Stagnated American Export Licensing Regime Eroding Competitiveness With China

USCBC conducted a flash survey in July to gauge companies’ experience navigating the US export licensing regime under the second Trump administration. The 31 respondents — primarily representing the technology, industrial and manufacturing, energy, and healthcare industries — painted a stark picture of licensing delays and unclear procedures, unwillingness of export control agencies to engage with industry, and unnecessarily burdensome policies and out-of-date regulations.

Key takeaways

• Regulations are falling behind international market realities exactly when speed matters most. Months-long license delays are costing the United States billions in exports and eroding American market share globally.
• Most pending export licenses are for items that are already available in China from Chinese or international suppliers — effectively sidelining American companies for no strategic gain.
• Poorly calibrated US export controls weaken American companies in China, ceding market share to foreign competitors while reducing the profits available for research and development. This diminishes America’s ability to innovate and undermines US economic security.