Designated entities consist of mainly companies and research institutions (including universities like Harbin Institute of Technology) involved in military technology, 5G, AI and other advanced technologies.. The Entity List (Supplement No. Share sensitive information only on official, secure websites.. US – BIS adds Chinese multinationals to the Entity List and publishes FAQs about the Huawei FPDP rule. We must amend our rules exploited by Huawei and HiSilicon and prevent U.S. technologies from enabling malign activities contrary to U.S. national security and foreign policy interests.”. Addition of Entities to the Entity List. BIS designated Huawei and its affiliates on the Entity List in May 2019. Currently, only Huawei and its named affiliates are included in FN1 (FN1 Entity) and are subject to the restrictions based upon the expanded jurisdictional scope of the EAR set out in this new rule. Official websites use .gov "A 'fully operational network' refers to a 'third party' network providing services to the 'third party's' customers. Reg. BIS took three actions in the August 17 Huawei Rule: (1) adding 38 Huawei entities to the Entity List; (2) replacing the Huawei TGL with a narrow, permanent authorization; and (3) expanding the Huawei-specific DPR. 10 Huawei Temporary General License Extension Frequently Asked Questions (FAQs) (May 18, 2020), available here. An official website of the United States government. On August 17, BIS added 38 non-US affiliates of Huawei to the Entity List, stating that the affiliates have been determined to "present a significant risk of acting on Huawei's behalf to engage in activities determined to be contrary to the national security or foreign policy interests of the United States." ) or https:// means you’ve safely connected to the .gov website. Soon after the executive order - "Securing the Information and Communications Technology and Services Supply Chain" - was signed, the Bureau of Industry and Security (BIS) of the Department of Commerce announced that it will be adding Huawei Technologies Co. Ltd and its affiliates to its Entity List. In May of 2019, the US Department of Commerce’s Bureau of Industry and Security (“BIS”) added Chinese telecommunications giant Huawei Technologies Co. Ltd. (“Huawei”) and sixty-eight of its affiliated companies to BIS’s Entity List. Download (pdf, 311 KB) 84 FR 22961 Huawei and Affiliates Entity List rule_effective 5-16-19_published in FR 5-21-19.pdf This designation means that licenses are required for all exports and re-exports to Huawei of U.S.-origin goods, including “EAR99” items that are not identified on the Commerce Department’s … BIS first published the Entity List in February 1997 as part of its efforts to inform the public of entities who have engaged in activities that could result in an increased risk of the diversion of exported, reexported and transferred (in … BIS also extended the temporary general license (TGL) that authorizes certain activities subject to the EAR involving Huawei and its affiliates through August 13, 2020. Moreover, license exceptions otherwise available under the EAR are suspended with respect to Huawei and BIS "4 The Commerce press release further noted that the clarification of Entity List requirements announced in the August 17 Entity List Rule also target Huawei "when any of the Huawei entities on the Entity List are a party to the transaction, such as by acting as purchaser, intermediate consignee, ultimate consignee, or end user. This final rule also adds the following sixty-eight non-U.S. affiliates of the entry above to the Entity List: Belgium (1) Huawei Technologies Research & Development Belgium NV, Belgium. BIS repeatedly extended the TGL until August 13, 2020.10, In issuing the August 17 Huawei Rule, BIS determined that the previous authorizations for transactions related to "continued operation of existing networks and equipment" and "support to existing 'personal consumer electronic devices' and 'Customer Premises Equipment'" no longer warrant being included in the EAR and should be allowed to expire. On August 17, 2020, the US Commerce Department's Bureau of Industry and Security (BIS) issued two final rules that expand the scope of licensing requirements for transactions involving parties on the Entity List. Amendments to the Direct Product Rule. What is the “Entity List”? The license is intended to allow Huawei … On May 16, 2019, the US Commerce Department’s Bureau of Industry and Security (BIS… The term 'third party' refers to a party that is not Huawei, one of its listed non-US affiliates, or the exporter, reexporter, or transferor, but rather an organization such as a telecommunications service provider." 36719 (June 18, 2020), available here. Huawei was added to the BIS Entity List in May 2019. Companies engaging in export, reexport, or transfer transactions involving Huawei or its non-US affiliates listed on the Entity List, as well as to other entities on the Entity List, should closely study the changes made by the August 17 rules and should monitor BIS' implementation of these new rules. On August 19, 2020, BIS added an additional 46 non-US affiliates. 16 Id. BIS addresses the question of authorization for participation in standards organizations via a June 18, 2020 interim final rule.11. ", Produced or developed by a Footnote 1 entity and was the direct product of technology or software subject to the EAR and classified under the ECCNs listed above; or was. 11 Release of "Technology" to Certain Entities on the Entity List in the Context of Standards Organizations, 85 Fed. Entities on the Entity List. Please see our prior blog post on that development here. I In August 2019, an additional 46 non-U.S. affiliates of Huawei were designated on the Entity List. This savings clause does not apply to items that were not so "en route" on August 17, 2020. These affiliates newly added to the Entity List are located in the following 25 … BIS has now issued a final rule that also applies this control to transactions where (1) U.S. software or technology is the basis for a foreign-produced item that will be incorporated into, or will be used in the production or development of, any part, component, or equipment produced, purchased, or ordered by any Huawei entity on the Entity List; or (2) any Huawei entity on the Entity List … The 38 newly added entities are subject to the same license requirements applicable to Huawei, for all items subject to the EAR. 8 See Footnote 2 to Supplement 4 of 15 C.F.R. As with the Huawei entities added to the Entity List effective May 16, 2019, BIS imposes for each of the entities added in this final rule a license requirement for all items subject to the EAR, unless the transaction is authorized by the Savings Clause in this final rule, and a license review policy of a presumption of denial. This announcement cuts off Huawei’s efforts to undermine U.S. export controls. Upon its effective date, the new Rule revises the U.S. BIS Entity List to authorize the release of information designated as EAR99 or controlled on the CCL for Anti-Terrorism reasons only, without a license, to Huawei and its foreign affiliates, and potentially to additional companies listed on the U.S. The Bureau of Industry and Security (BIS) of the U.S. Department of Commerce has added Huawei Technologies Co. Ltd. and its affiliates to the Bureau’s Entity List, a move Washington warned was coming on Wednesday. This rule by BIS amends the Export Administration Regulations (EAR) by adding Huawei Technologies Co., LTD and its affiliates to the “Entity List”. If the detailed scenarios apply, exports to Huawei by companies in Europe and Asia are subject to license requirements. Secure .gov websites use HTTPS BIS designated Huawei and its affiliates on the Entity List in May 2019. 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