Committee publication · Correspondence · 22 April 2026
Letter from the Minster of State for Trade relating to the export licence granted to Cygnet Texkimp, 17 April 2026
From: Business and Trade Sub-Committee on Economic Security, Arms and Export Controls
Summary
Minister of State for Trade Sir Chris Bryant informs the Business and Trade Committee Chair that the Export Control Joint Unit (ECJU) initially incorrectly assessed a Cygnet Texkimp carbon fibre machinery export to Armenia as unlicensed in October 2024. Following a Guardian report and committee inquiry, ECJU identified that one controlled component required a licence. The company resubmitted; Bryant has now refused the export licence on national security grounds and diversion risk, citing dual-use control criteria.
Key findings
- ECJU made an error in October 2024 by determining no licence was required for the Cygnet Texkimp export to Armenian company Rydena, when one equipment element was subject to dual-use controls.
- The initial misclassification was identified following a Guardian newspaper report earlier in 2026 and prompted ECJU to re-examine the case.
- After company resubmission and inter-agency review (MOD, FCDO, DBT), Minister Bryant refused the export licence on national security grounds and risk of diversion to undesirable end-users or end-uses (criteria 5 and 7 of UK Strategic Export Licensing Criteria).
- ECJU processes approximately 16,000 licences annually; the minister characterises such errors as 'extremely rare' and states additional processes have been implemented to prevent recurrence.
- No equipment was exported under the original assessment; Cygnet Texkimp is noted as having a fifty-year compliance history with export controls.
Tone
ProceduralTopics
Key actors
Sir Chris Bryant MP, Liam Byrne MP, Cygnet Texkimp, Export Control Joint Unit (ECJU), Rydena, Ministry of Defence (MOD), Foreign, Commonwealth and Development Office (FCDO), Department for Business and Trade (DBT)
Notable line
“Such errors are a regrettable but extremely rare occurrence in the work of our Export Control Joint Unit which, as you know, processes around 16,000 licences each year …”
Key Quotes
“In October 2024, Cygnet Texkimp applied to export carbon fibre production machinery to a new client in Armenia (Rydena). The Export Control Joint Unit (ECJU) determined – incorrectly – that no licence was required (NLR) for any elements of the export.”
“Following further discussions with the exporter, ECJU has established that a specific component of the export did fall under dual- use controls and therefore require a licence.”
“I have decided that export of the controlled goods should be refused on the grounds of national security of the UK, and the existence of a risk that the items will be diverted to an undesirable end-user or for an undesirable end use”
Source · parliament.uk record ↗