[Federal Register Volume 87, Number 197 (Thursday, October 13, 2022)]
[Rules and Regulations]
[Pages 62006-62007]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-22162]


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DEPARTMENT OF THE TREASURY

Office of Foreign Assets Control

31 CFR Part 587


Publication of Russian Harmful Foreign Activities Sanctions 
Regulations Determinations

AGENCY: Office of Foreign Assets Control, Treasury.

ACTION: Publication of determinations.

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SUMMARY: The Department of the Treasury's Office of Foreign Assets 
Control (OFAC) is publishing one sectoral determination issued pursuant 
to an April 15, 2021 Executive order, as well as a category of services 
determination issued pursuant to an April 6, 2022 Executive order. Each 
determination was previously issued on OFAC's website.

DATES: The Determination Pursuant to Section (1)(a)(i) of Executive 
Order 14024 was issued on September 15, 2022. The Determination 
Pursuant to Section 1(a)(ii) of Executive Order 14071 was issued on 
September 15, 2022 and takes effect on October 15, 2022.

FOR FURTHER INFORMATION CONTACT: OFAC: Assistant Director for 
Licensing, 202-622-2480; Assistant Director for Regulatory Affairs, 
202-622-4855; or Assistant Director for Sanctions Compliance & 
Evaluation, 202-622-2490.

SUPPLEMENTARY INFORMATION: 

Electronic Availability

    This document and additional information concerning OFAC are 
available on OFAC's website: www.treas.gov/ofac.

Background

    On April 15, 2021, the President, invoking the authority of, inter 
alia, the International Emergency Economic Powers Act (50 U.S.C. 1701 
et seq.) (IEEPA), issued Executive Order (E.O.) 14024 (86 FR 20249, 
April 19, 2022). Among other prohibitions, section 1(a) of E.O. 14024 
blocks, with certain exceptions, all property and interests in property 
that are in the United States, that come within the United States, or 
that are or come within the possession or control of any U.S. person 
of, any person determined by the Secretary of the Treasury, in 
consultation with the Secretary of State: (i) to operate or have 
operated in the technology sector or the defense and related materiel 
sector of the Russian Federation economy, or any other sector of the 
Russian Federation economy as may be determined by the Secretary of the 
Treasury, in consultation with the Secretary of State.
    On April 6, 2022, the President, invoking the authority of, inter 
alia, IEEPA, issued E.O. 14071 of April 6, 2022, ``Prohibiting New 
Investment in and Certain Services to the Russian Federation in 
Response to Continued Russian Federation Aggression'' (87 FR 20999, 
April 8, 2022). Among other prohibitions, section 1(a)(ii) of E.O. 
14071 prohibits the exportation, reexportation, sale, or supply, 
directly or indirectly, from the United States, or by a United States 
person, wherever located, of any category of services as may be 
determined by the Secretary of the Treasury, in consultation with the 
Secretary of State, to any person located in the Russian Federation.
    On September 15, 2022, pursuant to delegated authority, the 
Director of OFAC, in consultation with the Department of State, issued 
a sectoral determination pursuant to E.O. 14024. This determination 
took effect upon publication on OFAC's website, which occurred on 
September 15, 2022. Also on September 15, 2022, pursuant to delegated 
authority, the Director of OFAC, in consultation with the Department of 
State, issued a category of services determination pursuant to E.O. 
14071. This determination takes effect at 12:01 a.m. eastern daylight 
time on October 15, 2022.
    The texts of the September 15, 2022 sectoral determination pursuant 
to E.O. 14024, and the September 15, 2022 category of services 
determination pursuant to E.O. 14071, are below.

OFFICE OF FOREIGN ASSETS CONTROL

Determination Pursuant to Section 1(a)(i) of Executive Order 14024

    Section 1(a) of Executive Order (E.O.) 14024 of April 15, 2021 
(``Blocking Property With Respect To Specified Harmful Foreign 
Activities of the Government of the Russian Federation'') imposes 
economic sanctions on any person determined by the Secretary of the 
Treasury, in consultation with the Secretary of State, or the Secretary 
of State, in consultation with the Secretary of the Treasury, to 
operate or have operated in such sectors of the Russian Federation 
economy as may be determined, pursuant to section 1(a)(i) of E.O. 
14024, by the Secretary of the Treasury, in consultation with the 
Secretary of State.
    To further address the unusual and extraordinary threat to the 
national security, foreign policy, and economy of the United States 
described in E.O. 14024, and in consultation with the

[[Page 62007]]

Department of State and pursuant to 31 CFR 587.802, I hereby determine 
that section 1(a)(i) shall apply to the quantum computing sector of the 
Russian Federation economy. Any person that the Secretary of the 
Treasury or the Secretary of the Treasury's designee, in consultation 
with the Secretary of State or the Secretary of State's designee, or 
the Secretary of State or the Secretary of State's designee, in 
consultation with the Secretary of the Treasury or the Secretary of the 
Treasury's designee, subsequently determines operates or has operated 
in this sector shall be subject to sanctions pursuant to section 
1(a)(i).
    This determination shall take effect upon publication by the Office 
of Foreign Assets Control on the Department of the Treasury's website.

Andrea M. Gacki,
Director, Office of Foreign Assets Control

OFFICE OF FOREIGN ASSETS CONTROL

Determination Pursuant to Section 1(a)(ii) of Executive Order 14071

Prohibitions Related to Certain Quantum Computing Services

    Pursuant to sections 1(a)(ii), 1(b), and 5 of Executive Order 
(E.O.) 14071 of April 6, 2022 (``Prohibiting New Investment in and 
Certain Services to the Russian Federation in Response to Continued 
Russian Federation Aggression'') and 31 CFR 587.802, the Director of 
the Office of Foreign Assets Control, in consultation with the 
Department of State, hereby determines that the prohibitions in section 
1(a)(ii) of E.O. 14071 shall apply to quantum computing services. As a 
result, the following activities are prohibited, except to the extent 
provided by law, or unless licensed or otherwise authorized by the 
Office of Foreign Assets Control:
    the exportation, reexportation, sale, or supply, directly or 
indirectly, from the United States, or by a United States person, 
wherever located, of quantum computing services to any person located 
in the Russian Federation.
    This determination excludes the following:
    (1) any service to an entity located in the Russian Federation that 
is owned or controlled, directly or indirectly, by a United States 
person;
    (2) any service in connection with the wind down or divestiture of 
an entity located in the Russian Federation that is not owned or 
controlled, directly or indirectly, by a Russian person.
    This determination shall take effect beginning at 12:01 a.m. 
eastern daylight time on October 15, 2022.

Andrea M. Gacki,
Director, Office of Foreign Assets Control

    September 15, 2022

Andrea M. Gacki,
Director, Office of Foreign Assets Control.
[FR Doc. 2022-22162 Filed 10-12-22; 8:45 am]
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