Recently, we had the opportunity to speak with an official on the new regulations announced by Premier Li Qiang of the State Council concerning the export control of dual-use items in China. These regulations, effective December 1, 2024, comprise six chapters and fifty articles. Here are the highlights from our discussion:
First and foremost, the regulations emphasize an overarching requirement. The export control of dual-use items will operate under the leadership of the Communist Party of China, maintaining a comprehensive national security perspective. This approach aims to safeguard international peace while balancing high-quality development with robust security measures. The initiative also focuses on enhancing management and services to improve governance in this area. It is crucial for exporters to comply with laws and regulations, ensuring that their activities do not jeopardize national security or interests.
When it comes to the scope of application, these regulations clearly define what constitutes dual-use items, alongside other items related to safeguarding national security and adhering to international non-proliferation obligations. There are provisions for the export control of monitored chemicals as well.
As for the management system, the stability of the existing export control framework for dual-use items will be maintained. The responsibility of various governmental bodies—including the State Council’s commerce department, customs, and related departments at different levels—is well outlined.
The regulations also introduce measures to facilitate trade. Notably, the requirement for registration of dual-use item exporters has been abolished. The aim here is to enhance the transparency and standardization of export control policies, clearly stating the factors and procedures for formulating such policies. The guidelines for licensing dual-use items will be detailed further, including the conditions and procedures involved.
In terms of export control measures, the regulations specify the process for developing and adjusting control lists, as well as the requirements for implementing temporary controls. They include provisions for licensing the export of dual-use items and outline the conditions for application. There will also be stricter management of end-users and end-uses of these items, with refined control mechanisms and an established watch list.
Lastly, on the topic of supervision and inspection, the regulations clarify the entities responsible for oversight, the procedures involved, and the specific measures that can be taken. Exporters are obligated to report and cooperate with investigations as needed.
This new set of regulations marks a significant step in strengthening China’s export control framework for dual-use items, ensuring national security while facilitating responsible trade practices.