29 April 2009
[Federal Register: April 29, 2009 (Volume 74, Number 81)]
[Rules and Regulations]
[Page 19382-19385]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr29ap09-3]
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Part 748
[Docket No. 090415662-9687-01]
RIN 0694-AE61
Additions and Revisions to the List of Approved End-Users and
Respective Eligible Items for the People's Republic of China (PRC)
Under Authorization Validated End-User (VEU)
AGENCY: Bureau of Industry and Security, Commerce.
ACTION: Final rule.
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SUMMARY: In this final rule, the Bureau of Industry and Security (BIS)
amends the Export Administration Regulations (EAR) to add a name to the
list of end-users for the People's Republic of China (PRC) approved to
receive exports, reexports and transfers of certain items under
Authorization Validated End-User (VEU). This rule also amends the EAR
to add and revise eligible items and destinations for existing VEU
authorizations. Specifically, this rule amends the EAR to authorize one
additional VEU and identify its respective eligible items for export
and reexport to the PRC. This rule also amends the authorizations of
two pre-existing VEUs in the PRC. Finally, this rule makes a
modification to the listed name of an existing VEU in the PRC. In a
final rule published in the Federal Register on June 19, 2007, BIS
revised and clarified U.S. export control policy for the PRC,
establishing Authorization VEU and identifying the PRC as the initial
eligible destination. In a final rule published in the Federal Register
on October 19, 2007, BIS published the names of the first five
validated end-users in the PRC that were approved to receive certain
specified items under Authorization VEU.
DATES: This rule is effective April 29, 2009. Although there is no
formal comment period, public comments on this regulation are welcome
on a continuing basis.
ADDRESSES: You may submit comments, identified by RIN 0694-AE61
(VEUPRCADE), by any of the following methods:
E-mail: publiccomments@bis.doc.gov. Include ``RIN 0694-AE61
(VEUPRCADE)'' in the subject line of the message.
Fax: (202) 482-3355. Please alert the Regulatory Policy Division,
by calling (202) 482-2440, if you are faxing comments.
Mail or Hand Delivery/Courier: Sheila Quarterman, U.S. Department
of Commerce, Bureau of Industry and Security, Regulatory Policy
Division, 14th Street & Pennsylvania Avenue, NW., Room 2705,
Washington, DC 20230, Attn: RIN 0694-AE61 (VEUPRCADE).
Send comments regarding the collection of information associated
with this rule, including suggestions for reducing the burden to
Jasmeet Seehra, Office of Management and Budget (OMB), by e-mail to
jseehra@omb.eop.gov or by fax to (202) 395-7285. Comments on this
collection of information should be submitted separately from comments
on the final rule (i.e., RIN 0694-AE61 (VEUPRCADE))--all comments on
the latter should be submitted by one of the three methods outlined
above.
FOR FURTHER INFORMATION CONTACT: Karen Nies-Vogel, Chairman, End-User
Review Committee, Bureau of Industry and Security, U.S. Department of
Commerce, 14th Street & Pennsylvania Avenue, NW., Washington, DC 20230;
by telephone (202) 482-3811, or by e-mail to kniesv@bis.doc.gov.
SUPPLEMENTARY INFORMATION:
Background
Authorization Validated End-User (VEU): Additions and Modifications to
the List of Approved End-Users, Eligible Items and Destinations
Consistent with U.S. Government policy to facilitate trade for
civilian end-users in the PRC, BIS amended the EAR in a final rule on
June 19, 2007 (72 FR 33646) by creating a new authorization for
``validated end-users'' (VEUs) located in eligible destinations to
which eligible items (commodities, software and technology, except
those controlled for missile technology or crime control reasons) may
be exported, reexported or transferred under a general authorization
instead of a license, in conformance with Section 748.15 of the EAR.
Authorization VEU is a mechanism to facilitate increased high-
technology exports to companies in the PRC and India that have a record
of using such items responsibly. VEUs may obtain eligible items that
are on the Commerce Control List without having to wait for their
suppliers to obtain export licenses from BIS. A wide range of items are
eligible for shipment under Authorization VEU. In addition to U.S.
exporters, Authorization VEU may be used by foreign reexporters, and
does not have an expiration date.
Additional VEUs in the PRC and Their Respective ``Eligible Items (By
ECCN)'' and ``Eligible Destinations''
This final rule amends Supplement No. 7 to Part 748 of the EAR to
identify an additional company with eligible facilities in the PRC as a
VEU and to identify the items that may be exported, reexported or
transferred to it under Authorization VEU. This new entry is for Aviza
Technology China. It lists Export Control Classification Numbers
(ECCNs) 2B230, 3B001.c.1.a and 3B001.e under ``Eligible Items (By
ECCN),'' and includes the following facility names and addresses under
``Eligible Destination:''
Aviza Technology China, Room B-1501, No. 188, Tomson Center, Zhang Yang
Road, Shanghai, China 200122.
Aviza Technology China, Room 612, International Business Center, No.
18, Hong Da North Road, Beijing Economics and Technology Development
Area, Beijing, China.
Beijing Bonded: CIES, Electronics Building, A23, Fuxing Road, Beijing,
China 100036.
Shanghai Bonded: SLC, Shanghai Industrial-Wailianfa International
Logistics Co., Ltd., Address: 13F Waigaoqiao Building, 889 Yang Gao
Road(N), Pudong, Shanghai, China.
HMG Logistics (Chengdu) Co., Ltd., Floor 1, No. 5 Standard Warehouse,
EPZ (West Area), Chengdu, China 611731.
Modifications to Existing VEU Authorizations
This final rule also amends Supplement No. 7 to Part 748 of the EAR
to implement requests received from existing VEUs for modifications in
their authorizations to include additional eligible items and
additional destinations, and to list a change of name for an existing
VEU. Specifically, this rule makes the following amendments to
Supplement No. 7 to Part 748:
[[Page 19383]]
(1) The authorization for Applied Materials China, Ltd. now also
includes ECCN 2B006.b.1.a under ``Eligible Items (By ECCN)'' and the
following facility name and address under ``Eligible Destination:''
Applied Materials (Xi'an Ltd.), No. 28 Xin Xi Ave., Xi'an High Tech
Park, Export Processing Zone, Xi'an Shanxi, China 710075.
(2) Based upon notification from existing VEU BHA Aerocomposite
Parts Co., Ltd. that the company's name has legally been changed, the
name ``BHA Aerocomposite Parts Co., Ltd.'' shown in Supplement No. 7 to
Part 748 of the EAR prior to this rule has been changed to ``Boeing
Tianjin Composites Co. Ltd.,'' under both the ``Validated End-User''
and ``Eligible Destination'' columns. Further, the authorization for
Boeing Tianjin Composites Co. Ltd., formerly BHA Aerocomposite Parts
Co., Ltd., now also includes ECCN 2B001.b.2 (limited to machine tools
with accuracies no better than (i.e., less than) 13 microns), and
replaces ECCN 2B001.e.1.a. with 2B001.e. under ``Eligible Items (By
ECCN).'' ECCN 2B001.e. encompasses all parameters of its subparagraphs.
With the publication of this final rule, the total number of VEUs
in the PRC is six and the total number of eligible facilities is
twenty. The VEUs listed in Supplement No. 7 to Part 748 were reviewed
and approved by the U.S. Government in accordance with the provisions
of Section 748.15 and Supplement Nos. 8 and 9 to Part 748 of the EAR.
Approving this new end-user as a VEU is expected to further
facilitate exports to civil end-users in the PRC. Approval of this
company also represents a significant savings of time for suppliers and
end-users. Authorization VEU will eliminate the burden on exporters and
reexporters of preparing license applications and on BIS for processing
such applications, as exports and reexports will be made under general
authorization instead of under license. This savings will enable
exporters and reexporters to supply VEUs much more quickly, thus
enhancing the competitiveness of the exporters, reexporters, and end-
users in the PRC.
To ensure appropriate facilitation of exports and reexports, on-
site reviews of the VEUs may be warranted pursuant to paragraph
748.15(a)(2) and Section 7(iv) of Supplement No. 8 to Part 748 of the
EAR. If such reviews are warranted, BIS will inform the PRC Ministry of
Commerce.
Since August 21, 2001, the Export Administration Act has been in
lapse and the President, through Executive Order 13222 of August 17,
2001 (3 CFR, 2001 Comp., p. 783 (2002)), as extended most recently by
the Notice of July 23, 2008 (73 FR 43603, July 25, 2008), has continued
the EAR in effect under the International Emergency Economic Powers
Act. BIS continues to carry out the provisions of the Act, as
appropriate and to the extent permitted by law, pursuant to Executive
Order 13222.
Rulemaking Requirements
1. This final rule has been determined to be not significant for
the purposes of Executive Order 12866.
2. Notwithstanding any other provisions of law, no person is
required to respond to nor be subject to a penalty for failure to
comply with a collection of information, subject to the requirements of
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA),
unless that collection of information displays a currently valid Office
of Management and Budget (OMB) Control Number. This rule involves
collections previously approved by the OMB under control number 0694-
0088, ``Multi-Purpose Application,'' which carries a burden hour
estimate of 58 minutes to prepare and submit form BIS-748; and for
recordkeeping, reporting and review requirements in connection with
Authorization Validated End-User, which carries an estimated burden of
30 minutes per submission. This rule is expected to result in a
decrease in license applications submitted to BIS. Total burden hours
associated with the Paperwork Reduction Act and Office of Management
and Budget control number 00694-0088 are not expected to increase
significantly as a result of this rule.
3. This rule does not contain policies with Federalism implications
as that term is defined under Executive Order 13132.
4. The provisions of the Administrative Procedure Act requiring
notice of proposed rulemaking, the opportunity for public
participation, and a delay in effective date, are inapplicable because
this regulation involves a military and foreign affairs function of the
United States (5 U.S.C. 553(a)(1)). Further, no other law requires that
a notice of proposed rulemaking and an opportunity for public comment
be given for this final rule. Because a notice of proposed rulemaking
and an opportunity for public comment are not required to be given for
this rule under the Administrative Procedure Act or by any other law,
the analytical requirements of the Regulatory Flexibility Act (5 U.S.C.
601 et seq.) are not applicable. Therefore, this regulation is issued
in final form. Although there is no formal comment period, public
comments on this regulation are welcome on a continuing basis. Comments
should be submitted to Sheila Quarterman, Regulatory Policy Division,
Bureau of Industry and Security, U.S. Department of Commerce, 14th
Street & Pennsylvania Avenue, NW., Room 2705, Washington, DC 20230
List of Subjects in 15 CFR Part 748
Administrative practice and procedure, Exports, Reporting and
recordkeeping requirements.
0
Accordingly, part 748 of the Export Administrative Regulations (15 CFR
Parts 730-774) is amended as follows:
PART 748--[AMENDED]
0
1. The authority citation for 15 CFR Part 748 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13026, 61 FR 58767, 3 CFR 1996 Comp., p. 228; E.O. 13222, 66 FR
44025, 3 CFR 2001 Comp., p. 783; Notice of July 23, 2008, 73 FR
43603 (July 25, 2008).
0
2. Supplement No. 7 to Part 748 is amended by:
0
a. Revising the entry for ``Applied Materials China, Ltd.'';
0
b. Adding, in alphabetical order, an entry for ``Aviza Technology
China''; and
0
c. Revising the entry for ``BHA Aerocomposite Parts Co., Ltd.''.
The revisions and addition read as follows:
[[Page 19384]]
Supplement No. 7 t Part 748--Authorization Validated End-User (VEU);
List of Validated End-Users, Respective Items Eligible for Export,
Reexport and Transfer and Eligible Destinations
------------------------------------------------------------------------
Eligible items (by
Validated end-user ECCN) Eligible destination
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Applied Materials China, 2B006.b.1.a; 2B230; Applied Materials
Ltd.. 2B350.g.3; China, Ltd.--
3B001.b.1; Shanghai Depot c/o
3B001.c.2; 3B001.e; Shanghai Applied
3B001.f.3; 3C001; Materials Technical
3C002. Service Center, 368
Zhang Jiang Road,
Pudong Zhangjiang
Hi-Tech Park,
Shanghai, China
201203.
Applied Materials
China, Ltd.--
Beijing Depot c/o
Beijing Applied
Materials Technical
Service Center
Bldg. 9, Area A,
No. 1 North Di
Sheng Street, BDA
Beijing, China
100176.
Applied Materials
China, Ltd.--Wuxi
Depot c/o Sinotrans
Jiangsu Group
Fuchang Co. J5 A-B
Wuxi Export
Processing Zone,
287 Gaolang Road,
Wuxi New District,
Wuxi Jiangsu China
214028.
Applied Materials
(Xi'an Ltd.) No. 28
Xin Xi Ave., Xi'an
High Tech Park
Export Processing
Zone, Xi'an Shanxi,
China 710075.
Aviza Technology China...... 2B230; 3B001.c.1.a; Aviza Technology
3B001.e. China, Room B-1501,
No. 188, Tomson
Center, Zhang Yang
Road, Shanghai,
China 200122.
Aviza Technology
China, Room 612,
International
Business Center,
No. 18, Hong Da
North Road, Beijing
Economics and
Technology
Development Area,
Beijing, China.
Beijing Bonded:
CIES, Electronics
Building, A23,
Fuxing Road,
Beijing, China
100036.
Shanghai Bonded:
SLC, Shanghai
Industrial--Wailian
fa International
Logistics Co.,
Ltd., Address: 13F
Waigaoqiao Building
889 Yang Gao Road
(N), Pudong,
Shanghai, China.
HMG Logistics
(Chengdu) Co.,
Ltd., Floor 1, No.
5 Standard
Warehouse, EPZ
(West Area),
Chengdu, China
611731.
Boeing Tianjin Composites 1A002.a; 1B001.f; Boeing Tianjin
Co. Ltd. 1C010.b; 1C010.e; Composites Co.
1D001 (limited to Ltd., No. 4-388
``software'' Heibei Road, Tanggu
specially designed Tianjin, China.
or modified for the
``development'',
``production'' or
``use'' of
equipment
controlled by
1B001.f) 1E001
(limited to
``technology''
according to the
General Technology
Note for the
``development'' or
``production'' of
items controlled by
1A002.a, 1B001.f,
1C010.b & .e, and
2B001.a); 2B001.b.2
(limited to machine
tools with
accuracies no
better than (i.e.,
less than) 13
microns); 2B001.e;
2D001 (limited to
``software,'' other
than that
controlled by
2D002, specially
designed or
modified for the
``development'',
``production'' or
``use'' of
equipment
controlled by
2B001.b.2 and
2B001.e); 2D002
(limited to
``software'' for
electronic devices,
even when residing
in an electronic
device or system,
enabling such
devices or systems
to function as a
``numerical
control'' unit,
capable of
coordinating
simultaneously more
than 4 axes for
``contouring
control''
controlled by
2B001.b.2 and
2B001.e).
* * * * * * *
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[[Page 19385]]
Dated: April 24, 2009.
Matthew S. Borman,
Acting Assistant Secretary for Export Administration.
[FR Doc. E9-9817 Filed 4-28-09; 8:45 am]
BILLING CODE 3510-33-P
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