On March 11, 2022, the US Department of Commerce’s Bureau of Industry and Security (“BIS”) imposed restrictions on the exports, reexports, and transfer of luxury goods to all end users in Russia and Belarus and to certain Russian and Belarusian oligarchs and malign actors located worldwide. This action is part of a new round of measures targeting Russia and Belarus announced by the White House today (see here and here) that are being implemented in conjunction with other G7 countries.  The Department of Commerce issued this press release announcing the export restrictions.

The new final rule adds a new § 746.10 to the Export Administration Regulations (“EAR”), which consists of two new license requirements.  A BIS license is now required to export, reexport, or transfer (in-country) luxury goods subject to the EAR to:

  • Russia or Belarus, regardless of the end-user or end-use involved; and
  • Russian and Belarusian oligarchs and malign actors, defined to include individuals who are “Specially Designated Nationals” (“SDNs”) blocked by the Office of Foreign Assets Control under certain Russia or Ukraine-related Executive Orders, regardless of their location. 

Two EAR license exceptions (AVS and BAG) with certain limitations are available to overcome this new BIS licensing requirement.  Applications for the export and reexport of luxury goods to Russia or Belarus or Russian or Belarussian SDN individuals will be reviewed under a policy of denial.  These new restrictions do not apply to luxury goods subject to the EAR that “were en route aboard a carrier to a port of export, reexport, or transfer (in-country)” as of March 11.

A list of luxury goods subject to this export ban, along with their Schedule B numbers and descriptions, are included in the new Supplement No. 5 to EAR Part 746. Identified luxury goods include certain spirits, tobacco products, clothing items, diamonds, vehicles, and antique goods. 

The authors acknowledge the assistance of Ryan Orange in the preparation of this blog post.


Ms. Lis has extensive experience advising companies on US laws relating to exports and reexports of commercial goods and technology, defense trade controls and trade sanctions — including licensing, regulatory interpretations, compliance programs and enforcement matters. She also has advised clients on national security reviews of foreign investment administered by the Committee on Foreign Investment in the United States (CFIUS), including CFIUS-related due diligence, risk assessment, and representation before the CFIUS agencies.


Alex advises clients on compliance with US export controls, trade and economic sanctions, export controls (Export Administration Regulations (EAR); International Traffic in Arms Regulations (ITAR)) and antiboycott controls. He counsels on and prepares filings to submit to the US Government's Committee on Foreign Investment in the United States (CFIUS) with respect to the acquisition of US enterprises by non-US interests. Moreover, Alex advises US and non-US companies in the context of licensing, enforcement actions, internal investigations, compliance audits, mergers and acquisitions and other cross-border transactions, and the design, implementation, and administration of compliance programs. He has negotiated enforcement settlements related to both US sanctions and the EAR.