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July 21, 2016

BIS Revises 3 ECCNs Related to Chemicals, Viruses, and Biological Materials

The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) issued a final rule amending the Export Administration Regulations (EAR) to implement recent intersessional decisions and understandings reached by the Australia Group (AG).[1] The final rule amended three ECCNs: 1C350, 1C351, and 2B352. In addition, BIS amended the EAR and Chemical Weapons Convention Regulations (CWCR) to add Angola and Burma as States Parties to the Chemical Weapons Convention (CWC).[2] Below we describe these changes in more detail.

ECCN 1C350
The final rule amended ECCN 1C350 by:

ECCN 1C351
The final rule amended ECCN 1C351 by:

ECCN 2B352
The final rule amended ECCN 2B352 by:

Angola and Burma
Lastly, the final rule amended Supplement No. 2 to part 745 of the EAR (States Parties to the CWC) and Supplement No. 1 to part 710 of the CWCR (States Parties to the CWC) to add Angola and Burma as States Parties.

The changes described in this final rule are not dramatic, but could be considered slight modifications that have a narrow impact on companies engaging in transactions or activities involving the specified chemicals or equipment referenced above.

[1] The AG is a multilateral export control regime consisting of 41 participating countries that maintain export controls on a list of chemicals, biological agents, and related equipment and technology that could be used in a chemical or biological weapons program.
[2] The CWC is essentially a multilateral arms control and nonproliferation treaty that prohibits the use, development, production, stockpiling, or transferal of chemical weapons. States Parties to the CWC agree to destroy any stockpiles of chemical weapons and to create a verification regime for certain toxic chemicals and their precursors to ensure that such chemicals are not used for prohibited purposes. U.S. companies that engage in activities involving chemicals listed in the Annex on Chemicals to the CWC may be required to, among other things, submit declarations and/or reports to BIS.
[3] Prior to the rule’s publication, these viruses were controlled under ECCN 1C351.b, which controls viruses identified on the “select agents” lists (maintained by APHIS and the CDC), but not identified on the AG “List of Human and Animal Pathogens and Toxins for Export Control.”