Lawmakers urge Commerce Dept to ease Syria investment restrictions
Syria may be off the terrorism blacklist, but the Commerce Department’s export controls have yet to catch up.
WASHINGTON — More than two months after the Trump administration took Syria off the US terrorism blacklist, it remains subject to export controls that key lawmakers say are hindering American investment in the war-torn country.
When Secretary of State Marco Rubio formally rescinded Syria’s State Sponsor of Terrorism designation on Aug. 24, he called it another “historic step” toward helping the Syrian people prosper after nearly 14 years of civil war left their country in ruins, one that would eliminate "the final major barriers for private sector investment in Syria."
A consequence of Syria being labeled a State Sponsor of Terrorism is it was placed in the Commerce Department’s highly restrictive E:1 export-control category. That classification for terrorism-supporting countries limits exports of certain American goods, technology and software, including American products with dual-use applications as well as foreign-made goods containing more than 10% US-origin content.
Although the Commerce Department eased restrictions on many civilian exports to Syria in September 2025, it still lists the country in the E:1 category alongside Iran and North Korea, requiring American companies to obtain licenses from the department for restricted exports. Experts say the often months-long licensing process has deterred investors already wary of the country’s long-term commercial prospects.
