President Trump intends to nominate John Eisenberg to head the Justice Department's National Security Division. Eisenberg previously served as Legal Advisor to the National Security Council during President Trump’s first term, where he was also Assistant to the President and Deputy Counsel to the President for National Security Affairs. Brett Shumate is tapped as chief of the Civil Division, and Patrick Davis will head the Office of Legislative Affairs. In other national security news, the nomination of Kash Patel as FBI Director has been confirmed by the Senate. Republican Senators Susan Collins of Maine and Lisa Murkowski of Alaska, joined all Democrats in opposing Patel.
An Israeli national was sentenced Friday to 24 months in prison and three years of supervised release for conspiracy to illegally ship aircraft parts and avionics from U.S. manufacturers and suppliers to Russia, including for the benefit of sanctioned Russian airline companies. In addition, Gail Haimovich paid the full forfeiture amount of $2,024,435.44. Between approximately March 2022 and May 2023, Haimovich facilitated the export of aircraft parts and avionics, including those with missile technology applications, from the United States through the Southern District of Florida, to various third-party transhippers on behalf of Russian customers.
The Office of the United States Trade Representative is inviting comments from the public as part of its work pursuant to the America First Trade Policy Presidential Memorandum and the Reciprocal Trade and Tariffs Presidential Memorandum. These comments will assist the U.S. Trade Representative in reviewing and identifying any unfair trade or non-reciprocal foreign trade practices. The deadline for submission of comments is March 11, 2025.
Thursday, OFAC launched its new File Finder application for use on the OFAC website. The rowser-based application allows users to search through and efficiently navigate all of OFAC's website content.
The Senate Tuesday evening approved the nomination of financier Howard Lutnick as Commerce Secretary, putting in place a key proponent of President Trump’s trade policy. The nomination was approved by a mostly party line vote of 51 to 45.
The Emerging Technology Technical Advisory Committee (ETTAC) will meet on March 10, 2025, to advise and assist the Secretary of Commerce and other Federal officials on matters related to export control policies. The public session will include working group reports, open business discussions, and industry presentations. DATES: The meeting will be held on March 10, 2025, from 9 a.m. to 4 p.m., Eastern Time.
The Commerce Department has reportedly suspended processing applications for new export licenses with no communication to stakeholders. The pause has created confusion among users of the Simplified Network Application Process Redesign (SNAP-R) system, managed by the Bureau of Industry and Security (BIS) within the U.S. Department of Commerce. Department leadership is in flux, pending the installation of political appointees.
An American subsidiary of a Russian aircraft parts supplier, along with three of its current and former employees, have been charged federally with crimes related to a scheme to illegally export aircraft parts and components from the United States to Russia and Russian airline companies without the required licenses from the Department of Commerce. Flighttime Enterprises, Inc. and the individual defendants evaded the export restrictions imposed on Russia to ship aviation parts to Russia and Russian end users, including airlines subject to Department of Commerce Temporary Denial Orders, by mislabeling shipments, providing false certifications, and using intermediary companies and countries to obscure the true end destination and end users.
Rep Mark Green (R-TN) once again introduced his China Technology Transfer Control Act, having failed to advance the initiative in the 116th, 117th and 118th Congress. There were no co-sponsors. The bill controls exports of certain national interest technology and intellectual property to China, calling for the US Trade Representative to maintain a designated list of product components subject to enforcement.
Following on President Trump's Executive Order imposing sanctions on the International Criminal Court, the Treasury Department added Karim Asad Ahmad Khan to the Specially Designated National List. Mr. Khan, a British Subject, has served as the chief prosecutor of the International Criminal Court in The Hague since 2021. In May 2024, he announced the ICC's decision to apply for arrest warrants for Israeli Prime Minister Benjamin Netanyahu, Israeli Defense Minister Yoav Gallant, and Hamas leaders Yahya Sinwar, Mohammed Deif, and Ismail Haniyeh for alleged war crimes and crimes against humanity.
Department of the Treasury’s Office of Foreign Assets Control (OFAC) has updated its License Application Portal. In addition to the current application process, the License Application Portal now features an option to establish an account to submit requests for specific licenses or interpretive guidance, or submit reports required by some specific licenses.
On February 11, 2025, the Bureau of Industry and Security (BIS) issued a correcting amendment to the interim final rule published on January 16, 2025, titled “Implementation of Additional Due Diligence Measures for Advanced Computing Integrated Circuits; Amendments and Clarifications; and Extension of Comment Period.” This correction revises Export Control Classification Number (ECCN) 3A090 by amending its license requirements table. Specifically, the first row’s first column is changed from “RS applies to the entire entry, except 3A090.a” to “RS applies to 3A090.a.” This modification clarifies that regional stability controls apply solely to ECCN 3A090.a items.
A customs broker pleaded guilty to defrauding his clients – businesses who ship goods into the United States from foreign countries – out of more than $5 million, including after he had been indicted on fraud charges, and to committing more than $1 million in tax evasion.
President Trump has named former US Trade Representative’s Office official Joseph Barloon to be the chief US representative to the World Trade Organization. Mr. Trump also sent up nominations for key Commerce Department posts, including China hawk Landon Heid to be Commerce assistant secretary for export administration.
Monday Feb 10, President Trump issued an executive order halting the initiation of new Foreign Corrupt Practices Act (FCPA) investigations and mandating a review of ongoing enforcement actions. The order comes in the wake of several high-profile corporate settlements under the statute, underscoring the administration’s concerns that current enforcement of the 47 year old Law is detrimental to U.S. economic competitiveness and national security.
A Kyrgyz national and international arms dealer has been charged in a federal indictment with conspiracy and illegal smuggling of firearms from the United States to Russia. Sergei Zharnovnikov was arrested on January 24 in Las Vegas, while attending the Shooting, Hunting, and Outdoor Trade (SHOT) Show. Zharnovnikov is accused of orchestrating a complex scheme to circumvent U.S. export controls by funneling semi-automatic rifle-pistols through his Kyrgyz company to Russia. The indictment details his illegal procurement of firearms from a U.S.-based company in Chesapeake, Virginia, and subsequent exportation, in violation of U.S. export laws.
On January 20, 2025, President Trump issued Executive Order (E.O.) 14157, "Designating Cartels and Other Organizations as Foreign Terrorist Organizations and Specially Designated Global Terrorists." Such designations will increase the penalties and other consequences for companies and individuals providing "material support" to the designated entities. This development will impact the legal and compliance risks companies face when doing business in Mexico, Central America, and other parts of Latin America where cartels are active. The difference of an FTO designation is that it now implicates companies and individuals with new and specific criminal law provisions for material support of the designated entities that do not currently exist under an SDN designation. One should expect to see more criminal prosecutions in the U.S. against non-U.S. companies and individuals.
What are we to make of the chaos being promulgated by the Trump White House as it settles in to governing? Check back tomorrow; we'll have a new answer. From eliminating Valentine's Day roses, guacamole for the Super Bowl, the North American automotive industry, and America's compulsion for flimsy fast fashion, the Administration's "flood the zone" policy prescription has generated much heat and chatter, only to be walked back by weekend. Friday President Trump continued the drumbeat, promising more tariff announcements to come “I’ll be announcing that next week. Reciprocal trade so that we’re treated evenly with other countries. We don’t want any more or any less,”
Japan’s Nippon Steel and the US Steel Corporation are continuing the fight against the Biden Administration’s decision to block their proposed $14.9 billion merger. The two companies filed their opening brief with the US Court of Appeals for the District of Colombia Circuit arguing that President Biden halted the merger for political reason and not because of a national security threat. The two companies said in a statement that the merger “will enhance, not threaten, United States’ national security, protect US Steel workers, revitalize jobs in communities that rely on American steel and make American Steel bigger and better.
Sens. Elizabeth Warren (D-Mass) and Josh Hawley (R-Mo) are calling on the Commerce Department to beef up export controls on China. In a letter to Commerce Secretary nominee Howard Lutnick, the two members of the Banking Committee said the Administration needs to strengthen export controls and close regulatory loopholes that are undercutting US technology leadership against challenges from China.