Some U.S. export control policies are hindering the American semiconductor sector and chip innovation, technology companies and trade groups told the Commerce Department in recent comments (see 2201210024). Commerce can take steps to ease compliance challenges, including around deemed export controls, and make sure to propose narrow and multilateral emerging and foundational technology controls, the commenters said.

Export Compliance Daily is providing readers with the top stories from last week in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.

The State Department’s Directorate of Defense Trade Controls plans to send out a customer service satisfaction survey after its Help Desk and Response Team closes a case. The new survey, announced last week, will provide DDTC with industry feedback to “improve the quality of our support services,” the agency said.

Tuqiang Xie, of Irvine, California, was sentenced to a year in prison for brokering the sales of export-controlled defense articles from China and filing a false corporate tax return, the U.S. Attorney's Office for the Northern District of Illinois said March 31. In 2019, Xie pleaded guilty to one count of violating the Arms Export Control Act and one count of filing a false tax return. Sentencing took place after hearing in Chicago. In the plea agreement, Xie admitted to using his Irvine-based company, Bio-Medical Optics, as a broker for the shipment of defense articles listed on the U.S. Munitions List and the U.S. Munitions Import List. Xie had not obtained the required export license for these items.

The Bureau of Industry and Security this week revoked export privileges for five people after they illegally exported defense items or weapons ammunition.

Export Compliance Daily is providing readers with the top stories from last week in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.

Proposed changes to the State Department’s defense export regulations, including a provision that would clarify definitions for “export” and “reexport,” received strong support from U.S. universities this month. The Association of University Export Control Officers said the proposed changes to the International Traffic in Arms Regulations will “make it simpler and more efficient for universities to remain compliant with” U.S. export regulations.

The State Department’s Directorate of Defense Trade Controls this week released supporting materials and guidance for its recently announced restructuring of purposes and definitions in the International Traffic in Arms Regulations (see 2203220013). The agency issued a summary of the changes and a table outlining the moves, edits, removals and additions.

The State Department announced penalties on two people and four foreign entities and their subsidiaries for illegal transfers under the Iran, North Korea and Syria Nonproliferation Act, according to a notice. The agency said the parties transferred items subject to multilateral control lists that contribute to weapons proliferation or missile production. The State Department barred them from making certain purchases of items controlled on the U.S. Munitions List and by the Arms Export Control Act and will suspend any current export licenses used by the entities. The agency also will bar them from receiving new export licenses for any goods subject to the Export Administration Regulations. The restrictions will remain in place for two years from the March 14 effective date.

The State Department this week released its long-awaited rule to reorganize and consolidate definitions, guidance and authorities in the International Traffic in Arms Regulations, the first in a series of planned rules to restructure the ITAR. The interim final rule, released March 22 and effective Sept. 6, creates three new subparts outlining ITAR general information, general policies and processes, and definitions, a new structure that officials have said will improve the organization of the regulations. The agency is accepting public comments on the changes through May 9.