Between Russia’s invasion of Ukraine and growing U.S. tensions with China, U.S. export controls are in the spotlight like never before. As if regulators have not already made it clear enough, recent statements and actions indicate that the enforcement crosshairs are squarely on the semiconductor industry.
Continue Reading Watching the Detectives: Export Control Enforcement Trends Upward
Key Takeaways:
Continue Reading U.S. Outbound Investment Restrictions Are Becoming a Reality
It looks like the licensing restrictions on Huawei are trickling into effect.
Our sources indicate that, as early as February 27, all license applications for exports or transfers involving Huawei which were pending with the U.S. Bureau of Industry and Security (BIS) have been placed on Hold Without Action. Further, we understand from various industry sources that BIS has begun informing certain U.S. companies that they will not receive further licenses to export chips for end use by Huawei.
Continue Reading Breaking the Link – New Developments on U.S. Licenses for Exports to Huawei
Update and Correction: We had understood that the date for the announcement of a regulatory change would be February 13. That understanding is (pretty obviously, now, on February 14) incorrect. We still believe the change is imminent and will update as soon as we have further information.
Key takeaways
Key Takeaways
Background
On January 5, 2023, President Biden signed into law S. 1294, the “Protecting American Intellectual Property Act of 2022”. The Act requires the president to report to Congress and impose sanctions on any foreign person or entity the president identifies that has committed or “provided significant financial, material, or technological support” for the significant theft of trade secrets that are “reasonably likely to result in or has materially contributed to a significant threat to the national security, foreign policy, or economic health or financial stability of the United States.”
Continue Reading Potential Sanctions for Alleged Intellectual Property Theft on the Horizon?
As you may have heard here (and here and here), in October 2022, the United States issued sweeping measures aimed at the semiconductor industry in China. The new regulations restrict the export of semiconductors and related technology, manufacturing equipment, software, and even U.S.-person support, to China. The regulations are part of a high-stakes chess match between the United States and China, as they compete for technological and economic dominance. One important result of this struggle is that the global semiconductor industry is being squeezed by the regulatory and geopolitical pressure exerted by both sides.
As we close out a wild year for international trade regulation,[1] after hearing much talk about outbound investment review mechanisms, we may see a final dramatic change before the ball drops. Since the summer, we have talked here about potential outbound investment reviews (reverse CFIUS? SUIFC?). And while there have been reports of potential action by both Congress and the Biden Administration on outbound investment, it is all the more possible to see executive action before a new Congress takes seat.
Continue Reading Will We Ring in the New Year with Outbound Investment Restrictions?
Key Takeaways
The Announcement
On Friday, October 7, 2022, the U.S. Bureau of Industry and Security (BIS) released for public inspection (available here) one hundred forty pages of regulations (which we’ll call “the Regulation” here). Nearly all of the changes in the Regulation restrict the export of semiconductors, as well as related technology, manufacturing equipment, software, and even U.S.-person support, to China.
Continue Reading China Semiconductor Export Regulations, Episode I – Counting Your Chips Carefully
** Update: Announcement has been moved to Friday October 7, 2022 at 9:30 AM Eastern Daylight Time **
On Thursday, the Biden administration will announce new restrictions preventing China from accessing advanced U.S. semiconductor technology.
Continue Reading Further Export Controls on Semiconductor Technology for China coming this Week