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On 28 April 2022, the UK introduced The Export Control (Amendment) Order 2022, amending the Export Control Order 2008 (S.I. 2008/3231), which will come into force on 19 May 2022. An additional control on military end-use will apply; however there are no amendments to the underlying dual-use regulation and the existing end-use control will continue to apply separately.

The Amendment provides for the following in particular:

Prohibition

The export of dual-use goods, software or technology items (“Items“) and the electronic transfer of the Items to a destination outside of the UK will be prohibited where the Items are not listed in Annex I to Council Regulation (EC) No. 428/2009 and are for use by:

  • any military, para-military or police forces, security services or intelligence services (“Relevant Entity“) of an embargoed destination according to the Export Control Organisation list or of a destination subject to an arms embargo imposed by the Organization for Security and Co-operation in Europe or Security Council of the United Nations; or
  • any person involved in the procurement, research, development, production or use of the Items at the direction of the Relevant Entity.

This new control applies only where the exporter is informed of the military end-use by the Secretary of State.

Exceptions

The above prohibition will not apply to the export of consumer goods, medical goods or the transfer of software or technology in the public domain.

Embargoed destinations

China, the Hong Kong Special Administrative Region and the Macao Special Administrative Region will be added to the list of embargoed destinations.

Offences and penalties

A person who contravenes the above prohibition commits an offence and may be arrested. There is no requirement that the person knows or suspects that the Items may be used by a Relevant Entity.

Author

Sunny Mann is a Partner in Baker McKenzie's London office and co-leads the UK Compliance and Investigations Practice, as well as the UK International Commercial and Trade Practice. Both these practices are ranked Tier 1 by Legal 500 UK. He has also worked in our Firm's Washington DC, New York and Sydney offices. Sunny also advises many clients on risk matters in India. He advises clients (including numerous FTSE 100 and Fortune 100 businesses) on compliance and investigations with respect to export controls, trade sanctions and anti-bribery rules. The Legal 500 ranked Sunny as a “Leading Practitioner", and as "excellent", with a ‘calm’ and "very practical" approach. The India Business Law Journal also noted that Sunny is "excellent and has deep experience in India". He is a Visiting Professor at the College of Europe, the leading institute for post-graduate European studies, where he teaches a course on Corporate Compliance.

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