If you’re a U.S. exporter wondering what the news of additional Export Administration Regulations (EAR) export controls for Russia means for you, here are the three key points you need to know:
- All goods, software, and technology described in Commerce Control List (CCL) Categories 3-9 (i.e. everything with an ECCN in these categories) now requires a license to Russia, with very limited license exception availability.
- Everything subject to the EAR, including EAR99 items, (except some food & medicine, ECCN 5A992/5D992 items) now requires a license if it is intended for a military end use (MEU) or a military end user in Russia.
- Many Russian entities have been added to restricted parties lists this week. Others have been moved to more restrictive lists (especially to the Entity List).
Now that you know, what should you do?
- Re-screen all customers, distributors, etc. in Russia against all restricted parties lists. Take action as needed.
- Hold all exports in Category 3-9 ECCNs. Reconfirm classifications and consider applying for licenses (understanding that the licensing policy is now generally denial).
- Hold everything else pending MEU review. If it clears review, proceed with caution. If not, you may seek a license.
- We recommend reading the whole BIS rule, here.
ECTI will continue to monitor changes to the EAR or ITAR as it relates to the Russia-Ukraine war. Visit knp.chinakfbdf.com to learn about our company, our faculty, our staff and our esteemed Export Compliance Professional (ECoP®) certification program. To find upcoming e-seminars, live seminars and live webinars, and to browse our catalog of 80-plus on-demand webinars, visit our ECTI Academy. You also can call the Export Compliance Training Institute at +1 (540)-433-3977 for more information.
Scott Gearity is President of ECTI, Inc.
