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Federal Register / Vol. 86, No. 43 / Monday, March 8, 2021 / Rules and Regulations
Bureau of Industry and Security BIS
amends the Export Administration Regulations EAR to apply more restrictive treatment to exports and reexports to, and transfers within, Burma of items subject to the EAR. This action advances the U.S. Governments efforts to reduce the availability of items to Burmas military and security services.
DATES:

This rule is effective March 8,
2021.
FOR FURTHER INFORMATION CONTACT:

Tracy Patts, Foreign Policy Division, Office of Nonproliferation and Treaty Compliance, Bureau of Industry and Security, U.S. Department of Commerce, by email at Foreign.Policy@bis.doc.gov, or by phone at 2024824252.
SUPPLEMENTARY INFORMATION:
Background
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Burma Under the Export Administration Regulations On February 10, 2021, President Biden signed Executive Order E.O.
14014, Blocking Property With Respect to the Situation in Burma. See 86 FR
9429 Feb. 12, 2021. In E.O. 14104, the President declared a national emergency to address the threat posed to the United States by the situation in, and in relation to, Burma following a February 1, 2021 military coup, citing the militarys overthrow of the countrys democratically-elected government and arrest and detention of government leaders, human rights defenders, and journalists. See id. The United States had removed sanctions on Burma over the past decade based on progress toward democracy, and the reversal of that progress necessitated an immediate review of our sanction laws and authorities, followed by appropriate action. See President Bidens February 1, 2021 statement, available at https
www.whitehouse.gov/briefing-room/
statements-releases/2021/02/01/
statement-by-president-joseph-r-bidenjr-on-the-situation-in-burma/.
In response to the February 1, 2021
Burmese military coup, on February 18, 2021, BIS took action under the Export Administration Regulations, 15 CFR
parts 730774 EAR, and published a Federal Register notice announcing a more restrictive review policy for applications involving exports and reexports of items requiring a license under the EAR that are destined for Burmas military and security services and suspended the availability of certain license exceptions for items destined for Burma. See 86 FR 10011
Feb. 18, 2021. Taken together, the measures set forth in the February 18,
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2021 Federal Register notice and this final rule are consistent with recent actions taken by the Department of the Treasurys Office of Foreign Assets Control under E.O. 14104. Specifically, this rule: 1 moves Burma from Country Group B to the more restrictive Country Group D:1; 2 adds Burma to the countries subject to the national security licensing policy for certain military end uses and end users, and to the military end use and military end user restrictions; and 3 moves Burma from Computer Tier 1 to the more restrictive Computer Tier 3 in the Computers APP license exception.
Burma Under the EAR Prior to the February 18, 2021 Notice As a general matter, during a four-year period following BISs placement of Burma in Country Group B in December 2016, BIS did not maintain special controls on Burma. See 81 FR 94962
Dec. 27, 2016. Applications for items requiring a license for export or reexport to Burma were generally subject to caseby-case review consistent with the licensing policies set forth in Part 742
and other applicable parts of the EAR.
For purposes of License Exception Computers APP Section 740.7 of the EAR in August 2017, Burma was placed in Computer Tier 1, a relatively lessrestrictive placement. See 82 FR 38764, 8/15/17.
Prior to December 2016, BIS had imposed more significant restrictions on exports and reexports to Burma as part of a broad U.S. Government-wide embargo in effect for nearly two decades that had restricted trade with or involving Burma under a national emergency declared by President Bill Clinton pursuant to Executive Order 13047 of May 20, 1997, in response to repression by the then-governing regime in Burma. This emergency was extended and expanded by Presidents George W.
Bush and Barack Obama, who together issued five additional Burma-related Executive Orders. Between October 2007 and December 2016, Burma was located in Country Group D:1, Supp.
No. 1 to Part 740 of the EAR. It was located in Computer Tier 3, a relatively restrictive placement, for purposes of License Exception Computers APP
until August 2017. See 82 FR 38764, 8/
15/17. BIS also maintained license requirements in part 744 then 744.22
see 72 FR 60248, October 24, 2007, as modified by 74 FR 770, January 8, 2009, for the export, reexport, or transfer in country of most items subject to the EAR, to persons listed in or designated pursuant to three of the Burma-related Executive Orders.
Executive Order 13742 of October 7,
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2016, terminated the national emergency declared in Executive Order 13047 and revoked that Executive Order and the other Burma-related Executive Orders.
Notwithstanding the EAR changes made following the October 2016
termination of the embargo, Burma continued to be located in Country Group D:3 countries raising proliferation concerns related to chemical and biological weapons and Country Group D:5 U.S. armsembargoed countries, consistent with 126.1 of the International Traffic in Arms Regulations, 22 CFR parts 120
130.
Burma Under the EAR: February 18, 2021 Notice On February 1, 2021, the Burmese military overthrew the democraticallyelected government of Burma and detained President Win Myint and State Counsellor Aung San Suu Kyi and other parliamentarians affiliated with the National League for Democracy.
In response to this coup, as noted above, BIS issued a Federal Register notice effective February 18, 2021, adopting a more restrictive license application review policy of a presumption of denial for items subject to the EAR that require a license for export and reexport and that are destined for Burmas Ministry of Defense, Ministry of Home Affairs, armed forces, or security services. BIS
also suspended the use of four license exceptions set forth in part 740 of the EAR that would otherwise have generally been available to Burma as a result of its Country Group B placement:
Shipments of Limited Value LVS
740.3; Shipments to Group B
Countries GBS 740.4; Technology and Software under Restriction TSR
740.6; and Computers APP
740.7.
Changes Made by This Rule This rule strengthens export controls on Burma consistent with the policy concerns described in BISs February 18, 2021 notice. The actions in this rule support the United States Governments efforts to promote an immediate return to democracy in Burma, to underscore to Burmas security forces there must not be violence against civilians, and to stand in solidarity with the people of Burma, who continue to voice their desire for democracy, peace, and rule of law. In particular, this rule enhances the U.S. Governments efforts to ensure that items subject to the EAR are not available to Burmas military and security services. These measures also address the foreign policy and national
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