BIS amends EAR and publishes updated FAQs about the FDP rule

Effective 18th December 2020, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) amended the Export Administration Regulations (EAR) by adding 77 entities to the Entity List. Among these additions is the Semiconductor Manufacturing International Corporation (SMIC) of China, which has been added based on “evidence of activities between SMIC and entities of concern in the Chinese military industrial complex.” The other entities added to the entity list are under the destinations of China, Bulgaria, France, Germany, Hong Kong, Italy, Malta, Pakistan, Russia, and the United Arab Emirates, for “actions deemed contrary to the national security or foreign policy interest of the United States.” For further details, please see the press release and comments from the U.S. Department of Commerce, the entry in the Federal Register, and the response from the Chinese Ministry of Commerce. The data reflecting these changes are available via PST.AG's data feed notification to our customers.

Also on 18th December 2020, BIS updated the Frequently Asked Questions (FAQs) about an amendment to the General Prohibition Three (Foreign-Produced Direct Product Rule (FDP rule)) that was effective 17th August 2020. For more information, please see the Federal Register document of the original ruling from August and the FAQs about the FDP rule amendment.