In an update to our prior alert published last month, the Bureau of Industry and Security (BIS) has taken several additional actions further restricting Myanmar (Burma)’s access to items subject to the Export Administration Regulations (EAR).  Last month, BIS publicly stated it was considering additional export control restrictions and as predicted, on March 4, 2021, announced the following actions in two separate rules (here and here):

  1. Military End User (MEU) Rule: First, and most notably, BIS has expanded the MEU rule to include an additional country, Burma, that is now subject to the enhanced end-use and end-user controls subject of the MEU rule in § 744.21 of the EAR. This actions also opens up Burmese entities to be identified on the MEU List in Supplement No. 7 to Part 744 of the EAR. Previously, this rule was limited to only end-users and end-uses in China, Russia, and Venezuela.
  2. Entity List: BIS added the following entities to the Entity List imposing a license requirement with a presumption of denial for all items subject to the EAR – the Burmese Ministries of Defence and Home Affairs, the Myanmar Economic Corporation, and the Myanmar Economic Holding Limited. In the Federal Register notice, BIS explained “this rule enhances the U.S. Government’s efforts to ensure that items subject to the EAR are not available to Burma’s Ministry of Defence and the Ministry of Home Affairs, the entities responsible for the coup, or the two commercial entities owned and operated by the Ministry of Defence, Myanmar Economic Corporation and Myanmar Economic Holdings Limited, which provide revenue for the Ministry of Defence.”
  3. Country Group: BIS downgraded Burma’s country group status from Country Group B to the more restrictive Country Group D:1. This move drastically limits the use of license exceptions, including Shipments of Limited Value (LVS), Shipments to Group B Countries (GBS), and Technology and Software under Restriction (TSR) among others.
  4. Computer Tier 3: Finally, Burma was reclassified from Computer Tier 1 to Computer Tier 3 under the License Exception Computers (APP).
Print:
Email this postTweet this postLike this postShare this post on LinkedIn
Photo of Jeffrey L. Snyder Jeffrey L. Snyder

Since 1986, Jeff’s practice has concentrated on the U.S. regulation of international trade. Clients seek him out for troubleshooting and problem solving in cross-border transactions. Jeff advises on import, export, and sanctions laws. He develops approaches for multinationals to manage the impact of…

Since 1986, Jeff’s practice has concentrated on the U.S. regulation of international trade. Clients seek him out for troubleshooting and problem solving in cross-border transactions. Jeff advises on import, export, and sanctions laws. He develops approaches for multinationals to manage the impact of U.S. extraterritorial regulations. Jeff assists companies in day-to-day compliance with these laws, and with interventions — such as audits and investigations, and civil enforcement proceedings.

Read more about Jeffrey L. Snyder
Show more Show less
Photo of Chandler Leonard Chandler Leonard

Chandler S. Leonard is an associate in Crowell & Moring’s Washington, D.C. office and a member of the firm’s International Trade Group. Chandler’s practice focuses on export controls and economic sanctions issues, including voluntary disclosures and enforcement matters before the Departments of Commerce…

Chandler S. Leonard is an associate in Crowell & Moring’s Washington, D.C. office and a member of the firm’s International Trade Group. Chandler’s practice focuses on export controls and economic sanctions issues, including voluntary disclosures and enforcement matters before the Departments of Commerce, State, and Treasury. Chandler has experience analyzing and advising U.S. and non-U.S. companies with respect to proposed transfers of U.S. origin technology, software, hardware, and services. She has performed jurisdictional and classification analyses under the ITAR and EAR, including drafting Commodity Jurisdiction requests and CJ Reconsideration requests. She assists in developing and/or reviewing U.S. export and sanctions compliance programs, including risk assessments. Chandler also has experience training a wide variety of audiences, both U.S. and foreign, on compliance with U.S. export control and sanctions requirements.

Read more about Chandler Leonard
Show more Show less
Related Posts
President Biden Imposes Sanctions & Export Controls on Myanmar In Response to Military Coup
February 16, 2021
BIS Issues “Affiliates Rule” to Dramatically Expand Applicability of Entity and Military End-User Lists
October 7, 2025
BIS Rule on Military Intelligence End User Restrictions Becomes Effective Despite White House Regulatory Review
April 2, 2021