Source: https://www.federalregister.gov/documents/2014/12/01/2014-28221/amendments-to-existing-validated-end-user-authorization-in-the-peoples-republic-of-china-lam
Timestamp: 2017-10-18 15:27:23
Document Index: 674993771

Matched Legal Cases: ['art 748', 'art 748', 'art 774', 'art 748', 'art 748', 'art 748', 'art 748', 'art 748', 'art 748']

Federal Register :: Amendments to Existing Validated End-User Authorization in the People's Republic of China: Lam Research Service Co., Ltd.
71014-71019 (6 pages)
0694-AG36
BIS-2014-0044
Amendments to Existing Validated End-User Authorization in the People's Republic of China (PRC)
Revisions to the List of “Eligible Destinations” for Validated End User Lam Research Service Co., Ltd. (Lam)
https://www.federalregister.gov/d/2014-28221 https://www.federalregister.gov/d/2014-28221
In this rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) to revise the existing authorization for Validated End User (VEU) Lam Research Service Co., Ltd. (Lam) in the People's Republic of China (PRC). Specifically, BIS amends Supplement No. 7 to part 748 of the EAR to change two addresses for Lam's eligible facilities (also known as “eligible destinations”), remove two existing facilities, and add eight eligible facilities.
Mi-Yong Kim, Chair, End-User Review Committee, Office of the Assistant Secretary, Export Administration, Bureau of Industry and Security, U.S. Department of Commerce, Phone: 202/482-5991; Fax: 202/482-3911; Email: ERC@bis.doc.gov.
Validated End Users (VEUs) are designated entities located in eligible destinations to which eligible items may be exported, reexported, or transferred (in-country) under a general authorization instead of a license. The names of the VEUs, as well as the dates they were so designated, and their respective eligible destinations and items are identified in Supplement No. 7 to part 748 of the EAR. Under the terms described in that supplement, VEUs may obtain eligible items without an export license from BIS, in conformity with Section 748.15 of the EAR. Eligible items vary between VEUs and may include commodities, software, and technology, except those controlled for missile technology or crime control reasons on the Commerce Control List (CCL) (part 774 of the EAR).
VEUs are reviewed and approved by the U.S. Government in accordance with the provisions of Section 748.15 and Supplement Nos. 8 and 9 to part 748 of the EAR. The End-User Review Committee (ERC), composed of representatives from the Departments of State, Defense, Energy, and Commerce, and other agencies, as appropriate, is responsible for administering the VEU program. BIS amended the EAR in a final rule published on June 19, 2007 (72 FR 33646) to create Authorization VEU.Start Printed Page 71015
In this final rule, BIS amends Supplement No. 7 to part 748 of the EAR to revise Lam's VEU authorization. BIS is not making these changes in response to activities of concern. BIS is making these changes at the request of the company. Specifically, this rule changes the address of two Lam facilities in the PRC to which eligible items may be exported, reexported or transferred (in-country) using Authorization VEU. The two facilities (“Eligible destination”) and their respective current and new addresses are as follows:
Lam Research International Sarl (Lam Beijing Warehouse)
Lam Research International Sarl (Lam Beijing Warehouse), c/o Beijing Lam Electronics Tech Center, No. 8 Building No. 1, Disheng North Street, Beijing Economic & Technological Development Area, Beijing, China 100176.
Lam Research International Sarl (Lam Beijing Warehouse), c/o Beijing Lam Electronics Tech Center, 1 Building, No. 28, Jinghai Second Road, BDA, Beijing, China 100176.
Lam Research Service Co., Ltd. (Beijing Branch)
Lam Research Service Co., Ltd. (Beijing Branch), Rm. 1010, Zhaolin Building, No. 15 Rong Hua Zhong Road, Beijing Economic & Technological Development Area, Beijing, China 100176.
Lam Research Service Co., Ltd. Beijing Branch, 6th Floor, Building 52, No.2, Jingyuan North Street, Beijing Economic & Technological Development Area, Beijing, China 100176.
This rule does not change the eligible items, identified in Supplement No. 7 to part 748, that may be exported, reexported or transferred (in-country) to these two facilities.
This rule also removes two of Lam's existing eligible facilities. The facilities removed by this rule are as follows:
Lam Research Semiconductor (Suzhou) Co., Ltd. (Suzhou) A Division of Lam Research International Sarl, A-2 Building, Export Processing Zone, Suzhou New District, Jiangsu Province, China 215151.
Lam Research (Shanghai) Co., Ltd., No.1 Jilong Road, Room 424-2, Waigaoqiao Free Trade Zone, Shanghai, China 200131.
Finally, this rule adds eight facilities to Lam's authorization. As a result of this rule, Lam's total number of eligible facilities is 18. The eight new facilities and their respective eligible items (“Eligible items (by ECCN)”) are as follows:
New Facilities (1) through (6):
(1) Lam Research International Sarl (Lam Shanghai Warehouse Operator), c/o Shanghai Well-win Logistics Co., Ltd., No. 2667 Zuchongzhi Road, Pudong New District, Shanghai, China.
(2) Lam Research International Sarl (Lam Beijing Warehouse), c/o China International ElectronicService Company, 1 Building, No. 28, Jinghai Second Road, BDA, Beijing, China 100176.
(3) Lam Research International Sarl (Lam Beijing Warehouse), c/o Beijing STE International Logistics Co., Ltd., Building 3, No. 9 Ke Chuang Er Street, Beijing Economic & Technological Development Area, Beijing, China 100176.
(4) Lam Research International Sarl (Lam Dalian Warehouse), c/o JD Logistics Dalian Bonded Logistic Co., Ltd., No.1 Public Warehouse, Dalian Bonded Logistics Zone, Dalian, China 116600.
(5) Lam Research International Sarl (Lam Xi'an Warehouse), c/o VR International Logistics (Xi'an) Co., Ltd., No. 28 Information Road, EPZ B Zone, Xian New District, Xian, China 710119.
(6) Lam Research International Sarl (Wuxi Bonded Warehouse for CIQ inspection), c/o SinoTrans Jiangsu Fuchang Logistics Co., Ltd., No. 1 Xiqin Road, Area A, Export Processing Zone, New District, Wuxi, China 214028.
The eligible items for new facilities (1) through (6) are 2B230, 2B350.c, 2B350.d, 2B350.g, 2B350.h, 2B350.i, 3B001.c and 3B001.e (items classified under ECCNs 3B001.c and 3B001.e are limited to “specially designed” components and accessories), 3D001 (limited to “software” (excluding source code) “specially designed” for the “development” or “production” of equipment controlled by ECCN 3B001), 3D002 (limited to “software” (excluding source code) “specially designed” for the “use” of equipment controlled by ECCN 3B001), and 3E001 (limited to “technology” according to the General Technology Note for the “development” of equipment controlled by ECCN 3B001). These ECCNs are identified by a single asterisk in the “Eligible items (by ECCN)” Column of the entry for Lam in Supplement No. 7 to part 748.
New Facilities (7) and (8):
(7) Lam Research Service Co., Ltd. (Lam Dalian Representative Office), c/o Intel Semiconductor (Dalian) Ltd., No. 109 Huaihe Road East, Dalian Economic & Technical Development Area, Dalian, China 116600.
(8) Lam Research Service (Shanghai) Co., Ltd. Xi'an Branch, Room 602, Building G, Wangzuo Xiandai City, 35 Tangyan Road, Gaoxin District, Xi'an, China 710065.
The eligible items for new facilities (7) and (8) are as follows 2B230, 2B350.c, 2B350.d, 2B350.g, 2B350.h, 2B350.i, 3B001.c and 3B001.e (items classified under ECCNs 3B001.c and 3B001.e are limited to “specially designed” components and accessories), 3D001 (limited to “software” (excluding source code) “specially designed” for the “development” or “production” of equipment controlled by ECCN 3B001), 3D002 (limited to “software” (excluding source code) “specially designed” for the “use” of equipment controlled by ECCN 3B001), and 3E001 (limited to “technology” according to the General Technology Note for the “development” or “production” (limited to those stages that support integration, assembly (mounting), inspection, testing, and quality assurance) of equipment controlled by ECCN 3B001). These items are identified by two asterisks in the “Eligible items (by ECCN)” Column of the entry for Lam in Supplement No. 7 to part 748.
To conform with Section 772.1 of the EAR, this rule adds quotation marks to the term “specially designed” in the list of eligible items for Lam's facilities.
Although the Export Administration Act expired on August 20, 2001, the President, through Executive Order 13222 of August 17, 2001, 3 CFR, 2001 Comp., p.783 (2002), as amended by Executive Order 13637 of March 8, 2013, 78 FR 16129 (March 13, 2013) and as extended by the Notice of August 7, 2014, 79 FR 46959 (August 11, 2014), has continued the Export Administration Regulations in effect under the International Emergency Economic Powers Act.
BIS continues to carry out the provisions of the Export Administration Act, as appropriate and to the extent permitted by law, pursuant to Executive Order 13222 as amended by Executive Order 13637.
1. Executive Orders 13563 and 12866 direct agencies to assess all costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory Start Printed Page 71016approaches that maximize net benefits (including potential economic, environmental, public health and safety effects, distributive impacts, and equity). Executive Order 13563 emphasizes the importance of quantifying both costs and benefits, reducing costs, harmonizing rules, and promoting flexibility. This rule has been determined to be not significant for purposes of Executive Order 12866.
The information, commitments, and criteria for this extensive review were all established through the notice of proposed rulemaking and public comment process (71 FR 38313 (July 6, 2006) (proposed rule), and 72 FR 33646 (June 19, 2007) (final rule)). Given the similarities between the authorizations provided under the VEU program and export licenses (as discussed further below), the publication of this information does not establish new policy. In publishing this final rule, BIS updates addresses, adds eligible destinations, and removes eligible destinations of that VEU. These changes have been made within the established regulatory framework of the VEU program. Further, this rule does not abridge the rights of the public or eliminate the public's option to export under any of the forms of authorization set forth in the EAR.
Section 553(d) of the APA generally provides that rules may not take effect earlier than thirty (30) days after they are published in the Federal Register. BIS finds good cause to waive the 30-day delay in effectiveness under 5 U.S.C. 553(d)(3) because the delay would be contrary to the public interest. BIS is simply amending the authorization of an existing VEU by updating two addresses, removing two existing facilities, and adding eight additional facilities, consistent with established objectives and parameters administered and enforced by the responsible designated departmental representatives to the End-User Review Committee. Delaying this action's effectiveness could cause confusion regarding which facilitates and items are authorized by the U.S. Government and in turn stifle the purpose of the VEU Program. Accordingly, it is contrary to the public interest to delay this rule's effectiveness.
2. Amend Supplement No. 7 to part 748 by revising the entry for “Lam Research Service Co., Ltd.” in “China (People's Republic of)” to read as follows: Start Printed Page 71017
Lam Research Service Co., Ltd. These Items Authorized for those Lam's Destinations Identified by a single asterisk (*): 2B230, 2B350.c, 2B350.d, 2B350.g, 2B350.h, 2B350.i, 3B001.c and 3B001.e (items classified under ECCNs 3B001.c and 3B001.e are limited to “specially designed” components and accessories), 3D001 (limited to “software” (excluding source code) “specially designed” for the “development” or “production” of equipment controlled by ECCN 3B001), 3D002 (limited to “software” (excluding source code) “specially designed” for the “use” of equipment controlled by ECCN 3B001), and 3E001 (limited to “technology” according to the General Technology Note for the “development” of equipment controlled by ECCN 3B001). * Lam Research International Sarl (Lam Shanghai Warehouse), c/o HMG Supply Chain (Shanghai) Co., Ltd., No. 3869, Longdong Avenue, Pudong New District, Shanghai, China 201203 * Lam Research International Sarl (Lam Shanghai Warehouse; WGQ Bonded Warehouse), c/o HMG Supply Chain (Shanghai) Co., Ltd., No. 55, Fei la Road, Waigaoqiao Free Trade Zone, Pudong New Area, Shanghai, China 200131 * Lam Research International Sarl (Lam Beijing Warehouse), c/o Beijing Lam Electronics Tech Center, 1 Building, No. 28, Jinghai Second Road, BDA, Beijing, China 100176 * Lam Research International Sarl (Wuxi EPZ Bonded Warehouse), c/o HMG WHL Logistic (Wuxi) Co., Ltd., 1st Fl, Area 4, No. 1, Plot J3, No. 5 Gaolang East Road, Export Processing Zone, Wuxi, China 214028 75 FR 62462, 10/12/10. 77 FR 10953, 2/24/12. 78 FR 3319, 1/16/13. 78 FR 54752, 9/6/13. 79 FR [INSERT PAGE NUMBER], 12/1/14.
* Lam Research International Sarl (Lam Shanghai Warehouse Operator), c/o Shanghai Well-win Logistics Co., Ltd., No. 2667 Zuchongzhi Road, Pudong New District, Shanghai, China
* Lam Research International Sarl (Lam Beijing Warehouse), c/o China International Electronic Service Company, 1 Building, No. 28, Jinghai Second Road, BDA, Beijing, China 100176
* Lam Research International Sarl (Lam Beijing Warehouse), c/o Beijing STE International Logistics Co., Ltd., Building 3, No. 9 Ke Chuang Er Street, Beijing Economic & Technological Development Area, Beijing, China 100176
*Lam Research International Sarl (Lam Dalian Warehouse), c/o JD Logistics Dalian bonded logistic Co., Ltd., No. 1 Public Warehouse, Dalian Bonded Logistics Zone, Dalian, China 116600
*Lam Research International Sarl (Lam Xi'an Warehouse), c/o VR International Logistics (Xi'an) Co., Ltd., No. 28 Information Road, EPZ B Zone, Xian New District, Xian, China 710119
* Lam Research International Sarl (Wuxi Bonded Warehouse for CIQ inspection), c/o SinoTrans Jiangsu Fuchang Logistics Co., Ltd., No. 1 Xiqin Road, Area A, Export Processing Zone, New District, Wuxi, China 214028
These Items Authorized for those Lam's Destinations Identified by two asterisks (**): 2B230, 2B350.c, 2B350.d, 2B350.g, 2B350.h, 2B350.i, 3B001.c and 3B001.e (items classified under ECCNs 3B001.c and 3B001.e are limited to “specially designed” components and accessories), 3D001 (limited to “software” (excluding source code) “specially designed” for the “development” or “production” of equipment controlled by ECCN 3B001), 3D002 (limited to “software” (excluding source code) “specially designed” for the “use” of equipment controlled by ECCN 3B001), and 3E001 (limited to “technology” according to the General Technology Note for the “development” or “production” (limited to those stages that support integration, assembly (mounting), inspection, testing, and quality assurance) of equipment controlled by ECCN 3B001). ** Lam Research Service Co., Ltd., 1st Floor, Area C, Hua Hong Science & Technology Park, 177 Bi Bo Road, Zhangjiang Hi-Tech Park, Pudong, Shanghai, China 201203 ** Lam Research Service Co., Ltd. Beijing Branch, 6th Floor, Building 52, No. 2, Jingyuan North Street, Beijing Economic & Technological Development Area, Beijing, China 100176 ** Lam Research Service Co., Ltd., Wuxi Representative Office, Room 302, Building 6, Singapore International Park, No. 89 Xing Chuang Si Road, Wuxi New District, Wuxi, Jiangsu, China 214028 ** Lam Research Service Co., Ltd., Wuhan Representative Office, Room 302, Guanggu Software Park, Building E4, No. 1 Guanshan Road, Donghu Development Zone, Wuhan, Hubei Province, China 430074 ** Lam Research Service Co., Ltd. (Lam Dalian Representative Office), c/o Intel Semiconductor (Dalian) Ltd., No. 109 Huaihe Road East, Dalian Economic & Technical Development Area, Dalian, China 116600
** Lam Research Service (Shanghai) Co., Ltd. Xi'an Branch, Room 602, Building G, Wangzuo Xiandai City, 35 Tangyan Road, Gaoxin District, Xi'an, China, 710065
Start Printed Page 71019
[FR Doc. 2014-28221 Filed 11-28-14; 8:45 am]