Directorate of Defense Trade Controls (DDTC)

The Year Mark

Apparently, it is now fashionable among my peers to host elaborate parties in honor of the first birthdays of their children. I have attended a number of these fêtes, and been impressed to just what lengths the parents will go to celebrate twelve months of growth and achievement for a Guest of Honor who will almost certainly not recall the event. However, we at the Global Trade Law Blog are nothing if not fashionable (thanks to our firm’s Fashion and Apparel blog – your move, “white shoe” firms) and are not to be left out of the latest trend.  As such, we are throwing our own birthday party, celebrating the first anniversary of Export Control Reform.


Continue Reading ECR Episode IX: The Export Control Reform Turns One – What are Your Plans for the Big Celebration?

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

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: Mark Jensen

As many exporters know, the U.S. government conducts investigations under the so-called “Blue Lantern” program to monitor end-use compliance in defense trade exports. On October 23, 2012, the U.S. Department of State, Directorate of Defense Trade Controls (“DDTC”) updated its Fiscal Year 2009 Blue Lantern report (titled “End-Use Monitoring report for Defense Articles and Defense Services”), describing actions it took to implement the “Blue Lantern” end-use monitoring program in 2009.  While the data contained in the 2009 report are somewhat dated, the fiscal year 2010 and 2011 reports are also available. Together, the reports provide important reminders about monitoring compliance under the International Traffic in Arms Regulations (“ITAR”) for any company dealing with military related exports.
Continue Reading ITAR End-Use Investigations Reveal Compliance Priorities

By: Curt Dombek and Mark Jensen

On June 19, The U.S. Department of State, Directorate of Defense Trade Controls (DDTC) and U.S. Department of Commerce, Bureau of Industry and Security (BIS) proposed a joint, largely standardized definition of “specially designed” that would apply to items on both the Commerce Control List (CCL) and U.S. Munitions List (USML).  The definition represents a major step in the functional merger of the two lists.  Once implemented, it should ease the administrative burden of U.S. export compliance on companies whose work touches both areas and clarify the status of a large number of items.  One thing it will not do (and which may never be done) is remove ambiguity from the lists altogether.
Continue Reading All Together Now: A New Joint Definition of “Specially Designed”

By: Reid Whitten and Scott Maberry

How did five of the most prominent freight forwarders shipping goods subject to the International Traffic in Arms Regulations (ITAR), suddenly become ineligible as carriers for ITAR exporters? The answer begins with a Sherman Antitrust action by the U.S. Department of Justice and ends, for the moment, with a major gap in logistics, supply chain, and transport for companies manufacturing, trading, or exporting ITAR-controlled products.
Continue Reading On The List, Off The Menu: How 5 Major ITAR Shippers Disappeared

By: Thaddeus McBride and Cheryl Palmeri

In a Federal Register Notice dated December 19, 2011, the U.S. Department of State announced proposed changes to 22 C.F.R. part 129 and related provisions of the International Traffic in Arms Regulations (ITAR) that regulate brokers and brokering activities.  State is accepting comments on the proposed rule until February 17, 2012.  The exporting community has been awaiting these amendments for several years, and while providing some clarification as to broker registration and approvals, the amendments are pretty modest. 
Continue Reading State Department (Finally) Proposes Amendments to ITAR Brokering Provisions

By: David S. Gallacher

2011 was a banner year for U.S. export control laws. The Obama administration has vowed to streamline and reform the bloated U.S. export control system – promising to build “higher walls” around a narrower universe of goods and technologies requiring export licenses. Following is a summary of ten of the key reforms to U.S. export laws that took place (or were proposed) in 2011.

Continue Reading 2011 Year In Review: Export Controls and Promised Reforms