[Federal Register Volume 86, Number 51 (Thursday, March 18, 2021)]
[Rules and Regulations]
[Pages 14689-14690]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-05488]



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 Rules and Regulations
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  Federal Register / Vol. 86, No. 51 / Thursday, March 18, 2021 / Rules 
and Regulations  

[[Page 14689]]



DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Parts 740 and 742

[Docket No. 210219-0027]
RIN 0694-XC071


Russia: Implementation of Chemical and Biological Weapons Control 
and Warfare Elimination Act of 1991 (CBW Act) Sanctions

AGENCY: Bureau of Industry and Security, Commerce.

ACTION: Notification of implementation.

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SUMMARY: The Secretary of State, acting under authority delegated 
pursuant to Executive Order 12851, has determined pursuant to the 
Chemical and Biological Weapons Control and Warfare Elimination Act of 
1991 (CBW Act) that the Government of the Russian Federation has used 
chemical or biological weapons in violation of international law or 
lethal chemical or biological weapons against its own nationals. The 
sanctions imposed on Russia in connection with this determination 
include a prohibition, subject to partial waiver, on the export to 
Russia of national security-controlled goods and technology subject to 
the Export Administration Regulations (EAR). Pursuant to the EAR, BIS 
already maintains controls on exports and reexports to Russia of 
national security-controlled ``items'' (commodities, software and 
technology) that are subject to the EAR. This document informs the 
public that, consistent with BIS's implementation of the CBW Act 
sanctions, certain license exceptions will be suspended for use with 
national security-controlled items destined for Russia, and most 
license applications for exports or reexports of national security-
controlled items destined for Russia will be reviewed under a 
presumption of denial.

DATES: March 18, 2021.

FOR FURTHER INFORMATION CONTACT: Alexander Lopes, Office of 
Nonproliferation and Treaty Compliance, Bureau of Industry and 
Security, Department of Commerce. Phone: (202) 482-3825; Email: 
[email protected].

SUPPLEMENTARY INFORMATION:

Implementation of Chemical and Biological Weapons Control and Warfare 
Elimination Act of 1991 Sanctions on Russia-Related Exports and 
Reexports of Items Controlled for National Security Reasons

    The Secretary of State, acting under authority delegated pursuant 
to Executive Order 12851, has determined pursuant to Section 306(a) of 
the Chemical and Biological Weapons Control and Warfare Elimination Act 
of 1991 (CBW Act) that the Government of the Russian Federation has 
used chemical weapons in violation of international law or lethal 
chemical weapons against its own nationals. The sanctions imposed on 
Russia in connection with this determination include a prohibition on 
the export to Russia of national security-controlled goods and 
technology subject to the Export Administration Regulations (EAR). The 
Secretary of State also issued a partial waiver under the CBW Act of 
these sanctions on national security grounds. Pursuant to Section 742.4 
of the EAR, BIS already maintains controls on exports and reexports to 
Russia of national security-controlled ``items'' (commodities, software 
and technology) that are subject to the EAR. Consistent with BIS's 
implementation of the CBW Act sanctions, license applications for 
exports or reexports of national security-controlled items to Russia 
will be reviewed under a presumption of denial. However, certain 
categories of exports and reexports will be permitted under a partial 
waiver of the application of the sanctions, including exports and 
reexports made under certain License Exceptions. A License Exception is 
an authorization allowing exports, reexports, or transfers (in-country) 
under stated conditions of items subject to the EAR that would 
otherwise require a license. Notably, as described in more detail 
below, one of the waiver provisions for commercial space launch 
activities will expire on September 1, 2021, after which time the 
prohibition will apply to the review of such license applications.
    While the focus of this document is on BIS's implementing actions, 
exporters of items subject to the EAR should also be aware that in 
order to take additional steps to address Russia's use of chemical 
weapons, the Department of State is amending the International Traffic 
in Arms Regulations (ITAR) Sec.  126.1(d)(2) to include Russia in the 
list of countries subject to a policy of denial for exports of defense 
articles and defense services. Consistent with Note 1 to Country Group 
D:5 in Supplement No. 1 to part 740 of the EAR, countries included in 
Sec.  126.1 of the ITAR are also considered to be in Country Group D:5. 
Placement of a country in Country Group D:5 generally limits the 
availability of license exceptions for exports and reexports of certain 
items. See, generally, 15 CFR part 740.

Prohibitions

    Except as described below (under ``National Security Waiver''), 
effective March 18, 2021, license applications for exports or reexports 
of national security-controlled items to Russia will be reviewed under 
a presumption of denial. In particular, this policy applies to 
commercial end-users and civil end-uses in Russia and to state-owned 
enterprises and state-funded enterprises in Russia.
    Further, in accordance with the implementation of these new 
sanctions under the CBW Act, and consistent with Section 740.2(b) of 
the EAR, which provides that all License Exceptions are subject to 
revision, suspension, or revocation, in whole or in part, without 
notice, BIS hereby suspends License Exception RPL (Service and 
Replacement of Parts and Equipment), License Exception TSU (Technology 
and Software Unrestricted), and License Exception APR (Additional 
Permissive Reexports) for use with items controlled for national 
security reasons that are destined to Russia.

National Security Waiver

    The Secretary of State has determined and certified to Congress 
pursuant to Section 307(d) of the CBW Act that it is essential to the 
national security interest of the United States to partially waive the 
application of the statute with respect to sanctions on the licensing 
of certain exports and reexports as

[[Page 14690]]

described below of national security-controlled items.
    License Exceptions: The waiver covers exports and reexports of 
national security-controlled items to Russia that are eligible for 
License Exception TMP (Temporary Imports, Exports, and Reexports); 
License Exception GOV (Governments, International Organizations, and 
International Inspections under the Chemical Weapons Convention); 
License Exception BAG (Baggage); License Exception AVS (Aircraft and 
Vessels); and License Exception ENC (Encryption Commodities and 
Software). See Sections 740.9 (TMP), 740.11 (GOV), 740.14 (BAG), 740.15 
(AVS), or 740.17 (ENC) of the EAR.
    Safety of Flight: The waiver covers exports and reexports to Russia 
of national security-controlled items pursuant to licenses necessary 
for the safety of flight of civil fixed-wing passenger aviation. 
License applications for such transactions will be reviewed consistent 
with export licensing policy for Russia prior to the date of this 
document. See Section 742.4(b)(7) of the EAR.
    Deemed Exports/Reexports: The waiver covers exports and reexports 
of national security-controlled items pursuant to licenses for deemed 
exports and reexports to Russian nationals. License applications for 
such transactions will be reviewed consistent with export licensing 
policy for Russia prior to the date of this document. See Section 
742.4(b)(7) of the EAR.
    Wholly-Owned U.S. and Other Foreign Subsidiaries: The waiver covers 
exports and reexports of national security-controlled items pursuant to 
licenses to wholly-owned U.S. subsidiaries and other foreign 
subsidiaries of U.S. companies that are located in Russia. License 
applications for such transactions will be reviewed consistent with 
export licensing policy for Russia prior to the date of this document. 
See Section 742.4(b)(7) of the EAR.
    Commercial Space Flight: The waiver covers exports and reexports to 
Russia of national security-controlled items in support of commercial 
space launch activities. License applications for such transactions 
will be reviewed consistent with the export licensing policy for Russia 
prior to the date of this document until September 1, 2021, after which 
date this waiver provision will expire and license applications will be 
reviewed under a presumption of denial. See Section 742.4(b)(7) of the 
EAR.
    Government Space Flight: The waiver covers exports and reexports to 
Russia of national security-controlled items subject to the EAR in 
support of government space cooperation. License applications for such 
transactions will be reviewed consistent with the export licensing 
policy for Russia prior to the date of this document. See Section 
742.4(b)(7) of the EAR.
    Other Russia-related licensing considerations: BIS has also 
identified Parties with ties to Russia's chemical and biological 
weapons program in additions to the Entity List published in the 
Federal Register (see 85 FR 52898, Aug. 27, 2020 and Addition of 
Certain Entities to the Entity List; Correction of Existing Entries on 
the Entity List published on March 8, 2021, in the Federal Register 
(see 86 FR 13179)).

Matthew S. Borman,
Deputy Assistant Secretary for Export Administration.
[FR Doc. 2021-05488 Filed 3-17-21; 8:45 am]
BILLING CODE 3510-33-P