Effects of Foreign Policy-Based Export Controls, 62065-62067 [E6-17713]
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Federal Register / Vol. 71, No. 204 / Monday, October 23, 2006 / Proposed Rules
Launch Act cross-waiver (49 U.S.C.
70101 et seq.) is applicable.
Michael D. Griffin,
Administrator.
[FR Doc. E6–17701 Filed 10–20–06; 8:45 am]
BILLING CODE 7510–13–P
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
[Docket No. 061010262–6262–01]
Effectiveness of Licensing Procedures
for Agricultural Commodities to Cuba
Bureau of Industry and
Security, Commerce.
ACTION: Request for comments.
mstockstill on PROD1PC76 with PROPOSALS
AGENCY:
SUMMARY: The Bureau of Industry and
Security (BIS) is requesting public
comments on the effectiveness of its
licensing procedures as defined in the
Export Administration Regulations for
the export of agricultural commodities
to Cuba. BIS will include a description
of these comments in its biennial report
to the Congress, as required by the
Trade Sanctions Reform and Export
Enhancement Act of 2000 (Pub. L. 106–
387), as amended.
DATES: Comments must be received by
November 22, 2006.
ADDRESSES: Written comments (three
copies) should be sent to Regulatory
Policy Division, Bureau of Industry and
Security, U.S. Department of Commerce,
Room 2705, Washington, DC 20230 with
a reference to TSRA 2006 Report, or to
e-mail publiccomments@bis.doc.gov
with a reference to TSRA 2006 Report
in the subject line. Comments may also
be emailed to Joan Roberts, Office of
Nonproliferation and Treaty
Compliance, at JRoberts@bis.doc.gov.
FOR FURTHER INFORMATION CONTACT: Joan
Roberts, Office of Nonproliferation and
Treaty Compliance, Telephone: (202)
482–4252. Additional information on
BIS procedures and our previous
biennial report under the Trade
Sanctions Reform and Export
Enhancement Act, as amended, is
available at https://www.bis.doc.gov/
licensing/TSRA_TOC.html. Copies of
these materials may also be requested by
contacting the Office of
Nonproliferation and Treaty
Compliance.
Copies of the public record
concerning these regulations may be
requested from: Bureau of Industry and
Security, Office of Administration, U.S.
Department of Commerce, Room 6883,
15:46 Oct 20, 2006
The
Bureau of Industry and Security (BIS)
authorizes exports of agricultural
commodities to Cuba pursuant to
section 906(c) of the Trade Sanctions
Reform and Export Enhancement Act of
2000 (TSRA) (22 U.S.C. 7205(a)), under
the procedures set forth in § 740.18 of
the Export Administration Regulations
(EAR) (15 CFR 740.18). These are the
only licensing procedures currently in
effect pursuant to the requirements of
section 906(a) of TSRA. Please include
the phrase TSRA 2006 on the envelope
or in the subject line of the email as
appropriate.
Under the provisions of section 906(c)
of TSRA (22 U.S.C. 7205(c)), BIS must
submit a biennial report to the Congress
on the operation of the licensing system
implemented pursuant to section 906(a)
for the preceding two-year period. This
report is to include the number and
types of licenses applied for, the
number and types of licenses approved,
the average amount of time elapsed from
the date of filing of a license application
until the date of its approval, the extent
to which the licensing procedures were
effectively implemented, and a
description of comments received from
interested parties during a 30-day public
comment period about the effectiveness
of the licensing procedures. BIS is
currently preparing a biennial report on
the operation of the licensing system for
the two-year period from October 1,
2004 to September 30, 2006.
By this notice, BIS requests public
comments on the effectiveness of the
licensing procedures for the export of
agricultural commodities to Cuba set
forth under § 740.18 of the EAR. Parties
submitting comments are asked to be as
specific as possible. All comments
received by the close of the comment
period will be considered by BIS in
developing the report to Congress.
All information relating to the notice
will be a matter of public record and
will be available for public inspection
and copying. In the interest of accuracy
and completeness, BIS requires written
comments.
Copies of the public record
concerning these regulations may be
SUPPLEMENTARY INFORMATION:
15 CFR Chapter VII
VerDate Aug<31>2005
1401 Constitution Avenue, NW.,
Washington, DC 20230; (202) 482–2165.
The Office of Administration displays
these public comments on BIS’s
Freedom of Information Act (FOIA) Web
site at https://www.bis.doc.gov/foia. This
office does not maintain a separate
public inspection facility. If you have
technical difficulties accessing this Web
site, please call BIS’s Office of
Administration at (202) 482–2165 for
assistance.
Jkt 211001
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62065
requested from: Bureau of Industry and
Security, Office of Administration, U.S.
Department of Commerce, Room 6883,
1401 Constitution Avenue, NW.,
Washington, DC 20230; (202) 482–2165.
The Office of Administration displays
these public comments on BIS’s
Freedom of Information Act (FOIA) Web
site at https://www.bis.doc.gov/foia. This
office does not maintain a separate
public inspection facility. If you have
technical difficulties accessing this Web
site, please call BIS’s Office of
Administration at (202) 482–2165 for
assistance.
Dated: October 17, 2006.
Christopher A. Padilla,
Assistant Secretary for Export
Administration.
[FR Doc. E6–17707 Filed 10–20–06; 8:45 am]
BILLING CODE 3510–33–P
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Chapter VII
[Docket No. 061005255–6255–01]
Effects of Foreign Policy-Based Export
Controls
Bureau of Industry and
Security, Commerce.
ACTION: Request for comments on
foreign policy-based export controls.
AGENCY:
SUMMARY: The Bureau of Industry and
Security (BIS) is reviewing the foreign
policy-based export controls in the
Export Administration Regulations to
determine whether they should be
modified, rescinded or extended. To
help make these determinations, BIS is
seeking comments on how existing
foreign policy-based export controls
have affected exporters and the general
public.
DATES: Comments must be received by
November 22, 2006.
ADDRESSES: Written comments may be
sent by e-mail to
publiccomments@bis.doc.gov. Include
‘‘FPBEC’’ in the subject line of the
message. Written comments (three
copies) may be submitted by mail or
hand delivery to Sheila Quarterman,
Regulatory Policy Division, Bureau of
Industry and Security, Department of
Commerce, 14th Street & Pennsylvania
Avenue, NW., Room 2705, Washington,
DC 20230. Include ‘‘FPBEC’’ in the
subject line of the message.
FOR FURTHER INFORMATION CONTACT: Joan
Roberts, Director, Foreign Policy
Division, Office of Nonproliferation and
Treaty Compliance, Bureau of Industry
E:\FR\FM\23OCP1.SGM
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mstockstill on PROD1PC76 with PROPOSALS
62066
Federal Register / Vol. 71, No. 204 / Monday, October 23, 2006 / Proposed Rules
and Security, Telephone: (202) 482–
4252. Copies of the current Annual
Foreign Policy Report to the Congress
are available at https://www.bis.doc.gov/
News/2006/foreignPolicyReport/
Default.htm and copies may also be
requested by calling the Office of
Nonproliferation and Treaty
Compliance at the number listed above.
SUPPLEMENTARY INFORMATION: Foreign
policy-based controls in the Export
Administration Regulations (EAR) are
implemented pursuant to section 6 of
the Export Administration Act of 1979,
as amended. The current foreign policybased export controls maintained by the
Bureau of Industry and Security (BIS)
are set forth in the EAR, including in
parts 742 (CCL Based Controls), 744
(End-User and End-Use Based Controls)
and 746 (Embargoes and Special
Country Controls). These controls apply
to a range of countries, items, activities
and persons, including: certain general
purpose microprocessors for ‘military
end-uses’ and ‘military end-users’
(§ 744.17); significant items (SI): hot
section technology for the development,
production, or overhaul of commercial
aircraft engines, components, and
systems (§ 742.14); encryption items
(§§ 742.15 and 744.9); crime control and
detection commodities (§ 742.7);
specially designed implements of
torture (§ 742.11); certain firearms
included within the Inter-American
Convention Against the Illicit
Manufacturing of and Trafficking in
Firearms, Ammunition, Explosives, and
Other Related Materials (§ 742.17);
regional stability items (§ 742.6);
equipment and related technical data
used in the design, development,
production, or use of certain rocket
systems and unmanned air vehicles
(§§ 742.5 and 744.3); chemical
precursors and biological agents,
associated equipment, technical data,
and software related to the production
of chemical and biological agents
(§§ 742.2 and 744.4) and various
chemicals included in those controlled
pursuant to the Chemical Weapons
Convention (§ 742.18); nuclear
propulsion (§ 744.5); aircraft and vessels
(§ 744.7); embargoed countries (part
746); countries designated as supporters
of acts of international terrorism
(§§ 742.8, 742.9, 742.10, 742.19, 746.2,
and 746.7); certain entities in Russia
(§ 744.10); individual terrorists and
terrorist organizations (§§ 744.12, 744.13
and 744.14); certain persons designated
by Executive Order 13315 (‘‘Blocking
Property of the Former Iraqi Regime, Its
Senior Officials and Their Family
Members’’) (§ 744.18); and certain
sanctioned entities (§ 744.20). Attention
VerDate Aug<31>2005
15:46 Oct 20, 2006
Jkt 211001
is also given in this context to the
controls on nuclear-related commodities
and technology (§§ 742.3 and 744.2),
which are, in part, implemented under
section 309(c) of the Nuclear Non
Proliferation Act.
Under the provisions of section 6 of
the Export Administration Act of 1979,
as amended (50 U.S.C. app. §§ 2401–
2420 (2000)) (EAA), export controls
maintained for foreign policy purposes
require annual extension. Section 6 of
the EAA requires a report to Congress
when foreign policy-based export
controls are extended. The EAA expired
on August 20, 2001. Executive Order
13222 of August 17, 2001 (3 CFR, 2001
Comp., p. 783 (2002)), which has been
extended by successive Presidential
Notices, the most recent being that of
August 3, 2006 (71 FR 44551, August 7,
2006), continues the EAR and, to the
extent permitted by law, the provisions
of the EAA, in effect under the
International Emergency Economic
Powers Act (50 U.S.C. 1701–1706
(2000)). The Department of Commerce,
insofar as appropriate, is following the
provisions of section 6 in reviewing
foreign policy-based export controls,
requesting public comments on such
controls, and submitting a report to
Congress.
In January 2006, the Secretary of
Commerce, on the recommendation of
the Secretary of State, extended for one
year all foreign policy-based export
controls then in effect.
To assure public participation in the
review process, comments are solicited
on the extension or revision of the
existing foreign policy-based export
controls for another year. Among the
criteria considered in determining
whether to continue or revise U.S.
foreign policy-based export controls are
the following:
1. The likelihood that such controls
will achieve the intended foreign policy
purpose, in light of other factors,
including the availability from other
countries of the goods, software or
technology proposed for such controls;
2. Whether the foreign policy purpose
of such controls can be achieved
through negotiations or other alternative
means;
3. The compatibility of the controls
with the foreign policy objectives of the
United States and with overall United
States policy toward the country subject
to the controls;
4. Whether reaction of other countries
to the extension of such controls by the
United States is not likely to render the
controls ineffective in achieving the
intended foreign policy purpose or be
counterproductive to United States
foreign policy interests;
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5. The comparative benefits to U.S.
foreign policy objectives versus the
effect of the controls on the export
performance of the United States, the
competitive position of the United
States in the international economy, the
international reputation of the United
States as a supplier of goods and
technology; and
6. The ability of the United States to
enforce the controls effectively.
BIS is particularly interested in
receiving comments on the economic
impact of proliferation controls. BIS is
also interested in industry information
relating to the following:
1. Information on the effect of foreign
policy-based export controls on sales of
U.S. products to third countries (i.e.,
those countries not targeted by
sanctions), including the views of
foreign purchasers or prospective
customers regarding U.S. foreign policybased export controls.
2. Information on controls maintained
by U.S. trade partners. For example, to
what extent do they have similar
controls on goods and technology on a
worldwide basis or to specific
destinations?
3. Information on licensing policies or
practices by our foreign trade partners
which are similar to U.S. foreign policybased export controls, including license
review criteria, use of conditions,
requirements for pre- and post-shipment
verifications (preferably supported by
examples of approvals, denials and
foreign regulations).
4. Suggestions for revisions to foreign
policy-based export controls that would
(if there are any differences) bring them
more into line with multilateral
practice.
5. Comments or suggestions as to
actions that would make multilateral
controls more effective.
6. Information that illustrates the
effect of foreign policy-based export
controls on the trade or acquisitions by
intended targets of the controls.
7. Data or other information as to the
effect of foreign policy-based export
controls on overall trade at the level of
individual industrial sectors.
8. Suggestions as to how to measure
the effect of foreign policy-based export
controls on trade.
9. Information on the use of foreign
policy-based export controls on targeted
countries, entities, or individuals.
BIS is also interested in comments
relating generally to the extension or
revision of existing foreign policy-based
export controls.
Parties submitting comments are
asked to be as specific as possible. All
comments received before the close of
the comment period will be considered
E:\FR\FM\23OCP1.SGM
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Federal Register / Vol. 71, No. 204 / Monday, October 23, 2006 / Proposed Rules
by BIS in reviewing the controls and
developing the report to Congress.
All information relating to the notice
will be a matter of public record and
will be available for public inspection
and copying. In the interest of accuracy
and completeness, BIS requires written
comments. Oral comments must be
followed by written memoranda, which
will also be a matter of public record
and will be available for public review
and copying.
The Office of Administration, Bureau
of Industry and Security, U.S.
Department of Commerce, displays
these public comments on BIS’s
Freedom of Information Act (FOIA) Web
site at https://www.bis.doc.gov/foia. This
office does not maintain a separate
public inspection facility. If you have
technical difficulties accessing this Web
site, please call BIS’s Office of
Administration at (202) 482–0637 for
assistance.
Dated: October 12, 2006.
Christopher A. Padilla,
Assistant Secretary for Export
Administration.
[FR Doc. E6–17713 Filed 10–20–06; 8:45 am]
BILLING CODE 3510–33–P
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 1
[REG–110405–05]
RIN 1545–BE58
Limitations on Transfers of Built-in
Losses
Internal Revenue Service (IRS),
Treasury.
ACTION: Notice of proposed rulemaking.
mstockstill on PROD1PC76 with PROPOSALS
AGENCY:
SUMMARY: This document contains
proposed regulations under section
362(e)(2) of the Internal Revenue Code
of 1986 (Code). The proposed
regulations reflect changes made to the
law by the American Jobs Creation Act
of 2004. These proposed regulations
provide guidance regarding the
determination of the bases of assets and
stock transferred in certain
nonrecognition transactions and will
affect corporations and large
shareholders of corporations, including
individuals, partnerships, corporations,
and tax-exempt entities.
DATES: Written or electronic comments
and requests for a public hearing must
be received by January 22, 2007.
ADDRESSES: Send submissions to
CC:PA:LPD:PR (REG–110405–05),
VerDate Aug<31>2005
15:46 Oct 20, 2006
Jkt 211001
Internal Revenue Service, PO Box 7604,
Ben Franklin Station, Washington, DC
20044. Submissions may be hand
delivered to CC:PA:LPD:PR (REG–
110405–05), Courier’s Desk, Internal
Revenue Service, Crystal Mall 4
Building, 1901 S. Bell St., Arlington,
VA. Alternatively, taxpayers may
submit comments electronically directly
to the IRS Internet site at www.irs.gov/
regs or Federal e-Rulemaking Portal at
www.regulations.gov (IRS REG–110405–
05).
FOR FURTHER INFORMATION CONTACT:
Concerning the proposed regulations,
Jay M. Singer, (202) 622–7530 (not tollfree number), or concerning
submissions of comments, Richard A.
Hurst,
Richard.A.Hurst@irscounsel.treas.gov.
SUPPLEMENTARY INFORMATION:
Background
Prior to 1999, Congress grew
concerned that taxpayers were engaging
in corporate nonrecognition transactions
in order to accelerate and duplicate
losses. See S. Rep. No. 201, 106th Cong.,
1st Sess. 46–48 (1999). Congress was
primarily concerned with the
acceleration and duplication of losses
through the assumption of liabilities
(including liabilities to which assets
transferred in a corporate
nonrecognition transaction were
subject). As a result, in 1999, Congress
enacted section 362(d) of the Code to
prevent the bases of assets transferred to
a corporation from being increased
above such assets’ aggregate fair market
value as a result of a liability
assumption. In addition, in 2000,
Congress enacted section 358(h) to
reduce the basis of stock received in
certain corporate nonrecognition
transactions, but not below fair market
value, by the amount of any liabilities
assumed in the transaction.
Following the enactment of sections
362(d) and 358(h), Congress remained
concerned that taxpayers were engaging
in various tax-motivated transactions to
take more than one tax deduction for a
single economic loss. Consequently, in
the American Jobs Creation Act of 2004
(Pub. L. 108–357, 188 Stat. 1418),
Congress enacted section 362(e), which
limits the ability of taxpayers to
duplicate net built-in loss in certain
nonrecognition transactions.
Section 362(e)(1)(A) provides that if
there would be an importation of a net
built-in loss in a transaction described
in section 362(a) or (b), the basis of
certain property acquired in such a
transaction shall be its fair market value
immediately after the transaction.
Section 362(e)(1)(B) provides that
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62067
property is described in section
362(e)(1) if gain or loss with respect to
such property is not subject to tax in the
hands of the transferor immediately
before the transfer, and gain or loss with
respect to such property is subject to tax
in the hands of the transferee
immediately after the transfer. Further,
section 362(e)(1)(C) provides that there
is an importation of net built-in loss in
a transaction if the transferee’s aggregate
adjusted basis in such property would
(but for the application of section
362(e)(1)) exceed the aggregate fair
market value of such property
immediately after the transaction.
Section 362(e)(2)(A) provides that if
property is transferred by a transferor to
a transferee in a transaction described in
section 362(a) and not described in
section 362(e)(1), and if the transferee’s
aggregate adjusted basis in the
transferred property would (but for the
application of section 362(e)(2)) exceed
its aggregate fair market value
immediately after the transfer, then the
transferee’s aggregate adjusted basis in
the transferred property shall not exceed
the fair market value of the property
immediately after the transfer. Further,
section 362(e)(2)(B) provides that this
aggregate reduction in the basis of the
transferred property shall be allocated
among the property in proportion to
their respective built-in losses
immediately before the transaction. As
an alternative to this reduction in the
basis of the transferred assets, section
362(e)(2)(C) provides that if the
transferor and the transferee both so
elect, section 362(e)(2)(A) shall not
apply, and the transferor’s basis in the
stock of the transferee received in
exchange for the property that would
otherwise be subject to basis reduction
under section 362(e)(2)(A) shall not
exceed its fair market value.
Since the enactment of section
362(e)(2), the IRS and Treasury
Department have been exploring issues
concerning the interpretation, scope,
and application of the section and have
proposed these regulations to address
these issues. Additional guidance
regarding the application of section
362(e)(2) to transfers between members
of a consolidated group and the
treatment of transactions that have the
effect of importing losses into the U.S.
tax system (to which section 362(e)(1)
applies) will be addressed in separate
guidance projects.
Explanation of Provisions
1. General Provisions
In general, these proposed regulations
apply to transfers of net built-in loss
property within the U.S. tax system in
E:\FR\FM\23OCP1.SGM
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]]>Agencies
[Federal Register Volume 71, Number 204 (Monday, October 23, 2006)]
[Proposed Rules]
[Pages 62065-62067]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-17713]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Chapter VII
[Docket No. 061005255-6255-01]
Effects of Foreign Policy-Based Export Controls
AGENCY: Bureau of Industry and Security, Commerce.
ACTION: Request for comments on foreign policy-based export controls.
-----------------------------------------------------------------------
SUMMARY: The Bureau of Industry and Security (BIS) is reviewing the
foreign policy-based export controls in the Export Administration
Regulations to determine whether they should be modified, rescinded or
extended. To help make these determinations, BIS is seeking comments on
how existing foreign policy-based export controls have affected
exporters and the general public.
DATES: Comments must be received by November 22, 2006.
ADDRESSES: Written comments may be sent by e-mail to
publiccomments@bis.doc.gov. Include ``FPBEC'' in the subject line of
the message. Written comments (three copies) may be submitted by mail
or hand delivery to Sheila Quarterman, Regulatory Policy Division,
Bureau of Industry and Security, Department of Commerce, 14th Street &
Pennsylvania Avenue, NW., Room 2705, Washington, DC 20230. Include
``FPBEC'' in the subject line of the message.
FOR FURTHER INFORMATION CONTACT: Joan Roberts, Director, Foreign Policy
Division, Office of Nonproliferation and Treaty Compliance, Bureau of
Industry
[[Page 62066]]
and Security, Telephone: (202) 482-4252. Copies of the current Annual
Foreign Policy Report to the Congress are available at https://
www.bis.doc.gov/News/2006/foreignPolicyReport/Default.htm and copies
may also be requested by calling the Office of Nonproliferation and
Treaty Compliance at the number listed above.
SUPPLEMENTARY INFORMATION: Foreign policy-based controls in the Export
Administration Regulations (EAR) are implemented pursuant to section 6
of the Export Administration Act of 1979, as amended. The current
foreign policy-based export controls maintained by the Bureau of
Industry and Security (BIS) are set forth in the EAR, including in
parts 742 (CCL Based Controls), 744 (End-User and End-Use Based
Controls) and 746 (Embargoes and Special Country Controls). These
controls apply to a range of countries, items, activities and persons,
including: certain general purpose microprocessors for `military end-
uses' and `military end-users' (Sec. 744.17); significant items (SI):
hot section technology for the development, production, or overhaul of
commercial aircraft engines, components, and systems (Sec. 742.14);
encryption items (Sec. Sec. 742.15 and 744.9); crime control and
detection commodities (Sec. 742.7); specially designed implements of
torture (Sec. 742.11); certain firearms included within the Inter-
American Convention Against the Illicit Manufacturing of and
Trafficking in Firearms, Ammunition, Explosives, and Other Related
Materials (Sec. 742.17); regional stability items (Sec. 742.6);
equipment and related technical data used in the design, development,
production, or use of certain rocket systems and unmanned air vehicles
(Sec. Sec. 742.5 and 744.3); chemical precursors and biological
agents, associated equipment, technical data, and software related to
the production of chemical and biological agents (Sec. Sec. 742.2 and
744.4) and various chemicals included in those controlled pursuant to
the Chemical Weapons Convention (Sec. 742.18); nuclear propulsion
(Sec. 744.5); aircraft and vessels (Sec. 744.7); embargoed countries
(part 746); countries designated as supporters of acts of international
terrorism (Sec. Sec. 742.8, 742.9, 742.10, 742.19, 746.2, and 746.7);
certain entities in Russia (Sec. 744.10); individual terrorists and
terrorist organizations (Sec. Sec. 744.12, 744.13 and 744.14); certain
persons designated by Executive Order 13315 (``Blocking Property of the
Former Iraqi Regime, Its Senior Officials and Their Family Members'')
(Sec. 744.18); and certain sanctioned entities (Sec. 744.20).
Attention is also given in this context to the controls on nuclear-
related commodities and technology (Sec. Sec. 742.3 and 744.2), which
are, in part, implemented under section 309(c) of the Nuclear Non
Proliferation Act.
Under the provisions of section 6 of the Export Administration Act
of 1979, as amended (50 U.S.C. app. Sec. Sec. 2401-2420 (2000)) (EAA),
export controls maintained for foreign policy purposes require annual
extension. Section 6 of the EAA requires a report to Congress when
foreign policy-based export controls are extended. The EAA expired on
August 20, 2001. Executive Order 13222 of August 17, 2001 (3 CFR, 2001
Comp., p. 783 (2002)), which has been extended by successive
Presidential Notices, the most recent being that of August 3, 2006 (71
FR 44551, August 7, 2006), continues the EAR and, to the extent
permitted by law, the provisions of the EAA, in effect under the
International Emergency Economic Powers Act (50 U.S.C. 1701-1706
(2000)). The Department of Commerce, insofar as appropriate, is
following the provisions of section 6 in reviewing foreign policy-based
export controls, requesting public comments on such controls, and
submitting a report to Congress.
In January 2006, the Secretary of Commerce, on the recommendation
of the Secretary of State, extended for one year all foreign policy-
based export controls then in effect.
To assure public participation in the review process, comments are
solicited on the extension or revision of the existing foreign policy-
based export controls for another year. Among the criteria considered
in determining whether to continue or revise U.S. foreign policy-based
export controls are the following:
1. The likelihood that such controls will achieve the intended
foreign policy purpose, in light of other factors, including the
availability from other countries of the goods, software or technology
proposed for such controls;
2. Whether the foreign policy purpose of such controls can be
achieved through negotiations or other alternative means;
3. The compatibility of the controls with the foreign policy
objectives of the United States and with overall United States policy
toward the country subject to the controls;
4. Whether reaction of other countries to the extension of such
controls by the United States is not likely to render the controls
ineffective in achieving the intended foreign policy purpose or be
counterproductive to United States foreign policy interests;
5. The comparative benefits to U.S. foreign policy objectives
versus the effect of the controls on the export performance of the
United States, the competitive position of the United States in the
international economy, the international reputation of the United
States as a supplier of goods and technology; and
6. The ability of the United States to enforce the controls
effectively.
BIS is particularly interested in receiving comments on the
economic impact of proliferation controls. BIS is also interested in
industry information relating to the following:
1. Information on the effect of foreign policy-based export
controls on sales of U.S. products to third countries (i.e., those
countries not targeted by sanctions), including the views of foreign
purchasers or prospective customers regarding U.S. foreign policy-based
export controls.
2. Information on controls maintained by U.S. trade partners. For
example, to what extent do they have similar controls on goods and
technology on a worldwide basis or to specific destinations?
3. Information on licensing policies or practices by our foreign
trade partners which are similar to U.S. foreign policy-based export
controls, including license review criteria, use of conditions,
requirements for pre- and post-shipment verifications (preferably
supported by examples of approvals, denials and foreign regulations).
4. Suggestions for revisions to foreign policy-based export
controls that would (if there are any differences) bring them more into
line with multilateral practice.
5. Comments or suggestions as to actions that would make
multilateral controls more effective.
6. Information that illustrates the effect of foreign policy-based
export controls on the trade or acquisitions by intended targets of the
controls.
7. Data or other information as to the effect of foreign policy-
based export controls on overall trade at the level of individual
industrial sectors.
8. Suggestions as to how to measure the effect of foreign policy-
based export controls on trade.
9. Information on the use of foreign policy-based export controls
on targeted countries, entities, or individuals.
BIS is also interested in comments relating generally to the
extension or revision of existing foreign policy-based export controls.
Parties submitting comments are asked to be as specific as
possible. All comments received before the close of the comment period
will be considered
[[Page 62067]]
by BIS in reviewing the controls and developing the report to Congress.
All information relating to the notice will be a matter of public
record and will be available for public inspection and copying. In the
interest of accuracy and completeness, BIS requires written comments.
Oral comments must be followed by written memoranda, which will also be
a matter of public record and will be available for public review and
copying.
The Office of Administration, Bureau of Industry and Security, U.S.
Department of Commerce, displays these public comments on BIS's Freedom
of Information Act (FOIA) Web site at https://www.bis.doc.gov/foia. This
office does not maintain a separate public inspection facility. If you
have technical difficulties accessing this Web site, please call BIS's
Office of Administration at (202) 482-0637 for assistance.
Dated: October 12, 2006.
Christopher A. Padilla,
Assistant Secretary for Export Administration.
[FR Doc. E6-17713 Filed 10-20-06; 8:45 am]
BILLING CODE 3510-33-P
