ITAR and Defense Exports

There’s no end in sight for the turmoil in Ukraine. And there’s no end in sight for international sanctions against Russia for causing that turmoil. As sanctions escalate, so will the collateral damage. New sanctions announced on April 28, 2014 will not only affect Russia and Ukraine, but will affect U.S. business too. But while the United States and its allies continue to double down on their sanctions efforts, no one in Washington seems very confident in the end game.
Continue Reading Russian Against Time: New Sanctions and Lowered Expectations as Ukraine Crisis Continues

The pressure on Russia continues to build.  As we previously reported here and here, throughout March, the United States and other Western powers implemented a series of sanctions against individuals and entities deemed to be involved in the political destabilization of Ukraine.  Those sanctions were restricted to specific parties, including high ranking Russian and Ukrainian officials and – notably – one Russian bank.
Continue Reading Starving the Bear: The United States Restricts Exports to Russia

In February 2014, the U.S. Department of Commerce’s Bureau of Industry and Security (“BIS”) published a report (“Report”) detailing the impact of export controls on the U.S. space industry.  Titled the “U.S. Space Industry ‘Deep Dive’ Assessment,” the Report addresses how U.S. export controls affect the space industrial supply chain.
Continue Reading Spacing Out: BIS Issues Report on Export Controls and the Space Industrial Base

Next week will mark one year since President Obama introduced the Transatlantic Trade and Investment Partnership (TTIP) to the nation in his State of the Union Address.  Although the TTIP received only a brief nod in the President’s speech, the TTIP initiative has moved forward at a stunning pace . . . well, a stunning pace for an international trade negotiation, a process that normally crawls along.  As discussed in this blog, the U.S. and European parties to this proposed partnership set an ambitious goal of finalizing an agreement by the end of 2014.  A year into the process, we take a look at the progress to date and the challenges to come.
Continue Reading Just the TTIP: A Review of the Transatlantic Partnership Agreement One Year After It Is Introduced to America

We have eaten all the holiday meals and treats, we have counted down and watched the ball drop, and we have emptied a fair few champagne bottles.  Now, we are all resolving to be leaner, nimbler, smarter, and stronger in the New Year.

So is the ITAR.Continue Reading ECR Episode VIII: New Rules for the New Year

By: Matthew Riemer

On August 26, 2013, in yet another move geared toward streamlining the U.S. export control regulatory landscape, the U.S. Department of State’s Directorate of Defense Trade Controls (DDTC) published its long-awaited interim final rule on arms brokers and brokering activities.  The revamped International Traffic in Arms Regulation (ITAR) Part 129 directly addresses industry concerns regarding the scope and applicability of the current brokering requirements.  Although the rule comes nearly two years after the most recent proposed brokering rule, the new rule significantly narrows the universe of persons and activities that are subject to the ITAR’s brokering regulations.
Continue Reading Fixing a Broken Brokering Definition: DDTC Eases ITAR’s Regulatory Burden for Brokers and Brokering Activities

By: Fatima Merchant

Background

In Episode 1 and Episode 2 of this series, we discussed some key points of U.S. Export Control Reform and took you through a step-by-step reclassification analysis of parts and components transitioning from the USML to the EAR.  After determining that the items you export will move from the USML to the CCL, you will need to evaluate your licensing requirements.
Continue Reading Export Control Reform Series Episode III: Harmonizing EAR Exceptions and ITAR Exemptions

By J. Scott Maberry

In Episode I, “The Basics,” we showed you some of the basics of the President’s new export control reform initiative. In Episode II, we helped you understand how to make sense of the impending changes in U.S. Munitions List Category VIII aircraft parts. In Episode III, we took you thorough the critically important license exemptions and exceptions.

And now, just as in the Star Wars epic, we come to the best part: Episode IV: the new definition of “specially designed.”


Continue Reading Export Control Reform Series Episode IV: The New Definition of “Specially Designed”

By: Reid Whitten

The first major wave of the much-discussed U.S. Export Control Reform measures will break on October 15, 2013 as the first round of rule changes take effect.  While many in the affected industries expect that the October changes will be a welcome relief from certain burdensome regulations, many are concerned, confused, and overwhelmed by the complex regulatory shifts being announced by the U.S. State and Commerce departments.

This article is the first in a series addressing various aspects of the ECR changes.  We will do our best to offer a bit of fundamental clarity, provide lay-person explanation, and lend some guidance in parsing nuanced regulations.  We also hope to bring an entirely new concept to the ECR discussion: comprehensibility.  We welcome your feedback by email through our open discussion on Twitter at @ReidGlobalTrade.Continue Reading Export Control Reform Series Episode I: The Basics – Five Points to Remember about Export Control Reform

By: Reid Whitten

In Episode I: The Basics we noted that U.S. Export Control Reform may be causing confusion and consternation among those who will have to take the first theoretical rule changes and apply them in real and practical situations.  Among the first test subjects are those who oversee ITAR compliance for manufacturers and exporters of aircraft and aircraft parts.  While these brave souls will be the front line of the ECR implementers, those in the ranks behind (looking at you, Military Vehicles and Naval Vessels) will do well to learn from their experience.
Continue Reading Export Control Reform Series Episode II: The First Change – Reevaluating your ITAR Aircraft Parts