Bill Summary
The "Maintaining American Superiority by Improving Export Control Transparency Act" amends the Export Control Reform Act of 2018 to enhance transparency concerning export licenses. Under the new provisions, the Secretary of Commerce is required to submit an annual report to designated congressional committees detailing end-use checks and license applications related to controlled items. The report must include specific information about each license request, such as the applicant's details, item description, end-user information, and the outcome of the application.
To ensure confidentiality, sensitive information is exempt from public disclosure, particularly if it could compromise ongoing investigations. The Act also defines "covered entities" as those located in certain countries and listed in specific regulations, thereby focusing oversight on entities that may pose risks related to U.S. export controls. This legislation aims to bolster U.S. export control measures and maintain national security by improving accountability and transparency in the licensing process.
Possible Impacts
The "Maintaining American Superiority by Improving Export Control Transparency Act" can affect people in various ways. Here are three examples:
1. **Increased Job Security for Compliance Professionals**: With the new requirements for more detailed reporting and end-use checks related to export licenses, companies involved in international trade may need to hire additional compliance professionals or consultants to navigate the complexities of the new regulations. This could lead to increased job security and opportunities for individuals in legal, compliance, and regulatory roles within the export sector.
2. **Enhanced Oversight and Accountability**: The requirement for the Secretary to report on license applications and end-use checks regularly may lead to greater accountability for exporters and more stringent oversight of potentially risky transactions. For individuals in countries where exports are controlled—especially those on the lists mentioned in the legislation—this could mean a lower likelihood of unauthorized or harmful exports, leading to improved safety and security in their regions.
3. **Impact on Exporters and Businesses**: The additional transparency measures may make it more challenging for some companies to obtain export licenses, particularly if they are dealing with entities in countries considered high-risk. This could affect their business operations and profitability, leading to potential layoffs or decreased investment in certain sectors. Exporters may need to adapt their strategies, which could also influence market competition and innovation.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1316 Enrolled Bill (ENR)]
H.R.1316
One Hundred Nineteenth Congress
of the
United States of America
AT THE FIRST SESSION
Begun and held at the City of Washington on Friday,
the third day of January, two thousand and twenty-five
An Act
To amend the Export Control Reform Act of 2018 relating to licensing
transparency.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Maintaining American Superiority by
Improving Export Control Transparency Act''.
SEC. 2. LICENSING TRANSPARENCY.
Section 1756 of the Export Control Reform Act of 2018 (50 U.S.C.
4815) is amended by adding at the end the following:
``(e) Report.--
``(1) In general.--Not later than one year after the date of
the enactment of this subsection, and not less frequently than
annually thereafter, the Secretary, shall, subject to the
availability of appropriations, submit to the appropriate
congressional committees a report on end-use checks related to, as
well as license applications and other requests for authorization
for the export, reexport, release, and in-country transfer of items
controlled under this part to covered entities.
``(2) Elements.--The report required by paragraph (1) shall
include, with respect to the preceding one year-period, the
following:
``(A) For each license application or other request for
authorization, the name of the entity submitting the
application, a brief description of the item (including the
Export Control Classification Number (ECCN) and reason for
control, if applicable), the name of the end-user, the end-
user's location, a value estimate, decision with respect to the
license application or authorization, and the date of
submission.
``(B) The date, location, and result of any end-use checks,
to ensure compliance with United States export controls.
``(C) Aggregate statistics on all license applications and
other requests for authorization as described in subparagraph
(A).
``(3) Confidentiality of information.--The information required
to be provided in the reports required by this subsection (other
than the information required by paragraph (2)(C)) shall be exempt
from public disclosure pursuant to section 1761(h)(1).
``(4) Protecting enforcement information.--In preparing and
submitting a report under subsection (e), the Secretary shall
ensure that information that may jeopardize an ongoing
investigation shall not be included in the contents of the report.
``(5) Definitions.--In this subsection--
``(A) the term `appropriate congressional committees'
means--
``(i) the Committee on Foreign Affairs of the House of
Representatives; and
``(ii) the Committee on Banking, Housing, and Urban
Affairs of the Senate; and
``(B) the term `covered entity' means any entity that--
``(i) is located in a country listed in Country Group
D:5 under Supplement No. 1 to part 740 of title 15, Code of
Federal Regulations; and
``(ii) is included on--
``(I) the list maintained and set forth in
Supplement No. 4 to part 744 of the Export
Administration Regulations; or
``(II) the list maintained and set forth in
Supplement No. 7 to part 744 of the Export
Administration Regulations.''.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.