On June 3, 2021, President Biden issued Executive Order 14032 (Addressing the Threat from Securities Investments that Finance Certain Companies of the People’s Republic of China) (“CMIC EO”) that modifies the Trump-era...more
The U.S. government has recently imposed controls pertaining to “Communist Chinese Military Companies” (CCMCs or “1237 entities”); Chinese “Military End Users” (MEUs); and Chinese “Military-Intelligence End Users” (MIEUs)....more
- On September 15, Treasury published a Final Rule adopting changes to the CFIUS mandatory filing framework for covered transactions involving critical technologies.
- Rather than being pegged to targeted industries...more
9/22/2020
/ CFIUS ,
Covered Transactions ,
Critical Infrastructure Sectors ,
Exceptions ,
Export Controls ,
Exports ,
Filing Requirements ,
Final Rules ,
Foreign Investment ,
General Licenses ,
National Security ,
Technology Transfer Agreements
United States export control, sanctions, and foreign investment (CFIUS) regulations advance U.S. national security and foreign policy interests, but in very different ways. They are also quite complex. As a result, media...more
9/21/2020
/ Acquisitions ,
Bureau of Industry and Security (BIS) ,
CFIUS ,
Commodities ,
Controlled Foreign Corporations ,
Corporate Counsel ,
Critical Infrastructure Sectors ,
Economic Sanctions ,
Export Administration Regulations (EAR) ,
Export Controls ,
Exports ,
Foreign Direct Investment ,
Foreign Investment ,
Foreign Nationals ,
Foreign Policy ,
Jurisdiction ,
Mergers ,
National Security ,
Office of Foreign Assets Control (OFAC) ,
Popular ,
SDN List ,
Software ,
Technology
- On August 10, 2020, FEMA extended the duration of its restrictions on the export of certain shipments of PPE through December 31, 2020.
- The August 10 notice narrowed the types of PPE covered by the restrictions to...more
- On July 1, the Departments of Commerce, Homeland Security, State, and the Treasury issued a joint advisory on the “Risks and Considerations for Businesses with Supply Chain Exposure to Entities Engaged in Forced Labor and...more
7/10/2020
/ China ,
Economic Sanctions ,
Enforcement Actions ,
Exports ,
Federal Contractors ,
Financial Institutions ,
Forced Labor ,
Human Rights ,
Imports ,
Office of Foreign Assets Control (OFAC) ,
Risk Mitigation ,
Supply Chain
- On May 21, 2020, Treasury published a Proposed Rule to align the CFIUS mandatory filing framework for transactions involving critical technologies with existing export-licensing requirements.
- Under the Proposed Rule,...more
5/26/2020
/ CFIUS ,
Comment Period ,
Critical Infrastructure Sectors ,
Cross-Border Transactions ,
Export Controls ,
Exports ,
Filing Requirements ,
FIRRMA ,
Foreign Investment ,
General Licenses ,
National Security ,
Proposed Rules ,
Public Comment ,
Technology Sector ,
U.S. Treasury
- The U.S. Department of Commerce has published a highly complex and novel interim final rule extending the controls of the Export Administration Regulations (EAR) over foreign-made items in Huawei’s contract manufacturing...more
5/21/2020
/ Bureau of Industry and Security (BIS) ,
Comment Period ,
Entity List ,
Export Administration Regulations (EAR) ,
Export Controls ,
Exports ,
Foreign Direct Product Rule ,
Foreign Policy ,
General Licenses ,
Huawei ,
Interim Final Rules (IFR) ,
Manufacturers ,
National Security ,
Prohibited Transactions ,
Public Comment ,
Supply Chain ,
Technology Sector ,
Telecommunications ,
U.S. Commerce Department
- On April 16, 2020, the Chinese competition authority finally announced its conditional approval of Nvidia’s $6.9 billion acquisition of Mellanox.
- The Chinese SAMR approved the acquisition after a yearlong investigation...more
- On April 28, 2020, the Bureau of Industry and Security of the U.S. Department of Commerce announced changes to the Export Administration Regulations (EAR) through three notices published on the Federal Register. The changes...more
4/30/2020
/ Bureau of Industry and Security (BIS) ,
Exceptions ,
Export Administration Regulations (EAR) ,
Export Controls ,
Exports ,
Final Rules ,
General Licenses ,
Licensing Rules ,
Military End Use ,
National Security ,
Proposed Rules ,
U.S. Commerce Department
- Effective April 17, 2020, FEMA expanded exemptions to its April 7, 2020, Temporary Rule that implemented export restrictions on certain shipments of personal protective equipment.
- FEMA issued the Temporary Rule to...more
- On March 31, 2020, DDTC published five new FAQs on activities that non-U.S. persons may engage in following the expiration of a Technical Assistance Agreement (TAA) or Manufacturing Licensing Agreement (MLA).
- The FAQs...more
- Beginning April 7, 2020, CBP is authorized to temporarily detain all shipments of five categories of personal protective equipment used in the response to and treatment of COVID-19, pursuant to a Temporary Rule issued by...more
On April 4, the White House released an Executive Order establishing the Committee for the Assessment of Foreign Participation in the United States Telecommunications Services Sector (the “Committee”) to assess foreign...more
- BIS extended until May 15, 2020, the Temporary General License authorizing certain exports, reexports, and transfers to Huawei and other listed affiliates of specific types of items that are relevant to third parties.
-...more
3/13/2020
/ Bureau of Industry and Security (BIS) ,
Comment Period ,
Confidential Information ,
Entity List ,
Export Controls ,
Exports ,
General Licenses ,
Huawei ,
National Security ,
Public Comment ,
Technology Sector ,
Time Extensions ,
U.S. Commerce Department
- On March 9, 2020, the U.S. Department of Treasury published a Proposed Rule to implement filing fee requirements for voluntary notices filed with CFIUS.
- Under the proposed framework, the value of the transaction...more
Key Points
- On January 13, 2020, the U.S. Department of Treasury released final rules implementing FIRRMA, which reforms the CFIUS framework. These rules will take effect on February 13, 2020.
- The final rules...more
1/16/2020
/ Acquisitions ,
CFIUS ,
Critical Infrastructure Sectors ,
Filing Requirements ,
Final Rules ,
FIRRMA ,
Foreign Investment ,
Mergers ,
National Security ,
Personal Data ,
Principal Place of Business ,
Proposed Regulation ,
Public Comment ,
U.S. Treasury
• On January 6, 2020, DDTC published a new FAQ on Defense Services Performed by U.S. Persons Abroad, confirming that the ITAR regulate defense services performed by a U.S. person employed by a non-U.S. company outside of the...more
Key Points -
On January 6, 2020, BIS published an interim final rule to add a new worldwide (minus Canada) unilateral export control on a type of geospatial imagery software specially designed for training Deep...more
1/7/2020
/ Artificial Intelligence ,
Bureau of Industry and Security (BIS) ,
Comment Period ,
Emerging Technology Companies ,
Export Administration Regulations (EAR) ,
Export Control Reform Act (ECRA) ,
Export Controls ,
Exports ,
Interim Final Rules (IFR) ,
Machine Learning ,
National Security ,
Public Comment ,
Software ,
Technology ,
Technology Sector ,
Trump Administration
• On December 26, 2019, DDTC published an interim final rule that would allow, under certain conditions, encrypted technical data and software that is subject to the ITAR to be sent, shipped or stored outside the United...more
12/30/2019
/ Bureau of Industry and Security (BIS) ,
Cloud Storage ,
Comment Period ,
Data Storage ,
Data Storage Providers ,
Directorate of Defense Trade Controls (DDTC) ,
Encryption ,
Export Administration Regulations (EAR) ,
Exports ,
Interim Final Rules (IFR) ,
International Data Transfers ,
ITAR ,
National Security ,
Public Comment ,
Regulatory Burden ,
Software
Key Points
- On November 26, 2019, the U.S. Department of Commerce (“Commerce”) issued a proposed rule to implement Executive Order 13873 of May 15, 2019, on “Securing the Information and Communications Technology and...more
12/4/2019
/ CFIUS ,
Executive Orders ,
Foreign Acquisitions ,
Foreign Adversaries ,
Foreign Investment ,
Information and Communication Technology (ICT) ,
International Emergency Economic Powers Act (IEEPA) ,
National Security ,
Proposed Regulation ,
Proposed Rules ,
Public Comment ,
Supply Chain ,
Trump Administration ,
U.S. Commerce Department
• The U.S. Department of Treasury released proposed rules implementing the Foreign Investment Risk Review Modernization Act (FIRRMA) on September 17, 2019. Among other measures, these rules would establish how the Committee...more
9/23/2019
/ CFIUS ,
Covered Transactions ,
Critical Infrastructure Sectors ,
Cross-Border Transactions ,
Export Control Reform Act (ECRA) ,
FIRRMA ,
Foreign Investment ,
Interstate Commerce ,
National Security ,
Proposed Regulation ,
Proposed Rules ,
Public Comment ,
Real Estate Transactions ,
U.S. Treasury
• On August 30, DDTC published a final rule that removes many of the radars used in civil automotive and unpiloted aerial vehicles from the USML.
• This continues the targeted removal of civil items from the military...more
9/5/2019
/ Aerospace ,
Aircraft ,
Automotive Industry ,
Aviation Industry ,
Defense Sector ,
Directorate of Defense Trade Controls (DDTC) ,
Export Administration Regulations (EAR) ,
Exports ,
Final Rules ,
ITAR ,
Motor Vehicles ,
Radar ,
Technology Sector ,
Unmanned Aircraft Systems ,
USML
• The Commerce Department’s Bureau of Industry and Security (BIS) has added 46 additional Huawei affiliates to the Entity List. The export, reexport, and transfer to these entities of commodities, software, and technology...more
8/21/2019
/ Bureau of Industry and Security (BIS) ,
Entity List ,
Export Administration Regulations (EAR) ,
Export Controls ,
Exports ,
Foreign Policy ,
General Licenses ,
Huawei ,
Prohibited Transactions ,
Software ,
Technology Sector ,
Telecommunications ,
U.S. Commerce Department
• On August 7, the DOD, GSA, and NASA released a prepublication version of an Interim Final Rule implementing paragraph (a)(1)(A) of § 889 of the 2019 NDAA. The rule is effective next Tuesday, August 13, 2019.
• Among its...more
8/12/2019
/ CFIUS ,
Department of Defense (DOD) ,
Federal Acquisition Regulations (FAR) ,
Federal Contractors ,
FIRRMA ,
General Services Administration (GSA) ,
Interim Final Rules (IFR) ,
NASA ,
NDAA ,
New Rules ,
Public Comment ,
Reporting Requirements ,
Surveillance ,
Telecommunications