Alert

Commerce Department to Impose Export Ban on Eight Chinese Tech Companies

October 8, 2019

As tensions continue to mount between the United States and China, the Commerce Department’s Bureau of Industry and Security (BIS) is set to add eight Chinese tech companies in the video surveillance, facial/voice recognition, cybersecurity, and artificial intelligence/machine learning sectors to its Entity List tomorrow, effectively banning these companies from receiving U.S. products and technology without a license.

The soon-to-be listed Chinese companies are as follows:

  • Dahua Technology
  • Hikvision
  • IFLYTEK
  • Megvii Technology
  • Sense Time
  • Xiamen Meiya Pico Information Co. Ltd.
  • Yitu Technologies
  • Yixin Science and Technology Co. Ltd.

Similar to the restrictions imposed on Huawei and a number of its affiliates starting in May of this year, a license now will be required to export all items subject to the Export Administration Regulations (EAR)—including commercial U.S. hardware, software, and technology—to these companies. Most license applications will be subject to a presumption of denial, except those involving certain biological/radioactive/chemical/explosive detection, monitoring, and protective items, which will be subject to a case-by-case review policy.

Additionally, the Xinjiang Uighur Autonomous Region (XUAR) People’s Government Public Security Bureau, 18 of its subordinate municipal and county public security bureaus, and another subordinate institute will be added to the Entity List for what the BIS notice describes as “human rights violations and abuses in the implementation of China’s campaign of repression, mass arbitrary detention, and high-technology surveillance” against minority groups in the XUAR. The same restrictions described above will apply to these government entities.

BIS’s latest move comes just ahead of a planned meeting between U.S. and Chinese officials to attempt to resolve the ongoing trade war between the countries. Should you have any questions about the new export restrictions, please do not hesitate to contact one of the attorneys listed on this alert.

Read Time: 2 min
Jump to top of page

Wiley Rein LLP Cookie Preference Center

Your Privacy

When you visit our website, we use cookies on your browser to collect information. The information collected might relate to you, your preferences, or your device, and is mostly used to make the site work as you expect it to and to provide a more personalized web experience. For more information about how we use Cookies, please see our Privacy Policy.

Strictly Necessary Cookies

Always Active

Necessary cookies enable core functionality such as security, network management, and accessibility. These cookies may only be disabled by changing your browser settings, but this may affect how the website functions.

Functional Cookies

Always Active

Some functions of the site require remembering user choices, for example your cookie preference, or keyword search highlighting. These do not store any personal information.

Form Submissions

Always Active

When submitting your data, for example on a contact form or event registration, a cookie might be used to monitor the state of your submission across pages.

Performance Cookies

Performance cookies help us improve our website by collecting and reporting information on its usage. We access and process information from these cookies at an aggregate level.

Powered by Firmseek