BIS extends semiconductor final rule consultation period
The US Bureau of Industry and Security (‘BIS’) has said that it is extending the consultation time on its interim final rule published 13October: ‘Implementation of Additional Export Controls: Certain Advanced Computing and Semiconductor Manufacturing Items; Supercomputer and Semiconductor End Use; Entity List Modification,’ also known as the ‘October 7 advanced computing and semiconductor manufacturing equipment rule.’
BIS said that the extension, to 31 January 2023, ‘is being made to allow for commenters to have additional time to review the interim final rule and to benefit from the significant amount of public outreach that BIS is conducting on the rule in preparing their comments.’
BIS says that it had ‘amended the Export Administration Regulations (EAR) to implement necessary controls on advanced computing integrated circuits (ICs), computer commodities that contain such ICs, and certain semiconductor manufacturing items. In addition, BIS expanded controls on transactions involving items for supercomputer and semiconductor manufacturing end uses. For example, the rule expanded the scope of foreign-produced items subject to license requirements for twenty-eight existing entities on the Entity List that are located in China. BIS also informed the public that specific activities of ‘‘U.S. persons’’ that ‘support’ the ‘‘development’’ or ‘‘production’’ of certain ICs in the PRC require a license.
‘Lastly, to minimize the short-term impact on the semiconductor supply chain from the rule, BIS established a Temporary General License to permit specific, limited manufacturing activities in China related to items destined for use outside China and identified a model certificate that may be used in compliance programs to assist, along with other measures, in conducting due diligence.’
The original comment period deadline expires on 12 December 2022.
