§2798 — Title 22 Foreign Relations and Intercourse | U.S. Code

Summary

The President must impose two penalties when he finds that, on or after October 28, 1991, a non‑U.S. person knowingly and significantly helped a foreign government, project, or entity get chemical or biological weapons. That help can be by exporting U.S.-controlled goods or technology from the United States, by exporting from another country goods or technology that would be U.S.-controlled if they were U.S. goods, or by other transactions not covered by the Export Administration Act. This rule applies especially if the foreign government used or prepared to use chemical or biological weapons after January 1, 1980, used them against its own people, was officially found to repeatedly support terrorism, or if the President names other countries, projects, or entities. Sanctions hit the person found responsible, its successors, and parents, subsidiaries, or affiliates that knowingly helped and were controlled by that person. The President is urged to consult the government that has authority over the foreign person and may delay sanctions up to 90 days (and another 90 days if progress is being made). The President must report to Congress on consultations within 90 days. The two penalties are: the U.S. government will not buy goods or services from the sanctioned person, and products made by that person cannot be imported into the United States. The President may exempt certain cases, such as existing defense contracts (including option production to meet U.S. military needs), sole‑source or coproduction defense items essential to national security, contracts made before notice of sanctions, essential spare or component parts and routine servicing when alternatives are unavailable, technology essential to U.S. production, and medical or humanitarian items. Sanctions last at least 12 months and end only if the President certifies the person has stopped helping acquire chemical or biological weapons. After those 12 months, the President may waive a sanction for U.S. national security but must tell Congress at least 20 days before the waiver and explain why. Foreign person: a non‑U.S. individual or a company formed or based outside the United States.

Title 22, §2798

Foreign Relations and Intercourse — Source: USLM XML via OLRC

(a)(1)Except as provided in subsection (b)(2), the President shall impose both of the sanctions described in subsection (c) if the President determines that a foreign person, on or after October 28, 1991, has knowingly and materially contributed—

(A)through the export from the United States of any goods or technology that are subject to the jurisdiction of the United States,

(B)through the export from any other country of any goods or technology that would be, if they were United States goods or technology, subject to the jurisdiction of the United States, or

(C)through any other transaction not subject to sanctions pursuant to the Export Administration Act of 1979,11 See References in Text note below.

(2)Paragraph (1) applies in the case of—

(A)any foreign country that the President determines has, at any time after January 1, 1980—

(i)used chemical or biological weapons in violation of international law;

(ii)used lethal chemical or biological weapons against its own nationals; or

(iii)made substantial preparations to engage in the activities described in clause (i) or (ii);

(B)any foreign country whose government is determined for purposes of section 6(j) 1 of the Export Administration Act of 1979 to be a government that has repeatedly provided support for acts of international terrorism; or

(C)any other foreign country, project, or entity designated by the President for purposes of this section.

(3)Sanctions shall be imposed pursuant to paragraph (1) on—

(A)the foreign person with respect to which the President makes the determination described in that paragraph;

(B)any successor entity to that foreign person;

(C)any foreign person that is a parent or subsidiary of that foreign person if that parent or subsidiary knowingly assisted in the activities which were the basis of that determination; and

(D)any foreign person that is an affiliate of that foreign person if that affiliate knowingly assisted in the activities which were the basis of that determination and if that affiliate is controlled in fact by that foreign person.

(b)(1)If the President makes the determinations described in subsection (a)(1) with respect to a foreign person, the Congress urges the President to initiate consultations immediately with the government with primary jurisdiction over that foreign person with respect to the imposition of sanctions pursuant to this section.

(2)In order to pursue such consultations with that government, the President may delay imposition of sanctions pursuant to this section for a period of up to 90 days. Following these consultations, the President shall impose sanctions unless the President determines and certifies to the Congress that that government has taken specific and effective actions, including appropriate penalties, to terminate the involvement of the foreign person in the activities described in subsection (a)(1). The President may delay imposition of sanctions for an additional period of up to 90 days if the President determines and certifies to the Congress that that government is in the process of taking the actions described in the preceding sentence.

(3)The President shall report to the Congress, not later than 90 days after making a determination under subsection (a)(1), on the status of consultations with the appropriate government under this subsection, and the basis for any determination under paragraph (2) of this subsection that such government has taken specific corrective actions.

(c)(1)The sanctions to be imposed pursuant to subsection (a)(1) are, except as provided in paragraph (2) of this subsection, the following:

(A)The United States Government shall not procure, or enter into any contract for the procurement of, any goods or services from any person described in subsection (a)(3).

(B)The importation into the United States of products produced by any person described in subsection (a)(3) shall be prohibited.

(2)The President shall not be required to apply or maintain sanctions under this section—

(A)in the case of procurement of defense articles or defense services—

(i)under existing contracts or subcontracts, including the exercise of options for production quantities to satisfy United States operational military requirements;

(ii)if the President determines that the person or other entity to which the sanctions would otherwise be applied is a sole source supplier of the defense articles or services, that the defense articles or services are essential, and that alternative sources are not readily or reasonably available; or

(iii)if the President determines that such articles or services are essential to the national security under defense coproduction agreements;

(B)to products or services provided under contracts entered into before the date on which the President publishes his intention to impose sanctions;

(C)to—

(i)spare parts,

(ii)component parts, but not finished products, essential to United States products or production, or

(iii)routine servicing and maintenance of products, to the extent that alternative sources are not readily or reasonably available;

(D)to information and technology essential to United States products or production; or

(E)to medical or other humanitarian items.

(d)The sanctions imposed pursuant to this section shall apply for a period of at least 12 months following the imposition of sanctions and shall cease to apply thereafter only if the President determines and certifies to the Congress that reliable information indicates that the foreign person with respect to which the determination was made under subsection (a)(1) has ceased to aid or abet any foreign government, project, or entity in its efforts to acquire chemical or biological weapons capability as described in that subsection.

(e)(1)The President may waive the application of any sanction imposed on any person pursuant to this section, after the end of the 12-month period beginning on the date on which that sanction was imposed on that person, if the President determines and certifies to the Congress that such waiver is important to the national security interests of the United States.

(2)If the President decides to exercise the waiver authority provided in paragraph (1), the President shall so notify the Congress not less than 20 days before the waiver takes effect. Such notification shall include a report fully articulating the rationale and circumstances which led the President to exercise the waiver authority.

(f)For the purposes of this section, the term “foreign person” means—

(1)an individual who is not a citizen of the United States or an alien admitted for permanent residence to the United States; or

(2)a corporation, partnership, or other entity which is created or organized under the laws of a foreign country or which has its principal place of business outside the United States.

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Export Administration Act of 1979, referred to in subsec. (a)(1)(C), (2)(B), is Pub. L. 96–72, Sept. 29, 1979, 93 Stat. 503, which was classified principally to chapter 56 (§ 4601 et seq.) of Title 50, War and National Defense, prior to repeal by Pub. L. 115–232, div. A, title XVII, § 1766(a), Aug. 13, 2018, 132 Stat. 2232, except for section 11A, 11B, and 11C thereof (50 U.S.C. 4611, 4612, 4613). section 6 of the Act was classified to section 4605 of Title 50 prior to repeal.

Prior Provisions

A prior subchapter VIII, consisting of former section 2798, as added by Pub. L. 102–138, title V, § 505(b), Oct. 28, 1991, 105 Stat. 727, was substantially identical to subchapter VIII, as added by section 305(b) of Pub. L. 102–182, prior to repeal by Pub. L. 102–182, title III, § 309(a), Dec. 4, 1991, 105 Stat. 1258.

Amendments

1991—Subsec. (a)(1). Pub. L. 101–182, § 309(b)(2), substituted “October 28, 1991” for reference to the “date of the enactment of this section” which was enacted Dec. 4, 1991.

Executive Documents

Delegation of Functions For delegation of certain functions of the President under this section, see Ex. Ord. No. 12851, § 1(a), June 11, 1993, 58 F.R. 33181, set out as a note under section 2797 of this title.

§2798 Sanctions Against Certain Foreign Persons