LinkedInFacebookInstagramXYouTube
305-456-3830|info@diaztradelaw.com

bis

Call 305-456-3830 or email info@diaztradelaw.com.

2025 and Beyond: BIS Updates Boycott Requester List

On April 3, 2025, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) published an updated list of foreign companies that have made boycott-related requests, including requests to comply with the Arab League boycott of Israel. In addition to removing 18 entities who have certified that they have ceased making such prohibited requests, BIS added 30 parties to its list (outlined below). Majority of the newly listed entities are domiciled in Malaysia, which aligns with the country’s foreign policy position that it refuses diplomatic and economic relations with Israel. While companies generally want to comply with the laws of every jurisdiction in which they operate, it is important to understand the risks of non-compliance with OAC rules.  

As recommended by BIS, U.S. companies are encouraged to diligently review transaction documents from all sources, especially those involving these listed parties, to identify possible boycott-related language and to determine whether their recipients have a reporting requirement to BIS.   

If you are unsure whether the language of your contracts must be reported to the OAC or concerned about doing business in jurisdictions where listed entities have been identified, contact Diaz Trade Law today at info@diaztradelaw.com or 305-456-3830.  

Want more information on OAC compliance? Read more here. 

By |2026-03-27T15:41:10-04:00March 7, 2026|U.S. Bureau of Industry and Security (BIS)|0 Comments
Read More

BIS Initiates 232 Investigations of Pharmaceuticals and Semiconductors

The U.S. Department of Commerce Bureau of Industry and Security (BIS) announced the initiation of investigations into the effects on U.S. national security of imports of pharmaceuticals and pharmaceutical ingredients and imports of semiconductors and semiconductor manufacturing equipment.

The basis of the investigations is Section 232 of the Trade Expansion Act of 1962. Under Section 232, the president can restrict imports of products that are found to threaten to impair national security.

On April 16, BIS published two federal register notices (pharmaceuticals, semiconductors) seeking public comment. Comments are due May 7, 2025.

Pharmaceuticals and Pharmaceutical Ingredients

The scope of the pharmaceutical investigation covers pharmaceuticals and pharmaceutical ingredients, including:

  • Finished drug products
  • Medical countermeasures
  • Critical inputs such as active pharmaceutical ingredients
  • Key starting materials, and derivative products of those items

Among other information, BIS is particularly interested in comments that address:

  • Demand for pharmaceuticals and pharmaceutical ingredients in the United States
  • The extent to which domestic production of pharmaceuticals and pharmaceutical ingredients can meet domestic demand
  • The role of foreign supply chains, particularly of major exporters, in meeting United States demand for pharmaceuticals and pharmaceutical ingredients
  • The impact of foreign government subsidies and predatory trade practices on United States pharmaceuticals industry competitiveness
  • Whether additional measures, including tariffs or quotas, are necessary to protect national security

Interested parties may submit a comment in this proceeding on or before May 7, 2025 at Regulations.gov using ID BIS-2025-0022.

Semiconductors and Semiconductor Manufacturing Equipment

The scope of the semiconductor investigation covers semiconductors, semiconductor manufacturing equipment, and their derivative products, […]

By |2025-04-17T16:35:06-04:00April 17, 2025|Investigation, tariffs, U.S. Department of Commerce|0 Comments
Read More

Reporting, Requestor List, Penalties: Antiboycott Laws Explained

The United States enforces antiboycott laws designed to address foreign government’s economic boycotts of countries friendly to the U.S. Antiboycott laws have been on the books since the 1970s and are primarily enforced by the U.S. Department of Commerce’s Bureau of Industry and Security.

What Are the U.S. Antiboycott Laws?

“Anti-boycott” refers to U.S. laws and regulations that discourage and, in certain cases, prohibit U.S. persons from participating in unsanctioned foreign boycotts, particularly those targeting countries friendly to the United States.

BIS is charged with administering and enforcing this policy under the Anti-Boycott Act of 2018, the Export Control Reform Act of 2018, and the Export Administration Regulations.

The antiboycott laws aim to prevent U.S. persons from advancing foreign policies of other nations that run counter to U.S. policy.

Prohibited Antiboycott Activities Under the EAR

Part 760 of the EAR specifies prohibited antiboycott activities including:

  • Refusals or agreements to refuse to do business with or in a boycotted country or with blacklisted companies.
  • Discrimination or agreements to discriminate against a U.S. person based on race, religion, sex, or national origin.
  • Furnishing information or agreements to furnish information about business relationships with or in a boycotted country or with blacklisted companies.
  • Furnishing information or agreements to furnish information about the race, religion, sex, or national origin of a U.S. person.
  • Implementation of letters of credit containing prohibited boycott terms or conditions.
  • Taking actions with the intent to evade Part 760 of the EAR.

Required Reporting        

Section 760.5 of the EAR requires […]

By |2025-04-07T18:45:32-04:00April 7, 2025|EAR, Export, U.S. Bureau of Industry and Security (BIS)|0 Comments
Read More

Importing Drones into the U.S.: Key CBP Requirements You Need to Know

Authors:
Jennifer Diaz, President, Diaz Trade Law
Jonathan Rupprecht, Aviation Attorney at Rupprecht Law

Importing goods into the U.S. requires navigating a web of regulations that spans 47 federal agencies. If you are the importer of record, it is your duty to exercise “reasonable care” in meeting these obligations. As part of this duty, importers must take adequate steps to properly classify and determine the value of imported goods, provide information to CBP in properly assessing duties, and determine whether other applicable legal standards and requirements have been met.

When importing drones into the U.S., importers need to be mindful of several requirements including classification, intellectual property, additional duties, and a changing U.S. trade policy.

Classification

When importing goods into the United States, importers must correctly classify their products. The Harmonized Tariff Schedule of the United States (HTSUS) is the primary resource for classifying goods and determining which tariffs apply.

The HTSUS is issued annually by the International Trade Commission (ITC). It is comprised of a 10-digit import classification system that is specific to the United States. This 10-digit code encompasses the World Customs Organization’s (WCO) six-digit uniform classification system shared among more than 200 countries.

An HTSUS is formatted to list the first 6-digits set forth by the WCO, also known as a heading and subheading and the last four digits assigned by the ITC that are specific to the U.S.

Prior to 2022, the HTSUS has lacked classifications specific to Unmanned Aircraft System (UAS). Importers had to classify under codes applicable to crewed aircraft […]

By |2025-02-28T07:10:28-05:00February 28, 2025|Import, Intellectual Property Rights, Reasonable Care, Technology|0 Comments
Read More

BIS Releases New Edition of “Don’t Let This Happen to You”

The Department of Commerce’s Bureau of Industry and Security (BIS) published an updated version of Don’t Let This Happen to You!, a list of case examples highlighting BIS enforcement efforts including criminal cases.

Case highlights:

The publication highlights over 100 cases covering various violations of export control laws.

Military Controls

The owner of BQ Tree Consulting in Jacksonville, Florida, along with the President and Manager of the company were indicted for conspiring to illegally export military-grade combat rubber raiding craft (CCRC) to China.

The scheme involved providing a U.S. company with false end-use and end-user information for a front company in Hong Kong, which was used to complete the transaction ultimately destined for China. The intention was to reverse engineer the CRRC and engines to mass produce them for the Chinese People’s Liberation Army (PLA) Navy.

The company owner was sentenced to 16 months in prison, two years of supervised release, mandatory mental health screening, and a $200 special assessment. The company President was sentenced to 42 months confinement, three years of probation, a $50,000 criminal fine, and a $200 special assessment. The company manager was sentenced to 17 months in prison, one year of supervised release pending deportation, a prohibition on employment with any company that deals with the military, and a $100 special assessment.

National Security Controls

GlobalFoundries U.S. Inc., a semiconductor wafer manufacturing company headquartered in Malta New York violated the Export Administration Regulations (EAR) by sending 74 shipments of semiconductor wafers, valued at approximately $17.1 million, to SJ Semiconductor (SJS), a company […]

By |2024-11-22T07:13:34-05:00November 22, 2024|EAR, Export, U.S. Department of Commerce|0 Comments
Read More
This website uses cookies and third party services. By continuing to use our website, you agree to the Privacy Policy. OK
Skip to content
Go to Top