I 
119TH CONGRESS 
1ST SESSION H. R. 4530 
To apply licensing requirements under the Export Control Reform Act of 
2018 to subsidiaries of entities listed on the Entity List or Military 
End User List, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 17, 2025 
Mr. SELF (for himself and Mr. CASE) introduced the following bill; which was 
referred to the Committee on Foreign Affairs 
A BILL 
To apply licensing requirements under the Export Control 
Reform Act of 2018 to subsidiaries of entities listed 
on the Entity List or Military End User List, and for 
other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Suppressing Tactics 
of Prohibited Shells Act’’ or the ‘‘STOP Shells Act’’. 
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SEC. 2. APPLICATION OF LICENSING REQUIREMENTS 
UNDER THE EXPORT CONTROL REFORM ACT 
OF 2018 TO SUBSIDIARIES OF ENTITIES LIST-
ED ON THE ENTITY LIST OR MILITARY END 
USER LIST. 
(a) IN GENERAL.—The Secretary of Commerce is au-
thorized to and shall apply the licensing requirement 
under the Export Control Reform Act of 2018 to affiliates 
owned 50 percent or more in aggregate, directly or indi-
rectly, by an entity listed on the Entity List or the Mili-
tary End User List. 
(b) FOREIGN
DIRECT
PRODUCT
RULE
ASSESS-
MENT.— 
(1) IN GENERAL.—Prior to adding an entity to 
the Entity List or Military End User List, the Sec-
retary of Commerce shall conduct an assessment to 
determine whether application of the Foreign Direct 
Product Rule to the licensing requirement for the 
entity would advance United States national security 
or foreign policy interests. 
(2) CONGRESSIONAL NOTIFICATION.—Not later 
than 2 days after adding an entity to the Entity 
List, the Secretary shall provide the appropriate 
congressional committees with the respective Foreign 
Direct Product Rule Assessment for the entity. 
(c) WAIVER.— 
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(1) IN GENERAL.—Subject to subsection (d), 
the Secretary of Commerce is authorized to exempt, 
on a case-by-case basis, from the requirement set 
forth in subsection (a) any entity determined by the 
Secretary of Commerce, in consultation with the 
Secretaries of State, Defense, and Energy, whose ex-
emption is in the national security interest of the 
United States. 
(2) CONGRESSIONAL NOTIFICATION.—Not later 
than 2 days after issuing a waiver under this sub-
section, the Secretary shall notify the appropriate 
congressional committees and include a detailed ex-
planation of the national security or foreign policy 
interest that justified the waiver. 
(d) DEFINITIONS.—In this section— 
(1) the term ‘‘Entity List’’ means the list main-
tained by the Bureau of Industry and Security of 
the Department of Commerce and set forth in Sup-
plement No. 4 to part 744 of title 15, Code of Fed-
eral Regulations, or successor regulations; 
(2) the term ‘‘Military End User List’’ means 
the list maintained by the Bureau of Industry and 
Security of the Department of Commerce and set 
forth in Supplement No. 7 to part 744 of title 15, 
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Code of Federal Regulations, or successor regula-
tions; and 
(3) the term ‘‘Foreign Direct Product Rule’’ 
has the meaning as described in part 734.9 of title 
15, Code of Federal Regulations, or successor regu-
lations. 
Æ 
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