Published in the Daily Bugle December 29, 2023
2023 is in the books, and I’m scraping bottom for column ideas (c’mon folks, ask questions!) I can’t go wrong with a Year in Review. Note that you shouldn’t use this as a reference, as I may have left some things out[1], and just may have hallucinated in a thing or two[2].
January
With inflation roaring, DDTC got in on the act with an oddly high resolution 7.745% increase in monetary penalties, resulting in fee increases by crooked middlemen and smugglers to cover costs. The Australia Group decisions finally made it into the EAR, which added marine toxins to the Hypochondriac’s Nightmare of 1C351, but removed that old favorite Cholera, as just not being deadly enough.
In other January news, Macau was added to the semiconductor sanctions.
February
DDTC made big news with the ITAR Jumble, where they helpfully grouped all the definitions into Part 120, but renumbered most all of them, immediately rendering innumerable legal memos out of date. I understand Mr. Bartlett will be offering a laminated poster showing where everything went. Not to be outdone, BIS responded with no less than four Entity List notices and to account for Technical Inflation, increased the APP threshold in 4A003.b to 70 Weighted TeraFLOPS, a 15.8199% APR increase over the previous 2017 update[3].
“Sub-orbital Craft” were added to 9A004, but we missed out on what would have been the best EAR definition of all time, specifying “sub-orbital” being when the “Vacuum Instantaneous Impact Point does not leave the earth’s surface at any time.”
March
Pretty quiet, just two more BIS Entity List and one UVL update. Ho hum.
April
DDTC was finally able to remove common commercial capacitors from USML XI(c)(5), and the People Rejoiced, but was strangely silent on how this applies to Macau. BIS cracked down on Peptide Synthesizers, which contrary to popular belief, have nothing to do with indigestion.
May
The Foreign Direct Product Rule had always hidden in the shadow of its big brother De Minimis, but found the spotlight with Russia and Belarus sanctions. BIS updated the Sanctions to expand the FDPR territory to include temporarily occupied Crimea and sections of Brighton Beach, N.Y.
June
Export violation apparently IS a country for old men, as DDTC announces debarment against 10 individuals ranging in age from 40 to 79, with an average age of 55. If the younger generation doesn’t start showing interest, I’m not sure what Export Enforcement will do.
July
Maybe it was the heat in D.C., but BIS managed only one Entity List update, and continued to be suspiciously tight-lipped about Macau.
August
BIS got busy by expanding nuclear controls for China, and conspicuously included Macau. To further tighten the noose on already highly restricted Russian aircraft, provisions were made to extend Temporary Denial Orders. Two weeks later an A320 experienced hydraulic issues, likely due to poor maintenance, and landed in a wheat field.
The EAR updated six Nuclear Suppliers Group-related ECCNs, most notably to replace “Atomic Mass Units” in 3A223 with “u”, probably because “X” was already taken.
September.
BIS removed the Zhejiang Perfect New Material Co., Ltd. From Military End Users list, solely because the name was so damn cute. DDTC lifted ITAR restrictions on Cyprus, because it isn’t Macau.
October.
BIS was busy in October, with three Entity/Validated user list updates, the 2022 Wassenaar update (add a release for commercial supersonic engines, remove a comma), and something about semiconductors. The semiconductor rules apparently had some public interest, because the preambles of the two rules required BIS respond to no less than 141 comments, and triggered a public briefing. Among the items newly controlled to blunt the expansion of advanced computing in China[4] are 3B001.d.15 to control equipment designed for void free plasma enhanced deposition of a low-k dielectric layer in gaps between metal lines with specified parameters, and 3B001.d.28 to control hammers.
November.
It was an early Thanksgiving this year, so we can blame Tryptophan for BIS only able to eke out two Entity list updates.
December
DDTC issued a temporary modification to Cat VIII, to address a trap it set for itself in October 2013, itself a last minute fix for a trap set earlier that year. BIS responded with three Entity/Unverified list updates, and modified three Missile Technology Control Regime related ECCNs by adding the word “of.” It’s good to know that the MTCR is so perfect that it just requires a little light dusting. In the Chem Bio world, a number of items controlled for CB1 were moved to CB2 for close allies. This includes Botox, just in time for those quick touch-ups before holiday and New Years parties.
BIS proposed updates to license exception STA, to make it broader and easier to use, because we trust our close allies, who have strong export/re-export controls. It then goes on to request comment on restricting the use of STA for portions of ECCNs 1E001 and 2E003.f to our closest allies (group A:5), technology that has been STA eligible since 2011, because apparently we can’t trust them. Comments are due February 6th, and expect to see an opinion piece early in the New Year.
This column will be submitted with one day left in the year, and in the spirit of the season, I hold out hope that in the waning hours I’ll see a at least two of my 2023 wishes come true, specifically that DDTC publish a clarified Defense Services update, and for somebody to do something about Macau.
See you in 2024! Got J&C questions? – please reach out to me at ArtOfJC@arinovis.com.
[1] There are only so many jokes to be made about Entity List updates, and we’re going to find that limit today.
[2] I don’t need ChatGPT to make things up.
[3] The 4A003.b threshold has increased 9,859,154.929% from its introduction in 1996.
[4] And Macau