Today, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) published a final rule imposing new controls on exports, reexports, and transfers (in-country) involving six key categories of items – some of which were previously controlled for nuclear nonproliferation reasons – to Pakistan to address diversion concerns. BIS has determined that these items have been sought by entities on the Entity List, as well as front companies acting on their behalf. Controlling such items on a countrywide basis will allow the U.S. Government to review proposed transactions to mitigate the risk of diversion to an end use or end user of concern, while facilitating trade for legitimate commercial and civil end uses.

“We routinely investigate parties around the world based on diversion concerns,” said Under Secretary of Commerce for Industry and Security Alan F. Estevez. “Today’s controls will strengthen our national security by making it harder for entities of concern in Pakistan to procure these items from the United States.”

“Today’s action builds on our existing controls for specific entities of concern in Pakistan to ensure more broadly that key dual-use items do not contribute to activities that are contrary to U.S. national security or foreign policy,” said Assistant Secretary of Commerce for Export Administration Thea D. Rozman Kendler.

BIS imposed licensing requirements on certain entities in Pakistan determined to have been involved in nuclear or missile activities after Pakistan’s detonation of a nuclear explosive device in 1998. There are currently 162 entities located in Pakistan on the Entity List. Beginning in 2019, BIS has also maintained due diligence guidance for evaluating proposed transactions involving Pakistan.

The items controlled in today’s rule are listed on the Commerce Control List under Export Control Classification Numbers (ECCNs) 1B999, 2A992, 2B999,¹ 3A992, 3A999, and 6A996. Items that fall within the scope of these ECCNs include the following:

• Particle accelerators
• Certain stainless or alloy pipes and valves
• Certain pumps and welders
• Oscilloscopes
• Chromatographs and spectrometers
• Magnetometers

A BIS license will now be required for regional stability reasons to export, reexport, or transfer items (in-country) under these six ECCNs to or within Pakistan. Applications for such transactions will be denied if the U.S. Government determines that there is an unacceptable risk of use in an end use of concern or diversion to an end user of concern. The availability of license exceptions is limited.

The text of today’s final rule is available on the Federal Register’s website here. The rule will take effect 30 days after publication in the Federal Register.