Stéphane CHARDON

Coordinator for export controls

DG TRADE

European Commission

EU export controls: 2019 update

1.1 EVOLUTION OF THE POLICY & REGULATORY

FRAMEWORK: UPDATING THE EU LIST OF DUAL-USE ITEMS

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• Commission Delegated Regulation C(2019)7313

• of 17 October 2019 updating Annex I in light of decisions of export control regimes in 2018

• Publication in Official Journal on 30 December 2019, entry into force on 31 December2019.

1.2 EVOLUTION OF THE POLICY & REGULATORY

FRAMEWORK: UPDATING THE EU LIST OF DUAL-USE ITEMS

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2018

1.3 EVOLUTION OF THE POLICY & REGULATORY

FRAMEWORK: THE BREXIT CONTINGENCY MEASURES

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1.4 EVOLUTION OF THE POLICY & REGULATORY FRAMEWORK: MODERNISATION OF EU EXPORT CONTROLS

• Commission proposal:

28 Sept. 2016

• European Parliament

position: 17 January 2018

• Council position: 5 June 2019

• Trilogues: 10 October 2019,

13 November 2019

1.5 EVOLUTION OF THE POLICY & REGULATORY FRAMEWORK: MODERNISATION OF EU EXPORT CONTROLS

• “Human security dimension”: EU autonomous controls on dual-use items / cyber-surveillance technology to prevent human rights

violations

• Harmonisation and simplification of controls: reduce administrative burden / enhance effectiveness of controls

• Consistent implementation & enforcement: enhanced information exchange, interconnected IT systems, enforcement cooperation

• Transparency and partnership with the private sector

• Cooperation with third countries: towards a global level-playing field

2.1 IMPLEMENTATION OF CONTROLS: DEVELOPMENT

OF THE IT INFRASTRUCTURE

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• Continuous development of the Dual-Use electronicSystem (DUeS - new functionalities)

• Electronic licensing pilot

project (IT, LV, RO, EL, WA) –

deployment in 2020

2.2 IMPLEMENTATION OF CONTROLS: DEVELOPMENT

OF GUIDELINES

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• 2018 Technical Expert Group

Public consultation (Sept.-Nov.

2018)

Commission Recommendation

of 30 July 2019

• 2019 Technical Expert Group

on the development of guidelines

for dual-use research

3.1 Information exchange and transparency

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• Annual Export Control Report: COM(2019)562, 4 Nov.2019 (renewal of 5-year delegation of competence)

• Annex on national enforcement measures

• Information Notice on national measures (C304/3, 20August 2016) – updated Information Notice in preparation,to be adopted early 2020

• Updated Dual-Use–Customs Correlation Table

3.2 INFORMATION EXCHANGE AND TRANSPARENCY

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Total value of controlled trade: EUR 50,2 bn (2,7% of EU exports)Total value of licensed trade: EUR 36,6 bn(25,600 individual licences)

631 denials (0,04%of EU exports)

3.3 INFORMATION EXCHANGE AND TRANSPARENCY

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3.4 INFORMATION EXCHANGE AND TRANSPARENCY

EXPORTS OF CYBERSURVEILLANCE TECHNOLOGY

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0

50

100

150

200

250

2014 2015 2016 2017

5A001.f

5A001.j

4A005, 4D004, 4E001a/c

4.1 OUTREACH / PARTNERSHIP WITH THE PRIVATE

SECTOR

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Public consultations

Technical Expert Groups

Workshops/seminars

5. THE US-CHINA TECH-TRADE CONFRONTATION: CONFRONTING NEW TRADE AND SECURITY CHALLENGES?

• US Export Control Reform Act (2018):

towards additional controls on “emerging

and foundational technologies” + FIRRMA

• US controls Chinese tech.

companies e.g. Huawei, Xinjiang

• US E.O. on securing the ICT supply chain

• Chinese draft export control law, list of “unreliable entities”

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For more information: DG Trade website:

http://ec.europa.eu/trade/import-and-export-rules/export-from-eu/dual-use-controls/

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