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The Department of Commerce recently published the 2020 Regulatory Agenda for the Bureau of Industry and Security (BIS) which details the current slate of upcoming rules and their various stages of completion.

We are looking forward to seeing the highly-anticipated “Clarification of the Definition of a Routed Export Transaction” proposed rule, which BIS has listed for September. This rule will clarify “parties’ responsibilities under the Export Administration Regulations (EAR) in a “routed export transaction” and will also “when and how a U.S. principal party in interest (USPPI) may delegate its responsibilities to determine license requirements and apply for a license to the foreign principal party in interest.”

It is also set to clarify a “parties’ responsibilities under the EAR in a “routed export transaction” when the USPPI maintains its responsibility for license requirements determination and licensing.” BIS says these changes will resolve perceived differences with the definition of “routed export transactions” in the Census Bureau’s Foreign Trade Regulations, decrease exporter confusion when determining whether to classify their transaction as a “routed export transaction” and clarify what the respective rights and responsibilities of each party are under the EAR.

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