Regular readers of this blog will know that, effective July 1, 2014, DDTC completed the revision of four USML categories. With these revisions, a variety of ITAR-controlled items were transitioned to the control of the EAR. As a reminder, these revised categories were:
- USML Category IV: Launch Vehicles, Guided Missiles, Ballistic Missiles, Rockets, Torpedoes, Bombs, and Mines
- USML Category V: Explosives and Energetic Materials, Propellants, Incendiary Agents, and Their Constituents
- USML Category X: Personal Protective Equipment
- USML Category IX: Military Training Equipment
DDTC and BIS allowed for a period of time for the transition of licenses and other approvals for the export of those items that were no longer controlled by the ITAR. Specifically, DDTC issued guidance that authorizations for items now controlled by the EAR could continue to be exported or temporarily imported on the original authorization for a period of two years after implementation of the ECR revisions. However, those items (now controlled by the EAR) would continue to be subject to the licensing conditions and provisos on existing authorizations until such time as a new authorization was obtained through BIS.
To assist exporters, DDTC prepared the below reference chart:
The two-year mark is now approaching. If you have valid ITAR authorizations approving the export or temporary import of items now controlled by the EAR, it is time to obtain a new authorization through BIS for those items. You have until June 30, 2016 to do so.
Here are two brief caveats for exemptions – predominantly, §123.4(a)(1) and §126.5.
- If an item, which has transitioned to the EAR, was temporarily imported under the authority of §123.4(a)(1), the exemption may continue to be utilized as the export authority for the return of the item.
- If an item, which has transitioned to the EAR, was exported to Canada under the authority of §126.5, the exemption may continue to be utilized as the export authority for the return of the item to the U.S.
If you need help evaluating these transitions, or applying for new BIS licenses, please let us know. We will be happy to schedule a no-charge consultation to determine your needs and discuss how we can assist.
Jim McShane is a Sr. Consultant, Trade Compliance for Export Solutions -- a full-service consulting firm specializing in ITAR and EAR regulations.