Rule2024-14635
Addition of Entities and Revision of Entries on the Entity List
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
July 3, 2024
Effective
July 3, 2024
Issuing agencies
Commerce DepartmentIndustry and Security Bureau
Abstract
In this rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) by adding six entries to the Entity List, under the destinations of the People's Republic of China (China) (2), South Africa (1), the United Arab Emirates (UAE) (2), and the United Kingdom (1). These entities have been determined by the U.S. Government to be acting contrary to the national security or foreign policy interests of the United States. This rule also modifies two existing entities on the Entity List, one under the destination of China and one under the destination of Russia.
Full Text
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<title>Federal Register, Volume 89 Issue 128 (Wednesday, July 3, 2024)</title>
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[Federal Register Volume 89, Number 128 (Wednesday, July 3, 2024)]
[Rules and Regulations]
[Pages 55033-55036]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-14635]
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Part 744
[Docket No. 240621-0171]
RIN 0694-AJ66
Addition of Entities and Revision of Entries on the Entity List
AGENCY: Bureau of Industry and Security, Department of Commerce.
ACTION: Final rule.
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SUMMARY: In this rule, the Bureau of Industry and Security (BIS) amends
the Export Administration Regulations (EAR) by adding six entries to
the Entity List, under the destinations of the People's Republic of
China (China) (2), South Africa (1), the United Arab Emirates (UAE)
(2), and the United Kingdom (1). These entities have been determined by
the U.S. Government to be acting contrary to the national security or
foreign policy interests of the United States. This rule also modifies
two existing entities on the Entity List, one under the destination of
China and one under the destination of Russia.
DATES: This rule is effective July 3, 2024.
FOR FURTHER INFORMATION CONTACT: 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: <a href="/cdn-cgi/l/email-protection#93d6c1d0d3f1fae0bdf7fcf0bdf4fce5"><span class="__cf_email__" data-cfemail="dc998e9f9cbeb5aff2b8b3bff2bbb3aa">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
Background
The Entity List
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 Sec. 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 Federal Register document that
[[Page 55034]]
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.
Entity List Decisions
Additions to the Entity List
The ERC determined to add Global Training Solutions Limited and
Smartech Future Limited, both under the destination of China, Grace Air
(Pty) Ltd. under the destination of South Africa, and Livingston
Aerospace Ltd., under the destination of the United Kingdom, to the
Entity List. These entities are listed because of their links to the
Test Flying Academy of South Africa (TFASA) and the training of China's
military forces using Western and North Atlantic Treaty Organization
(NATO) sources. TFASA was added to the Entity List on June 12, 2023 (88
FR 38739, June 14, 2023). This activity is contrary to the national
security and foreign policy interests of the United States under Sec.
744.11 of the EAR.
The ERC determined to add two entities, Mega Fast Cargo LLC, and
Mega Technique General Trading, both under the destination of the UAE,
to the Entity List. These additions are being made because these
entities repeatedly engaged in dilatory or evasive conduct, including
the provision of false, misleading, or incomplete information, during
end-use checks. In addition, Mega Fast Cargo LLC has engaged in
shipments of U.S.-origin commodities to Russia since Russia's further
invasion of Ukraine in February 2022. This activity is contrary to U.S.
national security and foreign policy interests under Sec. 744.11 of
the EAR.
For these six entities, BIS imposes a license requirement for all
items subject to the EAR and will review license applications under a
presumption of denial. For the reasons described above, this final rule
adds the following six entities, including aliases where appropriate,
to the Entity List:
China
<bullet> Global Training Solutions Limited; and
<bullet> Smartech Future Limited.
South Africa
<bullet> Grace Air (Pty) Ltd.
United Arab Emirates
<bullet> Mega Fast Cargo LLC; and
<bullet> Mega Technique General Trading.
United Kingdom
<bullet> Livingston Aerospace Ltd.
Modifications to the Entity List
This final rule implements the decision of the ERC to modify two
existing entries on the Entity List. Specifically, the ERC determined
to add three aliases to the entity Tenco Technology Company Ltd., under
the destination of China, for a total of seven aliases. In addition,
the ERC determined to revise the entry for Systems of Biological
Synthesis LLC, under the destination of Russia, by adding one address
for a total of two addresses.
Savings Clause
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 result of this
regulatory action that were en route aboard a carrier to a port of
export, reexport, or transfer (in-country), on July 3, 2024, pursuant
to actual orders for export, reexport, or transfer (in-country) to or
within a foreign destination, may proceed to that destination under the
previous eligibility for a License Exception or export, reexport, or
transfer (in-country) without a license (NLR) before August 2, 2024.
Any such items not actually exported, reexported or transferred (in-
country) before midnight, on August 2, 2024, require a license in
accordance with this final rule.
Export Control Reform Act of 2018
On August 13, 2018, the President signed into law the John S.
McCain National Defense Authorization Act for Fiscal Year 2019, which
included the Export Control Reform Act of 2018 (ECRA) (50 U.S.C. 4801-
4852). ECRA provides the legal basis for BIS's principal authorities
and serves as the authority under which BIS issues this rule.
Rulemaking Requirements
1. This rule has been determined to be not significant for purposes
of Executive Order 12866.
2. Notwithstanding any other provision of law, no person is
required to respond to or be subject to a penalty for failure to comply
with a collection of information, subject to the requirements of the
Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA), unless
that collection of information displays a currently valid Office of
Management and Budget (OMB) Control Number. This regulation involves an
information collection approved by OMB under control number 0694-0088,
Simplified Network Application Processing System. BIS does not
anticipate a change to the burden hours associated with this collection
as a result of this rule. Information regarding the collection,
including all supporting materials, can be accessed at <a href="https://www.reginfo.gov/public/do/PRAMain">https://www.reginfo.gov/public/do/PRAMain</a>.
3. This rule does not contain policies with federalism implications
as that term is defined in Executive Order 13132.
4. Pursuant to section 1762 of the Export Control Reform Act of
2018, this action is exempt from the Administrative Procedure Act (5
U.S.C. 553) requirements for notice of proposed rulemaking, opportunity
for public participation, and delay in effective date.
5. Because a notice of proposed rulemaking and an opportunity for
public comment are not required to be given for this rule by 5 U.S.C.
553, or by any other law, the analytical requirements of the Regulatory
Flexibility Act, 5 U.S.C. 601, et seq., are not applicable.
Accordingly, no regulatory flexibility analysis is required, and none
has been prepared.
List of Subjects in 15 CFR Part 744
Administrative practice and procedure, Exports, Reporting and
recordkeeping requirements, Terrorism.
Accordingly, part 744 of the Export Administration Regulations (15
CFR parts 730 through 774) is amended as follows:
PART 744--CONTROL POLICY: END-USER AND END-USE BASED
0
1. The authority citation for part 744 continues to read as follows:
Authority: 50 U.S.C. 4801-4852; 50 U.S.C. 4601 et seq.; 50
U.S.C. 1701 et seq.; 22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR,
1978 Comp., p. 179; E.O. 12851, 58 FR 33181, 3 CFR, 1993 Comp., p.
608; E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 13026,
61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13099, 63 FR 45167, 3
CFR, 1998 Comp., p. 208; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp.,
p.
[[Page 55035]]
783; E.O. 13224, 66 FR 49079, 3 CFR, 2001 Comp., p. 786; Notice of
September 7, 2023, 88 FR 62439 (September 11, 2023); Notice of
November 1, 2023, 88 FR 75475 (November 3, 2023).
0
2. Supplement no. 4 is amended by:
0
a. Under CHINA, PEOPLE'S REPUBLIC OF:
0
i. Adding, in alphabetical order, entries for ``Global Training
Solutions Limited'' and ``Smartech Future Limited;'' and
0
ii. Revising the entry for ``Tenco Technology Company Ltd.;''
0
b. Under RUSSIA, revising the entry for ``Systems of Biological
Synthesis LLC;''
0
c. Under SOUTH AFRICA, adding, in alphabetical order, an entry for
``Grace Air (Pty) Ltd;''
0
d. Under UNITED ARAB EMIRATES, adding, in alphabetical order, entries
for ``Mega Fast Cargo LLC'' and ``Mega Technique General Trading;'' and
0
e. Under UNITED KINGDOM, adding, in alphabetical order, an entry for
``Livingston Aerospace Ltd.''
The revision and additions read as follows:
Supplement No. 4 to Part 744--Entity List
* * * * *
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License Federal Register
Country Entity requirement License review policy citation
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* * * * * * *
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CHINA, PEOPLE'S * * * * * *
REPUBLIC OF.
Global Training Solutions For all items Presumption of denial.. 89 FR [INSERT FR
Limited, 8 Ng Fong Street, subject to the PAGE NUMBER] 7/
11/F Lee Ka Industrial EAR. (See Sec. 3/2024.
Building, Room 32, San Po 744.11 of the
Kong, Kowloon, Hong Kong. EAR).
* * * * * *
Smartech Future Limited, For all items Presumption of denial.. 89 FR [INSERT FR
a.k.a., the following one subject to the PAGE NUMBER] 7/
alias: EAR. (See Sec. 3/2024.
--Balloons SMT. 744.11 of the
29 Luk Hop Street, Wang Fai EAR).
Industrial Building, 11/F,
Room 8, Hong Kong; and 253-
261 Hennessy Road, Easey
Commercial Building, Room
1502, Wan Chai, Hong Kong.
* * * * * *
Tenco Technology Company For all items Presumption of denial.. 84 FR 21236, 5/
Ltd., a.k.a., the subject to the 14/19. 85 FR
following seven aliases: EAR. (See Sec. 83769, 12/23/
--Redd Forest Technology 744.11 of the 20. 87 FR
Company Limited; EAR). 77508, 12/19/
--Shenzhen Shengfaweiye 22. 89 FR
Electronic Co., Ltd.; [INSERT FR PAGE
--Shenzhen Tenco Technology NUMBER] 7/3/
Co., Ltd.; 2024.
--Tenco International Co.,
Ltd.;
--Shenzhen Qianhai Yikeshu
Industrial Company
Limited;
--Shenzhen Yikeshu Shiye
You Xia; and
--Shenzhen Yikeshu Shiye
You Xian.
Jiahe Huaqiang Building,
Shennan Middle Road, Room
2709, Block A, Futian
District, Shenzhen,
Guangdong, 518007, China;
and Jiahe Building,
Shennan Mid Road, Room
2709, Block A, Futian
District, Shenzhen,
518000, China; and 56 Hoi
Yuen Road, Kwun Kowloon,
Room 311 3F Genplas
Industrial Building, Hong
Kong; and 8 Lam Lok
Street, Room 15, 6F
Corporation Square,
Kowloon Bay, Hong Kong;
and Longhua Street, Room
801, Number 15, Building
14, Xiayousong Village,
Longhua District,
Shenzhen, 518000, China
and No.1 Qianhaiwan 1
Road, Room 201 Block A,
Shenzhen, China.
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RUSSIA................ * * * * * *
Systems of Biological For all items Policy of denial....... 87 FR 34157, 6/6/
Synthesis LLC., a.k.a., subject to the 22. 89 FR
the following three EAR. (See Sec. [INSERT FR PAGE
aliases: 744.11 of the NUMBER] 7/3/
--Sistemy Biologicheskogo EAR). 2024.
Sinteza;
--OOO SBS; and
--SBS LLC.
Akademika Koroleva Street,
Building 13/1, Office 35-
39, Moscow, 129515, Russia
and Akademika Koroleva
Street, Building 13/1,
Floor 2, Offices 60-61,
Moscow, 129515, Russia.
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SOUTH AFRICA.......... * * * * * *
Grace Air (Pty) Ltd, Hangar For all items Presumption of denial.. 89 FR [INSERT FR
1, Anderson Street, subject to the PAGE NUMBER] 7/
Oudtshoorn Air Field, EAR. (See Sec. 3/2024.
Western Cape, Oudtshoorn, 744.11 of the
6620, South Africa and 477 EAR).
Witherite Road, Pretoria,
South Africa.
[[Page 55036]]
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UNITED ARAB EMIRATES.. * * * * * *
Mega Fast Cargo LLC, #405, For all items Presumption of denial.. 89 FR [INSERT FR
Floor 4, Nasseriya subject to the PAGE NUMBER] 7/
Building, 1st Industrial EAR. (See Sec. 3/2024.
Area, Al Qusais, Dubai, 744.11 of the
United Arab Emirates; and EAR).
Riqaa Al Buteen Plaza
Building, Dubai, United
Arab Emirates; and Al
Maktoum Rd., Dubai, United
Arab Emirates and P.O Box:
238930, Bin Al Fahed
Building, No. 3 Room 203,
2nd Floor, Industrial Area
1, Alqusais, Dubai, United
Arab Emirates.
Mega Technique General For all items Presumption of denial.. 89 FR [INSERT FR
Trading, P.O. Box 60049, subject to the PAGE NUMBER] 7/
Al Qusais, Nasseriya EAR. (See Sec. 3/2024.
Building, Dubai, United 744.11 of the
Arab Emirates. EAR).
* * * * * *
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UNITED KINGDOM........ * * * * * *
Livingston Aerospace Ltd., For all items Presumption of denial.. 89 FR [INSERT FR
Dock Cottage, Bullo Pill, subject to the PAGE NUMBER] 7/
Gloucestershire, GL14 1ED, EAR. (See Sec. 3/2024.
United Kingdom and 23 744.11 of the
Cleveland Road, Lytham, EAR).
Lytham St Annes,
Lancashire, FY8 5JH,
United Kingdom.
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* * * * *
Matthew S. Borman,
Principal Deputy Assistant Secretary for Export Administration.
[FR Doc. 2024-14635 Filed 7-2-24; 8:45 am]
BILLING CODE 3510-33-P
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