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JADE Act 2008

JADE Act 2008

United States legislation banning the import of Burmese jadeite and rubies in response to the Myanmar military regime

Investing in gems & jewelleryView in dictionary · 510 words

The Tom Lantos Block Burmese JADE (Junta's Anti-Democratic Efforts) Act of 2008, signed into law by President George W. Bush on 29 July 2008 as Public Law 110-286, was United States legislation that prohibited the importation into the United States of Burmese-origin jadeite and ruby and articles of jewellery containing such material, irrespective of the country in which the rough was cut or the finished jewellery was assembled. The Act closed a substantial loophole in the existing United States sanctions regime against the Myanmar military government, which had previously permitted Burmese gem material to enter the US after passing through a third country.

Background and rationale

The Myanmar military regime that had ruled the country since 1962 derived a substantial portion of its hard-currency revenue from the Hpakant jadeite mines and the Mogok ruby mines. The previous US sanctions framework (the Burmese Freedom and Democracy Act of 2003 and successive Executive Orders) had banned the direct importation of Burmese gemstones but permitted the import of stones cut and set abroad, a loophole through which the bulk of the Burmese trade continued to reach the US market via Bangkok, Hong Kong and elsewhere. The 2008 Act, named in part for the deceased Congressman Tom Lantos, closed the loophole by attaching the prohibition to the country of origin of the rough rather than the country of finish.

Substantive provisions

The Act prohibited the importation of Burmese-origin jadeite, rubies and articles of jewellery containing such material. The prohibition operated on a country-of-mining basis, requiring importers to certify and substantiate the origin of the gem material. Limited humanitarian and personal-effect exemptions were provided. The Act was implemented through Customs and Border Protection regulations and through licensing under the Office of Foreign Assets Control (OFAC).

Effect on the trade

The Act caused a significant restructuring of the international jadeite and ruby supply chains. The principal effects were the diversion of Burmese material away from the US market toward China and the Gulf, the rise in cost of substitute supply (Mozambican ruby for the US market, non-Burmese jadeite that was barely available at scale), and the imposition of country-of-origin documentation requirements throughout the upstream trade. The American Gem Trade Association and Jewelers of America worked with Customs to develop industry guidance for compliance.

Subsequent regulation

The Act was modified during the 2012-2016 period as the United States progressively eased sanctions against Myanmar following the country's transition to civilian government. The JADE Act provisions were partially suspended in October 2016 by President Obama's Executive Order 13742 lifting most Myanmar sanctions. Following the February 2021 military coup that overturned the civilian government, the United States reimposed and expanded sanctions including jade-trade-related measures under successive Executive Orders, and the OFAC Specially Designated Nationals list was updated to include the Myanmar Gems Enterprise and senior figures associated with the gem trade. As of 2026 the operative US sanctions on Burmese jade and ruby are governed by the post-2021 Executive Orders rather than by the 2008 JADE Act in its original form, but the Act's principal provisions provided the template for the contemporary regime.