Taiwan export control scope expansion of machine tools to Russia and Belarus
Date of publication: May 29, 2024
On April 08, 2024, Taichung Customs cited the new announcement from the Taiwan Customs about the expansion of the scope of export controls to prevent the Strategic High-tech Commodities (SHTCs) from getting involved in Russian military weapons.
Last year, the Ministry of Economic Affairs (MOEA) released the Export Control List for Dual Use Items and Technology and Common Military List, on September 21, 2023, in an effort to align with international sanctions and prevent its high-tech products from being used in the Russian’s military operations in Ukraine.
On February 08, 2024, Taiwan announced a ban on the export of 77 items of machine tools such as machine tools operated by the electric-discharge process to Russia and Belarus which became effective on March 08, 2024 that represented $45 million, or 1.47% of its total exports to Russia in 2023.
This new announcement expands the export control scope of machine tools, which is consistent with the control specifications of the other international alliances. It is based on the standard 6-digit code of the Harmonized Commodity Description and Coding System (HS Code), 77 items of HS code related to machine tools, including electrical discharge machines, metal working centers, lathes, milling machines, grinders, etc. are included in the control list. In addition, according to Article 13 of the Foreign Trade Act, exporters must truly declare the end user. To confirm that SHTCs will not eventually be exported to Russia and Belarus, the MOEA requires the exporters to submit an affidavit to prevent the transshipment of SHTCs to Russia and Belarus through a third country such as Turkey and the United Arab Emirates.
For more information, please refer to the website of International Trade Administration, Ministry of Economic Affairs.
If you still have questions, please contact:
The Export Section, Clearance Division II,
Tel: 04-26565101 extension 110.
This recent action by Taiwan is yet another indicator of the importance of having a robust export compliance program with policies and procedures targeted toward accurate classification of exported goods/services, attention to export controls, license management, end user identification and supply chain visibility to prevent diversion and circumvention scenarios.
For more information on how ONESOURCE Global Trade solutions can assist you in adopting our Global Trade Content and Export Controls, please contact your Account Manager or Client Services Manager.