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Final Rule

Additions of Entities to the Entity List

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What is this Federal Register notice?

This is a final rule published in the Federal Register by Commerce Department, Industry and Security Bureau. Final rules have completed the public comment process and establish legally binding requirements.

Is this rule final?

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Who does this apply to?

Consult the full text of this document for specific applicability provisions. The affected parties depend on the regulatory scope defined within.

When does it take effect?

This document has been effective since May 9, 2024.

Why it matters: This final rule amends regulations in 15 CFR Part 744.

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Document Details

Document Number2024-10485
TypeFinal Rule
PublishedMay 14, 2024
Effective DateMay 9, 2024
RIN0694-AJ62
Docket IDDocket No. 240507-0130
Text FetchedYes

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Full Document Text (6,277 words · ~32 min read)

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<RULE> DEPARTMENT OF COMMERCE <SUBAGY>Bureau of Industry and Security</SUBAGY> <CFR>15 CFR Part 744</CFR> <DEPDOC>[Docket No. 240507-0130]</DEPDOC> <RIN>RIN 0694-AJ62</RIN> <SUBJECT>Additions of Entities to the Entity List</SUBJECT> <HD SOURCE="HED">AGENCY:</HD> Bureau of Industry and Security, Department of Commerce. <HD SOURCE="HED">ACTION:</HD> Final rule. <SUM> <HD SOURCE="HED">SUMMARY:</HD> In this final rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) by adding 37 entities under 37 entries to the Entity List. These entries are listed on the Entity List under the destinations of the People's Republic of China (China) and have been determined by the U.S. Government to be acting contrary to the national security or foreign policy interests of the United States. </SUM> <EFFDATE> <HD SOURCE="HED">DATES:</HD> This rule is effective May 9, 2024. </EFFDATE> <FURINF> <HD SOURCE="HED">FOR FURTHER INFORMATION CONTACT:</HD> Chair, End-User Review Committee, Office of the Assistant Secretary for Export Administration, Bureau of Industry and Security, Department of Commerce, Phone: (202) 482-5991, Email: <E T="03">ERC@bis.doc.gov.</E> </FURINF> <SUPLINF> <HD SOURCE="HED">SUPPLEMENTARY INFORMATION:</HD> <HD SOURCE="HD1">Background</HD> The Entity List (supplement no. 4 to part 744 of the EAR (15 CFR parts 730 through 774)) identifies entities for which there is reasonable cause to believe, based on specific and articulable facts, that the entities have been involved, are involved, or pose a significant risk of being or becoming involved in activities contrary to the national security or foreign policy interests of the United States, pursuant to § 744.11(b). The EAR impose additional license requirements on, and limit the availability of, most license exceptions for exports, reexports, and transfers (in-country) when a listed entity is a party to the transaction. The license review policy for each listed entity is identified in the “License Review Policy” column on the Entity List, and the impact on the availability of license exceptions is described in the relevant <E T="04">Federal Register</E> document that added the entity to the Entity List. BIS places entities on the Entity List pursuant to parts 744 (Control Policy: End-User and End-Use Based) and 746 (Embargoes and Other Special Controls) of the EAR. The End-User Review Committee (ERC), composed of representatives of the Departments of Commerce (Chair), State, Defense, Energy and, where appropriate, the Treasury, makes all decisions regarding additions to, removals from, or other modifications to the Entity List. The ERC makes all decisions to add an entry to the Entity List by majority vote and makes all decisions to remove or modify an entry by unanimous vote. <HD SOURCE="HD2">Additions to the Entity List</HD> The ERC determined to add Beijing BDStar Navigation Co., Ltd.; Beijing Ruidakang Technology Co., Ltd.; Beijing Tianhaida Technology Co., Ltd.; Chengdu Day Communication Technology Co., Ltd.; Hexin Xingtong Technology (Beijing) Co., Ltd.; Suzhou Telecom Electric Plant Co., Ltd.; TaiYuan EFT Equipment Manufacturing Co., Ltd.; and Xi'an Hengda Microwave Technology Development Co., Ltd., all under the destination of China, to the Entity List. These entities are being added for their support to the High Altitude Balloon that overflew the United States in February 2023. This activity is contrary to the national security and foreign policy interests of the United States under § 744.11 of the EAR. The ERC determined to add Beijing Leiki Defense Technology Co., Ltd.; GEOVIS Technology Co., Ltd.; and Zhongke Xingtu Space Technology Co., Ltd., all under the destination of China, to the Entity List for their connections to companies that support China's High Altitude Balloon program. This activity is contrary to the national security and foreign policy interests of the United States under § 744.11 of the EAR. The ERC determined to add AEE Shenzhen Yidian Aviation Technology Co., Ltd.; Beijing Zhongshang Dingsheng Mechanical and Electrical Equipment Co., Ltd.; Chengdu Zongheng Automation Technology Co., Ltd.; and Shenzhen Yidian Technology Co., Ltd., all under the destination of China, to the Entity List. These entities are added for acquiring and attempting to acquire U.S.-origin items, applicable to unmanned aerial vehicles, to be used by Chinese military entities. In addition, AEE Shenzhen Yidian Aviation Technology Co., Ltd., Beijing Zhongshang Dingsheng Mechanical and Electrical Equipment Co., Ltd., and Shenzhen Yidian Technology Co., Ltd. have been involved in the shipment of controlled items to Russia since Russia's invasion of Ukraine in February 2022. This activity is contrary to the national security and foreign policy interests of the United States under § 744.11 of the EAR. The ERC has determined to add Beijing Academy of Quantum Information Sciences; CETC Chip Technology Co., Ltd.; Ceyear Technologies Co., Ltd.; China Electronics Technology Group Corporation 16th Research Institute; China Electronics Technology Group Corporation 32nd Research Institute; China Electronics Technology Group Corporation 36th Research Institute; China Electronics Technology Group Corporation 41st Research Institute; China Electronics Technology Group Corporation 45th Research Institute; China Electronics Technology Group Corporation Electronic Equipment Group Co., Ltd.; Chinese Academy of Sciences, Center for Excellence in Quantum Information and Quantum Physics; Chinese Academy of Sciences, Institute of Physics; Chinese Academy of Sciences, Key Laboratory for Quantum Information; Chinese Academy of Sciences' Shanghai Institute of Microsystem and Information Technology; CSIC Pride (Nanjing) Cryogenic Technology Co., Ltd.; Hefei National Laboratory for Quantum Information Science; Jinan Institute of Quantum Technology; Origin Quantum Computing Technology (Hefei) Co., Ltd.; Quantum Science and Technology Yangtze River Delta Industrial Innovation Center; Shanghai Center for Quantum Science Research; Shenzhen Institute of Quantum Science and Engineering; United Microelectronics Center Co., Ltd.; and University of Science and Technology of China to the Entity List, all under the destination of China. These entities are added for acquiring and attempting to acquire U.S.-origin items in support of advancing China's quantum technology capabilities, which has serious ramifications for U.S. national security given the military applications of quantum technologies. Outside of advancing China's quantum technology capabilities, China Electronics Technology Group Corporation Electronic Equipment Group Co., Ltd. and the University of Science and Technology of China are also involved in advancing China's nuclear program development. In addition, CSIC Pride (Nanjing) Cryogenic Technology Co., Ltd.; China Electronics Technology Group Corporation 45th Research Institute; and Ceyear Technologies Co., Ltd. have been involved in the shipment of controlled items to Russia since Russia's invasion of Ukraine in February 2022. These activities are contrary to the national security and foreign policy interests of the United States under § 744.11 of the EAR. For the reasons described above, this final rule adds the following 37 entities under 37 entries to the Entity List and includes, where appropriate, aliases: <HD SOURCE="HD1">China</HD> • AEE Shenzhen Yidian Aviation Technology Co., Ltd., • Beijing Academy of Quantum Information Sciences, • Beijing BDStar Navigation Co., Ltd, • Beijing Leike Defense Technology Co., Ltd., • Beijing Ruidakang Technology Co., Ltd., • Beijing Tianhaida Technology Co., Ltd., • Beijing Zhongshang Dingsheng Mechanical and Electrical Equipment Co., Ltd., • CETC Chip Technology Co., Ltd., • Ceyear Technologies Co., Ltd., • Chengdu Day Communication Technology Co., Ltd., • Chengdu Zongheng Automation Technology Co., Ltd., • China Electronics Technology Group Corporation 16th Research Institute, • China Electronics Technology Group Corporation 32nd Research Institute, • China Electronics Technology Group Corporation 36th Research Institute, • China Electronics Technology Group Corporation 41st Research Institute, • China Electronics Technology Group Corporation 45th Research Institute, • China Electronics Technology Group Corporation Electronic Equipment Group Co., Ltd., • Chinese Academy of Science, Center for Excellence in Quantum Information and Quantum Physics, • Chinese Academy of Sciences, Institute of Physics, • Chinese Academy of Sciences, Key Laboratory for Quantum Information, • Chinese Academy of Sciences' Shanghai Institute of Microsystem and Information Technology, • CSIC Pride (Nanjing) Cryogenic Technology Co., Ltd., • GEOVIS Technology Co., Ltd., • Hefei National Laboratory for Quantum Information Science, • Hexin Xingtong Technology (Beijing) Co., Ltd., • Jinan Institute of Quantum Technology, • Origin Quantum Computing Technology (Hefei) Co., Ltd., • Quantum Science and Technology Yangtze River Delta Industrial Innovation Center, • Shanghai Center for Quantum Science Research, • Shenzhen Institute of Quantum Science and Engineering, • Shenzhen Yidian Technology Co., Ltd., • Suzhou Telecom Electric Plant Co., Ltd., • TaiYuan EFT Equipment Manufacturing Co., Ltd., • United Microelectronics Center Co., Ltd., • University of Science and Technology of China, • Xi'an Hengda Microwave Technology Development Co., Ltd., <E T="03">and</E> • Zhongke Xingtu Space Technology Co., Ltd. <HD SOURCE="HD2">Savings Clause</HD> For the changes being made in this final rule, shipments of items removed from eligibility for a License Exception or export, reexport, or transfer (in-country) without a license (NLR) as a transfer (in-country), on May 9, 2024, pursuant to actual or ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Preview showing 10k of 46k characters. 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