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Lawmakers Want to Codify ICTS Authorities, BIS Chief Says

Lawmakers are drafting legislation to codify the authority that the Office of Information and Communication Technology and Services uses to place import restrictions on Chinese connected vehicles and other technologies, said Jeffrey Kessler, undersecretary of the Bureau of Industry and Security.

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Kessler, speaking to BIS employees during a closed-door town hall meeting on March 27, said there are several “legislative proposals floating around, a few different versions, to codify the ICTS authority.” The ICTS office published a rule earlier this year to restrict imports of certain connected vehicles, hardware and software from China and Russia (see 2503240028).

“I think it's an incredible blessing that Congress is supportive [of BIS] -- both parties,” Kessler said, according to a recording of his remarks we obtained. “Congress is supportive of BIS and its mission, including ICTS.”

Kessler added that he met with Republican and Democratic congressional staffers on March 26 to discuss BIS. “It feels like in this environment, Democrats have to take a stand against the administration, whatever that's about,” he said. “But behind closed doors, Democrats, too, will be very supportive of what BIS does, and even of me personally and the views that I have.”

That support from the Hill puts BIS in a “really good space to be operating.”

“It gives us a lot of momentum and a lot of room for -- a lot of runway,” he said. “We can drive our programs forward, be ambitious, and we're going to have the support of Congress and the American people, as well as the administration.”

Kessler also noted that President Donald Trump specifically mentioned ICTS authorities and Section 232 investigations in the administration's day-one memo outlining Trump's American-first trade policies (see 2501200002). Kessler said he believes the memo is a “really important road map” for how BIS should use those authorities.

“All those three -- 232, export controls and ICTS -- are powerful, flexible, and they give the administration a lot of room for maneuver to pursue strategic objectives,” Kessler said.

He added that “we want to use all the tools in the toolbox to, like I said, to achieve real outcomes for America. And not slowly. We want to do it now.”