Agree,
"A .22 caliber projectile that otherwise would be classified as armor piercing ammunition under 18 U.S.C. 921(a)(17)(B) will be considered to be “primarily intended to be used for sporting purposes” under section 921(a)(17)(C) if the projectile weighs 40 grains or less AND is loaded into a rimfire cartridge. "
"Except as provided in Category I (.22 caliber rimfire), projectiles that otherwise would be classified as armor piercing ammunition will be presumed to be “primarily intended to be used for sporting purposes” under section 921(a)(17)(C) if the projectile is loaded into a cartridge for which the only handgun that is readily available in the ordinary channels of commercial trade is a single shot handgun. ATF nevertheless retains the discretion to deny any application for a “sporting purposes” exemption if substantial evidence exists that the ammunition is not primarily intended for such purposes. The term “single shot handgun” means a break open or bolt action handgun that can accept only a single cartridge manually, and does not accept or use a magazine or other ammunition feeding device. The term does not include a pocket pistol or derringer type firearm."
Expect more bans if this is enacted. Apparently they claim they only have to "objectively" classify the intent (e.g. if available for use in a handgun) and "it may be reasonably inferred" the round is not primarily for sporting. You'll only have 22 rimfire available after they're done. Any evidence in their eyes is will be substantial evidence for a ban...
How is that supposed to work?
Even with the "intent" test, BATFE can't just pick rounds at random to ban, the bullet construction still needs to meet the specific constraints in 18 USC §921(a)(17)(C) , either fully or core made 100% out of one of the 'exotic' metals, or FMJ and 25% of projectile weight is the jacket.
You are forgetting that in order for the 25% jacket weight clause to be applied the round must have been "designed and intended for use in a handgun."
No modern rifle round was ever designed and intended for use in a handgun. Can you use some of those rounds in a "handgun?" Sure. But in order for the AP law to apply it has to have been "designed and intended for use in a handgun." And furthermore, the "Sporting use" exemption only applies to those rounds that meet the AP law. M855 has never met explicitly met the AP law, only the law that the ATF has made up.
18 USC § 921(a)(17) states:
(B) The term “armor piercing ammunition” means—
(i) a projectile or projectile core which may be used in a handgun and which is constructed entirely (excluding the presence of traces of other substances) from one or a combination of tungsten alloys, steel, iron, brass, bronze, beryllium copper, or depleted uranium; or
(ii) a full jacketed projectile larger than .22 caliber designed and intended for use in a handgun and whose jacket has a weight of more than 25 percent of the total weight of the projectile.