US' Secondary China Sanctions Signal New Risks For Cos.

Law360 (September 26, 2018, 2:05 PM EDT) -- On Sept. 20, 2018, the U.S. Department of State and U.S. Department of Treasury coordinated to impose broad sanctions and additional restrictions on China's Equipment Development Department, or EDD, and its director, Li Shangfu, under the authority granted by the Countering America's Adversaries Through Sanctions Act, or CAATSA, signed into law in August 2017. EDD, formerly known as the General Armaments Department, is a significant component of China's Central Military Commission.

The Sept. 20 action against EDD and Li Shangfu marked the first time that the U.S. government has exercised its authority under Section 231 of CAATSA to impose secondary sanctions...

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