In a press release published on July 10, 2024, the Department of Commerce’s Bureau of Industry and Security (BIS) announced new guidance outlining the different actions that BIS takes to inform industry about parties that are “beyond those identified on public screening lists like the Entity List” that pose the risk of diversion of items subject to BIS export controls “to countries or entities of concern.” The published guidance also outlines certain responsibilities companies must comply with BIS regulations and additional steps they should take to mitigate diversion risks.

Specifically, the new guidance recommends that exporters, re-exporters, and transferors of Common High Priority List (CHPL) items should screen transaction parties using online resources provided by the Trade Integrity Project (TIP). This screening tool can help identify third-country suppliers with a history of exporting CHPL items to Russia since its invasion of Ukraine, helping to identify potential red flags in export transactions.

The press release for this guidance can be found here:
https://www.bis.gov/press-release/bis-issues-guidance-addressing-export-diversion-risks

The “Guidance to Industry on BIS Actions Identifying Transactions Parties of Diversion Risk” can be found here:
https://www.bis.gov/sites/default/files/files/Guidance-for-Complying-with-BIS-Letters-Identifying-Transaction-Parties-of-Diversion-Risk_v8.pdf