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Export Control Regulations Revised for Changes in Missile Control Regime

Tuesday, July 16, 2013
Sandler, Travis & Rosenberg Trade Report

TheBureau of Industry and Security has issued a final rule that, effective July 16, revises export control classification numbers 1C011, 1C111, 1C116, 9A101, 9B105 and 9E101 as well as the definition of “payload” to implement changes to the Missile Technology Control Regime Annex that have been agreed to by MTCR member countries.  This rule also revises ECCNs 7E004 and 9D004 to better align the Commerce Control List with the MTCR Annex and past MTCR agreements.

Shipments of items removed from eligibility for a license exception or export or reexport without a license (NLR) as a result of this rule that were on dock for loading, on lighter, laden aboard an exporting or reexporting carrier, or en route aboard a carrier to a port of export or reexport on July 16 pursuant to actual orders for export or reexport to a foreign destination may proceed to that destination under the previous eligibility so long as they are exported or reexported before Aug. 15. Any such items not actually exported or reexported before midnight on Aug. 15 will require a license in accordance with this rule.

The MTCR is an export control arrangement among 34 nations, including most of the world’s advanced suppliers of missiles and missile-related equipment, materials, software and technology. The regime establishes a common list of controlled items (the Annex) and a common export control policy (the Guidelines) that member countries implement in accordance with their national export controls. The MTCR seeks to limit the risk of proliferation of weapons of mass destruction by controlling exports of goods and technologies that could make a contribution to delivery systems (other than manned aircraft) for such weapons.

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