The Export Administration Regulations (EAR) were updated in the Federal Register to reflect license exceptions for Hong Kong that are no longer available for exports, reexports and transfers within. No changes were made to the Commerce Control Categories or Country Chart.
Where can I find this change in the EAR?
Part 740.2 of the EAR was revised by adding a new paragraph (a) (23) as follows:
(23) The item is subject to the EAR and is for export to Hong Kong, reexport to Hong Kong or transfer (in-country) within Hong Kong under License Exceptions LVS—Shipments of Limited Value (§ 740.3); GBS—Shipments to Group B Countries (§ 740.4); TSR— Technology and Software under Restriction (§ 740.6); APP—Computers, Tier 1 only (§ 740.7(c)); TMP Temporary Imports, Exports, Reexports, and Transfers (in-country)—(§ 740.9(a)(11) and (b)(2)(ii)(C) and (b)(5) only); RPL— Servicing and Replacement Parts and Equipment (§ 740.10(a)(3)(viii), (a)(4), (b)(1) except as permitted to Country Group D:5, and (b)(3)(i)(F) and (ii)(C) only); GOV—Cooperating Governments only (§ 740.11(c)(1)); GFT—Gift Parcels (except as permitted by § 740.12(a)(3)); TSU Technology and Software Unrestricted—only § 740.13(f); BAG— Baggage (except as permitted by § 740.14(d)); AVS Aircraft, Vessels, and Spacecraft—(§ 740.15(b)(1), (b)(2), (c), and (f) only); APR—Additional Permissive Reexports (§ 740.16(a) and (j)); and STA—Strategic Trade Authorization (§ 740.20). Reexports of items subject to the EAR from Hong Kong under License Exception APR § 740.16(a) are also restricted.
If you have any questions about these changes and how they may affect your business, please reach out to Mohawk Global Trade Advisors.