The Bureau of Industry and Security has issued
three final rules amending the Export Administration
Regulations. The first rule, Wassenaar Arrangement 2011
Plenary Agreements Implementation: Commerce Control List,
Definitions, New Participating State (Mexico) and Reports (¶72,750.260),
carries an effective date of July 2, 2012. The second rule,
Implementation of the Understandings Reached at the 2011
Australia Group (AG) Plenary Meeting and Other AG-Related
Clarifications to the EAR (¶72,750.259),
also has a July 2, 2012, effective date. The last rule,
Amendment to Existing Validated End-User Authorizations:
Hynix Semiconductor China Ltd., Hynix Semiconductor (Wuxi)
Ltd., and Boeing Tianjin Composites Co. Ltd. in the People's
Republic of China (¶72,750.261),
went into effect on July 9, 2012.
Wassenaar
Arrangement Agreements
The first rule (¶72,750.260)
implements changes to the Wassenaar Arrangement's List of
Dual-Use Goods and Technologies made by governments
participating in the Wassenaar Arrangement on Export
Controls for Conventional Arms and Dual-Use Goods and
Technologies at the December 2011 WA Plenary Meeting. The
rule amends entries on the Commerce Control List (Supplement
No. 1 to EAR Part 774) that are controlled for national
security reasons in Categories 1 through 9, revises
reporting requirements, and amends definitions. The rule
raises the Adjusted Peak Performance parameter for high
performance computers and the APP eligibility level for
deemed exports of computers in License Exception APP. Also,
the rule implements changes to the WA List that pertain to
low light level items that were agreed upon by the WA in
December 2007 through 2011 at the WA Plenary Meetings.
Finally, the rule adds Mexico as the 41st
Participating State in the list of WA members. The WA
advocates implementation of effective export controls on
strategic items with the objective of improving regional and
international security and stability. A complete listing of
the EAR provisions affected by this rule appears in the
regulation table below.
Australia
Group Understandings
The second rule (¶72,750.259)
implements the understandings reached at the June 2011
plenary meeting of the Australia Group. The rule amends the
CCL entry that controls human and zoonotic pathogens and "toxins"
and the entry that controls genetic elements and genetically
modified organisms to reflect changes to the AG "List
of Biological Agents for Export Control." The
rule also amends the CCL entries that control chemical
manufacturing facilities and equipment, and equipment
capable of use in handling biological materials, to reflect
the June 2011 AG plenary changes to the "Control
List of Dual-Use Chemical Manufacturing Facilities and
Equipment and Related Technology and Software"
and the "Control
List of Dual-Use Biological Equipment and Related Technology
and Software."
VEU
Authorizations
The last rule (¶72,750.261)
revises the existing Authorization Validated End-User
listings for three VEUs in the People's Republic of China.
Specifically, the rule amends Supplement
No. 7 to EAR Part 748 to change the names of Hynix
Semiconductor China Ltd. and Hynix Semiconductor (Wuxi) Ltd.
and their respective "Eligible
Destinations" in the PRC. The rule also amends
the list of "Eligible
Items (by ECCN)" that may be exported,
reexported, and transferred (in-country) to the approved
facility of VEU Boeing Tianjin Composites Co. Ltd. in the
PRC. These changes are prompted by factors arising from the
companies' normal course of business, and are not the result
of any activities of concern by the companies.
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