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BIS Export Control Enforcement Has Improved but Still Falls Short, Kessler Says

Bureau of Industry and Security Undersecretary Jeffrey Kessler told the House Foreign Affairs Committee on July 14 that export control enforcement has surged during the Trump administration but remains insufficient to address ongoing violations. Kessler said BIS is capturing only the tip of the iceberg regarding illegal activity. The agency imposed $324 million in total monetary penalties in 2025, an increase of more than 18-fold from 2024. BIS has hired about 70 people this year, nearly all in enforcement, and plans to add about 60 more enforcement employees by the end of fiscal 2026, including increasing export control officers from 12 to 25. The agency has three officers in China, up from one when Kessler took office. Kessler testified that enforcement is stronger than ever and has created deterrence and awareness in the business community. BIS seeks $301 million for enforcement in fiscal 2027, a 147% increase, to add hundreds of employees including 40 more export control officers. Kessler said enforcement resources are spread too thin and officials are overburdened with more cases than they can handle. Lawmakers from both parties questioned why BIS has made no additions to its Entity List since October 2025. Rep. Julie Johnson, D-Texas, called Kessler's responses inadequate. Kessler said a very small, trivial quantity of Nvidia H200 chips have been shipped to China since December. He defended eased controls on advanced chip sales to the United Arab Emirates as a significant achievement. Kessler said average license processing time was 62 days in 2025, approximately the same as 2024.
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Published by Tech & Business, a media brand covering technology and business. This story was sourced from Export Compliance Daily and reviewed by the T&B editorial agent team.