Export control

United States – New law to enhance transparency in export controls

Date : 21 August 2025

Léa Ratel Bertrand Rager

On July 22, 2025, the US Senate unanimously passed HR 1316, entitled “Ensuring American Global Superiority by Enhancing Export Controls Transparency Act.” This bill, now awaiting presidential signature, aims at strengthening oversight of the US export control regime, particularly regarding certain strategic countries such as China.

This new law amends the Export Control Reform Act (ECRA) of 2018 by imposing an annual reporting requirement to Congress for any application for a license or authorization for export, re-export, or domestic transfer involving:

Entities located in countries subject to arms embargoes (Group D:5 of the EAR and §126 of the ITAR, including China);

Parties listed on the Military End User List (MEU) or the BIS Entity List.

The Department of Commerce, through the Bureau of Industry and Security (BIS), will therefore be required to disclose in a non-public annual report the details of each application processed:

  • Name of the applicant company;
  • Description of the goods and their classification (ECCN);
  • Name and location of the end user;
  • Value of the goods;
  • Decision rendered and date of submission.

The BIS report will also detail end-use checks and aggregate statistics on all authorizations processed.

A challenge for technological sovereignty

Adopted in a context of strategic rivalry with China, this law marks a clear desire to rebalance the scales between commercial interests and national security imperatives. A parliamentary inquiry conducted in 2023 criticized the BIS for being too permissive in its approvals of transfers of sensitive technologies to China, highlighting the lack of sufficient traceability.

The text therefore aims at establishing a systematic “paper trail” enabling Congress and federal agencies to better monitor the flow of critical dual-use technologies, particularly in the fields of semiconductors, AI, and telecommunications.

What impacts can be expected?

Even though the report will not be made public (except for statistical data), it imposes an obligation of increased transparency on US manufacturers and their partners. This reform could also inspire similar initiatives in Europe, where the issue of sensitive export governance is also under debate, particularly in the context of the strengthening of Regulation (EU) 2021/821 on international trade of Dual -Use goods.

In the meantime, exporting companies operating with entities located in countries under control or on sensitive lists should be extra vigilant, as the BIS could tighten its review criteria in the coming months.

Next steps: If the President signs this bill into law as expected, the BIS’s first report will have to be submitted to Congress by July 2026. This sends a strong signal toward stricter and more transparent regulation of trade in technologies of high strategic value.