s Export Controls
  8. German BAFA Publishes Updated Correlation List for Dual-Use Goods
  1. The Guardian: “Britain’s Arms Export Watchdog in Danger of Becoming Toothless”
  2. Reuters: “Exclusive: Germany to Create Fund to Foil Foreign Takeovers After China Moves”
  3. Reuters: “Japan to Extend Sanctions Against North Korea By Two Years: NHK”
  1. J. Norton & B. Egan: “Venezuela Challenge to U.S. Sanctions Escalates at WTO”
  2. M.C. Jones: “Key Elements to an Effective Export Control Compliance Program”
  1. FCC Presents “Designing an Internal Compliance Program for Export Controls & Sanctions”, 1 Oct in Bruchem, the Netherlands

  1. New Edition of Bartlett’s Annotated ITAR (“BITAR”) is Available 
  2. Bartlett’s Unfamiliar Quotations 
  3. Are Your Copies of Regulations Up to Date? Latest Amendments: DHS/Customs (12 Mar 2019), DOC/EAR (20 Dec 2018), DOC/FTR (24 Apr 2018), DOD/NISPOM (18 May 2016), DOE/AFAEC (23 Feb 2015), DOE/EINEM (20 Nov 2018), DOJ/ATF (14 Mar 2019), DOS/ITAR (19 Mar 2019), DOT/FACR/OFAC (15 Mar 2019), HTSUS (7 Mar 2019) 
  4. Weekly Highlights of the Daily Bugle Top Stories 

EXIMITEMS FROM TODAY’S FEDERAL REGISTER

EXIM_a1

 
 
[No items of interest noted today.] 

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OGSOTHER GOVERNMENT SOURCES

OGS_a11
. Items Scheduled for Publication in Future Federal Register Editions
 

(Source:
Federal Register)
 

* DHS/CBP; NOTICES; Agency Information Collection Activities; Proposals, Submissions, and Approvals: Customs-Trade Partnership Against Terrorism and the Trusted Trader Program [Pub. Date: 21 Mar 2019.]

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OGS_a03
2.
Commerce/BIS: (No new postings.)

(Source:
Commerce/BIS)

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OGS_a43. DoD/DSCA Policy Memos of Interest: Foreign Military Sales

(Source:
DoD/DSCA, 20 Mar 2019.)

 
 
Effective immediately, this memorandum implements a new pilot policy which allows IAs to use FMS Administrative Surcharge funds for pre-MOR activities for BPC cases on a case-by-case basis when approved by the relevant GCC and DSCA.

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OGS_a5
4.
State Announces Sanctions Against Venezuelan Gold Sector

(Source:
State, 19 Mar 2019.) [Excerpts.]
 
On November 1, 2018, President Trump signed
Executive Order (E.O.) 13850, which targets persons operating in the gold sector of the Venezuelan economy. Today, the United States is designating the Venezuelan state-owned gold-sector company, MINERVEN, and its president, Adrian Antonio Perdomo Mata, for operating in this sector.
 
Maduro and his illicit network are misusing Venezuela’s gold-mining operations as another way to steal from the Venezuelan people after having mismanaged and plundered Venezuela’s crumbling oil industry.
 
Today’s action will prevent Maduro and other corrupt actors from further enriching themselves at the expense of the long-suffering Venezuelan people. In addition, it will help stop mining-related environmental damage and labor exploitation in Venezuela’s gold industry.
 
U.S. sanctions need not be permanent. The United States has made clear that the removal of sanctions is available to those who refuse to take part in human rights abuses, and who take concrete and meaningful actions to restore democratic order; speak out against abuses committed by the former Maduro regime; and combat corruption in Venezuela. …

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OGS_a6
5.
State/DDTC: (No new postings.)
(Source:
State/DDTC)

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OGS_a7
6.
Treasury/OFAC Publishes “Important Technical Notice” for Users of OFAC’s Sanctions List Data Files
(Source:
Treasury/OFAC, 20 Mar 2019.)
 
In early February of 2019, multiple users of OFAC’s data files contacted OFAC’s technical support hotline to report difficulty in downloading sanctions list data files hosted at this URL:
https://www.treasury.gov/ofac/downloads/. After investigating the issue, the Treasury Department discovered that changes had been made regarding HTTP request methods.  These changes generally affected users that leverage command line connections to Treasury’s website.  Users who download OFAC’s sanctions list data files manually via browser we not impacted by this change. 
 
Previously users were allowed to request sanctions list data files via HTTP using both POST and GET commands.  The change made in February eliminated users’ ability to use the POST command and only GET commands are allowed henceforth.  This change was made to improve the security for public file repositories and is a permanent change.  Users who continue to have difficulty downloading OFAC’s sanctions list data files due to this change are welcome to contact OFAC at
O_F_A_C@treasury.gov or contact OFAC’s technical support hotline at 1-800-540-6322 – Menu Option 8 for assistance.  
 
OFAC understands that this change may have unexpectedly interrupted users’ ability to download and access OFAC data and is working with Treasury’s technical team to ensure advance notification of any future changes.

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OGS_a9
7.
Canada GA Publishes Information Concerning the Strengthening of Canada’s Export Controls
(Source:
Canada GA, 20 Mar 2019.)
 
Global Affairs (GA) Canada has published a document that answers questions asked during the
on-line and in-person consultations on strengthening Canada’s export controls. It is intended to provide further clarity on the new processes and obligations stemming from Canada’s accession to the Arms Trade Treaty (ATT).The questions are grouped according to themes identified during the public consultations.
 

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OGS_a88
.
German BAFA Publishes Updated Correlation List for Dual-Use Goods
(Source:
BAFA, 20 Mar 2019.) [Excerpts. Translated by Alex Witt of Full Circle Compliance.]
 
Below is an unofficial translation of a German Federal Office for Economic Affairs and Export Control (BAFA) update:
 
This Correlation List takes into account of the status of Annex I to the EC Dual-Use Regulation Amended by Regulation (EU) No 2018/1922 of 10 October 2018 (OJ [EU] 2018), L 319/1), and the status of the Export List by the Twelfth Ordinance amending the Foreign Trade and Payments Ordinance of 19 December 2018 (BAnz AT 28.12.2018 V1), as well as the chapters of the export trade statistics for 2019 issued annually by the Bureau of Statistics.
 
The Correlation List is intended as a means of checking whether goods classified under the Foreign Trade Statistics Commodity Directory may be subject to export controls.
 
A corresponding examination with regard to a license requirement must be made by each exporter before each export. However, the Correlation List may facilitate the handling of the EU Dual-Use Goods Regulation and the Export List. …

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NWSNEWS

NWS_a019.
The Guardian: “Britain’s Arms Export Watchdog in Danger of Becoming Toothless”

(Source:
The Guardian, 20 Mar 2019.)
 
As ministers and weapons manufacturers alike shun the body that oversees UK arms exports, its authority is at risk of being eroded
 
As Britain’s foreign secretary warns of “a shortening window of opportunity” for peace in Yemen, the hours are also counting down for weapons manufacturer Raytheon UK to explain its activities to the government’s committees on arms export control (CAEC).
 
Raytheon, the world’s third largest manufacturer, was called upon to give live evidence on Wednesday. However, the company has effectively avoided face-to-face scrutiny by simply declining to attend.
 

Raytheon is not alone. A precedent was set last year when British secretaries of state also failed to appear before the watchdog. Such conduct raises questions about CAEC’s accountability and effectiveness. … 

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NWS_a210.
Reuters: “Exclusive: Germany to Create Fund to Foil Foreign Takeovers After China Moves”
(Source:
Reuters, 20 Mar 2019.) [Excerpts.]
 
Germany plans to pass legislation by the end of 2019 to create a state-owned fund that can protect key companies from takeovers by Chinese and other foreign firms, government sources said, in a marked shift from its “hands-off” approach to business.
 
Economy Minister Peter Altmaier proposed the fund in February as part of a more defensive industrial strategy and three officials told Reuters the government was now working on draft laws so the fund could be up and running next year.
 
Two senior government officials, who spoke on condition of anonymity, said the idea was for the state-owned investment fund to work with the private sector when buying company stakes to foil unwelcome takeovers. …

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NWS_a311. 
Reuters: “Japan to Extend Sanctions Against North Korea By Two Years: NHK”

(Source:
Reuters, 20 Mar 2019.)
 
Japan will extend unilateral sanctions against North Korea by two years, public broadcaster NHK said on Wednesday.
 
Japan will extend a trade embargo on North Korea and a ban on North Korean ships entering Japanese ports by two years, according to the report.
 
The government is expected to approve the extension at a cabinet meeting early next month, NHK said.
 
The decision would come after a second meeting between U.S. President Donald Trump and North Korean leader Kim Jong Un last month collapsed over differences on U.S. demands for Pyongyang’s denuclearization and North Korea’s demand for sanctions relief.

 
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COMCOMMENTARY

COM_a112.
J. Norton & B. Egan: “Venezuela Challenge to U.S. Sanctions Escalates at WTO”
(Source: 
Steptoe International Compliance Blog
, 19 Mar 2019.)
 
* Authors: Jillian Norton, Esq., 
jnorton@steptoe.com
; and Brian Egan, Esq., 
began@steptoe.com
.  Both of Steptoe & Johnson LLP.
 
Next week, the World Trade Organization (“WTO”)
will consider
Venezuela’s request for the establishment of a panel to decide whether U.S. sanctions affecting Venezuela violate international trade law.
 
In December, Venezuela
filed its second ever complaint
at the World Trade Organization challenging U.S. sanctions. Specifically, Venezuela claimed that the U.S. imposed “coercive trade-restrictive measures” in an attempt to isolate Venezuela economically. These measures included “certain U.S. laws and regulations relating to goods of Venezuelan origin, the liquidity of Venezuelan public debt, transactions in Venezuelan digital currency, and the Specially Designated Nationals and Blocked Persons List [which] are inconsistent with the WTO’s General Agreement on Tariffs and Trade (GATT) 1994 and the General Agreement on Trade in Services (GATS),” according to a
statement
by the WTO.
 
Venezuela’s complaint targets actions by the U.S. against Venezuela dating back to 2014. Although Venezuela’s complaint did not initially include the Trump Administration’s Executive Order imposing significant sanctions with respect to state-run oil giant Petróleos de Venezuela SA (“PdVSA”), which was issued after the filing of the complaint, Venezuela added the Executive Order to its dispute on
Thursday
. (For more information on the PdVSA designation, see our previous blog post
here
.) Venezuela has also reserved the right to “raise additional factual issues and legal claims under other provisions of the covered agreements in relation to the matters mentioned above during the course of the consultations and in any future request for the establishment of a panel in these proceedings.”
 
Under the WTO’s
dispute settlement process
, Venezuela was authorized to request the establishment of a panel “any time 60 days after the date of receipt by the respondent of the request for consultations, but also earlier if the respondent either did not respect the deadlines for responding to the request for consultations or if the consulting parties jointly consider that consultations have failed to settle the dispute.” On March 14, Venezuela filed its
request
to establish a panel stating that the U.S. “refused to enter into consultations” with Venezuela. The U.S.’s refusal is, perhaps, of little surprise given the U.S.’s
statements
that it no longer recognizes Nicolás Maduro as the legitimate president of Venezuela and instead views Juan Guaidó, the president of the Venezuelan National Assembly, as the rightful leader of the country. If the WTO’s Dispute Settlement Body (“DSB”) decides on March 26 to establish a panel, the adjudication phase of the dispute will begin.
 
Because the U.S. has not released a formal response to Venezuela’s complaint, it is unclear on what basis the U.S. will defend its actions should the dispute proceed to adjudication. However, the U.S. could oppose the dispute based on the national security interests of the U.S. Recently, this rarely-used exception – enshrined in Article XXI of the GATT – has been invoked in disputes between Russia and Ukraine as well as Qatar and its neighboring states. Last year, the United States also used this exception to justify its steel and aluminum tariffs. As the U.S.
stated
at a meeting before the WTO DSB, “the clear and unequivocal U.S. position, for over 70 years, is that issues of national security are not matters appropriate for adjudication in the WTO dispute settlement system.” Consistent with longstanding U.S. policy, the Trump administration has also
reportedly stated
that a WTO panel “lacks the authority to review the invocation of Article XXI and to make findings on the claims raised in this dispute.”

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COM_a313.
M.C. Jones: “
Key Elements to an Effective Export Control Compliance Program”
(Source: Procopio, 19 Mar 2019.)
 
* Author:
Michael C. Jones, Esq., michael.jones@procopio.com. Of Procopio.
 
One billion dollars
: That was the fine ZTE agreed to pay in 2018 in order to lift a denial order issued by the United States government in response to export control violations. Similarly, Huawei’s CFO was indicted in December 2018 for alleged export control violations with respect to Iran. As these cases indicate, penalties for violating export control regulations can be high and include criminal charges.  
 
Further, as discussed in my previous article “6 Things Any Entrepreneur Should Know About Export Controls,” U.S. export control law affects a broader group of companies than many people realize. Thus, it can be vitally important to have an export control compliance program. This article seeks to identify key elements to such a program.
 
(1) An Export Control Policy
 
It should be apparent that the most important part of an export control program is having a policy in the first place. If a company employs foreign nationals, if a company exchanges technical information or data with overseas divisions or companies, or engages in manufacturing overseas based on designs created in the U.S., export control law may affect their business. In order to plan for and address issues related to export control, it is critical to have an export control policy set for company procedures for complying with export control laws and responding to any inquiries from the government.
 
The policy should be in writing and be available to all employees should there be any question. Additionally, the policy should include a statement from senior management indicating the company recognizes the importance of U.S. export control laws and is committed to complying with all requirements. The plan should also address at least the following recommendations:
 
(2) A Designated Export Control Officer or Team
 
In order to effectively implement an export control policy, it is important to have one or more staff members designated as being the point person for export control policy for interfacing with staff. This officer or team may work with external consultants, attorneys or experts to analyze export control risks and respond to inquiries from the government.
 
Further, the team should include at least one U.S. citizen or U.S. green card holder. This is due to any discussion or review of technical information by a foreign national present in the U.S. on a visa being deemed as an export of the technical information to the foreign national’s home country. Thus, a U.S. citizen or U.S. green card may need to review technical information to determine whether it can be discussed with a foreign national present in the U.S. before the foreign national reviews the technical information in order to avoid prohibited exports. If a foreign national conducts the initial review, the export occurs prior to any determination whether export is permissible. 
 
(3) Classification of All R&D Projects To Identify Which Projects Present Export Control Risks
 
In order to address the export control laws and identify any risks, it is important to first identify which research activities implicate the greatest export controls and are thus most restrictive and which technologies do not present significant risks because they are less restricted or not restricted. In order identify the research activities with the greatest risk, it’s important to assess and classify all R&D projects at as early a stage as is feasible to identify what levels of internal controls need to be put in place.
 
As discussed above, the individual that is performing classifications and assessments should be a U.S. citizen or U.S. green card holder because accessing technology in order to perform a classification can be an export and thus should not be done by a foreign national (e.g. an individual in the U.S. on a visa).

Further, the person or persons performing the classification should have training on classification best practices and should also have a technical understanding of the technology being classified in order to determine which classification applies based on the technical parameters set forth in the control commerce list (CCL).

 
Additionally, classification of the R&D projects should be reviewed and updated on a regular basis (e.g. annually, semi-annually, etc.) to determine if the guidelines (CCL) has changed or the technology has shifted toward either more restricted or less restricted technology.
 
As discussed below, all staff should be trained to communicate with your export control officer or team to inform of significant project changes, new projects, or terminated projects. All of the classifications should be collected and stored in accordance with company record-keeping procedures.
 
(4) Review of Existing Employees, New Hires, and Contractors for Export Control Risks
 
Once all R&D projects have been classified, it is necessary to classify or assess any export control risks presented by deemed exports (e.g., export of technical information or data to a foreign national physically located in the United States through training or employment). This employee risk assessment can be done by reviewing the classifications for each project with which an employee, contractor or visitor is expected or reasonably likely to encounter.
 
If, based on the classifications of the projects, a particular technology would be restricted for export to an employee’s home country, allowing or facilitating access by that employee to that project would be a prohibited export under U.S. law. In order to mitigate this risk, it is necessary to obtain a deemed export license for the employee to be able to access the technology.
This employee risk assessment does not be done for all employees but must be done for all employees who is neither a U.S. citizen or a U.S. green card holder (e.g., assessment should be done for all employees or contractors present in the U.S. on a visa). [FN/1]
 
Further, records should be maintained for each project which a foreign national employee is expected to access and whether or not a license is required. Any required licenses should be applied for at the earliest possible time as it can take several months or half a year to obtain the relevant licenses.
 
(5) Record-Keeping Policies
 
Another part of an effective export control policy is to have and follow enumerated record-keeping policies. The records to be retained include documentation of company project classification procedure, and documentation of company employee export control risk assessment procedures. Additionally, records of the actual classifications that have been determined for the projects and a rationale for the classification should also be maintained. The rationale does not need to be lengthy but should provide an assessment of what the determined classification is, other alternative classifications that were considered to have possibly been relevant, and an explanation as to why they were eliminated.
 
Regarding the employee risk assessment, records should be maintained of each employee, their home country or  country of citizenship, a brief job description and/or description of duties expected to be performed with reference to technical information that is likely to be accessed, and the relevant classifications of the projects that they are to be accessing. The company should have a general document retention policy in place and the retention policies should be followed for all export control related documentation.
 
(6) Export Control Training Program to All Employees
 
All employees should receive initial export control training as well as follow-up or renewed training to update them on any procedural changes as well as any changes in governmental rules on a regular basis. The updated training should be provided on regular basis and should be tailored to the employee’s expected job duties and role within the company. Further, managers who oversee other employees or assess technologies or participate in the hiring of new employees may receive a second level of training specific to their expected job duties.   
 
Additionally, other general employees may receive a third more general form of employee training again tailored to their expected job duties.
 
The training materials should be retained as part of the document retention policy as well as attendance logs and records of dates and times the training sessions were held should be maintained.
 
(7) Procedures for When a Problem Occurs
 
While an export control plan or policy may reduce or prevent possible violations from occurring, it is possible that violations or problems may still occur. Therefore, it is important that an export control policy have steps or procedures that are to be taken in the event of a violation being detected and that those procedures and policies be recorded and any violations or problems that occur be maintained in the records and reported as appropriate.
 
These procedures should outline a system or mechanism that allows and even encourages all employees to report any export control violation to the proper internal officer or team without fear of reprisal.  Additionally, the policy may specify remedial action to be taken against any employee who intentional violates the export control policy or obfuscates any know violation.  It is important that the policy strive to create a culture of openness and compliance with the export control regulations.
 
(8) Audits
 
Finally, an export control policy should include regular audits to ensure that the company’s policies and procedures are both in accordance with government recommended guidelines and are being followed by the all staff. In some circumstances, the Audits may be performed by internal employees or external auditors may be used with the audit being performed at the instruction and specification of internal employees. The results of the audit should be maintained in writing in accordance with the document retention policy and should be communicated to all affected staff.  Further, the Audits should be performed on a regular basis based on the sensitivity of the involved technology and existing government recommendations. 
 
Even though export control regulation may seem to present a great burden, through effectively crafting a customized export control plan for your company, the burden can be minimized and compliance with the US laws may be facilitated in an effective manner.
 
———-
   [FN/1] Assessment is also not required for individuals who are holders of refugee status, asylum status, or other special protection statuses granted under Section 1324b(a)(3) of the Immigration and Naturalization Act (8 U.S.C. 1324b(a)(3))

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TEEX/IM TRAINING EVENTS & CONFERENCES

TEC_a1
14.
FCC Presents “Designing an Internal Compliance Program for Export Controls & Sanctions”, 1 Oct in Bruchem, the Netherlands
 
* What: “Designing an Internal Compliance Program for Export Controls & Sanctions”
* Date: Tuesday, 1 Oct 2019
* Location: Full Circle Compliance, Landgoed Groenhoven, Dorpsstraat 6, Bruchem, The Netherlands
* Times:
  – Registration and welcome: 9.00 am – 9.30 am
  – Training course hours: 9.30 am – 4.30 pm
* Level: Intermediate
* Target Audience:  the course provides valuable insights for both compliance professionals, employees and (senior / middle) management working in any industry subject to U.S. and/or EU (member state) export control laws and sanctions regulations.
* Instructors: Drs. Ghislaine C.Y. Gillessen RA, and Marco M. Crombach MSc.
* Information & Registration: click
here or contact us at 
events@fullcirclecompliance.eu or 31 (0)23 – 844 – 9046.  

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ENEDITOR’S NOTES

EN_a0
15
.
New Edition of 
Bartlett’s Annotated ITAR
 (“BITAR”) is Available
(Source: Editor)
 
A revised edition of the BITAR was published yesterday, containing the March 19, 2019, ITAR amendment, which increases the maximum amounts of civil penalties, and includes numerous updates and additions to footnotes, Appendix items, and Index entries.  The BITAR is a 361-page Word document containing all ITAR amendments to date, plus a large Index, over 800 footnotes containing amendment histories, 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 download, usually revised within 24 hours after every ITAR amendment. The BITAR is available by annual subscription from the Full Circle Compliance 
website. If you are already subscribed to the BITAR, you can download the latest version via your own account on 
our website.

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EN_a116
. Bartlett’s Unfamiliar Quotations

(Source: Editor)

 

*
George Burns (born Nathan Birnbaum; 20 Jan 1896 – 9 Mar 1996; was an American comedian, actor, singer, and writer. He was one of the few entertainers whose career successfully spanned vaudeville, radio, film, and television. His arched eyebrow and cigar-smoke punctuation became familiar trademarks for over three quarters of a century. He and his wife, Gracie Allen, appeared on radio, television, and film as the comedy duo Burns & Allen. Burns, who became a centenarian in 1996, continued to work until a few weeks before his death.)
 – “Happiness is having a large, loving, caring, close-knit family in another city.”
  – “First you forget names, then you forget faces. Next you forget to pull your zipper up and finally, you forget to pull it down.”

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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.  The latest amendments to applicable regulations are listed below.
 

*
DHS CUSTOMS REGULATIONS
: 19 CFR, Ch. 1, Pts. 0-199.  Implemented by Dep’t of Homeland Security, U.S. Customs & Border Protection.
  – Last Amendment: 12 Mar 2019:
84 FR 8807-8809
: Extension of Import Restrictions Imposed on Archaeological and Ecclesiastical Ethnological Material From Honduras
 

DOC EXPORT ADMINISTRATION REGULATIONS (EAR)
: 15 CFR Subtit. B, Ch. VII, Pts. 730-774. Implemented by Dep’t of Commerce, Bureau of Industry & Security.
  – Last Amendment: 20 Dec 2018: 
83 FR 65292-65294
: Control of Military Electronic Equipment and Other Items the President Determines No Longer Warrant Control Under the United States Munitions List (USML); Correction [Concerning ECCN 7A005 and ECCN 7A105.]
 
*
DOC FOREIGN TRADE REGULATIONS (FTR)
: 15 CFR Part 30.  Implemented by Dep’t of Commerce, U.S. Census Bureau.
  – Last Amendment: 24 Apr 2018: 
83 FR 17749-17751
: Foreign Trade Regulations (FTR): Clarification on the Collection and Confidentiality of Kimberley Process Certificates
  – HTS codes that are not valid for AES are available
here
.
  – The latest edition (1 Jan 2019) 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 approximately 250 footnotes containing case annotations, practice tips, Census/AES guidance, and explanations of the numerous errors contained in the official text. Subscribers receive revised copies in Microsoft Word 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. Government employees (including military) and employees of universities are eligible for a 50% discount on both publications at 
www.FullCircleCompiance.eu
.  
 

DOD NATIONAL INDUSTRIAL SECURITY PROGRAM OPERATING MANUAL (NISPOM)
: DoD 5220.22-M. Implemented by Dep’t of Defense.
  – 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 cancelled Supp. 1 to the NISPOM (Summary 
here
.) 
 

DOE ASSISTANCE TO FOREIGN ATOMIC ENERGY ACTIVITIES
: 10 CFR Part 810; Implemented by Dep’t of Energy, National Nuclear Security Administration, under the Atomic Energy Act of 1954.
  – Last Amendment: 23 Feb 2015:

80 FR 9359
, comprehensive updating of regulations, updates the activities and technologies subject to specific authorization and DOE reporting requirements. This rule also identifies destinations with respect to which most assistance would be generally authorized and destinations that would require a specific authorization by the Secretary of Energy.
 

DOE EXPORT AND IMPORT OF NUCLEAR EQUIPMENT AND MATERIAL
; 10 CFR Part 110; Implemented by Dep’t of Energy, U.S. Nuclear Regulatory Commission, under the Atomic Energy Act of 1954.
  – Last Amendment: 20 Nov 2018, 10 CFR 110.6, Re-transfers.
 
*
DOJ ATF ARMS IMPORT REGULATIONS: 27 CFR Part 447-Importation of Arms, Ammunition, and Implements of War.  Implemented by Dep’t of Justice, Bureau of Alcohol, Tobacco, Firearms & Explosives.
  – Last Amendment: 14 Mar 2019:
 
84 FR 9239-9240
: Bump-Stock-Type Devices
 

DOS INTERNATIONAL TRAFFIC IN ARMS REGULATIONS (ITAR)
: 22 C.F.R. Ch. I, Subch. M, Pts. 120-130. Implemented by Dep’t of State, Directorate of Defense Trade Controls.
  – Last Amendment: 19 Mar 2019: 84 FR 9957-9959: Department of State 2019 Civil Monetary Penalties Inflationary Adjustment
  – 
The only available fully updated copy (latest edition: 19 March 2019) of the ITAR with all amendments is contained in 
Bartlett’s Annotated ITAR 
(“BITAR”), by James E. Bartlett III. The BITAR is a 361-page Word document containing all ITAR amendments to date, plus a large Index, over 800 footnotes containing amendment histories, 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 download, 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.
 
*
 DOT FOREIGN ASSETS CONTROL REGULATIONS (OFAC FACR): 31 CFR, Parts 500-599, Embargoes, Sanctions, Executive Orders. Implemented by Dep’t of Treasury, Office of Foreign Assets Control.
  – Last Amendment: 15 Mar 2019: 
84 FR: 9456-9458
: List of Foreign Financial Institutions Subject to Correspondent Account or Payable-Through Account Sanctions (CAPTA List)
  
* USITC HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES (HTS, HTSA or HTSUSA), 1 Jan 2019: 19 USC 1202 Annex. Implemented by U.S. International Trade Commission. (“HTS” and “HTSA” are often seen as abbreviations for the Harmonized Tariff Schedule of the United States Annotated, shortened versions of “HTSUSA”.)

  – Last Update: 
7 Mar 2019: 
Harmonized System Update (HSU) 1903  
[contains 67 ABI records and 13 harmonized tariff records].

  – HTS codes for AES are available here.
  – HTS codes that are not valid for AES are available here.

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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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* The Ex/Im Daily Update is a publication of FCC Advisory B.V., compiled by: Editor, James E. Bartlett III; Assistant Editors, Alexander P. Bosch and Vincent J.A. Goossen; and Events & Jobs Editor, Alex Witt. The Ex/Im Daily Update is emailed every business day to approximately 6,500 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, DOE/NRC, DOJ/ATF, DoD/DSS, DoD/DTSA, FAR/DFARS, 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.

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