U.S. amendments to Export Administration Regulations, in response to Russia’s invasion of Ukraine

Final rules with amendments to the Export Administration Regulations (EAR)

In response to Russia’s invasion of Ukraine

The Bureau of Industry and Security (BIS) of the U.S. Commerce Department today released for publication in the Federal Register two final rules of amendments to the Export Administration Regulations (EAR) in response to Russia’s invasion of Ukraine.

Both final rules are effective today, June 2, 2022.

The first final rule [PDF 317 KB] (30 pages) amends the EAR by adding 71 entities under 71 entries to the entity list. The entities have been determined by the U.S. government to be acting contrary to the national security interests or foreign policy of the United States and will be listed on the entity list under the destinations of Belarus and Russia.

The second final rule [PDF 401 KB] (61 pages) makes the following changes:

  • The final rule makes certain revisions to the EAR’s military end-use and military end-user controls as they apply to Russia and Belarus, as well as related modifications to the entries for entities on the Entity List that are Russian and Belarusian military end-users.
  • It revises restrictions that apply to items destined for certain regions in Ukraine by clarifying the categories of license applications that BIS subjects to case-by-case review.
  • The rule clarifies and corrects provisions of the EAR that pertain to luxury goods destined for Russia and Belarus and items for use in Russia’s oil refinery sector.
  • It makes a technical correction to an EAR provision describing items and activities subject to the EAR by adding a cross-reference to the Foreign Direct Product Rules of the EAR, which were updated shortly before the Russia and Belarus export controls were imposed.
  • With regard to export control enforcement, including enforcement of the Russia and Belarus controls, this rule revises the EAR to allow export enforcement case charging letters to be made available to the public prior to the final administrative disposition of such cases.
     

For more information on sanctions and other responses to Russia’s war on Ukraine, visit KPMG’s dedicated website.

Contact a professional with KPMG’s Trade & Customs services:

Doug Zuvich
Partner and Global Practice Leader
E: dzuvich@kpmg.com

John L. McLoughlin
Principal and East Coast Leader
E: jlmcloughlin@kpmg.com

Andy Siciliano
Partner and National Practice Leader
E: asiciliano@kpmg.com

Steve Brotherton
Principal and Global Export and Sanctions Leader
E: sbrotherton@kpmg.com

Luis (Lou) Abad
Principal, Washington National Tax
E: labad@kpmg.com

Irina Vaysfeld
Principal
E: ivaysfeld@kpmg.com

Amie Ahanchian
Principal
E: aahanchian@kpmg.com

Christopher Young
Principal
E: christopheryoung@kpmg.com

Gisele Belotto
Principal
E: gbelotto@kpmg.com

George Zaharatos
Principal
E: gzaharatos@kpmg.com

Andy Doornaert
Managing Director
E: adoornaert@kpmg.com

Jessica Libby
Principal
E: jlibby@kpmg.com

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