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ARTICLE · 16 JUNE 2020

U.S. Increases Restrictions On Transactions With China

Masuda, Funai, Eifert & Mitchell, Ltd.
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The lockdown of several economies in order to slow the spread of COVID-19 has distracted many from recent changes in U.S. export control law affecting transactions with China.

United StatesInternational Law

The lockdown of several economies in order to slow the spread of COVID-19 has distracted many from recent changes in U.S. export control law affecting transactions with China. While the U.S. has waived import tariffs on certain medical supplies from China, U.S. import tariffs on many classes of Chinese goods remain in place. In addition, the Bureau of Industry and Security (“BIS”) of the U.S. Commerce Department has recently concluded that:

  1. China is implementing “civil-military integration strategies to obscure” the civil or military identity of importers of foreign technology goods; and
  2. It has evidence that restricted technology goods had been diverted to military uses in China and certain other countries.

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