New U.S. Policy Regarding Nuclear Exports to China

This document from the Congressional Research Service (CRS) discusses the new U.S. policy regarding nuclear exports to China, announced by the U.S. Department of Energy (DOE) in October 2018. The policy aims to prevent the illegal diversion of U.S. civil nuclear technology for military purposes. It imposes additional restrictions on U.S.-origin nuclear-related exports to China, requiring specific export licenses or authorization.

The United States has extensive nuclear cooperation with China governed by a civil nuclear cooperation agreement. The new policy was developed after a review of the previous policy, prompted by concerns over China's efforts to acquire U.S. intellectual property and advanced technology for military programs. U.S. officials argue that Beijing may use U.S. nuclear technology to enhance its military capabilities.

The document explains the different authorizations required for nuclear exports, including export licenses by the Nuclear Regulatory Commission (NRC) and Part 810 authorizations by the Secretary of Energy. It discusses regulations designed to prevent the diversion or misuse of U.S. nuclear technology and the application of nonproliferation obligations to specific technology transfers.

The new policy establishes a framework for handling existing requests for Part 810 authorizations that are on hold due to concerns of military diversion and proliferation. It also outlines presumptions of approval or denial for various types of exports related to nuclear technology, equipment, and components.

The policy specifically targets transfers involving the state-owned China General Nuclear Power Corporation (CGN), which was indicted in 2016 for unlawful engagement in the development and production of special nuclear material in China. The new policy presumes denial for authorizations and export licenses related to CGN and its subsidiaries or related entities.

The document also mentions reporting requirements under the FY2016 National Defense Authorization Act, which mandate notification and reporting to congressional committees regarding Part 810 authorizations with respect to China.