We use cookies to give you the best online experience. By using our website you agree to our use of cookies in accordance with our cookie policy. Learn more here.Close Me
On 15 June 2012, the Council of the European Union (Council)
approved
Council Regulation (EU) No 11222/12, enhancing EU sanctions on
luxury and dual use goods exported to Syria. These regulations
entered into force on 17 June 2012. These measures are the latest
in a series of Regulations and Decisions, beginning on 9 May 2011,
which have increased the scope of sanctions against designated
government officials and agencies of Syria, in response to the
current political and humanitarian situation arising from
repression by the Assad regime. Council Regulation (EU) No 11222/12
follows the expansion of EU restrictions,
discussed in a prior advisory, against Syria and the Government
of Syria.
The key new developments prohibit the export to Syria of certain
categories of luxury and dual use goods, and subject other dual use
goods to prior authorization by the EU. The restrictions apply
irrespective of the origin of the regulated goods, and to any
person, entity, or body in Syria, or for use in Syria. The Council
also allows for the waiver of the restriction where a license is
first obtained and exported goods and technology are for food,
agricultural, medical and other humanitarian purposes.
(1) Prohibition on Exports of Luxury Goods to
Syria. Examples include:
Caviar, truffles, and cigars, exceeding 10 Euros per item in
sales price;
Wines and spirits, exceeding 50 Euros per liter in sales
price;
Leather goods, exceeding 200 Euros per item; Garments and
shoes, exceeding 600 Euros;
Jewelry, gems, and pearls;
Tableware, clocks, and watches, exceeding 200 Euros, lead
crystal glassware, exceeding 200 Euros; and
Luxury vehicles, planes and boats, and new vehicles exceeding
25,000 Euros.
(2) Prohibition on Exports of Dual Use Goods to
Syria. Examples include:
Protection and detection equipment, including gas masks and
protective suits;
Chemical manufacturing facilities, including reaction vessels
and storage tanks;
Chemicals that may be used as precursors for toxic chemical
agents; and
Human, animal and plant pathogens, including certain viruses,
bacteria, and toxins.
(3) Dual Use Goods Subject to Authorization Prior to
Export to Syria. Examples of dual use goods that require
prior authorization under the most recent EU regulation
include:
Certain chemicals and toxins;
Laboratory equipment and chemical manufacturing facilities,
such as valves or vacuum pumps; and
Technology and software required for the development,
production or use of goods requiring authorization for export to
Syria.
Status of US Sanctions on Syria Compared to EU
Regulations
Like the EU, the United States has implemented increasing
sanctions against Syria targeting those responsible for the
political and humanitarian situation. US export controls and
sanctions are currently broader than the EU trade embargo. Since
2004, the United States has imposed an export license requirement,
and a policy of general denial, for the export and re-export to
Syria of all US-origin commodities, software, and
technology, i.e., subject to the Export Administration Regulations
(EAR), including but not limited to luxury and dual use goods,
other than food and medicine designated "EAR99."
On August 18, 2011, President Obama imposed more expansive
economic sanctions on Syria, restricting US persons from providing
"services" to Syria and making new investments in Syria.
Although these sanctions do not directly prohibit US persons from
exporting or reexporting non-US-origin goods from third countries
to Syria, the restriction on services could prevent US persons from
engaging in such business dealings, unless a license is first
obtained from the US Government or an applicable exemption,
exception, or general authorization can be used. There is some risk
that the US Government could, in certain circumstances, view
activities by a US person to support, finance, or broker sales of a
non-US origin good as an unlawful export of services to Syria.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
A discussion on the importance of the country of origin analysis, in the light of a settlement reached between the US Department of Justice and an importer of pigment.
Coming just three days after the TTP parties accepted Japan's entry bid, and less than a month since Japanese Prime Minister Shinzo Abe's announcement that Japan would apply to join the talks, the move clears the way for new trade proposals that carry significant consequences for the U.S. automotive sector.
On Tuesday, January 2, 2013 President Obama signed into law the FY 2013 National Defense Authorization Act (the "FY 2013 NDAA"), a large legislative package that includes the Iran Freedom and Counter-Proliferation Act of 2012 (the "IFCPA") -- the fourth major legislative expansion of US sanctions against Iran in just the past two years.
