Huawei’s Google maps alternative.

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Photo by Ingo Joseph on Pexels.com

As you are aware, Huawei’s inclusion on the US entity list means no access Android and the Google Play Store. As a result Huawei has been looking at alternative companies to replace the Google Maps application – and last week, found their replacement.

According to Reuters, Huawei reached a deal with Dutch mapping company, TomTom which will see TomTom providing Huawei access to their navigation, mapping and traffic information.

With the TomTom information, Huawei will create their own proprietary apps for their own Harmony Operating System.

If you have any questions how Huawei’s inclusion on the BIS entity list will impact your business or if you are in need of export compliance, contact experienced trade attorney David Hsu by phone/text at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

Trump administration eases regulations on exportation of small arms and ammunition.

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The Trump administration issued new rules related to the export licensing of firearms and ammunition products. Firearms and ammunition exports will now be managed by the Commerce Department and not the State Department.

In other words, small arms and ammunition shifts from the Department of State’s International Traffic in Arm’s Regulations US Munitions List to the US Department of Commerce’s Export Administration regulations.

ITAR concerns defense-related exports whereas EAR is “dual use” for commercial or military use, and therefore less strict export rules versus the State Department.

The new Trump administration rules also eliminates the $2,250 registration fee for gunsmiths and small companies who do not manufacture, or export firearms or ammunition.

The final rule will be published on January 23 rd and implemented 45 days later after formal publication.

If you have any questions how these new rules will impact your small arms or ammunition export business, contact experienced export compliance attorney David Hsu by phone/text at attorney.dave@yahoo.com or dh@gjatradelaw.com.

US lawmaker wants to ban US intelligence sharing with countries that use Huawei 5G.

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According to a Reuters article, U.S. Senator Tom Cotton introduced a bill last Wednesday that would stop the United States from sharing intelligence with countries that allow Huawei Technologies to operate 5G network technology.

The Sen. Cotton bill is just one of several legislative efforts against Huawei for potential national security concerns – last year Huawei was placed on the entity list.

The countries and companies that are considering Huawei’s 5G equipment include: Bahrain, Belgium, Britain Telecom, France, Hungary, Norway, Thailand and more.

The countries and companies that ban Huawei’s 5G equipment include: the United States, Australia, Facebook, Google, Japan, Microsoft, New Zealand, Softbank, Sophos, South Korea, University of Oxford, UAE, Verizon Communications and Vodafone.

If you have any questions about the Huawei ban, or want to ensure your exports are in compliance, contact experienced export attorney, David Hsu by phone at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

Department of Justice charges Indonesian citizen and companies with exporting goods to Iranian airline Mahan Air.

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According to a Department of Justice (DOJ) filing found here, the DOJ charged an individual Indonesian citizen and several Indonesian based companies for violating US export control of goods to Iran. Specifically, the charged individual and companies worked together to export goods originating from the US to Iranian airline Mahan Air. The complaint says the Indonesian national and companies shipped goods owned by Mahan Air through the following Indonesian companies: PT MS Aero Support (“PTMS”), PT Kandiyasa Energi Utama (“PTKEU”) and PT Antasena Kreasi (“PTAK”) .

The charge against the defendants include (i) unlawful and attempted export to an embargoed country, (ii) conspiracy to launder monetary instruments and (iii) false statements.

If you do not want to be the subject of DOJ investigation, call experienced trade controls attorney David Hsu by phone/text at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com. Initial consultations are free, contact us to figure out how to protect you and your company from the many hazards of exporting US goods overseas.

CBP seizes undervalued Range Rovers prior to export to Nigeria

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Seized Range Rover, source: cbp.gov

According to a U.S. Customs and Border Protection (CBP) media release, CBP officers in Delaware seized a 2016 Land Rover Range Rover prior to export to Lagos, Nigeria.

The vehicle worth approximately $55,000 was undervalued in export documents with a value of $13,000. Customs seized the vehicle for violation of 13 USC 305 which is submission of filing a false export declaration and undervaluing an export. 13 USC 305 is fairly broad and used often as a basis for export seizures.

This seizure in Delaware is just one of the many reasons Customs will seize vehicles prior to export – if you have had your vehicle detained or seized by Customs prior to export overseas to places such as Nigeria, the UAE, China, etc, contact experienced vehicle seizure attorney David Hsu by phone/text at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

Huawei 5G technology coming to the US?

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As Huawei is on the US Commerce Department’s Entity List, Huawei is prevented from doing business with US companies without permission (ie without a license from BIS).
However, media outlets report that Huawei is discussing licensing of their 5G technology to unnamed American companies who have shown interest in long term and one-time transfers. Even a license to an American company may be a violation even if no goods exchange hands.
The Huawei inclusion on the entity list is part of an effort to prevent suspected Chinese government surveillance onto their communications equipment.
If you or your company is interested in doing any business with Huawei – contact experienced BIS/trade compliance attorney David Hsu by text/phone at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

Huawei claims they are victims of 1 million cyber attacks daily.

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According to a Forbes.com article, the Huawei security chief, John Suffolk claims Huawei is cyber attacked almost 1 million times per day on the Huawei networks and computers. According to their security chief, most of the attacks are looking for intellectual property theft as Huawei leads the world in 5G technology. In response to these attacks, Huawei has pledged to work with their customers to secure their defenses from further cyber attacks.
On the other hand, the US government has alleged that Huawei receives Chinese state support and as such is subject to assisting Beijing with intelligence gathering overseas through backdoors in their hardware.
The US is not alone in its suspicion, the Forbes article also cites a EU report warning of the “combination of new technologies and 5G networks risks hostile state control of critical infrastructure, logistics, transportation even law enforcement”. The EU report did not cite China or Huawei but the article did indicate that 5G suppliers from countries “with poor democratic standards,” for which the reference to Huawei and China was clear.
If you do business with Huawei and have questions about maintaining Huawei compliance, contact export compliance attorney David Hsu by phone/text at 832-896-6288 or by email at attorney.dave@yahoo.com, dh@gjatradelaw.com.

“Ignorantia juris non excusat” and the need for export compliance in the wake of the Huawei ban.

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Huawei’s surprise placement on the BIS Entity List highlights the crucial need for your company to have a compliance program in place.

Many people believe export compliance programs only apply to the big guys – however, even the smallest business that sends their products to customers outside of the country are subject to the various export regulations and the steep penalties for export violations. as the saying goes, Ignorantia juris non excusat or ignorantia legis neminem excusat (Latin for “ignorance of the law excuses not” and “ignorance of law excuses no one” respectively).

Small and medium sized company personnel may not know of these requirements until it is too late – fines for export violations can reach up to $1 million per violation in criminal cases and administrative cases can result in penalties amount to the greater of $250,000 or twice the value of the transaction. Criminal violators may even face up to 20 years in jail time and punishment for administrative cases can include denial of export privileges – it’s a risk you can’t afford to take.

Here are a few quick tips to protect your company –

  1. Be sure your exported items do not require an export license.
  2. Determine if the destination country requires an export license.
  3. Know your customers – screen who is buying your goods and be sure a restricted party does not receive your goods.
  4. Red flags – does the destination country of your product meet a need for your product?
  5. Be sure you have a copy of all the required documentation – it is not enough to hire a freight forwarder to handle the export.

For more information and a no obligation consultation on creating an export compliance program – contact experienced compliance attorney David Hsu at 832-896-6288 or by email at dh@gjatradelaw.com or attorney.dave@yahoo.com.

White House imposes tariffs on $50 billion of Chinese goods.

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As expected, the administration announced Section 301 tariffs on about $50 billion worth of Chinese goods with two purposes: (1) balance the trade relationship between the US and China and (2) prevent the transfer of American technology and intellectual property to China when US businesses operate in China.

After the announcement this morning, China responded by issuing their own tariffs on 659 types of goods from the US starting on July 6th. When announcing the initial $50 billion in tariffs, Trump also indicated any Chinese retalation will also be met with additional US tariffs.

Cliff Notes version of today’s developments:

  1. 2/3rds of the US duties on 1,102 types of goods begins July 6th.
  2. The goods announced on Friday will apply later after a review period ends.
  3. The US imposed these tariffs to limit the transfer of technology to China.
  4. Some lawmakers say these tariffs will only impact the average American due to higher prices.
  5. The first list of goods subject to tariffs can be found here.
  6. The second list of goods subject to tariffs can be found here:

Whether or not these announcements are posturing on both sides, check back for more details.

If you have any questions on how these new tariffs will impact your import or export business, contact experienced trade attorney, David Hsu at 832-896-6288 or by email at: attorney.dave@yahoo.com

 

In Houston and want to learn more about U.S. Export Controls?

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The The Bureau of Industry and Security, Outreach and Educational Services Division will hold a conference regarding “Complying with U.S. Export Controls”

Date: June 12-13, 2018

Location: Norris Conference Center, Houston, TX (City Centre)

About the program (from the BIS website):

Complying with U.S. Export Controls

The two-day program is led by BIS’s professional counseling staff and provides an in-depth examination of the Export Administration Regulations (EAR). The program will cover the information exporters need to know to comply with U.S. export control requirements on commercial goods. We will focus on what items and activities are subject to the EAR, steps to take to determine the export licensing requirements for your item, how to determine your export control classification number (ECCN), when you can export or reexport without applying for a license, export clearance procedures and record keeping requirements, and real life examples in applying this information. Presenters will conduct a number of “hands-on” exercises that will prepare you to apply the regulations to your own company’s export activities. This program is well suited for those who need a comprehensive understanding of their obligations under the EAR. Technical, policy, and enforcement professionals from BIS, as well as specialists from other agencies such as the Bureau of the Census, will participate.

About the Instructors

The instructors are experienced export policy specialists, engineers, and enforcement personnel from BIS’s Washington, D.C. headquarters and field offices, as well as representatives from other U.S. government agencies as appropriate. The instructors will be available throughout the seminar to answer your questions on how the export regulations affect the export activities of your organization or client.

Location/time

The program will be held at Norris Conference Center located at 816 Town & Country Blvd. Suite 210, Houston, Texas 77024. Registration and continental breakfast will begin at 7:30 a.m. on June 12, 2018. The program will begin at 8:30 a.m. and end at 5:00 p.m.

Registration

The registration fee for the Complying with U.S. Export Controls seminar is $525 per person before May 11, 2018 and $575 after. To register for both this program and the Technology Controls seminar on June 14, 2018, the fee is $775 before May 11 and $845 after. The fee includes continental breakfasts, coffee breaks, lunches and materials for the entire seminar. Fee is not refundable after May 18, 2018. Substitutions may be made. To guarantee placement for the BIS seminar: Click here to register.

If you have any questions about BIS, export controls or customs law, contact experienced trade and customs attorney David Hsu at 713-932-1540 or by email at attorney.dave@yahoo.com.