The Bureau of Industry and Security added one Chinese entity to its Entity List, another to its Military End User List and removed two Russian entities from the MEU List, the agency said in a final rule. BIS added China National Offshore Oil Corporation Ltd. (CNOOC) to its Entity List for its involvement with China’s militarization of the South China Sea and designated Beijing Skyrizon Aviation Industry Investment Co., Ltd. because of its ties to China’s military. The changes are effective Jan. 14.

The Joe Biden administration is expected to cooperate more with allies to counter China and more closely coordinate on trade deals and restrictions, officials from the European Union and Australia said. While the EU wants to work with the new administration to take a more multilateral approach toward strategic competition with China, Australia plans to lobby Biden trade officials to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.

The United Kingdom and Canada announced a range of measures to restrict trade with China’s Xinjiang region over allegations of human rights violations committed against Uighurs and other ethnic minorities. The measures include export controls, restrictions on certain imports produced by forced labor in the region and penalties for companies that violate the measures. Both countries also issued business advisories for companies operating in the region, warning them about compliance risks and exposure to penalties.

Export Compliance Daily is providing readers with the top stories for Jan. 4-8 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.

The Bureau of Industry and Security loosened its license review policy for exports of certain drones controlled under the Export Administration Regulations (see 2012150011). The move, following a similar announcement by the State Department in July (see 2007270035), will impose a case-by-case license review policy on certain unmanned aerial systems (UAS) as opposed to a review policy of presumption of denial. The change will impact drones controlled for missile technology (MT) reasons and that have a “range and payload capability equal to or greater than 300 kilometers/500 kilograms” and a “maximum true airspeed of less than 800 km/hour,” BIS said in a final rule. The agency said the case-by-case review policy will also apply to MT-controlled items for the design, development, production or use in such drones. The changes take effect Jan. 12.

The U.S. needs to boost its manufacturing capabilities, invest in innovation and improve its ability to export goods around the world, the President-elect Joe Biden’s two top Commerce Department nominees said. The nominees, Gina Raimondo as Commerce secretary and Don Graves as Commerce deputy secretary, were announced Jan. 8 by Biden, who urged the Senate to swiftly confirm their nominations.

The U.S. should strengthen a range of measures to slow down China’s technology growth, including more foreign direct investment (FDI) restrictions and prohibitions on Chinese acquisitions of U.S. technology, said Robert Atkinson, president of the Information Technology and Innovation Foundation. Although many in Europe prefer the U.S. to remain technologically superior to China, Daniel Gros, director of the Centre for European Policy Studies, said little can be done to stop China's rise, and the U.S. should instead focus on increasing trade with China instead of decoupling. Both said the U.S. and Europe should collaborate more closely on industrial technology policy, including for emerging technologies such as artificial intelligence and quantum computing.

The Bureau of Industry and Security clarified and expanded the scope of export controls for certain vaccines and medical products (see 2012090006), the agency said in a final rule effective Jan. 7. The changes align U.S. export controls with decisions agreed to at the Australia Group’s 2019 plenary group. The updated controls also have implications for vaccines related to COVID-19, BIS said.

The Bureau of Industry and Security amended the Chemical Weapons Convention Regulations and Export Administration Regulations to control new chemicals used in chemical weapons. The final rule, effective Jan. 7, aligns U.S. export controls with recent changes made by the multilateral Chemical Weapons Convention.

Export Compliance Daily is providing readers with the top stories for Dec. 28-31 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.