On April 8, the Bureau of Industry and Security (BIS) issued a final rule that added the following seven Chinese entities to the Entity List:
- National Supercomputing Center Jinan
- National Supercomputing Center Shenzhen
- National Supercomputing Center Wuxi
- National Supercomputer Center Zhengzhou
- Shanghai High-Performance Integrated Circuit Design Center
- Sunway Microelectronics
- Tianjin Phytium Information Technology
The entities were added on the basis of the End User Review Committee’s (ERC) finding that procurement of U.S.-origin items would support activities contrary to the national security and foreign policy interests of the U.S. Specifically, the final rule stated that the entities are involved in activities that support China’s military actors, its destabilizing military modernization efforts, and/or its weapons of mass destruction (WMD) programs.
For all seven entities, BIS imposed a licensing requirement for exports, reexports, or transfers (in-country) for all items subject to the Export Administration Regulations (“EAR”). No license exceptions apply and license applications are subject to a presumption of denial.
Items that were en route on April 8, 2021 or within a foreign destination are allowed to proceed to the destination under the previous eligibility for a license exception or export, reexport, or transfer (in-country) without a license (NLR).