United States of America: Implemented Rule amending the Export Administration Regulations by updating the Entity List with 37 new companies and outlining licensing requirements

On 2 March 2023, the Bureau of Industry and Security (BIS) of the US Department of Commerce issued a rule amending the "Export Administration Regulations" (EAR) by adding 37 companies to the "Entity List" imposing export restrictions and additional licensing requirements for companies that carry out activities considered contrary to US national security and foreign policy interest. Notably, the Entity List adds seven Chinese technological companies, including Inspur Group, which provides cloud computing and big data services, Loongson Technology which manufactures and distributes chips, 4Paradigm Technology which provides artificial intelligence technology and services, National Research Center for Parallel Computer Engineering and Technology, Qingdao National Laboratory of Marine Science and Technology, and Wuxi Institute of Advanced Technology. The BIS has determined that these companies have acquired or are attempting to acquire US-origin items in support of China's military modernisation efforts and, therefore, will be required to apply for a license for items subject to the EAR, which will be reviewed under a presumption of denial. They are also given a footnote 4 designation, which means that "items subject to the EAR" for the purpose of these license requirements include foreign-produced items that are subject to the EAR.