U.S. Department of Commerce Partially Relaxes Export Controls on Syria

On August 28, the U.S. Department of Commerce Bureau of Industry and Security (BIS) published a final rule that modifies the Export Administration Regulations (EAR) to reduce the number of export control restrictions on Syria, in alignment with Executive Order 14312, Providing For The Revocation of Syria Sanctions. The key adjustments made by this rule include the addition of new or expanded license exception eligibility for exports and reexports to Syria (which significantly broadens the number of items that can be exported or reexported to Syria) and the adoption of more permissive license review policies for exports and reexports to Syria.

New and Expanded License Exceptions

The final rule does not remove any of the current export controls on Syria but instead introduces new EAR license exceptions and makes significant expansions to the eligibility of current EAR license exceptions for Syria. These license exceptions do not change when an item is subject to the EAR and items made outside of the United States with more than a de minimis amount (10%) of U.S. origin content are still subject to the EAR, and would need EAR authorization.

Newly Added License Exceptions

• License Exception Syria Peace and Prosperity (SPP): BIS added a new license exception, SPP, under § 740.5, specifically for Syria. This allows all items classified as EAR99 to be exported or reexported to Syria. Previously, only food and medicine classified as EAR99 could be exported or reexported to Syria. The license exception does not authorize any exports or reexports otherwise prohibited due to the end use or end users involved (e.g., persons on the Entity List, military-intelligence end uses).

Newly Authorized License Exceptions

• License Exception Consumer Communications Devices (CCD): The final rule amends the scope of the existing CCD exception under § 740.19 to include Syria, facilitating the export and reexport of consumer communication devices to the country. This includes many common electronic items classified as 5A991, 5D991, 5A992, or 5A992, as well as a handful of other items. License Exception CCD previously only authorized exports, reexports, and transfers to Belarus, Cuba, and Russia. A key difference here is that the authorization for Belarus, Cuba, and Russia only applied (for non-individuals) if the items were for the use of independent non-governmental organizations. However, items exported under License Exception CCD can be used by any person in Syria.
• License Exception Servicing and Replacement of Parts and Equipment (RPL): The final rule authorizes the use of License Exception RPL, specifically § 740.10(a) for Syria. This allows for the export and reexport of one-for-one replacement parts, components, accessories, and attachments for previously exported equipment or other end items.

Expanded Uses for Already Authorized License Exceptions

• License Exception Aircraft, Vessels and Spacecraft (AVS): BIS authorized the use of License Exception AVS to allow for temporary sojourn of civil aircraft and vessels to Syria (as long as there is no support for Syrian police, military, or intelligence end users or end uses). It also expanded the authorization for exports and reexports to Syria of vessel, aircraft, and ship and plane stores if: (i) the items are controlled only for “anti-terrorism” reasons or classified under EAR99; and (ii) otherwise meet the other requirements of License Exception AVS.
• License Exception Temporary Imports, Exports, Reexports, and Transfers (in-country) (TMP): The final rule expanded which provisions of License Exception TMP that can be relied upon for exports to Syria. Previously, the only provision that could be relied upon would only authorize temporary exports, reexports, or transfers for accredited news media personnel in certain instances (§ 740.9(a)(9)). Now additional provisions that can be relied upon include provisions authorizing: (i) exports or reexports of technology by or to a U.S. person (or a foreign person employee of a U.S. person traveling or on temporary assignment abroad) if accessed via a secure or encrypted connection (§ 740.9(a)(3)); (ii) exports or reexports of containers ((§ 740.9(a)(7)); (iii) U.S. person exports of items to a subsidiary, affiliate, or facility owned or controlled by the U.S. person, if those items will be for manufacturing, assembling, testing, producing or modifying other items (and not be reexported or incorporated into those other items); and (iv) certain exports of protective gear for U.S. persons affiliated with the U.S. government (§ 740.9(a)(11)(ii)(B)).
• License Exception Governments, international organizations, international inspections under the Chemical Weapons Convention, and the International Space Station (GOV): The final rule expands the eligibility of License Exception GOV to allow for exports, reexports, and transfers of selected identified items to the national governments of countries in Country Group A:1, Singapore, and Taiwan, as well as their civilian and military departments, branches, missions, and other governmental agencies. It also authorizes exports and reexports to the Organization for the Prohibition of Chemical Weapons for select international inspection and verification uses.
• License Exception Technology and Software—Unrestricted (TSU): The final rule expands the current authorization under License Exception TSU to include authorizing § 740.10(g), which authorizes the export and reexport of copies of technology previously authorized for export to the same recipient, under certain conditions.

Adoption of More Permissive License Review Policies for Exports and Reexports to Syria

The final rule updates the licensing policies in § 746.9(c) to better align with the Trump Administration's policy objectives, as outlined in the President’s May 13, 2025, announcement and Executive Order 14312. Specifically, under paragraphs (c)(1) and (2), the final rule adopts the following licensing policies:

• Presumption of approval of licenses: Commercial end uses that support economic and business development in Syria or that support the Syrian people, including through the improvement or maintenance of telecommunications, water supply and sanitation, power generation, aviation, or other civil services that support peace and prosperity in Syria without making a significant contribution to the military potential of Syria or the ability of Syria to support acts of international terrorism.
• Case-by-case approval of licenses: Other license applications.

As a reminder, if an end user, end use, or item is involved that is subject to other, distinct licensing requirements, those requirements remain in place.

What's Next 

• The U.S. government still lists Syria as a State Sponsor of Terror and has not made the necessary certifications to Congress to remove this designation or to mark the changes pursuant to the Chemical and Biological Weapons Control and Warfare Elimination Act or the Syria Accountability Act. The Trump Administration has, however, directed the relevant agencies to make these changes. Once these changes are made, we anticipate BIS (and other agencies) will further relax export controls on Syria.
• These authorizations are all license exceptions, and licensing policy changes, which means they can easily be rescinded if it appears the Syrian government is not fulfilling the commitments it made to the U.S. government.
• While this will expand the scope of permissible activity in Syria, there remain a wide range of risks in processing Syria-related transactions (e.g., restricted end user or end use involvement, the continued presence of hundreds of sanctioned parties, export recordkeeping requirements, delays or unwillingness to process from the banking sector or other counterparties unwilling to modify their internal risk tolerance). Any company considering re-entering the Syrian market should ensure their compliance programs identify, assess, and seek to mitigate these and other Syria-related risks.