sunder the GL:The exporting entity must make annual reports to BIS regarding a) its end users inCountry Group A:5 or A:6, and b) employees and contractors who are citizens of or permanent residents ofcountries receiving deemed exports or deemed exports pursuant to the GL grandfather clause.An entity with deemed exports of ECCN 3E905 must also file a termination report within 30 days of the voluntary or involuntary termination of foreign national employees and contractors who are citizens of or permanent residents ofcountries.ii) For deemed exports ofquantum software or technologyunder the GL:Entities that released covered quantum software or technology to foreign persons ofnationality are responsible for submitting annual and termination reports to BIS.Termination reports are due within 30 days of a covered foreign person's last day with the host company or university.Although the rule is effective immediately, BIS is seekingpublic commentson these changes until November 5, 2024.[1]89 FR 72926.[2]For ECCNs 3A901, 3A904, 3B904, 3C907, 3C908, 3C909, 3D901 (for 3A901.b, 3B904), 3E901 (for 3A901, 3A904, 3B904, 3C907, 3C908, 3C909), 4A906, 4D906, or 4E906 controls.[3]89 FR 72926.[4]89 FR 72929.[5]The employees or contractors must not be prohibited persons under part 744 of the EAR, e.g., not listed on the Entity List (supplement no. 4 to part 744), Unverified List (supplement no. 6 to part 744), Military End-User List (supplement no. 7 to part 744), or listed on the Denied Persons List (https://www.bis.gov).[6]88 FR 73424.[7]This grandfathering clause applies to all but one of the new ECCNs added, for deemed exports or reexports of technology in ECCN 3E905 (“Technology” according to the General Technology Note for the “development” or “production” of integrated circuits or devices, using “GAAFET” structures). Deemed exports for ECCN 3E905 are authorized under the GL, discussed in the above.[8]For ECCN 3D901 (for 3A901.b, 3B904), 3E901 (for 3A901, 3A904, 3B904, 3C907, 3C908, 3C90

new general license in General Order No. 6 in paragraph (f)(3) in Supplement No. 1 to EAR Part 736 were removed in this IFR or at some future date.https://www.bis.doc.gov/index.php/documents/federal-register-notices-1/3521-89-fr-72926-quantum-c-1-ifr-0694-aj60-9-6-2024/filewww.regulations.gov. EAR § 734.13(b) provides that “[a]ny release in the United States of ‘technology’ or source code to a foreign person is a deemed export to the foreign person’s most recent country of citizenship or permanent residency.” In addition, EAR § 734.14(b) states that “[a]ny release outside of the United States of ‘technology’ or source code subject to the EAR to a foreign person of another country is a deemed reexport to the foreign person’s most recent country of citizenship or permanent residency, except as described in § 734.20.”SeeBiden Administration Restricts U.S. Exports of Advanced Computing and Semiconductor Manufacturing Equipment, Software, and Technology to China | News & Resources | Dorsey 89 Fed. Reg. 72926, -29 (Sept. 6, 2024). Country Group D:1 consists of those countries for which the EAR requires export licensing due to “national security” reasons, and Country Group D:5 is comprised of those countries for which the EAR mandates export licenses because they are subject to a U.S. arms embargo. Significantly, both Country Group D:1 and Country Group D:5 include the PRC.