(a) In general

Section 1756 of the Export Control Reform Act of 2018 (50 U.S.C. 4815) is amended by adding at the end the following:

(f) Initial license review

(1) In general

In reviewing an application for a license or other authorization for the export, reexport, or in-country transfer of items controlled under this part, the Under Secretary for Industry and Security (Under Secretary) shall consider whether the requested license or other authorization, if issued, would be the initial license or other authorization for the export, reexport, or in-country transfer of such item to an ultimate consignee or end user.

(2) Treatment of subsequent license applications

After issuing an initial license or other authorization for the export, reexport, or in-country transfer of an item described in paragraph (1), the Under Secretary should attempt to administer in a timely manner any subsequent application by other applicants for a license or other authorization for the same or a similar item to the same ultimate consignee or end user as the initial license.

(3) Report to Congress

No later than one year after the date of the enactment of this subsection, and annually thereafter, the Under Secretary shall submit to the appropriate congressional committees a report that details—

(A)

the number of initial licenses granted, if any, in the previous calendar year for which there were other applications submitted to export, re-export, or in-country transfer the same or a similar item to the same ultimate consignee or end-user;

(B)

the details of the initial licenses granted, if any, for which there were other applications submitted for a license to export, re-export, or in-country transfer the same or a similar item to the same ultimate consignee or end-user, and the details and outcome of such other submitted applications; and

(C)

the reason for creating an initial license to export, re-export, or in-country transfer of the item or a similar item to the ultimate consignee or end-user when there were other applications for the submitted for a license to export, re-export, or in-country transfer a same or similar item to the same ultimate consignee or end-user.

(4) Rule of construction

Nothing in this Act shall be construed to require the Under Secretary to delay a licensing decision or administer a licensing decision that is contrary to the national security or foreign policy interests of the United States.

(5) Definitions

In this subsection:

(A) Appropriate congressional committees

The term appropriate congressional committees means the Committee on Foreign Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate.

(B) Under Secretary

The term Under Secretary means the Under Secretary for Industry and Security, acting in consultation with the Secretary of State, the Secretary of Defense, and the Secretary of Energy, or their designees.

(b) Report

Not later than 90 days after the date of the enactment of this Act, the Under Secretary for Industry and Security shall submit to Congress a report on how the Under Secretary is implementing subsection (f)(2) of section 1756 of the Export Control Reform Act of 2018, as added by subsection (a), including detailing any changes to licensing policy or licensing officer operating protocols implemented pursuant to implementation of such subsection.