US Export Advisory: Increased controls imposed on US exports to Russia

The US Department of Commerce and the Bureau of Industry and Security have increased their sanctions on both Russia and Belarus in response to the ongoing situation in Ukraine. The new export controls will include additional sanctions against the Russian industry sector to cover lower-level goods which could potentially be used in chemical and biological weapon production as well as items which could contribute to any advanced development and production capabilities which may be used towards production across various banned categories.

The latest rule will also subject Belarus to all new sanctions that apply to Russia in the current situation.

Further controls have been placed on the ‘military end-user’ and the ‘military intelligence end-user’ in relation to Russian/Belarussian Military End-User Foreign Direct Product (FDP) rules imposed on the six existing entities that have continued supply to Russian entities or have been under sanction since the invasion. This role also further clarifies any requirements which relate to Burma, Cambodia, China and Venezuela.

The new regulations include a further 12 corrections and clarifications to existing controls on Russia and Belarus by adding dollar value exclusion thresholds on ‘luxury goods’, as well as expanding the scope of licence exception Consumer Communications Devices (CCD) to make it applicable to transactions otherwise prohibited by the ‘luxury goods rule’.

We will keep you up to date with all additional relevant sanctions on exports to Russia and Belarus.

If you have any questions about your North American shipments please contact our team here.