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U.S. Commerce adds Huawei affiliates to Entity List, and issues temporary general license

U.S. Commerce adds Huawei affiliates to Entity List

The Bureau of Industry and Security (BIS) of the U.S. Commerce Department today issued for publication in the Federal Register two final rules (1) identifying 46 additional Huawei Technologies Co., Ltd. affiliates that require inclusion on the “Entity List” and (2) extending a “temporary general license” authorizing specific, limited engagements in transactions involving the export, re-export, and transfer of items to Huawei and its non-U.S. affiliates that are subject to the Entity List.

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Related content

  • Read the BIS final rule [PDF 352 KB] on adding the 46 affiliates to the Entity List.

  • Read the BIS final rule [PDF 342 KB] on the temporary general license.


As noted in a related Commerce Department release, since May 2019, Commerce has added over 100 individuals or organizations to the Entity List in connection to Huawei. The new restrictions on these affiliates are effective today, August 19, 2019.

BIS today also announced that it will extend the “temporary general license” (TGL) authorizing specific, limited engagements in transactions involving the export, re-export, and transfer of items under the Export Administration Regulations (EAR) to Huawei and its non-U.S. affiliates that are subject to the Entity List. According to the Commerce Department release, the continuation of the TGL is intended to “afford consumers across America the necessary time to transition away from Huawei equipment, given the persistent national security and foreign policy threat.” This license will be effective on August 19, 2019, for a 90-day period. Outside of the scope of the TGL, any exports, re-exports, or in-country transfers of items subject to the EAR will continue to require a license granted after a review by BIS under a presumption of denial.


For more information on this topic or to learn more about KPMG’s Trade & Customs Services, contact:

Doug Zuvich
Partner and Global Practice Leader
T: 312-665-1022
E: dzuvich@kpmg.com

John L. McLoughlin
Principal and East Coast Leader
T: 267-256-2614
E: jlmcloughlin@kpmg.com

Andy Siciliano
Partner and National Practice Leader
T: 631-425-6057
E: asiciliano@kpmg.com

Steve Brotherton
Principal and Global Export and Sanctions Leader
T: 415-963-7861
E: sbrotherton@kpmg.com

Luis (Lou) Abad
Principal, Washington National Tax
T: 212-954-3094
E: labad@kpmg.com

Irina Vaysfeld
Principal
T: 212-872-2973
E: ivaysfeld@kpmg.com

Amie Ahanchian
Managing Director
T: 202-533-3247
E: aahanchian@kpmg.com

Robert Waldrop
Principal
T: 212-954-8117
E: rwaldrop@kpmg.com

Gisele Belotto
Managing Director
T: 305-913-2779
E: gbelotto@kpmg.com

Christopher Young
Principal
T: 312-665-3229
E: christopheryoung@kpmg.com

Andy Doornaert
Managing Director
T: 313-230-3080
E: adoornaert@kpmg.com

George Zaharatos
Principal
T: 404-222-3292
E: gzaharatos@kpmg.com

Jessica Libby
Managing Director
T: 612-305-5533
E: jlibby@kpmg.com

 

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