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1160. What changes did the February 15, 2024 regulatory amendment to the North Korea Sanctions Regulations, 31 CFR part 510 (NKSR), make?  

Answer

On February 15, 2024, OFAC, in consultation with the Department of State, amended the NKSR to modify an existing general license (GL) and add three new GLs to facilitate humanitarian-related and other activities in North Korea.  These changes include:

  • Additional non-governmental organization (NGO) activities

OFAC amended the GL at § 510.512 to authorize NGOs to engage in a broader range of humanitarian-related activities involving North Korea, including certain educational activities and activities to support disarmament, demobilization, and reintegration (DDR) programs and peacebuilding, conflict prevention, and conflict resolution programs.  The general license at § 510.512 allows transactions that are ordinarily incident and necessary to such NGO activities involving certain Government of North Korea entities, including limited partnerships, subject to certain conditions and limitations–including that the NGO must submit a report to the U.S. Department of State at least 30 days before their proposed activities, as further described in FAQ 1162.

The amended NGO GL at § 510.512 authorizes the export and reexport to North Korea of items not subject to the Export Administration Regulations (15 CFR parts 730 through 774) (EAR) to North Korea that are ordinarily incident and necessary to authorized NGO activities, provided the items would be designated as EAR99 if located in the United States.

  • Removal of dual licensing burden

To avoid duplicative licensing requirements, OFAC added a new GL at § 510.520 to authorize all transactions ordinarily incident to the exportation or reexportation of items (i.e., commodities, software, or technology) to North Korea, provided the exportation or reexportation is licensed or otherwise authorized by the Department of Commerce.  Such transactions may include transactions with the Government of North Korea, or any other person blocked pursuant to the NKSR, and services provided outside North Korea to install, repair, or replace authorized items.  Accordingly, U.S. persons no longer need to seek a specific license from OFAC to engage in transactions ordinarily incident to exports and reexports that are already licensed or otherwise authorized by the Department of Commerce.

  • Expansion of authorization for the exportation or reexportation of certain food, medicine, and other agricultural and medical items

OFAC added a new GL at § 510.521 to authorize certain transactions related to the export and reexport to North Korea of certain agricultural commodities (including food), medicine, medical devices, and replacement parts and components for medical devices, that are not subject to the EAR but that would be designated EAR99 if they were located in the United States, subject to certain conditions and limitations.

  • Journalistic activities

OFAC added a new GL at § 510.522 to authorize U.S. news reporting organizations and certain of their U.S. person employees to engage in certain transactions ordinarily incident and necessary to their journalistic activities or the establishment or operation of a news bureau in North Korea.
 

Date Released
February 15, 2024