{"id":350,"date":"2019-09-16T14:40:10","date_gmt":"2019-09-16T14:40:10","guid":{"rendered":"http:\/\/exportcompliancesolutions.com\/blog\/?p=350"},"modified":"2019-09-16T14:40:10","modified_gmt":"2019-09-16T14:40:10","slug":"cornucopia-export-compliance-updates","status":"publish","type":"post","link":"https:\/\/exportcompliancesolutions.com\/blog\/2019\/09\/16\/cornucopia-export-compliance-updates\/","title":{"rendered":"A Cornucopia of Export Compliance Updates"},"content":{"rendered":"

USML Category XI Revised \u2013 Radars, XI(b), and Integrated Circuits<\/strong><\/p>\n

On August 30, 2019, the Department of State, Directorate of Defense Trade Controls (DDTC) published a notice (84 FR 45652<\/a>) revising United States Munitions List (USML) Category XI \u2013 Military Electronics.\u00a0 This action follows a February 2018 comment request<\/a>.<\/p>\n

Most notably, USML Category XI(a)(3)(ix) is removed and reserved.\u00a0 XI(a)(3)(ix) previously controlled \u201cAir surveillance radar with multiple elevation beams, phase or amplitude monopulse estimation, or 3D height-finding.\u201d\u00a0 Public comments had \u201cidentified current and imminent commercial uses\u201d for these radars, including use in \u201cdriver-assisted and self-driving ground vehicles and in detect and avoid systems for autonomous aerial systems.\u201d<\/p>\n

The notice also adds a comment to Category XI regarding transmit\/receive modules and transmit\/receive monolithic microwave integrated circuits (MMICs).<\/p>\n

Items previously controlled on the USML are now subject to the Export Administration Regulations (EAR).<\/p>\n

Finally, the notice also amends USML Category XI(b) to continue the current text which was scheduled to be replaced on August 30, 2019.\u00a0 XI(b) currently controls:<\/p>\n

*(b) Electronic systems, equipment or software, not elsewhere enumerated in this subchapter, specially designed for intelligence purposes that collect, survey, monitor, or exploit, or analyze and produce information from, the electromagnetic spectrum (regardless of transmission medium), or for counteracting such activities.<\/p>\n

This text was scheduled to be replaced on August 30, 2019, but with the amendment the replacement will be delayed until August 30, 2021.\u00a0 At that time, unless otherwise amended, Category XI(b) will read:<\/p>\n

*(b) Electronic systems or equipment, not elsewhere enumerated in this subchapter, specially designed for intelligence purposes that collect, survey, monitor, or exploit the electromagnetic spectrum (regardless of transmission medium), or for counteracting such activities.<\/p>\n

The change now scheduled for 2021 removes \u201csoftware\u201d as well as the capability to analyze and produce information from the electromagnetic spectrum.<\/p>\n

The current language is meant to maintain control of \u201ccertain intelligence-analytics software\u201d until a long-term solution is developed.\u00a0 The rule gives the government time to include the revision of XI(b) within an overall revision of Category XI.<\/p>\n

DDTC published a similar amendment last year<\/a>.<\/p>\n

DDTC separately published a FAQ<\/a> on integrated circuits controlled by USML Category XI(c)(1).<\/p>\n

Brazil a Major Non-NATO Ally<\/strong><\/p>\n

On July 31, 2019 (84 FR 43035<\/a> published August 19th<\/sup>), Brazil was designated a Major Non-NATO Ally (MNNA).\u00a0 DDTC published an announcement on their website<\/a> that Brazil \u201ceffective immediately is included within the definition of major non-NATO ally at ITAR section 120.32.\u201d\u00a0 DDTC has not yet officially amended \u00a7120.32.<\/p>\n

For ITAR purposes, the MNNA designation relates directly to \u00a7124.15 \u201cSpecial Export Controls for Defense Articles and Defense Services Controlled under Category XV: Space Systems and Space Launches.\u201d<\/p>\n

DTAG to Meet September 26<\/strong><\/p>\n

The Defense Trade Advisory Group (DTAG) will meet on September 26, 2019 to discuss the following topics:<\/p>\n

    \n
  1. Consent agreements, including remedial measures and areas for improvement to compliance programs;<\/li>\n
  2. Authorizations involving third party technical data; and<\/li>\n
  3. Licensing challenges for participation in international cooperative programs.<\/li>\n<\/ol>\n

    The DTAG meeting is open to the public, with seating limited to 125 persons.\u00a0 For meeting and registration information, click here for the meeting notice<\/a>.<\/p>\n

    Click here<\/a> for more information about DTAG.<\/p>\n

    DRL Published Guidance on Surveillance Exports<\/strong><\/p>\n

    On September 4, 2019, the Department of State, Bureau of Democracy, Human Rights, and Labor (DRL) published draft guidance on the export of surveillance hardware, software, and technology<\/a>.\u00a0 DRL is accepting comments on the draft guidance through October 4, 2019 and stated that the draft will be removed from the website at that time.\u00a0 DRL is a frequent staffing point (reviewing office) for many export license applications.\u00a0 This guidance is of particular interest to exporters of with \u201cintended or unintended surveillance capabilities.\u201d<\/p>\n

    Commerce Publishes Pakistan Due Diligence Guidance<\/strong><\/p>\n

    The Department of Commerce, Bureau of Industry & Security (BIS) published due diligence guidance regarding Pakistan<\/a>.\u00a0 The guidance highlights red flag guidance and the EAR\u2019s end-use and end-user based restrictions.\u00a0 It also includes specific examples of problematic entities and transactions in Pakistan.<\/p>\n","protected":false},"excerpt":{"rendered":"

    USML Category XI Revised \u2013 Radars, XI(b), and Integrated Circuits On August 30, 2019, the Department of State, Directorate of Defense Trade Controls (DDTC) published a notice (84 FR 45652) revising United States Munitions List (USML) Category XI \u2013 Military Electronics.\u00a0 This action follows a February 2018 comment request. Most notably, USML Category XI(a)(3)(ix) is […]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","footnotes":""},"categories":[7,10],"tags":[],"class_list":["post-350","post","type-post","status-publish","format-standard","hentry","category-all","category-export-control-reform"],"yoast_head":"\nA Cornucopia of Export Compliance Updates - Export Compliance Solutions<\/title>\n<meta name=\"description\" content=\"USML Category XI(b) revised. Brazil designated a Major Non-NATO Ally. September DTAG meeting announced. 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