On November 5, 2026, the Department of Commerce’s Bureau of Industry and Security (BIS) announced that it is extending the suspension of its End-User Controls to Cover Affiliates of Certain Listed Entities rule. The suspension was set to expire on November 9, 2026, but will now be extended through January 10, 2027.
BIS originally issued the Affiliates Rule as an Interim Final Rule on September 30, 2025 (see Update of October 1, 2025). Modeled on the long-standing “50% Rule” maintained by the Treasury Department’s Office of Foreign Assets Control in economic sanctions enforcement, the BIS version extended export control restrictions to any entity owned 50% or more, individually or in aggregate, by one or more parties listed on either the BIS Entity List or the Military End-User (“MEU”) List. On November 1, 2025, the White House published a Fact Sheet announcing that the rule would be suspended for one year, beginning November 10, 2025 (see Update of November 4, 2025). After the recent U.S.-China summit, it had been informally announced that a further suspension was forthcoming.