Morgan Lewis US and Russia Sanctions Update
US Sectoral Sanctions - BIS (cont'd)
Export / Reexport Restrictions (cont'd)
expansion of military end-use and end-user restrictions - further complicating US companies'
business
expands requirement to obtain specific licenses for export to military end users/uses in Russia (and
China and Venezuela)
covers wide range of potential dual-use items (there is already a blanket policy of denial for defense
articles for these countries)
adopts regional stability controls for certain exports to Russia; and adds a new reporting requirement
for controlled items
and see related new FAQS 1-32 re the subject changes to EAR section 744.21
And final rule eliminating re-export authorizations APR
to remove a provision of License Exception Additional Permissive Re-exports ("APR") for a small group
of countries incl. Russia
namely, eliminated some permissive re-exports of sensitive US items to Russia (and China, Venezuela)
based on approval by one of certain close ally countries - "due to variations in how the United States
and its partners ... perceive the threat caused by the increasing integration of civilian and military
technology development in countries of concern"
And see related BIS Oct. 2020 action re Russia (and China, Venezuela)
EAR amendments to revise/refine license review policy for national security-controlled items
reviewing agencies now to consider whether proposed export/re-export/transfer of controlled
items will make a "material contribution to the development, production, maintenance, repair
or operation" of weapons systems capability
Morgan Lewis
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