Enforcement Actions Expected To Continue During A U.S. Government Shutdown, While Export Industry Will Incur Licensing Delays

After successfully forestalling a potential U.S. government shutdown earlier this year, the threat once again looms if the U.S. Congress fails to reach an agreement on spending bills for the next fiscal year. In such an event, hundreds of government agencies will suspend normal operations on November 18, forcing non-essential federal workers into furlough and disrupting services critical to U.S. trade activities. Companies should expect licensing processing and reviews to be significantly delayed, if not brought to a complete standstill. Meanwhile, investigative activity and enforcement actions related to U.S. national security will continue as agencies and federal workers deemed "essential" will continue to conduct such operations.