The United States Department of Commerce on December 21 published a list of the Russian and Chinese enterprises that it alleged were co-operating with the military of the two nations. At least 103 firms, 58 Chinese and 45 Russian origins, were comprised under the ’Military End User’ (MEU) List by the Trump administration which restricted them to conduct business or purchase American goods and services. The move established a process by which the US Bureau of Industry and Security (BIS) will amend the Export Administration Regulations (EAR) for the companies which will “assist the exporters in screening their customers for military end-users,” Commerce Secretary Wilbur Ross said in a US dept. Of commerce’s official release.
“The Department recognizes the importance of leveraging its partnerships with the US and global companies to combat efforts by China and Russia to divert US technology for their destabilizing military programs,” Ross said. He added, this threat can be deterred by “highlighting red flag indicators such as those related to Communist Chinese military companies identified by the Department of Defense.”
Moving forward, as per the MEU list, the exporters will require a license to export, re-export, or transfer any designated US items to these enterprises named under ‘military end-use’ that have links with anyone in national armed services and national police government intelligence in China, Russia, or Venezuela. The list will also be made public at the Federal Register effective December 22, according to US Dept. Of Commerce’s release.
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‘Restricting’ firms associated with PLA
“This is a non-exhaustive list, and does not imply that other parties not included on the list are exempt from regulatory prohibitions,” the department warned, adding that enterprises associated with intelligence or military of Russia, China, and Venezuela will be blacklisted under the Department of Defense’s Section 1237 list of the National Defense Authorization Act. Meanwhile, in a televised interview with US FOX Business, Ross told Maria Bartiromo that this is about flagging companies that are tied to the People’s Liberation Army.
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