Commerce Department Offers Six-Month Extension for Export Licenses
In recognition of the impact that Covid-19 has had on global companies involved in export operations, the Commerce Department’s Bureau of Industry and Security announced a streamlined process for companies to request a six-month extension for licenses that are scheduled to expire on or before December 31, 2020.
The pandemic has caused significant disruption to global companies distribution channels and supply chains. Air and ocean shipping companies have experienced significant disruptions and price changes in order to provide important transportation services. In addition, reductions in employees has restricted timeliness of production, packaging and processing of manufacturing and shipping arrangements.
As a consequence, companies have had to arrange alternative transportation of critical shipments. In some circumstances, companies will need an extension of time to secure an updated license with an extension date for completion of the transaction.
To address this need, BIS will streamline the extension of a valid license by creating a central mailbox for submission of requests: [email protected].
The original license will be reviewed and extended if valid via the electronic system. It is estimated that such requests will be approved within two to three business days.
If you have a license set to expire on December 31, 2020, you should consider applying for the extension, even if you think you may not actually need the extra time to ship.
The Volkov Law Group is happy to assist with your license applications, extension requests and/or export control and trade sanction compliance. If interested, please contact Janet Longo, Regulatory Compliance Manager at The Volkov Law Group at [email protected].