Corrections and Clarifications to the Export Administration Regulations; Conforming Changes to the EAR Based on Amendments to the International Traffic in Arms Regulations, 32611-32632 [2014-12151]
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Vol. 79
Thursday,
No. 108
June 5, 2014
Part II
Department of Commerce
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Bureau of Industry and Security
15 CFR Parts 736, 738, 740, 742, et al.
Corrections and Clarifications to the Export Administration Regulations;
Conforming Changes to the EAR Based on Amendments to the
International Traffic in Arms Regulations; Final Rule
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Federal Register / Vol. 79, No. 108 / Thursday, June 5, 2014 / Rules and Regulations
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Parts 736, 738, 740, 742, 744,
746, 748, 750, 758, 762, 772 and 774
[Docket No. 140221165–4165–01]
RIN 0694–AG11
Corrections and Clarifications to the
Export Administration Regulations;
Conforming Changes to the EAR
Based on Amendments to the
International Traffic in Arms
Regulations
Bureau of Industry and
Security, Commerce.
ACTION: Final rule.
AGENCY:
This final rule makes
corrections and clarifications to the
Export Administration Regulations
(EAR) for six final rules published in
2013 and early 2014. This final rule also
makes other needed technical
corrections and clarifications to the EAR
identified by BIS. In addition, this final
rule makes two conforming changes to
the EAR as a result of a final rule
published by the Department of State on
April 17, 2014.
DATES: Effective Date: This rule is
effective June 5, 2014, except that
amendatory instructions 44, 45, 47, 50,
51, 52, 53.a, 54, 55, 56.a, 58, 63, 65, 70,
71, and 72.a to Supplement No. 1 to part
774 are effective July 1, 2014.
FOR FURTHER INFORMATION CONTACT:
Timothy Mooney, Regulatory Policy
Division, Bureau of Industry and
Security, Department of Commerce,
Phone: (202) 482–2440, Fax: (202) 482–
3355, Email: rpd2@bis.doc.gov.
SUPPLEMENTARY INFORMATION:
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SUMMARY:
Background
This final rule makes corrections and
clarifications to the Export
Administration Regulations (EAR) for
six final rules published in 2013 and
early 2014. These corrections and
clarifications to the EAR are necessary
in light of earlier amendments to the
EAR that are already in effect, as well
as for a final rule published on January
2, 2014, that becomes effective July 1,
2014. The Bureau of Industry and
Security (BIS) is correcting all six rules
in this single final rule to minimize the
number of correction rules for the
public to review and because they are
similar types of corrections and
clarifications. The six final rules that are
being corrected in this rule are: Export
Administration Regulations: Editorial
Clean-Up of References to Foreign Trade
Regulations published on January 29,
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2014 (79 FR 4613) (referred to hereafter
as the January 29 rule); Control of
Military Training Equipment, Energetic
Materials, Personal Protective
Equipment, Shelters, Articles Related to
Launch Vehicles, Missiles, Rockets,
Military Explosives, and Related Items
published on January 2, 2014 (79 FR
264) (referred to hereafter as the January
2 rule); Revisions to the Export
Administration Regulations (EAR):
Unverified List (UVL) published on
December 19, 2013 (78 FR 76741)
(referred to hereafter as the December 19
rule); Revisions to the Export
Administration Regulations (EAR) To
Make the Commerce Control List (CCL)
Clearer published on October 4, 2013
(78 FR 61874) (referred to hereafter as
the October 4 rule); Revisions to the
Export Administration Regulations:
Military Vehicles; Vessels of War;
Submersible Vessels, Oceanographic
Equipment; Related Items; and
Auxiliary and Miscellaneous Items That
the President Determines No Longer
Warrant Control Under the United
States Munitions List published on July
8, 2013 (78 FR 40892) (referred to
hereafter as the July 8 rule); and
Revisions to the Export Administration
Regulations: Initial Implementation of
Export Control Reform published on
April 16, 2013 (78 FR 22660) (referred
to hereafter as the April 16 rule). This
final rule also makes other needed
technical corrections and clarifications
to the EAR that BIS has identified.
The background section of this final
rule describes these corrections and
clarifications in the following order: (A)
January 29 rule corrections and
clarifications, (B) January 2 rule
corrections and clarifications, (C)
December 19 rule corrections and
clarifications, (D) October 4 rule
corrections and clarifications, (E) July 8
rule corrections and clarifications, (F)
April 16 rule corrections and
clarifications, and (G) other corrections
and clarifications to the EAR.
(A) January 29 Rule Corrections and
ClarificationS
BIS provides the following corrections
to the January 29 rule, which became
effective upon publication. The
corrections included in this final rule
for the January 29 rule become effective
on the date of publication of this final
rule.
In Supplement No. 2 to part 736—
Administrative Orders, Administrative
Order Two, under paragraph (a)(3), the
January 29 rule used the term
‘‘Administration Order,’’ but the rule
intended to use the term
‘‘Administrative Order.’’ This final rule
removes the term ‘‘Administration
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Order’’ and adds in its place the correct
term ‘‘Administrative Order.’’
In § 740.15(c)(2)(iv), the January 29
rule revised this paragraph to use the
phrase ‘‘filed to the Automated Export
System (AES),’’ but the January 29 rule
also added in the same sentence the
phrase ‘‘record is filed’’ in that same
paragraph after ‘‘(AES)’’. This final rule
deletes the redundant phrase ‘‘record is
filed’’ after ‘‘(AES)’’ because the phrase
‘‘filed to’’ is also used in the same
paragraph when referring to AES.
In § 758.1(b)(3), this rule reinserts text
that was inadvertently removed in the
January 29 rule. The reinserted text
originally was added to paragraph (b)(3)
in Revisions to the Export
Administration Regulations (EAR):
Initial Implementation of Export Control
Reform; Correction published on
October 3, 2013 (78 FR 61744). This
final rule reinserts the phrase ‘‘or
otherwise described’’ after the term
‘‘enumerated’’ in paragraph (b)(3).
(B) January 2 Rule Corrections and
Clarifications
BIS provides the following corrections
and clarifications to the January 2 rule,
which becomes effective on July 1,
2014. These include correcting
typographical errors and inserting
omitted quotation marks and other text
for consistency with other provisions of
the Commerce Control List (CCL) set
forth in Supplement No. 1 to part 774
of the EAR. All of the corrections and
clarifications in this Section B are to
Export Control Classification Numbers
(ECCNs).
Typographical Errors and Other
Corrections for January 2 Rule
ECCNs 0A604, 0A614, 0A988, 0B604,
0B614, 1C239, and 1C608. This final
rule corrects the capitalization in the
headings of these seven ECCNs, so only
the first term of the heading is
capitalized. This final rule makes this
change for consistency with the format
used in other ECCN headings on the
CCL.
ECCNs 0B604, 0B614, 0D001, 0D604,
0D614, 0E001, 0E604, 0E614, 1A613,
1B608, 1B613, 1C018, 1C608, 1D018,
1D608, 1D613, 1E001, 1E101, 1E201,
1E608, 9A604, 9B115, 9B116, 9B604,
9D001, 9D002, 9D003, 9D104, 9D604,
9E001, 9E101, 9E102, and 9E604. This
final rule corrects a typographical error
in the headings of these ECCNs by
adding a period at the end of each of
these headings. This final rule makes
this change for consistency with the
format used in other ECCN headings on
the CCL.
ECCN 0E614. This final rule corrects
a typographical error in ECCN 0E614 by
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adding a comma between the terms
‘‘repair’’ and ‘‘overhaul’’ in paragraph .a
under the ‘‘Items’’ heading in the List of
Items Controlled section.
ECCNs 0D001, 1A007, 1D018, and
1E001. This final rule adds quotation
marks to the term ‘‘specially designed’’
in these ECCNs for consistency with the
use of quotation marks for this defined
term when used on the CCL.
ECCNs 0A604, 0A614, 1A005, 1A613,
1B608, 1C239, 9A604, 9D001, 9D002,
9D003, 9D104, 9E001, 9E002, 9E101,
and 9E102. This final rule adds
quotation marks to the term ‘‘subject to
the ITAR’’ where not already present in
these ECCNs for consistency with the
use of quotation marks for this defined
term when used on the CCL.
Conforming Changes and Clarifications
for January 2 Rule
In addition, BIS makes changes to the
CCL to conform to text adopted in the
October 4 rule. These changes are not
substantive, but rather address needed
conforming changes for consistency of
the CCL and the changes included in the
October 4 rule.
ECCNs 0D604, 0E604, 1A613, 1D608,
1E608, 9D604, and 9E604. This final
rule corrects the heading of these ECCNs
to add the phrase ‘‘(see List of Items
Controlled).’’ This correction is needed
because each of these ECCNs includes a
description of ‘‘items’’ that are classified
under the ‘‘Items’’ paragraph in the List
of Items Controlled section. Therefore,
these ECCN headings should include
the phrase ‘‘(see List of Items
Controlled)’’ at the end of each of these
headings.
ECCN 1A613. This final rule revises
the ‘‘items’’ paragraph in the List of
Items Controlled section to add in
paragraph (e) a specific description of a
type of personal protective ‘‘equipment’’
‘‘specially designed’’ for military
applications that are controlled under
this ECCN, namely atmospheric diving
suits ‘‘specially designed’’ for rescue
operations for submarines controlled by
the USML or the CCL. The general
control on protective personnel
equipment that was in paragraph (e) has
been moved to paragraph (f). These
changes do not result in new controls
because such diving suits were within
the scope of the general control on
protective personnel equipment (that is
not in paragraph (f)). BIS is making this
clarifying change in response to
questions from the public regarding
where such diving suits were
controlled.
BIS further intends for this
clarification to help resolve any
misunderstanding that may have
resulted from an erroneous statement
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published in the Federal Register on
June 7, 2012 in the preamble to a
proposed rule. (Revisions to the Export
Administration Regulations (EAR):
Control of Personal Protective
Equipment, Shelters, and Related Items
the President Determines No Longer
Warrant Control Under the United
States Munitions List (USML), 77 FR
33688, 33689). That proposed rule
included the phrase, ‘‘BIS proposed to
move anti-gravity suits, pressure suits,
and atmosphere diving suits, currently
controlled in the USML under Category
X(a)(3), (a)(4), and (a)(5), respectively, to
ECCN 9A610 in the November 7
proposed rule’’ (referring to Revisions to
the Export Administration Regulations
(EAR): Control of Aircraft and Related
Items the President Determines No
Longer Warrant Control Under the
United States Munitions List (USML) (76
FR 68675, Nov. 7, 2011)). BIS’s June 7
statement was correct with respect to
USML Category X(a)(3) and (a)(4), but
erroneous with respect to USML
Category X(a)(5), because articles
controlled under USML Category X(a)(5)
were not proposed to move to ECCN
9A610 in the November 7 rule.
BIS has also received questions
regarding how anti-gravity suits (‘‘Gsuits’’) and pressure suits capable of
operating at altitudes higher than 55,000
feet above sea level are classified on the
CCL. Because these suits are already
classified under ECCN 9A610 under
‘‘items’’ paragraphs (g), which relates to
suits used in aircraft, they are not
classified under ECCN 1A613 and no
further changes to the CCL are
necessary. To make this clearer to the
public, this final rule also adds a new
‘‘Related Controls’’ paragraph (3) to
ECCN 1A613 to alert persons reviewing
ECCN 1A613 to also see ECCN 9A610.g
for anti-gravity suits (‘‘G-suits’’) and
pressure suits capable of operating at
altitudes higher than 55,000 feet above
sea level.
(C) December 19 Rule Corrections and
Clarifications
BIS provides the following correction
to the December 19 rule, which became
effective on January 21, 2014.
In § 762.2 (Records to be retained), the
December 19 rule revised paragraph
(b)(13) to reference § 744.15(b). In
revising this paragraph, BIS
inadvertently overwrote text in (b)(13)
that was added in the April 16 rule that
BIS did not intend to remove. This final
rule corrects this error by making three
changes to § 762.2. Specifically, this
final rule: (1) Reinserts the April 16 rule
text into paragraph (b)(13); (2) adds a
new paragraph (b)(52) for the
recordkeeping text that was intended to
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be added to (b)(52) in the December 19
rule, as well as making punctuation
changes needed because of the addition
of (b)(52); and (3) adds new paragraph
(b)(53) described below in Section F
(Other corrections and clarifications to
the EAR).
(D) October 4 Rule Corrections and
Clarifications
BIS provides the following corrections
and clarifications to the October 4 rule,
which became effective in part on
October 15, 2013, and in part on January
6, 2014. These include correcting
typographical errors, inserting omitted
quotation marks, and redesignating
certain paragraphs to make those
paragraphs easier to identify. In
addition, this final rule makes
corrections and clarifications to the CCL
and other parts of the EAR to conform
to the practices established in the
October 4 rule, as well as for
consistency with other final rules.
Typographical Errors and Other
Corrections for October 4 Rule
ECCNs 1A004, 1A101, 1C111, 2B350,
3E982, 5A002, 6A998, 7D101, 8E001,
and 9A990. This final rule corrects
typographical errors in these ECCNs,
such as adding an ‘‘s’’ at the end of the
term ‘‘chemical warfare agent’’ in ECCN
1A004 and removing the word ‘‘which’’
in ‘‘Related Controls’’ paragraph (2) of
ECCN 1A101 because it is not needed.
ECCNs 1A001, 2A291, 3A001, 5A001,
5B001, and 6A004. This final rule adds
quotation marks to defined terms, such
as ‘‘specially designed,’’ ‘‘components,’’
‘‘accessories,’’ and ‘‘attachments’’ in
these ECCNs for consistency with the
use of quotation marks established in
the October 4 rule.
ECCNs 4A003 and 7E002. This final
rule corrects the paragraph designation
used in the ‘‘Related Controls’’
paragraphs in ECCN 7E002 to make
these paragraphs easier to identify. This
final rule also corrects the paragraph
designation for ‘‘Note 1’’ to ECCN
4A003 to refer to this note as ‘‘Note to
4A003’’ because pursuant to the October
4 rule, there is now only one note to the
License Requirements section of ECCN
4A003.
Conforming Changes and Clarifications
for October 4 Rule
The corrections described in this
section are conforming changes to the
CCL for the text adopted in the October
4 rule. These changes are not
substantive, but improve consistency of
the CCL and the EAR. They also include
clarifications to address questions BIS
has received since publishing the
October 4 rule. In addition, the
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corrections described below for ECCNs
2B352, 5A980, 6A002 and 9A120
reinsert text into those ECCNs to ensure
consistency with past rulemakings.
In § 738.4(b)(2) (Sample CCL entry),
this final rule corrects the sample entry
to conform to the new CCL entry section
headings and table headings included in
the October 4 rule, such as correcting
the ‘‘License Exceptions’’ section
heading in the sample CCL entry to
correctly read as ‘‘List Based License
Exceptions (See Part 740 for a
description of all license exceptions).’’
In § 774.1(b)(3) (Multilateral export
control regime references . . .), this
final rule revises paragraph (b)(3) to add
text that was intended to be included in
that paragraph, but inadvertently was
not included in the October 4 rule. In
addition, to conform to the correction
made to ECCN 0D001, this final rule
also corrects in § 774.1 the Note to
paragraph (b) to provide a reference to
the Heading Note that is being added to
ECCN 0D001 in this final rule.
ECCNs 0D001, 0E001 and 2B999 and
Technical Note to CCL Category 1,
Product Group C. This final rule
corrects these three ECCNs and this
Technical Note by removing references
to fourteen ECCNs in which items
subject to the exclusive jurisdiction of
the Nuclear Regulatory Commission
(NRC) previously were classified. These
ECCNs were removed from the CCL in
the October 4 rule. (With these
corrections, the January 2 rule’s
revisions to the headings of ECCNs
0D001 and 0E001, which consisted of
updating these two headings to
specifically exclude the ‘‘600 series’’
ECCNs added to the CCL in that rule,
are no longer needed.) In addition to
removing these references, this final
rule adds regulatory text to ECCNs
0D001 and 2B999 to specify that the
NRC has jurisdiction for certain nuclear
related items. As a conforming change
to the removal of the references to the
fourteen ECCNs in ECCN 0D001, this
final rule adds text to ECCN 0E001 to
specify that the Department of Energy
has export licensing authority for
‘‘technology’’ for the items subject to
export licensing authority of the NRC.
Elsewhere, the EAR also makes this type
of jurisdictional reminder, such as in
Supplement No. 3 to part 730—Other
U.S. Government Departments and
Agencies with Export Control
Responsibilities. As described above, a
conforming change correction was also
made in § 774.1 for the Note to
paragraph (b) that references ECCNs
0D001 and 0E001.
ECCN 1A984. This final rule amends
the last phrase in the heading of ECCN
1A984, ‘‘other pyrotechnic articles
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having dual military and commercial
use’’ to read ‘‘other pyrotechnic articles
(excluding shotgun shells) having dual
military and commercial use, and
‘‘parts’’ and ‘‘components’’ ‘‘specially
designed’’ therefor, n.e.s.’’ Through this
amendment, BIS seeks to clarify that it
intended for ‘‘parts’’ and ‘‘components’’
‘‘specially designed’’ for ‘‘other
pyrotechnic articles (excluding shotgun
shells) having dual military and
commercial use’’ that are not elsewhere
specified on the CCL to be classified
under ECCN 1A984. This heading
should have been amended in the
October 4 rule when similar conforming
changes and clarifications were made to
the EAR. These changes do not expand
the scope of ECCN 1A984, but serve to
clarify the ECCN.
The term ‘‘articles’’ is not defined in
the EAR. However, ‘‘articles,’’ as used in
the EAR, could be interpreted to include
‘‘parts’’ and ‘‘components.’’ The October
4 rule made a number of changes to the
CCL to conform to the new definitions
of ‘‘parts’’ and ‘‘components’’ that were
added to the EAR in the April 16 rule.
Before making the October 4 rule
conforming changes, BIS determined
where the terms ‘‘parts’’ and
‘‘components’’ should be added to the
CCL to preserve the intended scope of
each ECCN while conforming to the new
April 16 rule definitions. In doing so,
BIS focused primarily on ECCNs in
which either ‘‘part’’ or ‘‘component’’
was already used. Because ECCN 1A984
does not use one of those terms, the
October 4 rule inadvertently did not
amend this ECCN at the same time as
other similar ECCNs. BIS indicated in
the October 4 rule that, over time, BIS
may further refine the use of the terms
‘‘parts’’ and ‘‘components’’ on the CCL
(see 78 FR 61878). When BIS reviewed
ECCN 1A984, it determined that the
longstanding intent of this ECCN has
been to control ‘‘parts’’ and
‘‘components’’ for some of the
commodities classified under it.
Therefore, ‘‘parts’’ and ‘‘components’’
should have been added to the heading
of ECCN 1A984 in the October 4 rule.
As stated in the October 4 rule, BIS is
not attempting to add additional
references to ‘‘parts’’ and ‘‘components’’
in this final rule that would change the
scope of what ECCN 1A984 controls.
The intent identified in this final rule is
consistent with past BIS interpretation
of and licensing under ECCN 1A984.
In addition, this final rule adds the
phrase ‘‘(excluding shotgun shells)’’
after the term ‘‘articles’’ to clarify the
delineation between ECCN 1A984 and
existing ECCN 0A986.
Among other things, this edit will
make clear that ‘‘items’’ such as
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‘‘specially designed’’ rubber finned
projectiles for 38/40 mm rounds are
included in ECCN 1A984, and that tiny
rubber balls incorporated by
manufacturers into ‘‘items,’’ but used for
multiple other purposes that would
meet one of the paragraph (b) ‘‘releases’’
in the definition of ‘‘specially designed’’
set forth in § 772.1 of the EAR, are not
within the scope of ECCN 1A984.
ECCNs 2B352 and 9A120. This final
rule corrects ECCN 2B352 by revising
paragraph (h) to reinsert text that was
inadvertently removed in the October 4
rule when paragraph (h) was revised.
This final rule also corrects the
introductory text of ‘‘Items’’ paragraph
(i) in ECCN 2B352, which was the
original intent of the October 4 rule.
Paragraph (i) was not revised correctly
because the October 4 rule did not take
into account a June 5, 2013, final rule
(78 FR 33698), which redesignated
paragraphs (g) and (h) as paragraphs (h)
and (i), respectively. This final rule also
corrects for the same reason the
‘‘Technical Notes’’ paragraph 2 at the
end of the ‘‘Items’’ paragraph that
references ECCN 2B352.h, which should
be 2B352.i. ECCN 9A120 is also being
corrected with this final rule to remove
the reference to ECCN 2B352.h and add
in its place 2B352.i.
ECCN 5A980. This final rule corrects
the heading in ECCN 5A980 to remove
the reference to ECCN 5A001.i, and
adds in its place 5A001.f.1. Based on a
June 20, 2013, final rule (78 FR 37389),
paragraph .i of ECCN 5A001 is reserved,
and the correct reference is therefore
5A001.f.1.
ECCNs 1E001, 5B001, and 6A002.
This final rule corrects the STA
paragraphs in the ‘‘Special Conditions
for STA’’ sections of ECCNs 1E001,
5B001 and 6A002 to remove the
reference to destinations in
§ 740.20(c)(2) and replace that with the
intended reference to destinations in
Country Group A:6 (See Supplement
No. 1 to part 740 of the EAR). In the
October 4 rule, this same change was
made to other ECCNs that included STA
paragraphs, but inadvertently was not
implemented for these three ECCNs. In
addition, this final rule corrects the STA
paragraph in the ‘‘Special Conditions for
STA’’ section of ECCN 6A002 to restore
text that was inadvertently deleted in
the October 4 rule to accurately reflect
which ECCN 6A002 commodities are
excluded from License Exception STA.
The October 4 rule change to ECCN
6A002’s STA paragraph was intended to
be limited to updating the reference
from (c)(2) to Country Group A:6, as
well as moving the STA paragraph
under the new ‘‘Special Conditions for
STA’’ section heading. However, the
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October 4 rule inadvertently removed
some of the exclusion text under ECCN
6A002. This final rule adds those
additional ‘‘Items’’ paragraph references
back into the STA paragraph in 6A002,
so it now correctly states that License
Exception STA may not be used to ship
to any of the destinations listed in
Country Group A:6 (See Supplement
No. 1 to part 740 of the EAR) any
commodity classified under ECCN
6A002 paragraphs: 6A002.a.1.a, a.1.b or
a.1.c; 6A002.a.3.c, a.3.d, a.3.e, or a.3.f;
or 6A002.b.
ECCNs 6B995 and 9B991. This final
rule revises the headings of ECCNs
6B995 and 9B991 to make the intent of
the headings clearer and to use a
structure that is more consistent with
the rest of the CCL. The October 4 rule
revised both of these headings, but
questions received from the public since
publication suggested that the changes
made for clarity did not achieve the
intended objective. The scope and
substance of the two ECCNs are not
changed, as this correction is limited to
revising the two headings to clarify
what is classified under those two
ECCNs.
ECCN 8A992. The October 4 rule
removed ECCN 8A918 and moved these
commodities to ECCN 8A992.l and .m,
respectively, because they are not
inherently military items and warrant
only an AT control. To conform to the
removal of ECCN 8A918, this final rule
corrects ECCN 8A992 to remove an
inadvertently retained UN control
paragraph in the License Requirement
section.
ECCN 9A619. This final rule removes
the term ‘‘aircraft’’ before the term
‘‘commodities’’ in ECCN 9A619.y
introductory text because ECCN 9A619
also controls commodities for gas
turbine engines, such as those for
aircraft, ship, and land vehicles.
Inadvertent use of the term ‘‘aircraft’’
was inconsistent with the rest of ECCN
9A619. This is not a substantive change
to the scope of the ECCN 9A619, but
rather this is a change made for
consistency with the scope of ECCN
9A619 and the original intent of the
commodities to be classified under this
ECCN.
ECCNs 9B115, 9B116, and 9E101. The
October 4 rule revised the headings of
ECCNs 9B115 and 9B116 to indicate
that the ECCNs identified in these
headings include ECCNs 9A103 to
9A109, among others. However, the
‘‘Related Controls’’ paragraphs in
ECCNs 9B115 and 9B116, instead of
referencing ECCNs 9A103 to 9A109
incorrectly includes ECCNs 9A104 to
9A109. Similarly, the October 4 rule
revised the heading of ECCN 9E101
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reference ECCNs 9A103 to 9A111,
among others, but the ‘‘Related
Controls’’ paragraph of ECCN 9E101
references 9A104 to 9A111. This final
rule removes 9A104 and adds 9A103 in
its place in the ‘‘Related Controls’’
paragraphs of ECCNs 9B115, 9B116 and
9E101.
ECCNs 9B610 and 9B619. The
October 4 rule revised the ‘‘Related
Controls’’ paragraphs of ECCNs 9B610
and 9B619 to add in the ‘‘Related
Controls’’ section ‘‘equipment’’
controlled under USML Category
VIII(h)(1) and USML Category XIX(f)(1),
respectively. This text is identical to the
control text in USML Category VIII(h)(1)
and USML Category XIX(f)(1). The
ITAR-controlled ‘‘equipment’’ referred
to in the ‘‘Related Controls’’ paragraphs
does not include the items described in
ECCNs 9B610 or 9B619. This final rule
amends these two ‘‘Related Controls’’
paragraphs to make this point more
clear.
Lastly, under ECCN 9B610, this final
rule adds quotation marks around the
defined terms, ‘‘parts,’’ ‘‘components,’’
‘‘accessories,’’ ‘‘attachments,’’ and
‘‘specially designed’’ in the ‘‘Related
Controls’’ paragraph in the List of Items
Controlled section of 9B610 to make the
ECCN consistent with the quotation
marks practice described in the April 16
rule and with other references to these
defined terms on the CCL. In addition,
this final rule adds a second sentence to
the ‘‘Related Controls’’ paragraph to also
reference USML Category VIII(h)(2)–
(26), in addition to USML Category
VIII(h)(1).
(E) July 8 Rule Corrections and
Clarifications
BIS provides the following corrections
and clarifications to the July 8 rule,
which became effective on January 6,
2014. These include correcting
typographical errors, inserting omitted
quotation marks, and adding text for
consistency with other final rules and
the structure of the CCL.
Typographical Errors and Other
Corrections for July 8 Rule
ECCNs 0A606, 0A617, 0E018, and
8A609. This final rule corrects
typographical errors in these ECCNs,
such as deleting an extra semicolon in
‘‘Items’’ paragraph y.8 in the List of
Items Controlled section of ECCN 8A609
and adding a period that was mistakenly
not included in ECCN 0E018.
ECCNs 0A606, 0A617, 8A018, and
8A620. This final rule adds quotation
marks to certain uses of defined terms,
such as ‘‘specially designed,’’
‘‘components,’’ and ‘‘parts’’ in these
ECCNs for consistency with the use of
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quotation marks practice identified in
the July 8 rule.
ECCN 0A617. This final rule adds the
‘‘Related Definitions’’ paragraph after
the ‘‘Related Controls’’ paragraph in
ECCN 0A617. The ‘‘Related Definitions’’
paragraph does not define any terms in
this ECCN because it is designated as
‘‘N/A.’’ However, for the sake of
consistency with the other ECCNs on
the CCL that include a ‘‘List of Items
Controlled’’ section, the ‘‘Related
Definitions’’ paragraph should have also
been included in ECCN 0A617.
ECCNs 0A918 and 8C609. This final
rule adds the phrase ‘‘(see List of Items
Controlled)’’ to the end of the headings
for ECCNs 0A918 and 8C609. Both
ECCNs include a description of the
‘‘Items’’ controlled in the List of Items
Controlled section. For the sake of
consistency with the structure used for
other ECCNs on the CCL, the phrase
‘‘(see List of Items Controlled)’’ should
have been included in these ECCNs.
(F) April 16 Rule Corrections and
Clarifications
BIS provides the following corrections
and clarifications to the April 16 rule,
which became effective on October 15,
2013. These include correcting
typographical errors, inserting omitted
quotation marks and redesignating
certain paragraphs to make those
paragraphs easier to identify. In
addition, this final rule makes
corrections and clarifications to the CCL
and other parts of the EAR to conform
to the amendments made in the April 16
rule, as well as for consistency with
other final rules.
Typographical Errors and Other
Corrections for April 16 Rule
In Supplement No. 1 to Part 748,
Block 24; § 772.1, ‘‘specially designed’’
definition, Note 1 to paragraph (a)(1);
and Supplement No. 4 to Part 774—
Commerce Control List Order of Review,
paragraph (a)(5), this final rule corrects
typographical errors in these EAR
references. These changes include
adding a space between two words in
Supplement No. 1 to Part 748, Block 24,
removing an errant closed parenthesis at
the end of the same sentence and
removing an extra ‘‘a’’ in Note 1 to
paragraph (a)(1) of ‘‘specially designed’’
because it is not needed.
In Supplement No. 1 to part 736,
under General Order No. 5, this final
rule corrects the paragraph designations
used in the General Order No. 5
paragraphs for consistency with the
Federal Register Drafting Handbook for
paragraph designations and to make
these paragraphs easier to identify. The
title General Order No. 5 will be
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preceded by paragraph designation (e),
in keeping with the other General
Orders, and all of the other paragraphs
in General Order No. 5 are redesignated
one paragraph level lower. For example,
this final rule redesignates paragraph (a)
as paragraph (e)(1).
In §§ 744.17(d) and 744.21, this final
rule makes conforming changes
consistent with the intent of the April
16 rule. The April 16 rule revised
§§ 744.17(d) and 744.21 to use single
quotation marks around the term
‘military end use’ and delete the hyphen
in the term ‘‘end-use.’’ However,
§ 744.17(d) currently retains the hyphen
and, because the amendatory instruction
for § 744.21 did not include revising the
section heading, the single quotation
marks and deletion of the hyphen were
not incorporated into the EAR for
§ 744.21. This final rule corrects the
paragraph heading of § 744.17(d) and
the section heading of § 744.21 to add
single quotation marks around ‘military
end use’ in the latter and delete the
hyphen in ‘‘end use’’ for both, as
intended in the April 16 rule.
Conforming Changes and Clarifications
for April 16 Rule and Revisions to
License Exception GOV
The corrections described in this
section are conforming changes and
clarifications to the CCL for the
amendments included in the April 16
rule. These changes are not substantive,
but rather address needed conforming
changes for consistency of the CCL and
the rest of the EAR, as well as
clarifications to address questions BIS
has received since the publication of the
April 16 rule.
In § 736.2(b)(3) (General Prohibition
Three—Reexport and export from
abroad of the foreign-produced direct
product of U.S. technology and software
(Foreign-Produced Direct Product
Reexports)), this final rule clarifies the
country scope of prohibition for ECCN
0A919 by adding a sentence to the end
of paragraph (b)(3)(i) that is specific to
0A919 and adopts the same country
scope of prohibition as the additional
country scope of prohibition for ‘‘600
series’’ items in paragraph (b)(3)(iii).
Although 0A919 commodities are not
‘‘600 series’’ items, they are military
commodities and should have the same
country scope prohibitions as ‘‘600
series’’ items under the direct product
rule. Lastly, as a clarification for
paragraph (b)(3)(i), this final rule adds
the phrase ‘‘or export from abroad’’ after
the term ‘‘reexport’’ for consistency with
paragraph (b)(3)(iii).
In § 740.2(a)(13)(vi) (Restrictions on
all license exceptions), this final rule
revises and simplifies paragraph
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(a)(13)(vi), which is the paragraph for
the general restrictions on the use of
license exceptions for ‘‘600 series’’
items that refers to the eligibility of
License Exception STA for ‘‘600 series’’
items. The final rule revises the
introductory text under paragraph
(a)(13)(vi) to specify that License
Exception STA under § 740.20(c)(1) of
the EAR is available to overcome the
general restrictions on the use of license
exceptions for ‘‘600 series’’ items,
provided all of the applicable terms and
conditions, including those specific to
the ‘‘600 series’’ are met. This
amendment does not change the
requirements for or limitations on the
use of License Exception STA for ‘‘600
series’’ items. Specifically, this final
rule simplifies the reference to License
Exception STA by deleting paragraphs
(a)(13)(vi)(A), (B), (C) and (D) and
revises the introductory text to conform
to references to the other license
exceptions that are eligible for ‘‘600
series’’ items as specified under
paragraph (a)(13). BIS makes this change
in this final rule to avoid restating the
same requirements in different sections
of the EAR. The change is also necessary
to reduce the danger that someone may
mistakenly believe that the License
Exception STA paragraphs in
(a)(13)(vi)(A), (B), (C) and (D) contain a
complete list of the applicable terms
and conditions of License Exception
STA. In addition, this final rule revises
the last sentence in the introductory text
of paragraph (a)(13) for clarity, but does
not change the meaning of paragraph
(a)(13).
In § 740.10 (License Exception
Servicing and replacement of parts and
equipment (RPL)), this final rule
removes the term ‘‘U.S. origin’’
modifying the terms ‘‘parts,
components, accessories, or
attachments,’’ ‘‘commodity or software’’
and ‘‘equipment.’’ This final rule also
removes the term ‘‘U.S. origin’’ and
replaces it with the phrase ‘‘subject to
the EAR’’ with, at times, the citation
‘‘(see § 734.2(a) of the EAR).’’ This final
rule also removes the term ‘‘U.S. origin’’
in paragraphs (a)(2)(ii), (a)(4)(i), (b)(1),
and (b)(3) of License Exception RPL to
better conform to the corresponding
ITAR exemption under § 123.4(a)(1)(22
CFR 123), where the term ‘‘U.S. origin’’
is not used. The April 16 rule stated on
page 78 FR 22669 that ‘‘a general
principle underlying the incorporation
of the ‘600 series’ into the EAR is that,
because items subject to the EAR are
less militarily significant than those
subject to the ITAR, EAR exceptions
should not be more restrictive than
comparable ITAR exemptions.’’ The use
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of the term ‘‘U.S. origin’’ in License
Exception RPL is another example
where an EAR license exception is more
restrictive than the corresponding ITAR
exemption and therefore, the term ‘‘U.S.
origin’’ should have been removed from
License Exception RPL consistent with
the other changes made in the April 16
rule to other EAR license exceptions.
BIS became aware of this needed
correction based on questions received
from the public after the April 16 rule
became effective on October 15, 2013. In
addition, because the scope of the EAR
extends beyond U.S. origin items, such
as to foreign origin items that are
‘‘subject to the EAR,’’ License Exception
RPL under paragraphs (a) and (b) should
also be available for those foreign origin
items that are ‘‘subject to the EAR’’ in
addition to U.S. origin items that are
subject to the EAR. These corrections
will preserve the intended scope of
License Exception RPL and also better
correspond to the ITAR exemption
under § 123.4(a)(1) and may result in a
slight reduction in the number of
license applications received by BIS.
In § 740.11(c), this final rule revises
License Exception GOV to allow items
subject to the EAR to be exported,
reexported, or transferred (in-country) to
agencies of the North Atlantic Treaty
Organization (NATO) in accordance
with the terms and conditions of that
license exception. Thus, NATO agencies
will be treated like cooperating
governments in that provision of GOV.
Under new paragraph (c)(2)(ii), License
Exception GOV will be available for the
official use of a cooperating
government’s military end user, for a
cooperating government’s military end
use, or for a NATO agency. Unlike
paragraph (c)(2)(i), new paragraph
(c)(2)(ii) has no territorial restriction on
where the items may be used. These
revisions will enable the United States
to improve interoperability with NATO
and other close allies. Lastly, as a
conforming change to the capitalization
of section headings in the EAR, this
final rule revises the section heading for
740.11 to make all terms used in the
section heading lower case, except for
the first term used in the section and
proper nouns used in the section
heading.
In §§ 740.12(a), 740.13(d)(1), and
740.15(c)(1) and (c)(2), this final rule
redesignates the footnotes in part 740 as
a conforming change to the April 16 rule
revisions to § 740.9 that included the
removal of footnote 1 to paragraph
(b)(1)(iv) in that section. The April 16
rule did not redesignate the other
footnotes used in part 740, so there is no
longer a footnote 1 to part 740. To
redesignate the footnotes in part 740, so
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the footnotes begin with footnote 1, the
final rule redesignates footnote 2 to
§ 740.12(a) as footnote 1; footnote 3 to
§ 740.13(d)(1) as footnote 2; and
footnotes 4 and 5 to § 740.15(c)(1) and
(c)(2) as footnotes 3 and 4, respectively.
In § 740.20 (License Exception
Strategic Trade Authorization (STA)),
this final rule makes six clarifications to
License Exception STA. The first and
second are the clarification being made
to paragraph (b)(3)(ii)(B) and a
corresponding change to paragraph
(d)(2)(vii)(B), the third and fourth are
the clarification being made to
paragraph (b)(3)(ii)(C) and a
corresponding change to paragraph
(d)(2)(vi)(C), the fifth is a conforming
change in Note to paragraph (c)(1) for
text used in other parts of License
Exception STA, and the sixth is a
clarification in the form of one
additional sentence that this final rule
adds to further remind exporters,
reexporters, and transferors of the
requirement to obtain a prior consignee
statement consistent with the
requirement of paragraph (d)(2) (Prior
Consignee Statement) and the addition
of a new paragraph to the prior
consignee statement. These corrections
and conforming changes are described
below.
In § 740.20, under paragraphs
(b)(3)(ii)(B) and (d)(2)(vii)(B) (which was
formerly designated as paragraph
(d)(2)(vi)(B)), this final rule revises
paragraphs (b)(3)(ii)(B) and (d)(2)(vii)(B)
to clarify what is intended by the phrase
‘‘that will ultimately be used by’’ when
a ‘‘600 series’’ item is exported,
reexported or transferred (in-country) to
a country in Country Group A:5 that
will be subsequently sent to the United
States for use by a person in the United
States. The text could be read to mean
that ‘‘600 series’’ items that are sent to
the United States must ultimately be
used by a U.S. person, which was not
the intended interpretation. As
described in greater detail below, in
order to clarify the intended meaning,
this final rule revises paragraphs
(b)(3)(ii)(B) and (d)(2)(vii)(B) by creating
two identical paragraphs under each.
Those paragraphs’ introductory
requirements, specifying that the items
must be for the ‘‘development,’’
‘‘production,’’ operation, installation,
maintenance, repair, overhaul, or
refurbishing of an item in one of the
countries listed in Country Group A:5 or
the United States, are retained from the
April 16 rule.
This final rule moves the remaining
requirements of paragraph (b)(3)(ii)(B) to
new paragraphs (b)(3)(ii)(B)(1) and
(b)(3)(ii)(B)(2), and the remaining
requirements of paragraph (d)(2)(vii)(B)
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to new paragraphs (d)(2)(vii)(B)(1) and
(d)(2)(vii)(B)(2), respectively. The new
paragraphs, (b)(3)(ii)(B)(1) and
(d)(2)(vii)(B)(1), specify that the items
must be ultimately used by government
agencies in one of the countries listed in
Country Group A:5 or the United States
Government.
This final rule also adds new
paragraphs (b)(3)(ii)(B)(2) and
(d)(2)(vii)(B)(2) to specify that items sent
to a person in the United States and not
for subsequent export under
§ 740.9(b)(1) (License Exception TMP
for items moving in transit through the
United States) are also within the scope
of paragraph (b)(3)(ii)(B) and
(d)(2)(vii)(B). The new paragraphs
(b)(3)(ii)(B)(2) and (d)(2)(vii)(B)(2)
clarify the requirements for when items
will be sent to a person in the United
States that may or may not be ultimately
used by a U.S. person. However, any
subsequent export of a ‘‘600 series’’ item
from the United States, including after
incorporation into another item in the
United States, must comply with U.S.
export control laws. This final rule also
clarifies in paragraphs (b)(3)(ii)(B)(2)
and (d)(2)(vii)(B)(2) that ‘‘600 series’’
items sent to a person in the United
States must not be for subsequent export
under § 740.9(b)(1) (License Exception
TMP for items moving in transit through
the United States). This is not a
substantive change and is limited to
clarifying the original intent of License
Exception STA for ‘‘600 series’’ items
sent to a person in the United States.
In § 740.20 under paragraphs
(b)(3)(ii)(C) and (d)(2)(vii)(C), this final
rule revises paragraphs (b)(3)(ii)(C) and
(d)(2)(vii)(C), which prior to this final
rule was designated as paragraph
(d)(2)(vi)(C), to remove the phrase ‘‘the
consignee has,’’ adds the term ‘‘exists’’
after the words ‘‘such authorization,’’
and to remove the term ‘‘provides’’ and
in its place add the phrase ‘‘has
provided.’’ This change is made to
paragraph (b)(3)(ii)(C) to conform to the
intent of this requirement, which was to
confirm that the United States
Government has otherwise authorized
the ultimate end use and the consignee
confirms the authorization exists. This
change is also intended to clarify that
the license or other approval identifier
must be sent before the export, reexport
or transfer occurs.
This requirement was not intended to
be limited to whether the consignee that
receives a ‘‘600 series’’ item under
License Exception STA has such
authorization itself, but rather whether
such an authorization exists for the
ultimate end-use of the item. In certain
fact patterns, the consignee may have
such authorization, as reflected in the
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April 16 rule. However, for STA
consignees that are manufacturers
earlier in a supply chain, such as an
aircraft ‘‘component’’ manufacturer, it is
likely that the person that will have the
authorization described in (b)(3)(ii)(C) is
further along the chain, such as the
aircraft manufacturer or other person
selling the aircraft. If the consignee
earlier in the process can confirm with
the company later in the supply chain,
such as the aircraft manufacturer or
other person selling the aircraft, that the
United States Government has
otherwise authorized the ultimate end
use, that confirmation will be sufficient
to meet the criteria of paragraph
(b)(3)(ii)(C) as clarified by this final rule.
In the prior consignee statement
paragraph in (d)(2)(vii)(C), this final rule
makes the same clarification as a
conforming change to the revised
paragraph (b)(3)(ii)(C).
In § 740.20 under Note to paragraph
(c)(1), this final rule corrects the Note to
paragraph (c)(1) to make a conforming
change by adding the phrase ‘‘or other
approval’’ after the term ‘‘license.’’ The
requirement specified in Note 1 to
paragraph (c)(1) can be met under a
previously approved license or other
approval (i.e., DDTC Manufacturing
License Agreement (MLA), Technical
Assistance Agreement (TAA),
Warehouse Distribution Agreement
(WDA), or General Correspondence
approval (GC)) issued by BIS or DDTC,
U.S. Department of State. The phrase
‘‘or other approval’’ is used in other
parts of License Exception STA,
including in paragraph (c), and this text
was also intended to be included in the
Note to paragraph (c).
In § 740.20(d)(2) (Prior Consignee
Statement), this final rule adds one
sentence to the introductory text of
paragraph (d)(2) as an additional
reminder that each party using License
Exception STA to export, reexport or
transfer (in-country), including
reexporters and transferors of items
previously received under License
Exception STA, must obtain a prior
consignee statement from its consignee
and retain the statement required by
paragraph (d)(2). Paragraph (d)(2)
already includes this requirement, but
based on questions BIS received
regarding whether a reexporter or
transferor of items previously received
under License Exception STA must
obtain and retain the statement required
by paragraph (d)(2), BIS determined that
adding another sentence to the
introductory text of this paragraph
would be helpful. For example, a
company exports an item eligible for
License Exception STA to a consignee
located in Germany. The U.S. exporter
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obtained the prior consignee statement
from the consignee in Germany prior to
making the export authorized under
License Exception STA, as well as
meeting the other applicable terms and
conditions of License Exception STA.
The company in Germany decides to
reexport the item received under
License Exception STA to a consignee
in France. The German company in this
scenario must obtain the prior consignee
statement from the consignee in France
prior to using License Exception STA,
just as the U.S. exporter obtained the
prior consignee statement before
exporting to Germany.
In addition, this final rule
redesignates paragraphs (d)(2)(iv), (v),
(vi) and (vii), as paragraphs (d)(2)(v),
(vi), (vii) and (viii) respectively. This
final rule redesignates these paragraphs,
so a new paragraph (d)(2)(iv) can be
added for the prior consignee statement.
This final rule adds a new paragraph
(d)(2)(iv) to specify that the prior
consignee statement must also include a
statement that the consignee agrees to
obtain a prior consignee statement when
using License Exception STA for any
reexport or transfer (in-country) of items
previously received under License
Exception STA. The obligation to get a
retransfer certification as part of the
prior consignee statement under License
Exception STA is no more of a burden
than the need to get a retransfer
authorization under 22 CFR 123.9
(Country of ultimate destination and
approval of reexports or retransfers) of
the ITAR. As a conforming change this
final rule revises the last two sentences
of the introductory text of paragraph
(d)(2) to clarify that paragraphs (d)(2)(i)
through (vi) of this section are required
for all transactions under License
Exception STA. (This includes the new
paragraph (d)(2)(iv) that is added with
this final rule, as well as the former
paragraphs (d)(2)(iv) and (d)(2)(v) that
this rule redesignates as paragraph
(d)(2)(v) and (vi)). The conforming
changes also update the reference to the
‘‘600 series’’ by specifying that
paragraph (d)(2)(vii) is required for all
transactions in ‘‘600 series’’ items and
paragraph (viii) of this section is
required for transactions in ‘‘600 series’’
items if the consignee is not the
government of a country listed in
Country Group A:5 (See Supplement
No. 1 to part 740 of the EAR).
Lastly, this final rule adds to the end
of paragraph (d)(2) a new requirement
that the prior consignee statement must
include the name and title of the person
signing the document, and the date the
document is signed. This is a change to
the prior consignee statement, although
based on BIS reviews of prior consignee
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statements, in many cases consignees
have already been including such
information as part of their prior
consignee statements. Including such
information is a good compliance
practice and will help to better identify
who provided the consignee statement
and when the statement was provided,
so this final rule adds these as
additional elements to be included in
the prior consignee statement along
with the clarification to the prior
consignee statement described above.
BIS recognizes that this rule’s
clarification to the prior consignee
statement could have resulted in
requiring exporters, reexporters and
transferors to obtain new consignee
statements. To avoid making those with
existing consignee statements have to
obtain replacement consignee
statements simply to accommodate this
rule’s clarifications, the clarifications to
the prior consignee statement will only
apply to statements issued or amended
after this rule becomes effective.
License Exceptions TMP and GOV
cross-references are updated in this final
rule to conform to changes implemented
in the April 16 rule. Specifically, this
rule updates the references to TMP in:
§ 740.2(a)(5)(i) and (ii) from
§ 740.9(a)(2)(ii) to § 740.9(a)(4) (for kits
consisting of replacement parts);
§§ 746.2(a)(1)(i), 746.4(c), and 746.9(b)(i)
from § 740.9(a)(2)(viii) to § 740.9(a)(9)
(for the news media); and § 758.1(c)(6)
from § 740.9(a)(2)(i) to § 740.9(a)(1) (for
tools of trade).
In addition, prior to those revisions,
the criteria for export or reexport to U.S.
government personnel and agencies
under License Exception GOV was in
§ 740.11(b)(2)(i) and (ii) of the EAR and
the criteria for export or reexport to
agencies of a cooperating government
were in § 740.11(b)(2)(iii) and (iv) of the
EAR. As revised, the criteria relating to
agencies and personnel of the U.S.
government are now in § 740.11(b)(2)
and those relating to agencies of a
cooperating government are in
§ 740.11(c)(2). The April 16 rule also
made additional types of transactions
relating to agencies and personnel of the
U.S. government eligible for License
Exception GOV in order to make
License Exception GOV consistent with
U.S. government related license
exemptions available under the ITAR.
However, the rule making those
additions did not make conforming
changes to §§ 746.4(c) and 746.9(b) of
the EAR, which limit use of license
exceptions for exports and reexports to
North Korea and Syria, respectively. BIS
did not intend to limit U.S. government
related transactions to those
destinations more narrowly than U.S.
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government related transactions to other
destinations. Accordingly, this rule
revises §§ 746.4(c) and 746.9(b) of the
EAR to allow use of License Exception
GOV for all of the types of transactions
described in § 740.11(b)(2) of the EAR.
In § 750.7(c)(1)(ix) (Direct exports,
reexports, or transfers (in-country) to
and among approved end users and
ultimate consignee on a license), this
final rule makes a correction to this
paragraph by adding the phrase ‘‘and
ultimate consignee’’ after the phrase ‘‘to
and among approved end users’’ to
specify that direct exports, reexports, or
transfers (in-country) to and among
approved end users and the ultimate
consignee on a license are a nonmaterial change to the license, provided
the other terms and conditions of
paragraph (c)(1)(ix) are met. This was
the intent of the April 16 rule, but after
receiving a question that asked whether
the ‘‘to and among’’ concept described
in paragraph (c)(1)(ix) was intended to
include the ultimate consignee listed on
the license, BIS recognized that the
regulatory text did not refer to the
ultimate consignee and decided to
correct this omission in this final rule.
In § 762.2(b)(9) (Records to be
retained), this final rule corrects that
paragraph by removing the outdated
reference to ‘‘§ 740.13(f)’’ (Technology
and software—unrestricted TSU) and
adding in its place the current
paragraph reference ‘‘§ 740.13(h).’’
Paragraph (f) was redesignated as
paragraph (h) in the April 16 rule, but
this conforming change was not made to
§ 762.2, so this final rule reflects the
new paragraph designation in § 740.13.
ECCNs 9A610 and 9A619. This final
rule makes a clarification for the ‘‘600
series’’ .y paragraphs in 9A610 and
9A619. BIS has received questions from
the public regarding the classification of
‘‘parts,’’ ‘‘components,’’ ‘‘accessories,’’
and ‘‘attachments’’ ‘‘specially designed’’
for commodities specified in the
respective ‘‘600 series’’ .y paragraphs.
For example, galleys are classified
under 9A610.y.9 and the public has
asked whether ‘‘parts,’’ ‘‘components,’’
‘‘accessories,’’ and ‘‘attachments’’
‘‘specially designed’’ for galleys, such as
a sink ‘‘specially designed’’ for use in a
galley, are also classified under
9A610.y. These questioners believed
BIS’s intent was likely that such
‘‘parts,’’ ‘‘components,’’ ‘‘accessories,’’
and ‘‘attachments’’ were also intended
to be classified under those respective .y
paragraphs and not under ‘‘600 series’’
.x paragraphs. To clarify the
classification of such commodities, BIS
adds the phrase ‘‘and ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments’’ ‘‘specially designed’’
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therefor’’ to the end of the .y paragraphs
in 9A610 and 9A619, making it clear
that such commodities are also
classified under the .y paragraphs in
these respective ‘‘600 series’’ ECCNs.’’
BIS has recently made this same
clarification to the .y paragraphs in
ECCNs 0A606, 0A617, 0B617, 8A609,
8A620, 8B609 and 8B620 in a correction
rule for the July 8 rule. Subsequent ECR
implementation final rules will also
generally include such text regarding
the scope of the respective .y
paragraphs.
This final rule also makes a change to
ECCN 9A610 to clarify where ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments’’ ‘‘specially designed’’ for
commodities in ECCN 9A610.h are
classified. The commodities classified
in 9A610.h were moved from ECCN
9A018 in the April 16 rule. The former
ECCN 9A018.e did not include a control
on ‘‘specially designed’’ ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments,’’ meaning such ‘‘specially
designed’’ ‘‘parts, ‘‘components,’’
‘‘accessories, and ‘‘attachments’’ prior to
the April 16 rule, and dating back to the
early 1990s, were designated as EAR99.
For consistency with the Wassenaar
Arrangement Munitions List (WAML)
10.g, the April 16 rule added ‘‘parts,
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments’’ for items under ECCN
9A610.h, which was done with the
‘catch-all’ paragraph in ECCN 9A610.x
based on ‘‘specially designed.’’ A person
with ‘‘components’’ ‘‘specially
designed’’ for commodities classified in
ECCN 9A610.h raised the question
whether it was BIS’s intention to move
the classification of such ‘‘components’’
from EAR99 to an ECCN with a
worldwide license requirement, except
for Canada, by classifying such
‘‘components’’ under 9A610.x.
BIS determined that, for consistency
with WAML 10.g, such ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments’’ should be classified
under a ‘‘600 series’’ ECCN, but because
they are militarily less significant, such
‘‘parts,’’ ‘‘components,’’ ‘‘accessories,’’
and ‘‘attachments’’ ‘‘specially designed’’
for commodities in ECCN 9A610.h
should have been classified in the April
16 rule as ‘‘specially designed’’ ‘‘parts,’’
‘‘components, ‘‘accessories,’’ and
‘‘attachments’’ under a paragraph in
ECCN 9A610.y. This final rule makes
this correction to ECCN 9A610 by
adding a new ‘‘Items’’ paragraph y.30 in
the List of Items Controlled section.
This paragraph will clarify that ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments’’ ‘‘specially designed’’ for
commodities other than electronic items
or navigation equipment in ECCN
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9A610.h are classified under
9A610.y.30, which is consistent with
BIS’s original intention for where such
militarily less significant items should
be controlled under the ‘‘600 series.’’
Finally, this final rule revises 9A610.h
to add the term ‘‘parachute’’ between
the phrase ‘‘complete canopies’’ to
clarify the control is for complete
parachute canopies and not complete
cockpit canopies.
ECCN 9B619. This final rule corrects
9B619 by adding the phrase ‘‘(see List
of Items Controlled)’’ to the end of the
heading. ECCN 9B619 includes an
‘‘Items’’ paragraph in the List of Items
Controlled, so the heading should
include the phrase ‘‘(see List of Items
Controlled).’’ This change is made for
consistency with the CCL and past final
rules that adopted this consistent
structure for ECCN headings on the
CCL.
(G) Other Corrections and Clarifications
to the EAR
In addition to the corrections and
clarifications described above, this final
rule makes the following additional
corrections and clarifications to the
EAR, which resulted from amendments
included in other final rules or other
changes, such as removing a telephone
number that is no longer needed in the
EAR.
Other Typographical Errors and
Corrections
ECCN 1C350. This final rule corrects
1C350.c.12 by removing the hyphen
from Ethyldiethanolamine. The hyphen
was unintentionally included when this
paragraph was initially published in the
Federal Register on December 29, 2004
(69 FR 77890).
In CCL Category 2, Product Group E,
Materials Processing Table on
Deposition Techniques, this final rule
corrects the resultant coating for
Molybdenum and Molybdenum alloy
substrates in the Materials Processing
Table on Deposition Techniques in the
introductory portion of Category 2,
Product Group E. The table listed the
resultant coating as ‘‘Dielectric Players’’
and it is corrected to read ‘‘Dielectric
layers.’’
Other Conforming Changes and
Clarifications to Past Amendments to
EAR
In § 740.9, this final rule makes a
correction to the heading of paragraph
(a)(6) (Inspection and calibration) by
adding the terms ‘‘test’’ and ‘‘repair’’ to
the heading of this paragraph. Paragraph
(a)(6) includes the terms ‘‘test’’ and
‘‘repair’’ in the text of the paragraph, but
the heading may give the mistaken
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impression that the scope of this
paragraph is limited to inspection and
calibration, so the heading is revised to
read ‘‘Inspection, test, calibration and
repair,’’ which more accurately reflects
the scope of this paragraph.
Also in § 740.9 (Temporary Imports,
Exports, Reexports, and Transfers (incountry) (TMP)), this final rule makes a
correction to paragraph (c)(8) by
removing the phrase ‘‘paragraphs (a)
through (e)’’ and adding in its place
‘‘paragraphs (a) through (d)’’ for the
reference to Supplement No. 6 to part
742. Supplement No. 6 to part 742 does
not include a paragraph (e).
In § 740.10 (License Exception
Servicing and replacement of parts and
equipment (RPL)), this final rule makes
a clarification to License Exception RPL
to replace the tern ‘‘returned’’ with the
term ‘‘sent’’ in paragraph (b)(1) (Scope).
This change is made to clarify that the
scope of paragraph (b) does not require
that the item in question be originally
exported from the United States and
subsequently returned to the United
States for servicing. This change is made
because the intent of paragraph (b)(1) is
to also allow for items produced outside
the United States to be sent to the
United States for servicing under
paragraph (b). In addition, this final rule
makes a conforming change to
paragraph (b)(1) by adding in the phrase
‘‘or to a foreign party for servicing,’’ so
the scope paragraph (b)(1) accurately
reflects the scope of the authorization in
paragraph (b)(2).
In § 742.6(b) (Licensing policy), this
rule revises the first sentence of
§ 742.6(b)(1) to explicitly state the
foreign policy considerations employed
in review of license applications for
‘‘600 series’’ items include the United
States’ foreign policy interest of
promoting the observance of human
rights throughout the world. This is a
longstanding foreign policy interest of
the United States that is noted in both
statute and regulation (see, e.g. 22
U.S.C. 2304(a) and 15 CFR 742.7(a)).
This revision merely provides explicit
notice that the review of license
applications for ‘‘600 series’’ items to
determine whether the transaction is
contrary to the foreign policy interests
of the Unites States includes
consideration of human rights. This is
not a substantive change from the policy
set forth in § 742.6(b)(1).
In § 746.3 (Iraq), this final rule also
removes the outdated reference to the
‘‘Interim Government of Iraq’’ and adds
in its place the correct reference the
‘‘Government of Iraq.’’ The final rule
also in that same section removes the
outdated reference to the phrase ‘‘or the
Multinational Force in Iraq.’’
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In § 746.3(c) (License Exceptions), in
addition to the changes described above
for this section to remove the two
outdated references, this final rule
removes an errant open quotation mark,
adds a sentence to the end of paragraph
(c) to clarify the relationship between
the license requirements in paragraph
(a)(4) of this section and the use of
license exceptions. This new sentence
clarifies that license exceptions may not
be applied to paragraph (a)(4) license
requirements. This clarification is not a
change in policy, but rather clarifies the
existing relationship between
paragraphs (a)(4) and (c).
In § 748.2(a)(3), this final rule
removes the first telephone number
listed (408) 998–8805 for BIS’s Western
Regional Office in paragraph (a)(3)
because it will no longer be used as a
general outreach number. The second
telephone number listed in that
paragraph for the Western Regional
Office is intended to be used by the
public as a general outreach number and
will remain in paragraph (a)(3).
In § 748.4(h) (Emergency processing),
this final rule revises the cross reference
regarding validity periods on emergency
licenses from § 750.7(h) to § 750.7(g).
Section 750.7(g) is the section of the
EAR that addresses validity periods,
including for emergency licenses. This
revision simply corrects an error and
improves the utility of the EAR to
exporters.
In Supplement No. 7 to Part 748
(Authorization Validated End-User
(VEU): List of Validated End-Users,
Respective Items Eligible for Export,
Reexport and Transfer, and Eligible
Destinations), this rule corrects an
oversight by adding an omitted Federal
Register citation to one of the VEU
entries. Specifically, in this rule, BIS
amends the VEU List by revising the
‘‘Federal Register Citation’’ Column for
VEU Lam Research Service Co., Ltd.
(Lam) in ‘‘China, (Peoples Republic of)’’
to include the citation for the most
recent amendment to Lam’s VEU
authorization. That citation is 78 FR
54752, 9/6/13.
In § 750.7(c) (Changes to the license),
this final rule adds a non-material
change under new paragraph (c)(2)
(Notification of name change by
advisory opinion request) to specify that
in certain cases a name change can be
made for a party listed on a BIS license
(i.e., name of exporter, reexporter,
purchaser, intermediate consignee,
ultimate consignee, or end user),
provided no changes in ownership,
merger or acquisition activity, or other
change in legal status has occurred since
the time the license was approved for
the person listed on the license. In order
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to rely on this new paragraph, BIS must
have approved the name change in
response to a request for an advisory
opinion submitted by the licensee that
BIS treat the name change as an eligible
name change under this paragraph.
Prior to publication of this final rule,
because name changes were not
identified in paragraph (c), any name
change for a party listed on a BIS license
was a material change to the license.
However, in certain cases, exporters,
reexporters or transferors submitted
advisory opinion requests to BIS that
requested BIS confirmation that certain
name changes did not warrant a new
license, because the party listed on the
license was the same in all respects,
except for the change in the name,
which was typically being changed for
marketing or branding reasons. BIS has
approved such name changes in the past
through advisory opinion responses
when the person listed on the license
was the same, except for the name
change. Making BIS’s past practice more
explicit in the EAR will also make the
EAR more consistent with the ITAR
since DDTC uses a similar process for
reviewing and approving similar types
of name changes under 22 CFR 126.3
(Exceptions) and 22 CFR 122.4
(Notification of changes in information
furnished by registrants). BIS adds this
new paragraph (c)(2) to ensure all
interested parties are aware that such an
advisory opinion may be submitted to
BIS.
This final rule adds a new paragraph
(c)(2)(i) to specify the information that
must be included in advisory opinion
requests for name changes. This final
rule adds a new paragraph (c)(2)(ii) to
specify how BIS will respond to such an
advisory opinion request. This rule adds
a new paragraph (c)(2)(iii), to specify the
additional actions required by a
licensee, when relying on paragraph
(c)(2), including a cross reference to see
§ 758.4(d) (Exports against licenses with
approved name changes) for export
clearance requirements for such
licenses. These requirements under
paragraphs (c)(2)(i)–(iii) put into the
EAR the established practices and
review criteria BIS already uses when
reviewing such advisory opinion
requests and making such
determinations. Lastly, paragraph
(c)(2)(iv) reminds the licensee that if the
name change request is not approved by
BIS or the licensee believes that the
name change that is a material change
to the license, then the parties to the
transaction should apply for a new
license. § 758.1 (The Electronic Export
Information (EEI) filing to the
Automated Export System (AES)),
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§ 758.4 (Use of export license) and
§ 762.2 (Records to be retained) are
updated as necessary to add references
to § 750.7(c)(2), describing
circumstances where the licensee can
change the name of persons listed on a
license. Under § 758.1 this final rule
revises paragraph (f)(2) that deals with
conformity of statements on AES
records with the contents of BIS
licenses, to add a reference to name
changes approved by BIS in writing in
accordance with § 750.7(c)(2) of the
EAR, as a possible exception for when
the information entered into the AES
record may not conform to what is listed
on the license. This final rule also
replaces in paragraph (f)(2) the phrase
‘‘exporter blocks’’ with the AES phrase
‘‘USPPI and USPPI identification
blocks’’ to conform with how those
blocks are referred to in AES. Under
§ 758.4 this final rule adds a new
paragraph (d) (Exports against license
with approved name changes) to specify
that when exporting against a license
with an approved name change under
§ 750.7(c)(2), prior to using that export
license you are required to include in
the respective name field in AES (e.g.,
in the USPPI name field in AES), the
new name followed by the original
name in this format ‘‘[new name] f.k.a.
[original name].’’ This additional
reporting requirement (by putting
additional text into an existing box on
an already approved form) would be
completed by the authorized filer of the
electronic export information (EEI) in
AES. The use of the acronym f.k.a. will
alert those reviewing the AES data that
this person was formerly known as the
original name. Under § 762.2 (Records
to be retained), this final rule adds a
new paragraph (b)(53) to specify that
notification of name change by advisory
opinion requests made under
§ 750.7(c)(2) are records that must be
retained.
In § 772.1 (Definitions of terms as
used in the Export Administration
Regulations), under the definition of
‘‘technology,’’ this final rule adds a
sentence to the end of the definition.
This final rule also adds a note 2 to the
definition of ‘‘technology’’ and
redesignates the current note as note 1.
The new sentence clarifies that
‘‘technology’’ also includes specific
information necessary for operation,
installation, maintenance, repair,
overhaul, refurbishing, as well as for
other terms specified in ECCNs that
control ‘‘technology.’’ The new note 2
also does not change the definition of
‘‘technology.’’ The note provides
additional guidance on the application
of the definition based on current BIS
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practice and past interpretive guidance
BIS has provided, along with the new
sentence this final rule adds to the
definition. This new note 2 clarifies that
‘‘technology’’ not elsewhere specified
on the CCL is designated as EAR99,
unless the ‘‘technology’’ is subject to the
exclusive jurisdiction of another U.S.
Government agency or is otherwise not
subject to the EAR as set forth in
§ 734.4(b)(2) and (b)(3) and §§ 734.7
through 734.11 of the EAR.
In § 772.1, under the definition of
‘‘use,’’ this final rule adds a note to the
definition of ‘‘use.’’ The note does not
change the definition of ‘‘use.’’ The note
is limited to providing guidance on the
application of the definition based on
current BIS practice and past
interpretive guidance BIS has provided.
The new note clarifies that if an ECCN
specifies one or more of the six elements
of ‘‘use’’ in the heading or control text,
only those elements specified are
captured under that ECCN.
In CCL Category 1 and CCL Category
5—Part 2, this final rule reinserts the
Product Group D heading in CCL
Category 1 and reinserts the Product
Groups A, B and E headings in CCL
Category 5—Part 2. A final rule did not
intentionally remove these Product
Group headings from CCL Categories 1
and 5—Part 2. It appears that either a
final rule inadvertently removed those
Product Group headings or that in
making an incorporation into the Code
of Federal Regulations (CFR) for the
EAR, those Product Group headings
may have inadvertently been removed.
This final rule corrects Categories 1 and
5—Part 2 by reinserting those Product
Group headings. BIS became aware of
this issue when confirming that the
incorporations for the Product Group
headings were fully implemented for
the April 16 rule.
EAR Conforming Changes Required by
Amendment to ITAR
This final rule makes two conforming
changes to the EAR in § 746.1(b)(2) and
Supplement No. 1 to part 740 as a result
of a final rule published by the
Department of State on April 17, 2014
(79 FR 21616), titled Amendment to the
International Traffic in Arms
Regulations: Central African Republic.
The State Department’s rule revised
ITAR § 126.1 to include the Central
African Republic in new paragraph (u),
establishing that it is the policy of the
United States to deny licenses or other
approval for exports or imports of
defense articles and defense services
destined for or originating in the Central
African Republic and specifying under
what circumstances a license or other
approval may be issued on a case-by-
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case basis. The April 17 rule noted that
ITAR § 126.1(u) was being added to
implement the United Nations arms
embargo, adopted in United Nations
Security Council (UNSC) Resolution
2127 (December 5, 2013) and UNSC
Resolution 2134 (January 28, 2014).
This final rule revises § 746.1(b)(2)
(Sanctions on selected categories of
items to specific destinations), which
identifies destinations subject to United
Nations Security Council arms
embargoes, by adding the Central
African Republic. This final rule also
revises Country Group D:5 (in
Supplement No. 1 to part 740), which
identifies countries subject to U.S. arms
embargoes to add the country of Central
African Republic. As is noted in
footnote 1 to Country Group D:5,
Country Group D:5 is intended to track
with the ITAR’s § 126.1 and as additions
or removals are made to this section of
the ITAR, conforming changes are made
to Country Group D:5. Because the
Central African Republic is also subject
to a United Nations Security Council
arms embargo, conforming changes are
needed in both Country Group D:5 and
§ 746.1.
Export Administration Act
Although the Export Administration
Act expired on August 20, 2001, the
President, through Executive Order
13222 of August 17, 2001, 3 CFR, 2001
Comp., p. 783 (2002), as amended by
Executive Order 13637 of March 8,
2013, 78 FR 16129 (March 13, 2013) and
as extended by the Notice of August 8,
2013, 78, 2013, 78 FR 49107 (August 12,
2013), has continued the Export
Administration Regulations in effect
under the International Emergency
Economic Powers Act. BIS continues to
carry out the provisions of the Export
Administration Act, as appropriate and
to the extent permitted by law, pursuant
to Executive Order 13222 as amended
by Executive Order 13637.
Rulemaking Requirements
1. Executive Orders 13563 and 12866
direct agencies to assess all costs and
benefits of available regulatory
alternatives and, if regulation is
necessary, to select regulatory
approaches that maximize net benefits
(including potential economic,
environmental, public health and safety
effects, distribute impacts, and equity).
Executive Order 13563 emphasizes the
importance of quantifying both costs
and benefits, of reducing costs, of
harmonizing rules, and of promoting
flexibility. This final rule, which is a
consolidation of corrections and
clarifications of final rules published in
2013 and 2014, has been determined to
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be not significant for purposes of
Executive Order 12866.
2. Notwithstanding any other
provision of law, no person is required
to respond to nor be subject to a penalty
for failure to comply with a collection
of information, subject to the
requirements of the Paperwork
Reduction Act of 1995 (44 U.S.C. 3501
et seq.) (PRA), unless that collection of
information displays a currently valid
Office of Management and Budget
(OMB) Control Number. This regulation
involves collections previously
approved by OMB under control
number 0694–0088, Simplified Network
Application Processing System, which
includes, among other things, license
applications and carries a burden
estimate of 43.8 minutes for a manual or
electronic submission; license
exceptions (0694–0137); recordkeeping
(0694–0096); export clearance (0694–
0122); and the Automated Export
System (0607–0152). Total burden hours
associated with the PRA and OMB
control number 0694–0088 are expected
to slightly decrease as a result of this
rule when taking into account the full
scope of corrections and clarifications
included in this final rule. The two
changes in this final rule that may result
in a slight increase are (1) the
clarification to ECCN 1A984, and (2) the
changes made to the EAR to add the
Central African Republic to § 746.1(b)(2)
and in Supplement No. 1 to part 740
under Country Group D:5 to conform to
the addition of this country to § 126.1 of
the ITAR. Specifically, the clarification
that the last phrase of ECCN 1A984 also
includes ‘‘parts’’ and ‘‘components’’
‘‘specially designed’’ therefor and not
elsewhere specified may result in a
slight increase in the number of
applications received by BIS, although
BIS believes the public likely was
already treating such ‘‘specially
designed’’ ‘‘parts’’ and ‘‘components’’ as
pyrotechnic articles under ECCN 1A984,
so the overall impact of this clarification
is expected to be minimal. The addition
of the Central African Republic to
§ 746.1(b)(2) and to Country Group D:5
in Supplement No. 1 to part 740 is not
expected to result in much of an
increase in the number of license
applications received because the
license requirements in § 746.1(b) are in
almost all cases redundant with the
other EAR license requirements that
apply to the countries identified in
paragraph (b)(2), such as Crime Control.
The addition of the Central African
Republic to Country Group D:5 for the
‘‘600 series’’ will impose significant
restrictions, but the overall impact on
licenses received is anticipated to be
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minimal. You may send comments
regarding the collection of information
associated with this rule, including
suggestions for reducing the burden, to
Jasmeet K. Seehra, Office of
Management and Budget (OMB), by
email to Jasmeet_K._Seehra@
omb.eop.gov, or by fax to (202) 395–
7285.
3. This rule does not contain policies
with Federalism implications as that
term is defined under E.O. 13132.
4. The Department of Commerce finds
that there is good cause under 5 U.S.C.
553(b)(3)(B) to waive the provisions of
the Administrative Procedure Act
otherwise requiring prior notice and the
opportunity for public comment
because they are unnecessary. The
majority of the revisions made by this
rule are administrative in nature and do
not affect the privileges and obligations
of the public. These revisions in this
rule are important to get in place as
soon as possible to avoid confusion by
the public regarding the intent and
meaning of recent changes to the EAR
without harming anyone’s substantive
rights. The Department also finds that
there is good cause under 5 U.S.C.
553(b)(3)(A) to waive the provisions of
the Administrative Procedure Act
requiring notice and comment because
these changes are limited to providing
guidance on existing interpretations of
current EAR provisions. These changes,
which are described above, include the
revisions to §§ 736.2, 740.2(a)(13),
742.6(b)(1), 746.3(c), 750.7,
750.7(c)(1)(ix), 758.1(f)(2), 758.4(d),
772.1 for the definitions of ‘‘specially
designed,’’ ‘‘technology’’ and ‘‘use’’ and
ECCN 1A984. These revisions in this
rule are important to get in place as
soon as possible so the public will be
aware of these existing interpretations of
current EAR provisions. Because these
revisions are not substantive changes to
the EAR, the 30-day delay in
effectiveness otherwise required by 5
U.S.C. 553(d) is not applicable. No other
law requires that a notice of proposed
rulemaking and opportunity for public
comment be given for this rule. The
analytical requirements of the
Regulatory Flexibility Act (5 U.S.C. 601
et seq.) are not applicable.
5. Because a notice of proposed
rulemaking and an opportunity for
public comment are not required to be
given for these amendments by 5 U.S.C.
553, or by any other law, the analytical
requirements of the Regulatory
Flexibility Act, 5 U.S.C. 601 et seq., are
not applicable.
6. With respect to amendments to
§ 740.11, the Department also finds that
the provisions of the Administrative
Procedure Act (5 U.S.C. 553) requiring
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prior notice, the opportunity for public
comment and a delay in effective date
are inapplicable because this
amendment involves a military or
foreign affairs function of the United
States (see 5 U.S.C. 553(a)(1)). BIS, with
the concurrence of the U.S. Departments
of Defense and State, is amending
§ 740.11 to allow items subject to the
EAR to be exported, reexported or
transferred (in-country) to, and in
support of, specific cooperating
governments or agencies of NATO for
their official use. Under the existing
regulations, cooperating governments
could already receive exports of these
items. The changes being made to
§ 740.11 add NATO and its agencies to
the list of recipients and, in furtherance
of the objectives of NATO, the United
States, and its allies, the rule clarifies
that reexports and transfers (in-country)
are authorized by this license exception
when for their official use wherever the
items are needed.
Immediate allowance of a license
exception is necessary to effect this
amendment’s national security and
foreign policy goals of allowing NATO
and cooperating governments to receive
items subject to the EAR for military
purposes, to users and for uses that
support the national security of the
United States and its allies. In the
alternative, BIS finds good cause under
5 U.S.C. 553(b)(3)(B) to forgo prior
notice and the opportunity for public
comment. In addition to the reasons
described above, if BIS delayed this rule
to allow for prior notice and
opportunity for public comment, the
resulting delay in applying for and
receiving licenses could pose a national
security threat, thereby undermining the
purpose of the rule.
In addition, BIS finds good cause to
waive the 30-day delay in effectiveness
under 5 U.S.C. 553(d)(3). Immediate
implementation will allow NATO and
cooperating governments to receive and
use these items to assist the national
security of the United States and its
allies. If BIS delayed this rule to allow
for a 30-day delay in effectiveness, the
resulting delay in implementation
would create a delay and possible
negative impacts on the United States’
support of NATO and its allies similar
to delays this rule is seeking to avoid by
allowing a license exception for these
transactions.
Because a notice of proposed
rulemaking and an opportunity for
public comment are not required to be
given for these changes by 5 U.S.C. 553,
or by any other law, the analytical
requirements of the Regulatory
Flexibility Act, 5 U.S.C. 601 et seq., are
not applicable.
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7. The Department finds that there is
good cause under 5 U.S.C. 553(b)(3)(B)
to waive the provisions of the
Administrative Procedure Act requiring
prior notice and the opportunity for
public comment because they are either
unnecessary or contrary to the public
interest. This rationale applies to the
changes in §§ 740.10, 740.20 and in
Supplement No. 1 to part 774 under
ECCNs 9A610.y and 9A619.y. The
rationale also applies to the reinsertion
of text removed in ECCNs 2B352,
5A980, 6A002 and 9A120 to correct
oversights in the October 4 rule that
mistakenly did not take into account
edits to the underlying ECCN text or
redesignation of paragraphs in those
four ECCNs in earlier final rules. These
revisions are non-substantive, only
clarifying the regulations and thus prior
notice and the opportunity for public
comment is unnecessary. Because a
notice of proposed rulemaking and an
opportunity for public comment are not
required to be given for these
amendments by 5 U.S.C. 553, or by any
other law, the analytical requirements of
the Regulatory Flexibility Act, 5 U.S.C.
601 et seq., are not applicable.
List of Subjects
15 CFR Parts 736, 738 and 772
Exports.
15 CFR Parts 740, 748, 750 and 758
Administrative practice and
procedure, Exports, Reporting and
recordkeeping requirements.
15 CFR Part 742
Exports, Terrorism.
15 CFR Part 744
Exports, Reporting and recordkeeping
requirements, Terrorism.
15 CFR Part 762
Administrative practice and
procedure, Business and industry,
Confidential business information,
Exports, Reporting and recordkeeping
requirements.
15 CFR Parts 746 and 774
Exports, Reporting and recordkeeping
requirements.
Accordingly, parts 736, 738, 740, 742,
744, 746, 748, 750, 758, 762, 772 and
774 of the Export Administration
Regulations (15 CFR parts 730–774) are
amended as follows:
PART 736—[AMENDED]
1. The authority citation for 15 CFR
part 736 is revised to read as follows:
■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; 22 U.S.C. 2151 note; E.O.
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12938, 59 FR 59099, 3 CFR, 1994 Comp., p.
950; E.O. 13020, 61 FR 54079, 3 CFR, 1996
Comp., p. 219; E.O. 13026, 61 FR 58767, 3
CFR, 1996 Comp., p. 228; E.O. 13222, 66 FR
44025, 3 CFR, 2001 Comp., p. 783; E.O.
13338, 69 FR 26751, 3 CFR, 2004 Comp., p.
168; Notice of August 8, 2013, 78 FR 49107
(August 12, 2013); Notice of November 7,
2013, 78 FR 67289 (November 12, 2013):
Notice of May 7, 2014, 79 FR 26589 (May 9,
2014).
§ 738.4 Determining whether a license is
required.
*
*
*
*
*
(b) * * *
(2) Sample CCL entry.
2A000: Entry heading.
Control(s)
§ 736.2 General prohibitions and
determination of applicability.
*
*
*
*
*
(b) * * *
(3) * * *
(i) Country scope of prohibition. You
may not, without a license or license
exception, reexport any item subject to
the scope of this General Prohibition
Three to a destination in Country Group
D:1 or E:1 (See Supplement No.1 to part
740 of the EAR). Additionally, you may
not, without a license or license
exception, reexport or export from
abroad an ECCN 0A919 commodities
subject to the scope of this General
Prohibition Three to a destination in
Country Group D:1, D:3, D:4, D:5 or E:1.
*
*
*
*
*
■ 3. Supplement No. 1 to part 736,
under paragraph (e) (General Order No.
5), is amended by redesignating
paragraph (a) as paragraph (e)(1);
paragraph (b) as paragraph (e)(2);
paragraph (b)(1) as paragraph (e)(2)(i);
paragraph (b)(2) as paragraph (e)(2)(ii);
paragraph (c) as paragraph (e)(3); and
paragraph (d) as paragraph (e)(4),
respectively.
■ 4. Supplement No. 2 to Part 736 is
amended by removing the phrase
‘‘Administration Order’’ in
Administrative Order Two under
paragraph (a)(3) introductory text and
adding in its place the phrase
‘‘Administrative Order’’.
PART 738—[AMENDED]
5. The authority citation for 15 CFR
part 738 continues to read as follows:
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■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; 10 U.S.C. 7420; 10 U.S.C.
7430(e); 22 U.S.C. 287c; 22 U.S.C. 3201 et
seq.; 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u);
42 U.S.C. 2139a; 42 U.S.C. 6212; 43 U.S.C.
1354; 15 U.S.C. 1824a; 50 U.S.C. app. 5; 22
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O.
13026, 61 FR 58767, 3 CFR, 1996 Comp., p.
228; E.O. 13222, 66 FR 44025, 3 CFR, 2001
Comp., p. 783; Notice of August 8, 2013, 78
FR 49107 (August 12, 2013).
6. Section 738.4 is amended by
revising paragraph (b)(2) to read as
follows:
■
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[Amended]
9. Section 740.9 is amended:
a. By revising the heading of
paragraph (a)(6) to read ‘‘Inspection,
test, calibration, and repair.’’; and
■ b. In paragraph (c)(8) by removing the
phrase ‘‘paragraphs (a) through (e)’’ and
adding in its place ‘‘paragraphs (a)
through (d)’’.
■ 10. Section 740.10 is amended:
■ a. By revising the first sentence of
paragraph (a)(2)(ii);
■ b. By revising the second sentence of
paragraph (a)(4)(i);
■ c. By revising paragraph (b)(1);
■ d. By revising paragraph (b)(3)
introductory text; and
■ e. By revising the introductory text of
paragraph (b)(3)(ii) to read as follows:
■
■
REASON FOR CONTROL: NS, NP, AT
2. Section 736.2 is amended by
revising paragraph (b)(3)(i) to read as
follows:
including those specific to the ‘‘600
series’’ are met.
*
*
*
*
*
§ 740.9
License Requirements
■
32623
Country chart
(see supp. No.
1 to part 738).
NS applies to entire entry .....
NP applies to 2A000.b ..........
AT applies to entire entry .....
NS Column 2.
NP Column 1.
AT Column 1.
List Based License Exceptions (See
Part 740 for a description of all license
exceptions)
LVS: $5,000.
GBS: Yes.
CIV: N/A.
List of Items Controlled
§ 740.10 License Exception Servicing and
replacement of parts and equipment (RPL).
Related Controls: N/A.
Related Definitions: N/A.
Items: a. Having x.
b. Having z.
*
*
*
*
*
*
PART 740—[AMENDED]
7. The authority citation for 15 CFR
part 740 continues to read as follows:
■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; 22 U.S.C. 7201 et seq.;
E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp.,
p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001
Comp., p. 783; Notice of August 8, 2013, 78
FR 49107 (August 12, 2013).
8. Section 740.2 is amended:
a. In paragraph (a)(5)(i) by removing
phrase ‘‘§ 740.9(a)(2)(ii)’’ and adding in
its place ‘‘§ 740.9(a)(4)’’;
■ b. In paragraph (a)(5)(ii) by removing
phrase ‘‘§ 740.9(a)(2)(ii)’’ and adding in
its place ‘‘§ 740.9(a)(4)’’; and
■ c. By revising the last sentence in the
introductory text of paragraph (a)(13)
and paragraph (a)(13)(vi) to read as
follows:
■
■
§ 740.2 Restrictions on all license
exceptions.
(a) * * *
*
*
*
*
(13) * * * Only the following license
exceptions may be used to export ‘‘600
series’’ items to destinations other than
those identified in Country Group D:5
(see Supplement No.1 to part 740 of the
EAR):
*
*
*
*
*
(vi) License Exception STA under
§ 740.20(c)(1) of the EAR, provided all
of the applicable terms and conditions,
*
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*
*
*
*
(a) * * *
(2) * * *
(ii) Parts, components, accessories,
and attachments may be exported only
to replace, on a one-for-one basis, parts,
components, accessories, or
attachments, respectively, contained in
commodities that were: Lawfully
exported from the United States;
lawfully reexported; or made in a
foreign country incorporating
authorized parts, components,
accessories, or attachments ‘‘subject to
the EAR’’ (see § 734.2(a) of the EAR).
* * *
(iii) * * *
*
*
*
*
*
(4) * * *
(i) * * * A party reexporting one-forone replacement parts, components,
accessories, or attachments ‘‘subject to
the EAR’’ shall ensure that the
commodities being repaired were
shipped to their present location in
accordance with U.S. law and continue
to be lawfully used, and that either
before or promptly after reexport of the
replacement parts, components,
accessories, or attachments, the replaced
commodities and software are either
destroyed or returned to the United
States, or to the foreign firm in Country
Group B (see Supplement No. 1 to this
part) that shipped the replacement
parts.
*
*
*
*
*
(b) * * * (1) Scope. The provisions of
this paragraph (b) authorize the export
and reexport to any destination, except
for ‘‘600 series’’ items to destinations
identified in Country Group D:5 (see
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Supplement No. 1 to this part) or
otherwise prohibited under the EAR, of
commodities and software that were
sent to the United States or to a foreign
party for servicing and replacement of
defective or unacceptable commodities
and software ‘‘subject to the EAR’’ (see
§ 734.2(a) of the EAR).
*
*
*
*
*
(3) Replacements for defective or
unacceptable equipment ‘‘subject to the
EAR.’’
*
*
*
*
*
(ii) In addition to the general
conditions in paragraph (b)(3)(i) of this
section, the following conditions apply
to exports or reexports of replacements
for defective or unacceptable
commodities or software ‘‘subject to the
EAR’’ (see § 734.2(a) of the EAR) to a
destination in Country Group B or
Country Group D:1 (see Supplement No.
1 to this part):
*
*
*
*
*
■ 11. Section 740.11 is amended:
■ a. By revising the section heading;
■ b. By revising paragraph (c) heading;
■ c. By revising paragraph (c)(1);
■ d. By redesignating paragraph (c)(2)(ii)
as paragraph (c)(2)(iii);
■ e. By adding new paragraph (c)(2)(ii);
and
■ f. By revising paragraphs (c)(3)(i),
(c)(3)(v), and (c)(3)(vi), to read as
follows:
§ 740.11 Governments, international
organizations, international inspections
under the Chemical Weapons Convention,
and the International Space Station (GOV).
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*
*
*
*
*
(c) Cooperating Governments and the
North Atlantic Treaty Organization. (1)
Scope. The provisions of this paragraph
(c) authorize exports, reexports, and
transfers (in-country) of the items listed
in paragraph (c)(2) of this section to
agencies of cooperating governments or
agencies of the North Atlantic Treaty
Organization (NATO). ‘Agency of a
cooperating government’ includes all
civilian and military departments,
branches, missions, and other
governmental agencies of a cooperating
national government. Cooperating
governments are the national
governments of countries listed in
Country Group A:1 (see Supplement No.
1 to this part) and the national
governments of Argentina, Austria,
Finland, Hong Kong, Ireland, Korea
(Republic of), New Zealand, Singapore,
Sweden, Switzerland and Taiwan.
(2) * * *
(ii) Items for official use by agencies
of cooperating governments for military
purposes or NATO. With the exception
of items excluded by paragraph (c)(3) of
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this section, this license exception is
available for all items consigned to and
for the official use of:
(A) A military end user of or for the
military end use of cooperating
governments, or
(B) An agency of NATO.
*
*
*
*
*
(3) * * *
(i) Items on the Sensitive List (see
Supplement No. 6 to part 774 of the
EAR), except to or for the use by
governments of countries listed in
Country Group A:5 (see Supplement No.
1 to this part) or an agency of NATO;
*
*
*
*
*
(v) ‘‘600 series’’ items, except to or for
the use by governments of countries
listed in Country Group A:5 (see
Supplement No. 1 to this part) or an
agency of NATO;
(vi) Items controlled for nuclear
nonproliferation (NP) reasons; or
*
*
*
*
*
§ 740.12
[Amended]
12. Section 740.12 is amended by
redesignating footnote 2 to paragraph (a)
as footnote 1 to paragraph (a).
■
§ 740.13
[Amended]
13. Section 740.13 is amended by
redesignating footnote 3 to paragraph
(d)(1) as footnote 2.
■
§ 740.15
[Amended]
14. Section 740.15 is amended:
■ a. By redesignating footnote 4 and 5 to
paragraphs (c)(1) and (c)(2) as footnotes
3 and 4, respectively; and
■ b. In paragraph (c)(2)(iv) by removing
the phrase ‘‘record is filed’’.
■ 15. Section 740.20 is amended:
■ a. By revising paragraph (b)(3)(ii)(B);
■ b. By revising paragraph (b)(3)(ii)(C);
■ c. By revising the Note to paragraph
(c)(1);
■ d. In the introductory text of
paragraph (d)(2) by adding a sentence to
beginning of this paragraph after the
paragraph heading and by revising the
last two sentences in the introductory
text of paragraph (d)(2);
■ e. By redesignating paragraphs
(d)(2)(iv), (v), (vi) and (vii), as
paragraphs (d)(2)(v), (vi), (vii) and (viii),
respectively;
■ f. By adding a new paragraph
(d)(2)(iv);
■ g. By revising newly redesignated
paragraph (d)(2)(vii)(B);
■ h. By revising newly redesignated
paragraph (d)(2)(vii)(C); and
■ i. By adding undesignated bracketed
text at the end of paragraph (d)(2) to
read as follows:
■
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§ 740.20 License Exception Strategic
Trade Authorization (STA).
*
*
*
*
*
(b) * * *
(3) * * *
(ii) * * *
(B) For the ‘‘development,’’
‘‘production,’’ operation, installation,
maintenance, repair, overhaul, or
refurbishing of an item in one of the
countries listed in Country Group A:5 or
the United States that will be for one, or
more, of the following purposes:
(1) Ultimately to be used by any such
government agencies in one of the
countries listed in Country Group A:5 or
the United States Government; or
(2) Sent to a person in the United
States and not for subsequent export
under § 740.9(b)(1) (License Exception
TMP for items moving in transit through
the United States); or
(C) The United States Government has
otherwise authorized the ultimate end
use, the license or other authorization is
in effect, and the consignee verifies in
writing that such authorization exists
and has provided the license or other
approval identifier to the exporter,
reexporter or transferor (as applicable).
*
*
*
*
*
(c) * * *
*
*
*
*
*
Note to paragraph (c)(1). License Exception
STA under § 740.20(c)(1) may be used to
authorize the export, reexport, or transfer (incountry) of ‘‘600 series’’ items only if the
purchaser, intermediate consignee, ultimate
consignee, and end user have previously
been approved on a license or other
approval, i.e., Directorate of Defense Trade
Controls (DDTC) Manufacturing License
Agreement (MLA), Technical Assistance
Agreement (TAA), Warehouse Distribution
Agreement (WDA), or General
Correspondence approval (GC) issued by BIS
or DDTC at the U.S. Department of State.
*
*
*
*
*
(d) * * *
(2) Prior Consignee Statement. The
requirements in this paragraph (d)(2)
apply to each party using License
Exception STA to export, reexport or
transfer (in-country), including
reexporters and transferors of items
previously received under License
Exception STA. * * * Paragraphs
(d)(2)(i) through (vi) of this section are
required for all transactions. In addition,
paragraph (d)(2)(vii) is required for all
transactions in ‘‘600 series’’ items and
paragraph (viii) of this section is
required for transactions in ‘‘600 series’’
items if the consignee is not the
government of a country listed in
Country Group A:5 (See Supplement
No. 1 to part 740 of the EAR).
*
*
*
*
*
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(iv) Agrees to obtain a prior consignee
statement when using License
Exception STA for any reexport or
transfer (in-country) of items previously
received under License Exception STA;
*
*
*
*
*
(vii) * * *
(B) For the ‘‘development,’’
‘‘production,’’ operation, installation,
maintenance, repair, overhaul, or
refurbishing of an item in one of the
countries listed in Country Group A:5 or
the United States that will be for one, or
more, of the following purposes:
(1) Ultimately to be used by any such
government agencies in one of the
countries listed in Country Group A:5 or
the United States Government; or
(2) Sent to a person in the United
States and not for subsequent export
under § 740.9(b)(1) (License Exception
TMP for items moving in transit through
the United States); or
(C) The United States Government has
otherwise authorized the ultimate end
use, the license or other authorization is
in effect, and the consignee verifies in
writing that such authorization exists
and has provided the license or other
approval identifier to the exporter,
reexporter or transferor (as applicable).
*
*
*
*
*
[INSERT NAME AND TITLE OF
PERSON SIGNING THIS DOCUMENT,
AND DATE DOCUMENT IS SIGNED].
*
*
*
*
*
■ 16. Supplement No. 1 to part 740,
Country Group D is amended by adding
a row in alphabetical order for: Central
African Republic, and by adding an ‘‘X’’
under the D:5 column for the Central
African Republic row.
be reviewed on a case-by-case basis to
determine whether the transaction is
contrary to the national security or
foreign policy interests of the United
States, including the foreign policy
interest of promoting the observance of
human rights throughout the
world.* * *
*
*
*
*
*
PART 744—[AMENDED]
19. The authority citation for 15 CFR
part 744 continues to read as follows:
■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; 22 U.S.C. 3201 et seq.;
42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22
U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR,
1978 Comp., p. 179; E.O. 12851, 58 FR 33181,
3 CFR, 1993 Comp., p. 608; E.O. 12938, 59
FR 59099, 3 CFR, 1994 Comp., p. 950; E.O.
12947, 60 FR 5079, 3 CFR, 1995 Comp., p.
356; E.O. 13026, 61 FR 58767, 3 CFR, 1996
Comp., p. 228; E.O. 13099, 63 FR 45167, 3
CFR, 1998 Comp., p. 208; E.O. 13222, 66 FR
44025, 3 CFR, 2001 Comp., p. 783; E.O.
13224, 66 FR 49079, 3 CFR, 2001 Comp., p.
786; Notice of August 8, 2013, 78 FR 49107
(August 12, 2013); Notice of September 18,
2013, 78 FR 58151 (September 20, 2013);
Notice of November 7, 2013, 78 FR 67289
(November 12, 2013); Notice of January 21,
2014, 79 FR 3721 (January 22, 2014).
§ 744.17
[Amended]
20. Section 744.17 is amended in
paragraph (e) by removing the phrase
‘military end-uses’ and adding in its
place ‘military end uses’ with single
quotes.
■ 21. Section 744.21 is amended by
revising the section heading to read as
follows:
■
§ 744.21 Restrictions on certain ‘military
end uses’ in the People’s Republic of China
(PRC).
■
17. The authority citation for 15 CFR
part 742 continues to read as follows:
*
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; 22 U.S.C. 3201 et seq.;
42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22
U.S.C. 7210; Sec. 1503, Pub. L. 108–11, 117
Stat. 559; E.O. 12058, 43 FR 20947, 3 CFR,
1978 Comp., p. 179; E.O. 12851, 58 FR 33181,
3 CFR, 1993 Comp., p. 608; E.O. 12938, 59
FR 59099, 3 CFR, 1994 Comp., p. 950; E.O.
13026, 61 FR 58767, 3 CFR, 1996 Comp., p.
228; E.O. 13222, 66 FR 44025, 3 CFR, 2001
Comp., p. 783; Presidential Determination
2003–23 of May 7, 2003, 68 FR 26459, May
16, 2003; Notice of August 8, 2013, 78 FR
49107 (August 12, 2013); Notice of November
7, 2013, 78 FR 67289 (November 12, 2013).
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PART 742—[AMENDED]
PART 746—[AMENDED]
18. Section 742.6 is amended by
revising the first sentence of paragraph
(b)(1) to read as follows:
■
§ 742.6
Regional stability.
*
*
*
*
*
(b) * * * (1) Applications for exports
and reexports of ‘‘600 series’’ items will
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*
*
*
*
22. The authority citation for 15 CFR
part 746 is revised to read as follows:
■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; 22 U.S.C. 287c; Sec 1503,
Pub. L. 108–11, 117 Stat. 559; 22 U.S.C. 6004;
22 U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O.
12854, 58 FR 36587, 3 CFR, 1993 Comp., p.
614; E.O. 12918, 59 FR 28205, 3 CFR, 1994
Comp., p. 899; E.O. 13222, 66 FR 44025, 3
CFR, 2001 Comp., p. 783; E.O. 13338, 69 FR
26751, 3 CFR, 2004 Comp., p 168;
Presidential Determination 2003–23 of May
7, 2003, 68 FR 26459, May 16, 2003;
Presidential Determination 2007–7 of
December 7, 2006, 72 FR 1899 (January 16,
2007); Notice of August 8, 2013, 78 FR 49107
(August 12, 2013); Notice of May 7, 2014, 79
FR 26589 (May 9, 2014).
23. Section 746.1 is amended by
revising paragraph (b)(2) to read as
follows:
■
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§ 746.1
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Introduction.
*
*
*
*
*
(b) * * *
(2) The countries subject to United
Nations Security Council arms
embargoes are: Central African
Republic, Cote d’Ivoire (Ivory Coast),
Democratic Republic of the Congo,
Eritrea, Iran, Iraq, Lebanon, Liberia,
Libya, North Korea, Somalia, and
Sudan.
*
*
*
*
*
■ 24. Section 746.2 is amended by
revising paragraph (a)(1)(i) to read as
follows:
§ 746.2
Cuba.
(a) * * *
(1) * * *
(i) Temporary exports and reexports
(TMP) by the news media (see
§ 740.9(a)(9) of the EAR).
*
*
*
*
*
■ 25. Section 746.3 is amended:
■ a. By removing the phrase ‘‘Interim
Government of Iraq or the Multinational
Force in Iraq’’ and adding in its place
the phrase ‘‘Government of Iraq’’ in the
first sentence of the introductory text of
the section;
■ b. By removing the phrase ‘‘Interim
Government of Iraq or the Multinational
Force in Iraq’’ and adding in its place
the phrase ‘‘Government of Iraq’’ in the
second sentence of paragraph (a)(4); and
■ c. By revising paragraph (c) to read as
follows:
§ 746.3
Iraq.
*
*
*
*
*
(c) License exceptions. You may
export or reexport without a license if
your transaction meets all the
requirements of any of the following
License Exceptions: CIV, APP, TMP,
RPL, GOV, GFT, TSU, BAG, AVS, or
ENC. For specific requirements of each
of these License Exceptions, refer to part
740 of the EAR. Notwithstanding the
above, this paragraph may not be
applied to exports or reexports that
require a license under paragraph (a)(4)
of this section.
*
*
*
*
*
■ 26. Section 746.4(c)(1) is amended:
■ a. In paragraph (c)(1) by removing the
phrase ‘‘§ 740.9(a)(2)(viii)’’ and adding
in its place ‘‘§ 740.9(a)(9)’’.
■ b. In paragraph (c)(2) by removing the
phrase ‘‘(b)(2)(i) and (b)(2)(ii)’’ and
adding in its place ‘‘(b)(2)’’.
§ 746.9
[Amended]
27. Section 746.9 is amended:
a. In paragraph (b)(1) by removing the
phrase ‘‘§ 740.9(a)(2)(viii)’’ and adding
in its place ‘‘§ 740.9(a)(9)’’.
■
■
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b. In paragraph (b)(2) by removing the
phrase ‘‘§ 740.11(b)(2)(i) and (ii)’’ and
adding in its place ‘‘§ 740.11(b)(2)’’.
■
PART 748—[AMENDED]
28. The authority citation for 15 CFR
part 748 continues to read as follows:
■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; E.O. 13026, 61 FR 58767,
3 CFR, 1996 Comp., p. 228; E.O. 13222, 66
FR 44025, 3 CFR, 2001 Comp., p. 783; Notice
of August 8, 2013, 78 FR 49107 (August 12,
2013).
§ 748.2
[Amended]
29. Section 748.2(a)(3) is amended by
removing the phrase ‘‘(408) 998–8805
or’’.
■
§ 748.4
[Amended]
30. Section 748.4(h) is amended by
removing the phrase ‘‘§ 750.7(h)’’ and
adding in its place ‘‘§ 750.7(g)’’ in the
final sentence.
■
Supplement No. 1 to Part 748
[Amended]
31. Supplement No. 1 to part 748 is
amended by adding a single space
between ‘‘(x)’’ and the word ‘‘of’’ in the
fifth sentence at the end of Block 24.
■
Supplement No. 7 to Part 748
[Amended]
32. Supplement No. 7 to part 748
(Authorization Validated End-User
(VEU): List of Validated End-Users,
Respective Items Eligible for Export,
Reexport and Transfer, and Eligible
Destinations) is amended by adding the
citation ‘‘78 FR 54752, 9/6/13.’’ at the
end of the entry in the ‘‘Federal Register
Citation’’ Column for VEU ‘‘Lam
Research Service Co., Ltd.’’ in ‘‘China,
(Peoples Republic of)’’.
■
PART 750—[AMENDED]
33. The authority citation for part 750
continues to read as follows:
■
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Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; Sec 1503, Pub. L. 108–
11, 117 Stat. 559; E.O. 13026, 61 FR 58767,
3 CFR, 1996 Comp., p. 228; E.O. 13222, 66
FR 44025, 3 CFR, 2001 Comp., p. 783; E.O.
13637 of March 8, 2013, 78 FR 16129 (March
13, 2013); Presidential Determination 2003–
23 of May 7, 2003, 68 FR 26459, May 16,
2003; Notice of August 8, 2013, 78 FR 49107
(August 12, 2013).
34. Section 750.7 is amended:
a. By revising paragraph (c)(1)(ix); and
b. By adding paragraph (c)(2) to read
as follows:
■
■
■
§ 750.7
*
Issuance of licenses.
*
*
(c) * * *
(1) * * *
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*
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(ix) Direct exports, reexports, or
transfers (in-country) to and among
approved end users and the ultimate
consignee on a license, provided those
end users and ultimate consignee are
listed by name and location on such
license and the license does not contain
any conditions specific to the ultimate
consignee that cannot be complied with
by the end user, such as a reporting
requirement that must be made by the
ultimate consignee. Reexports and
transfers (in-country) among approved
end users may be further limited by
license conditions.
(2) In some circumstances, BIS may
authorize changing the name of a person
listed on a license (i.e., name of
exporter, reexporter, purchaser,
intermediate consignee, ultimate
consignee or end user), provided the
pertinent person has not undergone a
change in ownership, including merger
or acquisition, or any other change in
legal status since the time the license
was issued. In order to rely on this
paragraph (c)(2), BIS must have
approved the name change in response
to an advisory opinion request
submitted by the licensee pursuant to
§ 748.3(c) of the EAR and the
instructions below.
(i) The advisory opinion request must
be submitted on the licensee’s company
letterhead and include the following
information:
(A) The title of the advisory opinion,
in this format: ‘‘License name change
notification and review request;’’
(B) All license numbers subject to the
notification and review request (either
in the letter or as a separate attachment);
(C) The name(s) changing on the
license(s) (include the original and new
names), and when the name(s) are
changing (either in the letter or as a
separate attachment);
(D) Any background information
available on the reasons for the name
change(s) (e.g., press releases from the
person changing its name(s)); and
(E) A statement regarding whether
there has been a change in ownership,
including a merger or acquisition, or
any other change in legal status
regarding the person(s) changing its
name(s).
(F) Confirmation that, if the request is
approved, the licensee will share the
advisory opinion response from BIS
with all other persons listed on the
license, and inform those persons that
the advisory opinion response must be
retained pursuant to the recordkeeping
requirements in part 762 of the EAR.
(ii) If BIS determines the name change
is not a material change to the license
and approves the request to change the
name(s) on the license, BIS will send a
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written response to the licensee who
submitted the notification. If BIS does
not approve the request to change the
name(s) on the license, BIS will send a
written response to the licensee who
submitted the notification.
(iii) For guidance on using an export
license with approved name changes,
see § 758.4(d) (Exports against license
with approved name change).
(iv) If a license name change
notification and review request is
denied by BIS or the licensee
determines that there has been a
material change to the license, such as
a change in ownership of a person on
the license, including merger or
acquisition, or any other change in legal
status since the time the license was
issued, a new license application should
be submitted.
*
*
*
*
*
PART 758—[AMENDED]
35. The authority citation for part 758
continues to read as follows:
■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025,
3 CFR, 2001 Comp., p. 783; Notice of August
8, 2013, 78 FR 49107 (August 12, 2013).
36. Section 758.1 is amended:
a. In paragraph (b)(3) by adding the
phrase ‘‘or otherwise described’’ after
the term ‘‘enumerated’’;
■ b. In paragraph (c)(6) by removing the
phrase ‘‘§ 740.9(a)(2)(i)’’ and adding in
its place ‘‘§ 740.9(a)(1)’’; and
■ c. By revising paragraph (f)(2) to read
as follows:
■
■
§ 758.1 The Electronic Export Information
(EEI) filing to the Automated Export System
(AES).
*
*
*
*
*
(f) * * *
(2) Statements on the EEI filing are in
conformity with the contents of any
license issued by BIS, with the possible
exception of the USPPI and USPPI
identification blocks in routed
transactions or any name change
approved by BIS in writing in
accordance with § 750.7(c)(2) of the
EAR; and
*
*
*
*
*
■ 37. Section 758.4 is amended by
adding paragraph (d) to read as follows:
§ 758.4
Use of export license.
*
*
*
*
*
(d) Exports against license with
approved name changes. If you are
exporting against a license with
approved name changes under
§ 750.7(c)(2) of the EAR, prior to using
that export license you are required to
include in the respective name field in
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AES (e.g., in the USPPI name field in
AES), the new name followed by the
original name in this format ‘‘[new
name] f.k.a. [original name].’’ This
reporting requirement would be
completed by the authorized filer of the
electronic export information (EEI) in
AES. Although not required, the
exporter may include a copy of the BIS
written response approving the nonmaterial name changes in accordance
with § 750.7(c)(2) of the EAR. If the
items have already been exported
against the license by the time the name
changes are approved, you are not
required to report this additional
information in AES, but you still must
follow the recordkeeping requirements
in part 762 of the EAR.
PART 762—[AMENDED]
38. The authority citation for 15 CFR
part 762 continues to read as follows:
■
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025,
3 CFR, 2001 Comp., p. 783; Notice of August
8, 2013, 78 FR 49107 (August 12, 2013).
b. In the definition of ‘‘technology’’ by
adding a sentence to the end of the
definition, and by redesignating the
Note as Note 1 and by adding a new
Note 2; and
■ c. In the definition of ‘‘use’’ by adding
a new Note to read as follows:
■
§ 772.1 Definitions of terms as used in the
Export Administration Regulations (EAR).
*
*
*
*
*
Technology. * * * ‘‘Technology’’ also
is specific information necessary for any
of the following: Operation, installation
(including on-site installation),
maintenance (checking), repair,
overhaul, refurbishing, or other terms
specified in ECCNs on the CCL that
control ‘‘technology.’’
*
*
*
*
*
Note 2: ‘‘Technology’’ not elsewhere
specified on the CCL is designated as EAR99,
unless the ‘‘technology’’ is subject to the
exclusive jurisdiction of another U.S.
Government agency (see § 734.3(b)(1)) or is
otherwise not subject to the EAR (see
§ 734.4(b)(2) and (b)(3) and §§ 734.7 through
734.11 of the EAR).
39. Section 762.2 is amended:
a. In paragraph (b)(9) by removing
‘‘§ 740.13(f)’’ and adding in its place
‘‘§ 740.13(h)’’;
■ b. By revising paragraph (b)(13);
■ c. By removing the word ‘‘and’’ at the
end of paragraph (b)(50);
■ d. By removing the period ‘‘.’’ at the
end of paragraph (b)(51) and adding in
its place a semi-colon ‘‘;’’; and
■ e. By adding paragraphs (b)(52) and
(b)(53) to read as follows:
*
§ 762.2
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; 10 U.S.C. 7420; 10 U.S.C.
7430(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et
seq.; 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u);
42 U.S.C. 2139a; 42 U.S.C. 6212; 43 U.S.C.
1354; 15 U.S.C. 1824a; 50 U.S.C. app. 5; 22
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O.
13026, 61 FR 58767, 3 CFR, 1996 Comp., p.
228; E.O. 13222, 66 FR 44025, 3 CFR, 2001
Comp., p. 783; Notice of August 8, 2013, 78
FR 49107 (August 12, 2013).
■
■
Records to be retained.
*
*
*
*
*
(b) * * *
(13) § 743.4(c)(1) and (c)(2),
Conventional arms reporting;
*
*
*
*
*
(52) § 744.15(b), UVL statement as
well as any logs or records created for
multiple exports, reexports, and
transfers (in-country); and
(53) § 750.7(c)(2), Notification of name
change by advisory opinion request.
*
*
*
*
*
*
*
Use. * * *
*
Note: If an ECCN specifies one or more of
the six elements of ‘‘use’’ in the heading or
control text, only those elements specified
are classified under that ECCN.
*
*
*
*
*
PART 774—[AMENDED]
42. The authority citation for 15 CFR
part 774 continues to read as follows:
■
43. Section 774.1 is amended by
revising paragraph (b)(3) and the Note to
paragraph (b) to read as follows:
■
PART 772—[AMENDED]
§ 774.1
40. The authority citation for 15 CFR
part 772 continues to read as follows:
*
■
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*
Authority: 50 U.S.C. app. 2401 et seq.; 50
U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025,
3 CFR, 2001 Comp., p. 783; Notice of August
8, 2013, 78 FR 49107 (August 12, 2013).
41. Section 772.1 is amended:
a. In the definition of ‘‘specially
designed’’ by removing the word ‘‘a’’
immediately before the phrase
‘‘achieving or exceeding’’ in the fourth
sentence of Note to paragraph (a)(1);
■
■
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Introduction.
*
*
*
*
(b) * * *
(3) The following multilateral export
control regime reference is provided, as
an additional point of historical
reference: 0C201—INFCIRC 254 Part 1,
5.3.1(b).
Note to paragraph (b): ECCNs 0D001 and
0E001 are ‘‘subject to the ITAR’’ (see 22 CFR
parts 120 through 130). These ECCNs are
retained on the CCL as cross references to the
ITAR, although the former cross references to
export licensing authority of the Nuclear
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32627
Regulatory Commission (see 10 CFR part 110)
for ECCN 0D001, and to the Department of
Energy (see 10 CFR part 810) for 0E001 were
removed from the Control(s) paragraph in the
License Requirements section of these two
ECCNs and added as a more general
jurisdictional cross reference in a heading
note added to these two ECCNs as of June 5,
2014.
*
*
*
*
*
44. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0A604 is amended by revising
the heading, as added January 2, 2014,
at 79 FR 282, effective July 1, 2014, to
read as follows:
■
Supplement No. 1 to Part 774—The
Commerce Control List
*
*
*
*
*
0A604 Commodities related to military
explosive devices and charges (see List
of Items Controlled).
*
*
*
*
*
45. Supplement No. 1 to part 774 (the
Commerce Control List), is amended by
adding quotes around the phrase
‘‘subject to the ITAR’’ wherever it
appears in Export Control Classification
Numbers (ECCNs): 0A604, 0A614,
1A005, 1A613, 1B608, 1C239, 9D001,
9D002, 9D003, 9D104, 9E001, 9E002,
9E101, and 9E102, as added January 2,
2014, at 79 FR 282–294, effective July 1,
2014.
■ 46. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0A606 is amended:
■ a. By adding quotes around the term
‘‘specially designed’’ in Note 2.a to
paragraph a. in the ‘‘Items’’ paragraph in
the List of Items Controlled section;
■ b. By adding quotes around the term
‘‘components’’ wherever it appears in
the introductory text of Note 2 to
paragraph a, and in Notes 2.b.1.a, 2.f,
and y.12. in the ‘‘Items’’ paragraph in
the List of Items Controlled section.
■ c. By adding quotes around the term
‘‘parts’’ ’’ in Note 2.b to paragraph a in
the ‘‘Items’’ paragraph in the List of
Items Controlled section; and
■ b. By revising the heading to read as
follows:
■
0A606 Ground vehicles and related
commodities, as follows (see List of
Items Controlled).
*
*
*
*
*
47. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
■
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Export Control Classification Number
(ECCN) 0A614 is amended by revising
the heading, as added January 2, 2014,
at 79 FR 282, effective July 1, 2014, to
read as follows:
0A614 Military training ‘‘equipment,’’ as
follows (see List of Items Controlled).
*
*
*
*
*
48. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0A617 is amended:
■ a. By adding quotes around the terms
‘‘components’’ and ‘‘parts’’ in the
‘‘Related Controls’’ paragraph (6) in the
List of Items Controlled section;
■ b. By adding quotes around the term
‘‘specially designed’’ in the ‘‘Related
Controls’’ paragraph (10) in the List of
Items Controlled section; and
■ c. By adding a ‘‘Related Definitions’’
paragraph after the ‘‘Related Controls’’
paragraph in the List of Items Controlled
Section to read as follows:
■
0A617 Miscellaneous ‘‘equipment,’’
materials, and related commodities (see
List of Items Controlled).
*
*
*
*
*
List of Items Controlled
*
*
*
*
*
Related Definitions: N/A
*
*
*
*
*
■ 49. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0A918 is amended by revising
the heading to read as follows:
0A918 Miscellaneous military equipment
not on the Wassenaar Munitions List
(see List of Items Controlled).
*
*
*
*
*
■ 50. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0A988 is amended by further
revising the heading, as revised January
2, 2014, at 79 FR 283, effective July 1,
2014, to read as follows:
0A988 Conventional military steel helmets
as described by 0A018.d.1.
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*
*
*
*
*
51. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0B604 is amended by revising
the heading, as added January 2, 2014,
■
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18:48 Jun 04, 2014
Jkt 232001
at 79 FR 283, effective July 1, 2014, to
read as follows:
0B604 Test, inspection, and production
‘‘equipment’’ and related commodities
‘‘specially designed’’ for the
‘‘development,’’ ‘‘production,’’ repair,
overhaul, or refurbishing of
commodities in ECCN 0A604 or related
defense articles in USML Category IV
(see List of Items Controlled).
*
*
*
*
*
52. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0B614 is amended by revising
the heading, as added January 2, 2014,
at 79 FR 283, effective July 1, 2014, to
read as follows:
■
0B614 Test, inspection, and production
‘‘equipment’’ for military training
‘‘equipment’’ and ‘‘specially designed’’
‘‘parts,’’ ‘‘components,’’ ‘‘accessories’’
and ‘‘attachments’’ therefor, as follows
(see List of Items Controlled).
*
*
*
*
*
53. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0D001 is amended:
■ a. By further revising the heading, as
revised January 2, 2014, at 79 FR 283,
effective July 1, 2014;
■ b. By adding a heading note; and
■ c. By removing the first Control(s)
paragraph in License Requirements
section, to read as follows:
■
0D001 ‘‘Software’’ ‘‘specially designed’’ or
modified for the ‘‘development,’’
‘‘production,’’ or ‘‘use’’ of commodities
described in 0A002. (These items are
‘‘subject to the ITAR.’’ See 22 CFR parts
120 through 130.)
Heading Note: Certain ‘‘software’’ for the
‘‘development,’’ ‘‘production,’’ or ‘‘use’’ of
nuclear related commodities is subject to the
export licensing authority of the Nuclear
Regulatory Commission (see 10 CFR part
110).
*
*
*
*
*
54. Supplement No. 1 to part 774 (the
Commerce Control List), is amended by
adding the phrase ‘‘(see List of Items
Controlled).’’ at the end of the headings
in Export Control Classification
Numbers (ECCN): 0D604, 0E604, 1D608,
1E608, 9D604, and 9E604, as added
January 2, 2014, at 79 FR 284–294,
effective July 1, 2014.
■ 55. Supplement No. 1 to part 774 (the
Commerce Control List), is amended by
adding a period at the end of the
headings in Export Control
Classification Numbers (ECCN): 0D614,
■
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0E614, 1B608, 1B613, 1C018, 1D018,
1D613, 1E001, 1E101, 1E201, 9A604,
9B115, 9B116, 9B604, 9D001, 9D002,
9D003, 9D104, 9E001, 9E101, and
9E102, as added January 2, 2014, at 79
FR 284–294, effective July 1, 2014.
■ 56. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0E001 is amended:
■ a. By further revising the heading, as
revised January 2, 2014, at 79 FR 284,
effective July 1, 2014;
■ b. By adding a heading note; and
■ c. By removing the first Control(s)
paragraph in the License Requirements
section to read as follows:
0E001 ‘‘Technology,’’ according to the
Nuclear Technology Note, for the
‘‘development,’’ ‘‘production,’’ or ‘‘use’’
of items described in 0A002, or 0D001.
Heading Note: ‘‘Technology’’ for certain
items subject to the export licensing authority
of the Nuclear Regulatory Commission (see
10 CFR part 110) is subject to the export
licensing authority of the Department of
Energy (see 10 CFR part 810).
*
*
*
*
*
57. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0E018 is amended by adding a
period after the phrase ‘‘for items
formerly controlled by 0A018.a’’ in the
Note to the ‘‘items’’ paragraph in the
List of Items Controlled section.
■ 58. In Supplement No. 1 to part 774
(the Commerce Control List), Category
0—Nuclear Materials, Facilities &
Equipment (and Miscellaneous Items),
Export Control Classification Number
(ECCN) 0E614 is amended by adding a
comma between the terms ‘‘repair’’ and
‘‘overhaul’’ in the ‘‘items’’ paragraph a
in the List of Items Controlled section,
as added January 2, 2014, at 79 FR 285,
effective July 1, 2014.
■ 59. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals, add the Product
Group D heading ‘‘SOFTWARE’’
immediately before Export Control
Classification Number (ECCN) 1D001.
■ 60. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ the
Technical Note introductory text after
the Product Group C: ‘‘Materials’’
heading is amended by removing
■
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‘‘1C012’’ and adding in its place
‘‘1C011’’.
■ 61. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1A001 is amended by adding quotes
around ‘‘specially designed’’ in the
‘‘Related Controls’’ paragraph (1) in the
List of Items Controlled section.
■ 62. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1A004 is amended by removing the term
‘‘agent’’ and adding in its place the term
‘‘agents’’ in Technical Note 1 to the
‘‘items’’ paragraph in the List of Items
Controlled section.
■ 63. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1A007 is amended by adding quotes
around the term ‘‘specially designed’’ in
the heading and in the ‘‘Related
Controls’’ paragraph in the List of Items
Controlled section, as revised January 2,
2014, at 79 FR 285, effective July 1,
2014.
■ 64. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1A101 is amended by removing the term
‘‘which’’ in the ‘‘Related Controls’’
paragraph (2) in the List of Items
Controlled section.
■ 65. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1A613, as added January 2, 2014, at 79
FR 286, effective July 1, 2014, is
amended:
■ a. By revising the heading;
■ b. By adding ‘‘Related Controls’’
paragraph (3) to the ‘‘Related Controls’’
paragraph in the List of Items Controlled
section; and
■ c. By revising ‘‘items’’ paragraph e and
adding ‘‘items’’ paragraph f in the List
of Items Controlled section.
1A613 Armored and protective
‘‘equipment’’ and related commodities,
as follows (see List of Items Controlled).
*
*
*
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and having a detonation velocity greater
than 8,000 m/s.
List of Items Controlled
Related Controls: * * * (3) See ECCN
9A610.g for anti-gravity suits (‘‘G-suits’’) and
pressure suits capable of operating at
altitudes higher than 55,000 feet above sea
level.
*
*
*
*
*
*
*
*
Items:
*
*
e. Atmospheric diving suits ‘‘specially
designed’’ for rescue operations for
submarines controlled by the USML or the
CCL.
f. Other personal protective ‘‘equipment’’
‘‘specially designed’’ for military
applications not controlled by the USML, not
elsewhere controlled on the CCL.
*
*
*
*
*
66. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1A984 is amended by revising the
heading to read as follows:
■
1A984 Chemical agents, including tear gas
formulation containing 1 percent or less
of orthochlorobenzalmalononitrile (CS),
or 1 percent or less of
chloroacetophenone (CN), except in
individual containers with a net weight
of 20 grams or less; liquid pepper except
when packaged in individual containers
with a net weight of 3 ounces (85.05
grams) or less; smoke bombs; nonirritant smoke flares, canisters, grenades
and charges; and other pyrotechnic
articles (excluding shotgun shells)
having dual military and commercial
use, and ‘‘parts’’ and ‘‘components’’
‘‘specially designed’’ therefor, n.e.s.
*
*
*
*
*
67. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1C111 is amended by removing
‘‘C111.c.1’’ and adding ‘‘1C111.c.1’’ in
its place in the ‘‘Related Controls’’
paragraph (1) in the List of Items
Controlled section.
■
68. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms,’’ and ‘‘Toxins,’’
Export Control Classification Number
(ECCN) 1C239 is amended by revising
the heading to read as follows:
■
1C239 High explosives, other than those
controlled by the U.S. Munitions List, or
substances or mixtures containing more
than 2% by weight thereof, with a
crystal density greater than 1.8 g/cm3
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69. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1C350, Item.c.12 is amended by
removing ‘‘Ethyldiethan-olamine’’ and
adding ‘‘Ethyldiethanolamine’’ in its
place.
■ 70. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1C608 is amended by revising the
heading, as added January 2, 2014, at 79
FR 288, effective July 1, 2014, to read as
follows:
■
1C608 Energetic materials and related
commodities (see List of Items
Controlled).
*
*
*
*
*
71. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1D018 is amended by adding quotes
around the term ‘‘specially designed’’ in
the heading, as added January 2, 2014,
at 79 FR 289, effective July 1, 2014.
■ 72. In Supplement No. 1 to part 774
(the Commerce Control List), Category
1—Special Materials and Related
Equipment, Chemicals,
‘‘Microorganisms’’ and ‘‘Toxins,’’ Export
Control Classification Number (ECCN)
1E001 is amended:
■ a. By adding quotes around the term
‘‘specially designed’’ in the ‘‘Related
Controls’’ paragraph (3) in the List of
Items Controlled section, as revised
January 2, 2014, at 79 FR 290, effective
July 1, 2014; and
■ b. By removing the phrase ‘‘eight
destinations listed in § 740.20(c)(2) of
the EAR’’ and adding in its place
‘‘destinations listed in Country Group
A:6 (See Supplement No.1 to part 740
of the EAR)’’ in the STA paragraph of
the ‘‘Special Conditions for STA’’
section.
■ 73. In Supplement No. 1 to part 774
(the Commerce Control List), Category
2—Materials Processing, Export Control
Classification Number (ECCN) 2A291 is
amended by adding quotes around the
term ‘‘accessories’’ in the ‘‘items’’
paragraph d in the List of Items
Controlled section.
■
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74. In Supplement No. 1 to part 774
(the Commerce Control List), Category
2—Materials Processing, Export Control
Classification Number (ECCN) 2B350 is
amended by removing the term
‘‘include’’ and adding in its place
‘‘includes’’ in the ‘‘Related Definitions’’
paragraph in the List of Items Controlled
section.
■
75. In Supplement No. 1 to part 774
(the Commerce Control List), Category
2—Materials Processing, Export Control
Classification Number (ECCN) 2B352 is
amended:
■ a. By revising ‘‘items’’ paragraph h
and the introductory text of paragraph i
in the List of Items Controlled section;
and
■ b. By revising ‘‘Technical Notes’’
paragraph 2 at the end of the ‘‘items’’
paragraph in the List of Items Controlled
section to read as follows:
■
2B352 Equipment capable of use in
handling biological materials, as follows
(see List of Items Controlled).
*
*
*
*
*
List of Items Controlled
*
*
*
*
*
*
*
*
Items:
*
*
h. Chambers designed for aerosol challenge
testing with microorganisms, viruses, or
toxins and having a capacity of 1 m3 or
greater.
i. Spraying or fogging systems and ‘‘parts’’
and ‘‘components’’ therefor, as follows:
*
*
*
*
*
Technical Notes:
*
*
*
*
*
2. This ECCN does not control spraying or
fogging systems, ‘‘parts’’ and ‘‘components,’’
as specified in 2B352.i, that are
demonstrated not to be capable of delivering
biological agents in the form of infectious
aerosols.
*
*
*
*
*
76. In Supplement No. 1 to part 774
(the Commerce Control List), Category
2—Materials Processing, Export Control
Classification Number (ECCN) 2B999 is
amended by revising the ‘‘Related
Controls’’ paragraph in the List of Items
Controlled section to read as follows:
■
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5A980 Devices primarily useful for the
surreptitious interception of wire, oral,
or electronic communications, other
than those controlled under 5A001.f.1;
and ‘‘parts,’’ ‘‘components’’ and
‘‘accessories’’ therefor.
Special Conditions for STA
STA: License Exception STA may not be
used to ship to any of the destinations listed
in Country Group A:6 (See Supplement No.
1 to part 740 of the EAR) any commodity in:
6A002.a.1.a, a.1.b or a.1.c; 6A002.a.3.c, a.3.d,
a.3.e, or a.3.f; or 6A002.b.
*
*
*
*
83. In Supplement No. 1 to part 774
(the Commerce Control List), Category
5—Telecommunications and
‘‘Information Security,’’ Part 1—
Telecommunications, Export Control
Classification Number (ECCN) 5B001 is
amended:
■ a. By removing the phrase ‘‘eight
destinations listed in § 740.20(c)(2) of
the EAR’’ and adding in its place
‘‘destinations listed in Country Group
A:6 (See Supplement No.1 to part 740
■
List of Items Controlled
Related Controls: (1) See also 1B233,
2A293, 2B001.f, 2B004, 2B009, 2B104,
2B109, 2B204, 2B209, 2B228, 2B229, 2B231,
and 2B350. (2) Certain nuclear related
processing equipment is subject to the export
licensing authority of the Nuclear Regulatory
Commission (see 10 CFR part 110).
*
of the EAR)’’ in the STA paragraph of
the ‘‘Special Conditions for STA’’
section; and
■ b. By adding quotes around the term
‘‘components’’ in ‘‘items’’ paragraph b
in the List of Items Controlled section.
■ 84. In Supplement No. 1 to part 774
(the Commerce Control List), Category
5—Telecommunications and
‘‘Information Security,’’ Part 2—
Information Security:
■ a. Add the Product Group A heading
‘‘END ITEMS,’’ ‘‘EQUIPMENT,’’
‘‘ACCESSORIES,’’ ‘‘ATTACHMENTS,’’
‘‘PARTS,’’ ‘‘COMPONENTS,’’ AND
‘‘SYSTEMS’’ immediately before Export
Control Classification Number (ECCN)
5A002;
■ b. Add the Product Group B heading
TEST, INSPECTION AND
‘‘PRODUCTION EQUIPMENT’’
immediately before Export Control
Classification Number (ECCN) 5B002;
and
■ c. Add the Product Group E heading
‘‘TECHNOLOGY’’ immediately before
Export Control Classification Number
(ECCN) 5E002.
■ 85. In Supplement No. 1 to part 774
(the Commerce Control List), Category
5—Telecommunications and
‘‘Information Security,’’ Part 2—
Information Security, Export Control
Classification Number (ECCN) 5A002 is
amended by adding the word ‘‘and’’
before the term ‘‘components’’ in the
heading.
■ 86. In Supplement No. 1 to part 774
(the Commerce Control List), Category
6—Sensors and Lasers, Export Control
Classification Number (ECCN) 6A002 is
amended by revising the Special
Conditions for STA section to read as
follows:
*
2B999 Specific processing equipment,
n.e.s., as follows (see List of Items
Controlled).
*
77. In Supplement No. 1 to part 774
(the Commerce Control List), Category
2—Materials Processing, the Category
2E—Materials Processing Table;
Deposition Techniques is amended by
removing the phrase ‘‘Dielectric
Players’’ and adding in its place
‘‘Dielectric layers’’ in the third column
of the fifth row of the table.
■ 78. In Supplement No. 1 to part 774
(the Commerce Control List), Category
3—Electronics, Export Control
Classification Number (ECCN) 3A001 is
amended by adding quotes around the
terms ‘‘accessories’’ and ‘‘attachments’’
in ‘‘Related Controls’’ paragraph (2)(c)
in the List of Items Controlled section.
■ 79. In Supplement No. 1 to part 774
(the Commerce Control List), Category
3—Electronics, Export Control
Classification Number (ECCN) 3E982 is
amended by removing the term
‘‘require’’ and adding in its place
‘‘required’’ in quotes in the heading.
■ 80. In Supplement No. 1 to part 774
(the Commerce Control List), Category
4—Computers, Export Control
Classification Number (ECCN) 4A003 is
amended by redesignating ‘‘Note 1’’ as
‘‘Note’’ at the end of the License
Requirements section;
■ 81. In Supplement No. 1 to part 774
(the Commerce Control List), Category
5—Telecommunications and
‘‘Information Security,’’ Part 1
Telecommunications, Export Control
Classification Number (ECCN) 5A001 is
amended by adding quotes around the
term ‘‘accessories’’ in ‘‘items’’ paragraph
b in the List of Items Controlled section.
■ 82. In Supplement No. 1 to part 774
(the Commerce Control List), Category
5—Telecommunications and
‘‘Information Security,’’ Part 1
Telecommunications, Export Control
Classification Number (ECCN) 5A980 is
amended by revising the heading to read
as follows:
■
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6A002 Optical sensors and equipment, and
‘‘components’’ therefor, as follows (see
List of Items Controlled).
*
*
*
*
*
*
*
*
*
*
87. In Supplement No. 1 to part 774
(the Commerce Control List), Category
6—Sensors and Lasers, Export Control
Classification Number (ECCN) 6A004 is
amended:
■ a. By adding quotes around the term
‘‘components’’ in the heading; and
■ b. By adding a closing quotation mark
after the first word in ‘‘items’’ paragraph
c.4 in the List of Items Controlled
section.
■
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88. In Supplement No. 1 to part 774
(the Commerce Control List), Category
6—Sensors and Lasers, Export Control
Classification Number (ECCN) 6A998 is
amended by removing the quotes
around the term ‘‘major components’’
and adding quotes back only around the
term ‘‘components’’ in the heading.
elsewhere specified in the USML (see
List of Items Controlled).
■
89. In Supplement No. 1 to part 774
(the Commerce Control List), Category
6—Sensors and Lasers, Export Control
Classification Number (ECCN) 6B995 is
amended by revising the heading to read
as follows:
■
6B995 Equipment, including tools, dies,
fixtures or gauges, and other ‘‘specially
designed’’ ‘‘parts,’’ ‘‘components’’ and
‘‘accessories’’ therefor, ‘‘specially
designed’’ or modified for any of the
following (see List of Items Controlled).
*
*
*
*
*
90. In Supplement No. 1 to part 774
(the Commerce Control List), Category
7—Navigation and Avionics, Export
Control Classification Number (ECCN)
7D101 is amended by removing the term
‘‘the’’ and the period ‘‘.’’ in the MT
entry in the License Requirements table.
■
91. In Supplement No. 1 to part 774
(the Commerce Control List), Category
8—Marine, Export Control Classification
Number (ECCN) 8A018 is amended by
adding quotes around the terms
‘‘specially designed’’ and ‘‘components’’
wherever they appear in this ECCN.
■
92. In Supplement No. 1 to part 774
(the Commerce Control List), Category
8—Marine, Export Control Classification
Number (ECCN) 8A609 is amended by
removing the second semicolon at the
end of ‘‘items’’ paragraph y.8 in the List
of Items Controlled section.
■
93. In Supplement No. 1 to part 774
(the Commerce Control List), Category
8—Marine, Export Control Classification
Number (ECCN) 8A620 is amended by
adding quotes around the terms
‘‘specially designed’’ and ‘‘components’’
in ‘‘items’’ paragraph f in the List of
Items Controlled section.
■
94. In Supplement No. 1 to part 774
(the Commerce Control List), Category
8—Marine, Export Control Classification
Number (ECCN) 8A992 is amended by
removing ‘‘UN’’ from the Reasons for
Control and by removing the UN entry
in the License Requirements table.
■
95. In Supplement No. 1 to part 774
(the Commerce Control List), Category
8—Marine, Export Control Classification
Number (ECCN) 8C609 is amended by
revising the heading to read as follows:
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■
8C609 Materials ‘‘specially designed’’ for
the ‘‘development’’ or ‘‘production’’ of
commodities controlled by 8A609 not
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*
*
*
*
96. In Supplement No. 1 to part 774
(the Commerce Control List), Category
8—Marine, Export Control Classification
Number (ECCN) 8E001 is amended by
removing the term ‘‘software’’ and
adding the term ‘‘technology’’ in its
place in the TSR paragraph in the List
Based License Exceptions section.
■ 97. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9A120 is amended by removing
‘‘2B352.h’’ and adding in its place
‘‘2B352.i’’ in the ‘‘Related Controls’’
paragraph in the List of Items Controlled
section.
■ 98. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9A610 is amended:
■ a. By revising ‘‘items’’ paragraph h in
the List of Items Controlled section;
■ b. By revising the introductory text of
‘‘items’’ paragraph y in the List of Items
Controlled section; and
■ c. By adding a new paragraph y.30 to
‘‘items’’ paragraph y in the List of Items
Controlled section to read as follows:
■
9A610 Military aircraft and related
commodities, other than those
enumerated in 9A991.a (see List of Items
Controlled).
*
*
*
*
*
List of Items Controlled
*
*
*
*
*
*
*
*
Items:
*
*
h. Parachutes, paragliders, complete
parachute canopies, harnesses, platforms,
electronic release mechanisms ‘‘specially
designed’’ for use with aircraft controlled by
either USML paragraph VIII(a) or ECCN
9A610.a, and ‘‘equipment’’ ‘‘specially
designed’’ for military high altitude
parachutists, such as suits, special helmets,
breathing systems, and navigation
equipment.
*
*
*
*
*
y. Specific ‘‘parts,’’ ‘‘components,’’
‘‘accessories,’’ and ‘‘attachments’’ ‘‘specially
designed’’ for a commodity subject to control
in this ECCN or a defense article in USML
Category VIII and not elsewhere specified in
the USML or the CCL, and other aircraft
commodities ‘‘specially designed’’ for a
military use, as follows, and ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments’’ ‘‘specially designed’’ therefor:
*
*
*
*
*
y.30. ‘‘Parts,’’ ‘‘components,’’
‘‘accessories,’’ and ‘‘attachments’’ for use in
or with a commodity other than electronic
items or navigation equipment controlled by
ECCN 9A610.h.
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99. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9A619 is amended by revising the
introductory text of ‘‘items’’ paragraph y
in the List of Items Controlled section to
read as follows:
■
9A619 Military gas turbine engines and
related commodities (see List of Items
Controlled).
*
*
*
*
*
List of Items Controlled
*
*
*
*
*
*
*
*
Items:
*
*
y. Specific ‘‘parts,’’ ‘‘components,’’
‘‘accessories,’’ and ‘‘attachments’’ ‘‘specially
designed’’ for a commodity subject to control
in this ECCN or for a defense article in USML
Category XIX and not elsewhere specified on
the USML or in the CCL, and other
commodities, as follows, and ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ and
‘‘attachments’’ ‘‘specially designed’’ therefor:
*
*
*
*
*
100. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9A990 is amended by removing quotes
from the term ‘‘major components’’ and
adding quotes back only around the
term ‘‘components’’ in ‘‘items’’
paragraphs b and c in the List of Items
Controlled section.
■ 101. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9B115 is amended by removing
‘‘9A104’’ and adding in its place
‘‘9A103’’ in the ‘‘Related Controls’’
paragraph in the List of Items Controlled
section.
■ 102. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9B116 is amended by removing
‘‘9A104’’ and adding in its place
‘‘9A103’’ in the ‘‘Related Controls’’
paragraph in the List of Items Controlled
section.
■ 103. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9B610 is amended by revising the
‘‘Related Controls’’ paragraph in the List
of Items Controlled section to read as
follows:
■
9B610 Test, inspection, and production
‘‘equipment’’ and related commodities
‘‘specially designed’’ for the
‘‘development’’ or ‘‘production’’ of
commodities enumerated or otherwise
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‘‘development’’ or ‘‘production’’ of
commodities enumerated or otherwise
described in ECCN 9A619 or USML
Category XIX (see List of Items
Controlled).
described in ECCN 9A610 or USML
Category VIII (see List of Items
Controlled).
*
*
*
*
*
List of Items Controlled
Related Controls: USML Category VIII(h)(1)
controls ‘‘parts,’’ ‘‘components,’’
‘‘accessories,’’ ‘‘equipment,’’ and
‘‘attachments’’ ‘‘specially designed’’ for the
aircraft enumerated or otherwise described in
Category VIII(h)(1), but does not control the
commodities enumerated or otherwise
described in ECCN 9B610. USML Category
VIII(h)(2)–(26) controls other aircraft ‘‘parts,’’
‘‘components,’’ ‘‘accessories,’’ ‘‘attachments,’’
‘‘equipment,’’ and ‘‘systems.’’
*
*
*
*
*
104. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9B619 is amended:
■ a. By revising the heading; and
■ b. By revising the ‘‘Related Controls’’
paragraph in the List of Items Controlled
section to read as follows:
■
rmajette on DSK2TPTVN1PROD with RULES2
9B619 Test, inspection, and production
‘‘equipment’’ and related commodities
‘‘specially designed’’ for the
VerDate Mar<15>2010
15:04 Jun 04, 2014
Jkt 232001
*
*
*
*
*
List of Items Controlled
Related Controls: USML Category XIX(f)(1)
controls ‘‘parts,’’ ‘‘components,’’
‘‘accessories,’’ ‘‘equipment,’’ and
‘‘attachments’’ ‘‘specially designed’’ for the
engines described in Category XIX(f)(1), but
does not control the commodities
enumerated or otherwise described in ECCN
9B619. USML Category XIX(f)(2)–(7) controls
other engine ‘‘parts,’’ ‘‘components,’’
‘‘accessories,’’ ‘‘attachments,’’ ‘‘equipment,’’
and ‘‘systems.’’
*
*
*
*
*
105. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9B991 is amended by revising the
heading to read as follows:
■
9B991 ‘‘Specially designed’’ ‘‘equipment,’’
tooling or fixtures, not controlled by
9B001, for manufacturing or measuring
gas turbine blades, vanes or tip shroud
PO 00000
Frm 00022
Fmt 4701
Sfmt 9990
castings, as follows (see List of Items
Controlled).
*
*
*
*
*
106. In Supplement No. 1 to part 774
(the Commerce Control List), Category
9—Aerospace and Propulsion, Export
Control Classification Number (ECCN)
9E101 is amended by removing
‘‘9A104’’ and adding in its place
‘‘9A103’’ in the ‘‘Related Controls’’
paragraph in the List of Items Controlled
section.
■
Supplement No. 4 to Part 774—
[Amended]
107. In Supplement No. 4 to Part
774—Commerce Control List Order of
Review, under paragraph (a)(5), in the
second to last sentence, remove the
phrase ‘‘Steps 4a and 4b’’ and add in its
place ‘‘Steps 4.a and 4.b’’.
■
Dated: May 21, 2014.
Kevin J. Wolf,
Assistant Secretary for Export
Administration.
[FR Doc. 2014–12151 Filed 6–4–14; 8:45 am]
BILLING CODE 3510–33–P
E:\FR\FM\05JNR2.SGM
05JNR2
Agencies
[Federal Register Volume 79, Number 108 (Thursday, June 5, 2014)]
[Rules and Regulations]
[Pages 32611-32632]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-12151]
[[Page 32611]]
Vol. 79
Thursday,
No. 108
June 5, 2014
Part II
Department of Commerce
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Bureau of Industry and Security
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15 CFR Parts 736, 738, 740, 742, et al.
Corrections and Clarifications to the Export Administration
Regulations; Conforming Changes to the EAR Based on Amendments to the
International Traffic in Arms Regulations; Final Rule
Federal Register / Vol. 79 , No. 108 / Thursday, June 5, 2014 / Rules
and Regulations
[[Page 32612]]
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Parts 736, 738, 740, 742, 744, 746, 748, 750, 758, 762, 772
and 774
[Docket No. 140221165-4165-01]
RIN 0694-AG11
Corrections and Clarifications to the Export Administration
Regulations; Conforming Changes to the EAR Based on Amendments to the
International Traffic in Arms Regulations
AGENCY: Bureau of Industry and Security, Commerce.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This final rule makes corrections and clarifications to the
Export Administration Regulations (EAR) for six final rules published
in 2013 and early 2014. This final rule also makes other needed
technical corrections and clarifications to the EAR identified by BIS.
In addition, this final rule makes two conforming changes to the EAR as
a result of a final rule published by the Department of State on April
17, 2014.
DATES: Effective Date: This rule is effective June 5, 2014, except that
amendatory instructions 44, 45, 47, 50, 51, 52, 53.a, 54, 55, 56.a, 58,
63, 65, 70, 71, and 72.a to Supplement No. 1 to part 774 are effective
July 1, 2014.
FOR FURTHER INFORMATION CONTACT: Timothy Mooney, Regulatory Policy
Division, Bureau of Industry and Security, Department of Commerce,
Phone: (202) 482-2440, Fax: (202) 482-3355, Email: rpd2@bis.doc.gov.
SUPPLEMENTARY INFORMATION:
Background
This final rule makes corrections and clarifications to the Export
Administration Regulations (EAR) for six final rules published in 2013
and early 2014. These corrections and clarifications to the EAR are
necessary in light of earlier amendments to the EAR that are already in
effect, as well as for a final rule published on January 2, 2014, that
becomes effective July 1, 2014. The Bureau of Industry and Security
(BIS) is correcting all six rules in this single final rule to minimize
the number of correction rules for the public to review and because
they are similar types of corrections and clarifications. The six final
rules that are being corrected in this rule are: Export Administration
Regulations: Editorial Clean-Up of References to Foreign Trade
Regulations published on January 29, 2014 (79 FR 4613) (referred to
hereafter as the January 29 rule); Control of Military Training
Equipment, Energetic Materials, Personal Protective Equipment,
Shelters, Articles Related to Launch Vehicles, Missiles, Rockets,
Military Explosives, and Related Items published on January 2, 2014 (79
FR 264) (referred to hereafter as the January 2 rule); Revisions to the
Export Administration Regulations (EAR): Unverified List (UVL)
published on December 19, 2013 (78 FR 76741) (referred to hereafter as
the December 19 rule); Revisions to the Export Administration
Regulations (EAR) To Make the Commerce Control List (CCL) Clearer
published on October 4, 2013 (78 FR 61874) (referred to hereafter as
the October 4 rule); Revisions to the Export Administration
Regulations: Military Vehicles; Vessels of War; Submersible Vessels,
Oceanographic Equipment; Related Items; and Auxiliary and Miscellaneous
Items That the President Determines No Longer Warrant Control Under the
United States Munitions List published on July 8, 2013 (78 FR 40892)
(referred to hereafter as the July 8 rule); and Revisions to the Export
Administration Regulations: Initial Implementation of Export Control
Reform published on April 16, 2013 (78 FR 22660) (referred to hereafter
as the April 16 rule). This final rule also makes other needed
technical corrections and clarifications to the EAR that BIS has
identified.
The background section of this final rule describes these
corrections and clarifications in the following order: (A) January 29
rule corrections and clarifications, (B) January 2 rule corrections and
clarifications, (C) December 19 rule corrections and clarifications,
(D) October 4 rule corrections and clarifications, (E) July 8 rule
corrections and clarifications, (F) April 16 rule corrections and
clarifications, and (G) other corrections and clarifications to the
EAR.
(A) January 29 Rule Corrections and ClarificationS
BIS provides the following corrections to the January 29 rule,
which became effective upon publication. The corrections included in
this final rule for the January 29 rule become effective on the date of
publication of this final rule.
In Supplement No. 2 to part 736--Administrative Orders,
Administrative Order Two, under paragraph (a)(3), the January 29 rule
used the term ``Administration Order,'' but the rule intended to use
the term ``Administrative Order.'' This final rule removes the term
``Administration Order'' and adds in its place the correct term
``Administrative Order.''
In Sec. 740.15(c)(2)(iv), the January 29 rule revised this
paragraph to use the phrase ``filed to the Automated Export System
(AES),'' but the January 29 rule also added in the same sentence the
phrase ``record is filed'' in that same paragraph after ``(AES)''. This
final rule deletes the redundant phrase ``record is filed'' after
``(AES)'' because the phrase ``filed to'' is also used in the same
paragraph when referring to AES.
In Sec. 758.1(b)(3), this rule reinserts text that was
inadvertently removed in the January 29 rule. The reinserted text
originally was added to paragraph (b)(3) in Revisions to the Export
Administration Regulations (EAR): Initial Implementation of Export
Control Reform; Correction published on October 3, 2013 (78 FR 61744).
This final rule reinserts the phrase ``or otherwise described'' after
the term ``enumerated'' in paragraph (b)(3).
(B) January 2 Rule Corrections and Clarifications
BIS provides the following corrections and clarifications to the
January 2 rule, which becomes effective on July 1, 2014. These include
correcting typographical errors and inserting omitted quotation marks
and other text for consistency with other provisions of the Commerce
Control List (CCL) set forth in Supplement No. 1 to part 774 of the
EAR. All of the corrections and clarifications in this Section B are to
Export Control Classification Numbers (ECCNs).
Typographical Errors and Other Corrections for January 2 Rule
ECCNs 0A604, 0A614, 0A988, 0B604, 0B614, 1C239, and 1C608. This
final rule corrects the capitalization in the headings of these seven
ECCNs, so only the first term of the heading is capitalized. This final
rule makes this change for consistency with the format used in other
ECCN headings on the CCL.
ECCNs 0B604, 0B614, 0D001, 0D604, 0D614, 0E001, 0E604, 0E614,
1A613, 1B608, 1B613, 1C018, 1C608, 1D018, 1D608, 1D613, 1E001, 1E101,
1E201, 1E608, 9A604, 9B115, 9B116, 9B604, 9D001, 9D002, 9D003, 9D104,
9D604, 9E001, 9E101, 9E102, and 9E604. This final rule corrects a
typographical error in the headings of these ECCNs by adding a period
at the end of each of these headings. This final rule makes this change
for consistency with the format used in other ECCN headings on the CCL.
ECCN 0E614. This final rule corrects a typographical error in ECCN
0E614 by
[[Page 32613]]
adding a comma between the terms ``repair'' and ``overhaul'' in
paragraph .a under the ``Items'' heading in the List of Items
Controlled section.
ECCNs 0D001, 1A007, 1D018, and 1E001. This final rule adds
quotation marks to the term ``specially designed'' in these ECCNs for
consistency with the use of quotation marks for this defined term when
used on the CCL.
ECCNs 0A604, 0A614, 1A005, 1A613, 1B608, 1C239, 9A604, 9D001,
9D002, 9D003, 9D104, 9E001, 9E002, 9E101, and 9E102. This final rule
adds quotation marks to the term ``subject to the ITAR'' where not
already present in these ECCNs for consistency with the use of
quotation marks for this defined term when used on the CCL.
Conforming Changes and Clarifications for January 2 Rule
In addition, BIS makes changes to the CCL to conform to text
adopted in the October 4 rule. These changes are not substantive, but
rather address needed conforming changes for consistency of the CCL and
the changes included in the October 4 rule.
ECCNs 0D604, 0E604, 1A613, 1D608, 1E608, 9D604, and 9E604. This
final rule corrects the heading of these ECCNs to add the phrase ``(see
List of Items Controlled).'' This correction is needed because each of
these ECCNs includes a description of ``items'' that are classified
under the ``Items'' paragraph in the List of Items Controlled section.
Therefore, these ECCN headings should include the phrase ``(see List of
Items Controlled)'' at the end of each of these headings.
ECCN 1A613. This final rule revises the ``items'' paragraph in the
List of Items Controlled section to add in paragraph (e) a specific
description of a type of personal protective ``equipment'' ``specially
designed'' for military applications that are controlled under this
ECCN, namely atmospheric diving suits ``specially designed'' for rescue
operations for submarines controlled by the USML or the CCL. The
general control on protective personnel equipment that was in paragraph
(e) has been moved to paragraph (f). These changes do not result in new
controls because such diving suits were within the scope of the general
control on protective personnel equipment (that is not in paragraph
(f)). BIS is making this clarifying change in response to questions
from the public regarding where such diving suits were controlled.
BIS further intends for this clarification to help resolve any
misunderstanding that may have resulted from an erroneous statement
published in the Federal Register on June 7, 2012 in the preamble to a
proposed rule. (Revisions to the Export Administration Regulations
(EAR): Control of Personal Protective Equipment, Shelters, and Related
Items the President Determines No Longer Warrant Control Under the
United States Munitions List (USML), 77 FR 33688, 33689). That proposed
rule included the phrase, ``BIS proposed to move anti-gravity suits,
pressure suits, and atmosphere diving suits, currently controlled in
the USML under Category X(a)(3), (a)(4), and (a)(5), respectively, to
ECCN 9A610 in the November 7 proposed rule'' (referring to Revisions to
the Export Administration Regulations (EAR): Control of Aircraft and
Related Items the President Determines No Longer Warrant Control Under
the United States Munitions List (USML) (76 FR 68675, Nov. 7, 2011)).
BIS's June 7 statement was correct with respect to USML Category
X(a)(3) and (a)(4), but erroneous with respect to USML Category
X(a)(5), because articles controlled under USML Category X(a)(5) were
not proposed to move to ECCN 9A610 in the November 7 rule.
BIS has also received questions regarding how anti-gravity suits
(``G-suits'') and pressure suits capable of operating at altitudes
higher than 55,000 feet above sea level are classified on the CCL.
Because these suits are already classified under ECCN 9A610 under
``items'' paragraphs (g), which relates to suits used in aircraft, they
are not classified under ECCN 1A613 and no further changes to the CCL
are necessary. To make this clearer to the public, this final rule also
adds a new ``Related Controls'' paragraph (3) to ECCN 1A613 to alert
persons reviewing ECCN 1A613 to also see ECCN 9A610.g for anti-gravity
suits (``G-suits'') and pressure suits capable of operating at
altitudes higher than 55,000 feet above sea level.
(C) December 19 Rule Corrections and Clarifications
BIS provides the following correction to the December 19 rule,
which became effective on January 21, 2014.
In Sec. 762.2 (Records to be retained), the December 19 rule
revised paragraph (b)(13) to reference Sec. 744.15(b). In revising
this paragraph, BIS inadvertently overwrote text in (b)(13) that was
added in the April 16 rule that BIS did not intend to remove. This
final rule corrects this error by making three changes to Sec. 762.2.
Specifically, this final rule: (1) Reinserts the April 16 rule text
into paragraph (b)(13); (2) adds a new paragraph (b)(52) for the
recordkeeping text that was intended to be added to (b)(52) in the
December 19 rule, as well as making punctuation changes needed because
of the addition of (b)(52); and (3) adds new paragraph (b)(53)
described below in Section F (Other corrections and clarifications to
the EAR).
(D) October 4 Rule Corrections and Clarifications
BIS provides the following corrections and clarifications to the
October 4 rule, which became effective in part on October 15, 2013, and
in part on January 6, 2014. These include correcting typographical
errors, inserting omitted quotation marks, and redesignating certain
paragraphs to make those paragraphs easier to identify. In addition,
this final rule makes corrections and clarifications to the CCL and
other parts of the EAR to conform to the practices established in the
October 4 rule, as well as for consistency with other final rules.
Typographical Errors and Other Corrections for October 4 Rule
ECCNs 1A004, 1A101, 1C111, 2B350, 3E982, 5A002, 6A998, 7D101,
8E001, and 9A990. This final rule corrects typographical errors in
these ECCNs, such as adding an ``s'' at the end of the term ``chemical
warfare agent'' in ECCN 1A004 and removing the word ``which'' in
``Related Controls'' paragraph (2) of ECCN 1A101 because it is not
needed.
ECCNs 1A001, 2A291, 3A001, 5A001, 5B001, and 6A004. This final rule
adds quotation marks to defined terms, such as ``specially designed,''
``components,'' ``accessories,'' and ``attachments'' in these ECCNs for
consistency with the use of quotation marks established in the October
4 rule.
ECCNs 4A003 and 7E002. This final rule corrects the paragraph
designation used in the ``Related Controls'' paragraphs in ECCN 7E002
to make these paragraphs easier to identify. This final rule also
corrects the paragraph designation for ``Note 1'' to ECCN 4A003 to
refer to this note as ``Note to 4A003'' because pursuant to the October
4 rule, there is now only one note to the License Requirements section
of ECCN 4A003.
Conforming Changes and Clarifications for October 4 Rule
The corrections described in this section are conforming changes to
the CCL for the text adopted in the October 4 rule. These changes are
not substantive, but improve consistency of the CCL and the EAR. They
also include clarifications to address questions BIS has received since
publishing the October 4 rule. In addition, the
[[Page 32614]]
corrections described below for ECCNs 2B352, 5A980, 6A002 and 9A120
reinsert text into those ECCNs to ensure consistency with past
rulemakings.
In Sec. 738.4(b)(2) (Sample CCL entry), this final rule corrects
the sample entry to conform to the new CCL entry section headings and
table headings included in the October 4 rule, such as correcting the
``License Exceptions'' section heading in the sample CCL entry to
correctly read as ``List Based License Exceptions (See Part 740 for a
description of all license exceptions).''
In Sec. 774.1(b)(3) (Multilateral export control regime references
. . .), this final rule revises paragraph (b)(3) to add text that was
intended to be included in that paragraph, but inadvertently was not
included in the October 4 rule. In addition, to conform to the
correction made to ECCN 0D001, this final rule also corrects in Sec.
774.1 the Note to paragraph (b) to provide a reference to the Heading
Note that is being added to ECCN 0D001 in this final rule.
ECCNs 0D001, 0E001 and 2B999 and Technical Note to CCL Category 1,
Product Group C. This final rule corrects these three ECCNs and this
Technical Note by removing references to fourteen ECCNs in which items
subject to the exclusive jurisdiction of the Nuclear Regulatory
Commission (NRC) previously were classified. These ECCNs were removed
from the CCL in the October 4 rule. (With these corrections, the
January 2 rule's revisions to the headings of ECCNs 0D001 and 0E001,
which consisted of updating these two headings to specifically exclude
the ``600 series'' ECCNs added to the CCL in that rule, are no longer
needed.) In addition to removing these references, this final rule adds
regulatory text to ECCNs 0D001 and 2B999 to specify that the NRC has
jurisdiction for certain nuclear related items. As a conforming change
to the removal of the references to the fourteen ECCNs in ECCN 0D001,
this final rule adds text to ECCN 0E001 to specify that the Department
of Energy has export licensing authority for ``technology'' for the
items subject to export licensing authority of the NRC. Elsewhere, the
EAR also makes this type of jurisdictional reminder, such as in
Supplement No. 3 to part 730--Other U.S. Government Departments and
Agencies with Export Control Responsibilities. As described above, a
conforming change correction was also made in Sec. 774.1 for the Note
to paragraph (b) that references ECCNs 0D001 and 0E001.
ECCN 1A984. This final rule amends the last phrase in the heading
of ECCN 1A984, ``other pyrotechnic articles having dual military and
commercial use'' to read ``other pyrotechnic articles (excluding
shotgun shells) having dual military and commercial use, and ``parts''
and ``components'' ``specially designed'' therefor, n.e.s.'' Through
this amendment, BIS seeks to clarify that it intended for ``parts'' and
``components'' ``specially designed'' for ``other pyrotechnic articles
(excluding shotgun shells) having dual military and commercial use''
that are not elsewhere specified on the CCL to be classified under ECCN
1A984. This heading should have been amended in the October 4 rule when
similar conforming changes and clarifications were made to the EAR.
These changes do not expand the scope of ECCN 1A984, but serve to
clarify the ECCN.
The term ``articles'' is not defined in the EAR. However,
``articles,'' as used in the EAR, could be interpreted to include
``parts'' and ``components.'' The October 4 rule made a number of
changes to the CCL to conform to the new definitions of ``parts'' and
``components'' that were added to the EAR in the April 16 rule. Before
making the October 4 rule conforming changes, BIS determined where the
terms ``parts'' and ``components'' should be added to the CCL to
preserve the intended scope of each ECCN while conforming to the new
April 16 rule definitions. In doing so, BIS focused primarily on ECCNs
in which either ``part'' or ``component'' was already used. Because
ECCN 1A984 does not use one of those terms, the October 4 rule
inadvertently did not amend this ECCN at the same time as other similar
ECCNs. BIS indicated in the October 4 rule that, over time, BIS may
further refine the use of the terms ``parts'' and ``components'' on the
CCL (see 78 FR 61878). When BIS reviewed ECCN 1A984, it determined that
the longstanding intent of this ECCN has been to control ``parts'' and
``components'' for some of the commodities classified under it.
Therefore, ``parts'' and ``components'' should have been added to the
heading of ECCN 1A984 in the October 4 rule. As stated in the October 4
rule, BIS is not attempting to add additional references to ``parts''
and ``components'' in this final rule that would change the scope of
what ECCN 1A984 controls. The intent identified in this final rule is
consistent with past BIS interpretation of and licensing under ECCN
1A984.
In addition, this final rule adds the phrase ``(excluding shotgun
shells)'' after the term ``articles'' to clarify the delineation
between ECCN 1A984 and existing ECCN 0A986.
Among other things, this edit will make clear that ``items'' such
as ``specially designed'' rubber finned projectiles for 38/40 mm rounds
are included in ECCN 1A984, and that tiny rubber balls incorporated by
manufacturers into ``items,'' but used for multiple other purposes that
would meet one of the paragraph (b) ``releases'' in the definition of
``specially designed'' set forth in Sec. 772.1 of the EAR, are not
within the scope of ECCN 1A984.
ECCNs 2B352 and 9A120. This final rule corrects ECCN 2B352 by
revising paragraph (h) to reinsert text that was inadvertently removed
in the October 4 rule when paragraph (h) was revised. This final rule
also corrects the introductory text of ``Items'' paragraph (i) in ECCN
2B352, which was the original intent of the October 4 rule. Paragraph
(i) was not revised correctly because the October 4 rule did not take
into account a June 5, 2013, final rule (78 FR 33698), which
redesignated paragraphs (g) and (h) as paragraphs (h) and (i),
respectively. This final rule also corrects for the same reason the
``Technical Notes'' paragraph 2 at the end of the ``Items'' paragraph
that references ECCN 2B352.h, which should be 2B352.i. ECCN 9A120 is
also being corrected with this final rule to remove the reference to
ECCN 2B352.h and add in its place 2B352.i.
ECCN 5A980. This final rule corrects the heading in ECCN 5A980 to
remove the reference to ECCN 5A001.i, and adds in its place 5A001.f.1.
Based on a June 20, 2013, final rule (78 FR 37389), paragraph .i of
ECCN 5A001 is reserved, and the correct reference is therefore
5A001.f.1.
ECCNs 1E001, 5B001, and 6A002. This final rule corrects the STA
paragraphs in the ``Special Conditions for STA'' sections of ECCNs
1E001, 5B001 and 6A002 to remove the reference to destinations in Sec.
740.20(c)(2) and replace that with the intended reference to
destinations in Country Group A:6 (See Supplement No. 1 to part 740 of
the EAR). In the October 4 rule, this same change was made to other
ECCNs that included STA paragraphs, but inadvertently was not
implemented for these three ECCNs. In addition, this final rule
corrects the STA paragraph in the ``Special Conditions for STA''
section of ECCN 6A002 to restore text that was inadvertently deleted in
the October 4 rule to accurately reflect which ECCN 6A002 commodities
are excluded from License Exception STA. The October 4 rule change to
ECCN 6A002's STA paragraph was intended to be limited to updating the
reference from (c)(2) to Country Group A:6, as well as moving the STA
paragraph under the new ``Special Conditions for STA'' section heading.
However, the
[[Page 32615]]
October 4 rule inadvertently removed some of the exclusion text under
ECCN 6A002. This final rule adds those additional ``Items'' paragraph
references back into the STA paragraph in 6A002, so it now correctly
states that License Exception STA may not be used to ship to any of the
destinations listed in Country Group A:6 (See Supplement No. 1 to part
740 of the EAR) any commodity classified under ECCN 6A002 paragraphs:
6A002.a.1.a, a.1.b or a.1.c; 6A002.a.3.c, a.3.d, a.3.e, or a.3.f; or
6A002.b.
ECCNs 6B995 and 9B991. This final rule revises the headings of
ECCNs 6B995 and 9B991 to make the intent of the headings clearer and to
use a structure that is more consistent with the rest of the CCL. The
October 4 rule revised both of these headings, but questions received
from the public since publication suggested that the changes made for
clarity did not achieve the intended objective. The scope and substance
of the two ECCNs are not changed, as this correction is limited to
revising the two headings to clarify what is classified under those two
ECCNs.
ECCN 8A992. The October 4 rule removed ECCN 8A918 and moved these
commodities to ECCN 8A992.l and .m, respectively, because they are not
inherently military items and warrant only an AT control. To conform to
the removal of ECCN 8A918, this final rule corrects ECCN 8A992 to
remove an inadvertently retained UN control paragraph in the License
Requirement section.
ECCN 9A619. This final rule removes the term ``aircraft'' before
the term ``commodities'' in ECCN 9A619.y introductory text because ECCN
9A619 also controls commodities for gas turbine engines, such as those
for aircraft, ship, and land vehicles. Inadvertent use of the term
``aircraft'' was inconsistent with the rest of ECCN 9A619. This is not
a substantive change to the scope of the ECCN 9A619, but rather this is
a change made for consistency with the scope of ECCN 9A619 and the
original intent of the commodities to be classified under this ECCN.
ECCNs 9B115, 9B116, and 9E101. The October 4 rule revised the
headings of ECCNs 9B115 and 9B116 to indicate that the ECCNs identified
in these headings include ECCNs 9A103 to 9A109, among others. However,
the ``Related Controls'' paragraphs in ECCNs 9B115 and 9B116, instead
of referencing ECCNs 9A103 to 9A109 incorrectly includes ECCNs 9A104 to
9A109. Similarly, the October 4 rule revised the heading of ECCN 9E101
reference ECCNs 9A103 to 9A111, among others, but the ``Related
Controls'' paragraph of ECCN 9E101 references 9A104 to 9A111. This
final rule removes 9A104 and adds 9A103 in its place in the ``Related
Controls'' paragraphs of ECCNs 9B115, 9B116 and 9E101.
ECCNs 9B610 and 9B619. The October 4 rule revised the ``Related
Controls'' paragraphs of ECCNs 9B610 and 9B619 to add in the ``Related
Controls'' section ``equipment'' controlled under USML Category
VIII(h)(1) and USML Category XIX(f)(1), respectively. This text is
identical to the control text in USML Category VIII(h)(1) and USML
Category XIX(f)(1). The ITAR-controlled ``equipment'' referred to in
the ``Related Controls'' paragraphs does not include the items
described in ECCNs 9B610 or 9B619. This final rule amends these two
``Related Controls'' paragraphs to make this point more clear.
Lastly, under ECCN 9B610, this final rule adds quotation marks
around the defined terms, ``parts,'' ``components,'' ``accessories,''
``attachments,'' and ``specially designed'' in the ``Related Controls''
paragraph in the List of Items Controlled section of 9B610 to make the
ECCN consistent with the quotation marks practice described in the
April 16 rule and with other references to these defined terms on the
CCL. In addition, this final rule adds a second sentence to the
``Related Controls'' paragraph to also reference USML Category
VIII(h)(2)-(26), in addition to USML Category VIII(h)(1).
(E) July 8 Rule Corrections and Clarifications
BIS provides the following corrections and clarifications to the
July 8 rule, which became effective on January 6, 2014. These include
correcting typographical errors, inserting omitted quotation marks, and
adding text for consistency with other final rules and the structure of
the CCL.
Typographical Errors and Other Corrections for July 8 Rule
ECCNs 0A606, 0A617, 0E018, and 8A609. This final rule corrects
typographical errors in these ECCNs, such as deleting an extra
semicolon in ``Items'' paragraph y.8 in the List of Items Controlled
section of ECCN 8A609 and adding a period that was mistakenly not
included in ECCN 0E018.
ECCNs 0A606, 0A617, 8A018, and 8A620. This final rule adds
quotation marks to certain uses of defined terms, such as ``specially
designed,'' ``components,'' and ``parts'' in these ECCNs for
consistency with the use of quotation marks practice identified in the
July 8 rule.
ECCN 0A617. This final rule adds the ``Related Definitions''
paragraph after the ``Related Controls'' paragraph in ECCN 0A617. The
``Related Definitions'' paragraph does not define any terms in this
ECCN because it is designated as ``N/A.'' However, for the sake of
consistency with the other ECCNs on the CCL that include a ``List of
Items Controlled'' section, the ``Related Definitions'' paragraph
should have also been included in ECCN 0A617.
ECCNs 0A918 and 8C609. This final rule adds the phrase ``(see List
of Items Controlled)'' to the end of the headings for ECCNs 0A918 and
8C609. Both ECCNs include a description of the ``Items'' controlled in
the List of Items Controlled section. For the sake of consistency with
the structure used for other ECCNs on the CCL, the phrase ``(see List
of Items Controlled)'' should have been included in these ECCNs.
(F) April 16 Rule Corrections and Clarifications
BIS provides the following corrections and clarifications to the
April 16 rule, which became effective on October 15, 2013. These
include correcting typographical errors, inserting omitted quotation
marks and redesignating certain paragraphs to make those paragraphs
easier to identify. In addition, this final rule makes corrections and
clarifications to the CCL and other parts of the EAR to conform to the
amendments made in the April 16 rule, as well as for consistency with
other final rules.
Typographical Errors and Other Corrections for April 16 Rule
In Supplement No. 1 to Part 748, Block 24; Sec. 772.1, ``specially
designed'' definition, Note 1 to paragraph (a)(1); and Supplement No. 4
to Part 774--Commerce Control List Order of Review, paragraph (a)(5),
this final rule corrects typographical errors in these EAR references.
These changes include adding a space between two words in Supplement
No. 1 to Part 748, Block 24, removing an errant closed parenthesis at
the end of the same sentence and removing an extra ``a'' in Note 1 to
paragraph (a)(1) of ``specially designed'' because it is not needed.
In Supplement No. 1 to part 736, under General Order No. 5, this
final rule corrects the paragraph designations used in the General
Order No. 5 paragraphs for consistency with the Federal Register
Drafting Handbook for paragraph designations and to make these
paragraphs easier to identify. The title General Order No. 5 will be
[[Page 32616]]
preceded by paragraph designation (e), in keeping with the other
General Orders, and all of the other paragraphs in General Order No. 5
are redesignated one paragraph level lower. For example, this final
rule redesignates paragraph (a) as paragraph (e)(1).
In Sec. Sec. 744.17(d) and 744.21, this final rule makes
conforming changes consistent with the intent of the April 16 rule. The
April 16 rule revised Sec. Sec. 744.17(d) and 744.21 to use single
quotation marks around the term `military end use' and delete the
hyphen in the term ``end-use.'' However, Sec. 744.17(d) currently
retains the hyphen and, because the amendatory instruction for Sec.
744.21 did not include revising the section heading, the single
quotation marks and deletion of the hyphen were not incorporated into
the EAR for Sec. 744.21. This final rule corrects the paragraph
heading of Sec. 744.17(d) and the section heading of Sec. 744.21 to
add single quotation marks around `military end use' in the latter and
delete the hyphen in ``end use'' for both, as intended in the April 16
rule.
Conforming Changes and Clarifications for April 16 Rule and Revisions
to License Exception GOV
The corrections described in this section are conforming changes
and clarifications to the CCL for the amendments included in the April
16 rule. These changes are not substantive, but rather address needed
conforming changes for consistency of the CCL and the rest of the EAR,
as well as clarifications to address questions BIS has received since
the publication of the April 16 rule.
In Sec. 736.2(b)(3) (General Prohibition Three--Reexport and
export from abroad of the foreign-produced direct product of U.S.
technology and software (Foreign-Produced Direct Product Reexports)),
this final rule clarifies the country scope of prohibition for ECCN
0A919 by adding a sentence to the end of paragraph (b)(3)(i) that is
specific to 0A919 and adopts the same country scope of prohibition as
the additional country scope of prohibition for ``600 series'' items in
paragraph (b)(3)(iii). Although 0A919 commodities are not ``600
series'' items, they are military commodities and should have the same
country scope prohibitions as ``600 series'' items under the direct
product rule. Lastly, as a clarification for paragraph (b)(3)(i), this
final rule adds the phrase ``or export from abroad'' after the term
``reexport'' for consistency with paragraph (b)(3)(iii).
In Sec. 740.2(a)(13)(vi) (Restrictions on all license exceptions),
this final rule revises and simplifies paragraph (a)(13)(vi), which is
the paragraph for the general restrictions on the use of license
exceptions for ``600 series'' items that refers to the eligibility of
License Exception STA for ``600 series'' items. The final rule revises
the introductory text under paragraph (a)(13)(vi) to specify that
License Exception STA under Sec. 740.20(c)(1) of the EAR is available
to overcome the general restrictions on the use of license exceptions
for ``600 series'' items, provided all of the applicable terms and
conditions, including those specific to the ``600 series'' are met.
This amendment does not change the requirements for or limitations on
the use of License Exception STA for ``600 series'' items.
Specifically, this final rule simplifies the reference to License
Exception STA by deleting paragraphs (a)(13)(vi)(A), (B), (C) and (D)
and revises the introductory text to conform to references to the other
license exceptions that are eligible for ``600 series'' items as
specified under paragraph (a)(13). BIS makes this change in this final
rule to avoid restating the same requirements in different sections of
the EAR. The change is also necessary to reduce the danger that someone
may mistakenly believe that the License Exception STA paragraphs in
(a)(13)(vi)(A), (B), (C) and (D) contain a complete list of the
applicable terms and conditions of License Exception STA. In addition,
this final rule revises the last sentence in the introductory text of
paragraph (a)(13) for clarity, but does not change the meaning of
paragraph (a)(13).
In Sec. 740.10 (License Exception Servicing and replacement of
parts and equipment (RPL)), this final rule removes the term ``U.S.
origin'' modifying the terms ``parts, components, accessories, or
attachments,'' ``commodity or software'' and ``equipment.'' This final
rule also removes the term ``U.S. origin'' and replaces it with the
phrase ``subject to the EAR'' with, at times, the citation ``(see Sec.
734.2(a) of the EAR).'' This final rule also removes the term ``U.S.
origin'' in paragraphs (a)(2)(ii), (a)(4)(i), (b)(1), and (b)(3) of
License Exception RPL to better conform to the corresponding ITAR
exemption under Sec. 123.4(a)(1)(22 CFR 123), where the term ``U.S.
origin'' is not used. The April 16 rule stated on page 78 FR 22669 that
``a general principle underlying the incorporation of the `600 series'
into the EAR is that, because items subject to the EAR are less
militarily significant than those subject to the ITAR, EAR exceptions
should not be more restrictive than comparable ITAR exemptions.'' The
use of the term ``U.S. origin'' in License Exception RPL is another
example where an EAR license exception is more restrictive than the
corresponding ITAR exemption and therefore, the term ``U.S. origin''
should have been removed from License Exception RPL consistent with the
other changes made in the April 16 rule to other EAR license
exceptions. BIS became aware of this needed correction based on
questions received from the public after the April 16 rule became
effective on October 15, 2013. In addition, because the scope of the
EAR extends beyond U.S. origin items, such as to foreign origin items
that are ``subject to the EAR,'' License Exception RPL under paragraphs
(a) and (b) should also be available for those foreign origin items
that are ``subject to the EAR'' in addition to U.S. origin items that
are subject to the EAR. These corrections will preserve the intended
scope of License Exception RPL and also better correspond to the ITAR
exemption under Sec. 123.4(a)(1) and may result in a slight reduction
in the number of license applications received by BIS.
In Sec. 740.11(c), this final rule revises License Exception GOV
to allow items subject to the EAR to be exported, reexported, or
transferred (in-country) to agencies of the North Atlantic Treaty
Organization (NATO) in accordance with the terms and conditions of that
license exception. Thus, NATO agencies will be treated like cooperating
governments in that provision of GOV. Under new paragraph (c)(2)(ii),
License Exception GOV will be available for the official use of a
cooperating government's military end user, for a cooperating
government's military end use, or for a NATO agency. Unlike paragraph
(c)(2)(i), new paragraph (c)(2)(ii) has no territorial restriction on
where the items may be used. These revisions will enable the United
States to improve interoperability with NATO and other close allies.
Lastly, as a conforming change to the capitalization of section
headings in the EAR, this final rule revises the section heading for
740.11 to make all terms used in the section heading lower case, except
for the first term used in the section and proper nouns used in the
section heading.
In Sec. Sec. 740.12(a), 740.13(d)(1), and 740.15(c)(1) and (c)(2),
this final rule redesignates the footnotes in part 740 as a conforming
change to the April 16 rule revisions to Sec. 740.9 that included the
removal of footnote 1 to paragraph (b)(1)(iv) in that section. The
April 16 rule did not redesignate the other footnotes used in part 740,
so there is no longer a footnote 1 to part 740. To redesignate the
footnotes in part 740, so
[[Page 32617]]
the footnotes begin with footnote 1, the final rule redesignates
footnote 2 to Sec. 740.12(a) as footnote 1; footnote 3 to Sec.
740.13(d)(1) as footnote 2; and footnotes 4 and 5 to Sec. 740.15(c)(1)
and (c)(2) as footnotes 3 and 4, respectively.
In Sec. 740.20 (License Exception Strategic Trade Authorization
(STA)), this final rule makes six clarifications to License Exception
STA. The first and second are the clarification being made to paragraph
(b)(3)(ii)(B) and a corresponding change to paragraph (d)(2)(vii)(B),
the third and fourth are the clarification being made to paragraph
(b)(3)(ii)(C) and a corresponding change to paragraph (d)(2)(vi)(C),
the fifth is a conforming change in Note to paragraph (c)(1) for text
used in other parts of License Exception STA, and the sixth is a
clarification in the form of one additional sentence that this final
rule adds to further remind exporters, reexporters, and transferors of
the requirement to obtain a prior consignee statement consistent with
the requirement of paragraph (d)(2) (Prior Consignee Statement) and the
addition of a new paragraph to the prior consignee statement. These
corrections and conforming changes are described below.
In Sec. 740.20, under paragraphs (b)(3)(ii)(B) and (d)(2)(vii)(B)
(which was formerly designated as paragraph (d)(2)(vi)(B)), this final
rule revises paragraphs (b)(3)(ii)(B) and (d)(2)(vii)(B) to clarify
what is intended by the phrase ``that will ultimately be used by'' when
a ``600 series'' item is exported, reexported or transferred (in-
country) to a country in Country Group A:5 that will be subsequently
sent to the United States for use by a person in the United States. The
text could be read to mean that ``600 series'' items that are sent to
the United States must ultimately be used by a U.S. person, which was
not the intended interpretation. As described in greater detail below,
in order to clarify the intended meaning, this final rule revises
paragraphs (b)(3)(ii)(B) and (d)(2)(vii)(B) by creating two identical
paragraphs under each. Those paragraphs' introductory requirements,
specifying that the items must be for the ``development,''
``production,'' operation, installation, maintenance, repair, overhaul,
or refurbishing of an item in one of the countries listed in Country
Group A:5 or the United States, are retained from the April 16 rule.
This final rule moves the remaining requirements of paragraph
(b)(3)(ii)(B) to new paragraphs (b)(3)(ii)(B)(1) and (b)(3)(ii)(B)(2),
and the remaining requirements of paragraph (d)(2)(vii)(B) to new
paragraphs (d)(2)(vii)(B)(1) and (d)(2)(vii)(B)(2), respectively. The
new paragraphs, (b)(3)(ii)(B)(1) and (d)(2)(vii)(B)(1), specify that
the items must be ultimately used by government agencies in one of the
countries listed in Country Group A:5 or the United States Government.
This final rule also adds new paragraphs (b)(3)(ii)(B)(2) and
(d)(2)(vii)(B)(2) to specify that items sent to a person in the United
States and not for subsequent export under Sec. 740.9(b)(1) (License
Exception TMP for items moving in transit through the United States)
are also within the scope of paragraph (b)(3)(ii)(B) and
(d)(2)(vii)(B). The new paragraphs (b)(3)(ii)(B)(2) and
(d)(2)(vii)(B)(2) clarify the requirements for when items will be sent
to a person in the United States that may or may not be ultimately used
by a U.S. person. However, any subsequent export of a ``600 series''
item from the United States, including after incorporation into another
item in the United States, must comply with U.S. export control laws.
This final rule also clarifies in paragraphs (b)(3)(ii)(B)(2) and
(d)(2)(vii)(B)(2) that ``600 series'' items sent to a person in the
United States must not be for subsequent export under Sec. 740.9(b)(1)
(License Exception TMP for items moving in transit through the United
States). This is not a substantive change and is limited to clarifying
the original intent of License Exception STA for ``600 series'' items
sent to a person in the United States.
In Sec. 740.20 under paragraphs (b)(3)(ii)(C) and (d)(2)(vii)(C),
this final rule revises paragraphs (b)(3)(ii)(C) and (d)(2)(vii)(C),
which prior to this final rule was designated as paragraph
(d)(2)(vi)(C), to remove the phrase ``the consignee has,'' adds the
term ``exists'' after the words ``such authorization,'' and to remove
the term ``provides'' and in its place add the phrase ``has provided.''
This change is made to paragraph (b)(3)(ii)(C) to conform to the intent
of this requirement, which was to confirm that the United States
Government has otherwise authorized the ultimate end use and the
consignee confirms the authorization exists. This change is also
intended to clarify that the license or other approval identifier must
be sent before the export, reexport or transfer occurs.
This requirement was not intended to be limited to whether the
consignee that receives a ``600 series'' item under License Exception
STA has such authorization itself, but rather whether such an
authorization exists for the ultimate end-use of the item. In certain
fact patterns, the consignee may have such authorization, as reflected
in the April 16 rule. However, for STA consignees that are
manufacturers earlier in a supply chain, such as an aircraft
``component'' manufacturer, it is likely that the person that will have
the authorization described in (b)(3)(ii)(C) is further along the
chain, such as the aircraft manufacturer or other person selling the
aircraft. If the consignee earlier in the process can confirm with the
company later in the supply chain, such as the aircraft manufacturer or
other person selling the aircraft, that the United States Government
has otherwise authorized the ultimate end use, that confirmation will
be sufficient to meet the criteria of paragraph (b)(3)(ii)(C) as
clarified by this final rule. In the prior consignee statement
paragraph in (d)(2)(vii)(C), this final rule makes the same
clarification as a conforming change to the revised paragraph
(b)(3)(ii)(C).
In Sec. 740.20 under Note to paragraph (c)(1), this final rule
corrects the Note to paragraph (c)(1) to make a conforming change by
adding the phrase ``or other approval'' after the term ``license.'' The
requirement specified in Note 1 to paragraph (c)(1) can be met under a
previously approved license or other approval (i.e., DDTC Manufacturing
License Agreement (MLA), Technical Assistance Agreement (TAA),
Warehouse Distribution Agreement (WDA), or General Correspondence
approval (GC)) issued by BIS or DDTC, U.S. Department of State. The
phrase ``or other approval'' is used in other parts of License
Exception STA, including in paragraph (c), and this text was also
intended to be included in the Note to paragraph (c).
In Sec. 740.20(d)(2) (Prior Consignee Statement), this final rule
adds one sentence to the introductory text of paragraph (d)(2) as an
additional reminder that each party using License Exception STA to
export, reexport or transfer (in-country), including reexporters and
transferors of items previously received under License Exception STA,
must obtain a prior consignee statement from its consignee and retain
the statement required by paragraph (d)(2). Paragraph (d)(2) already
includes this requirement, but based on questions BIS received
regarding whether a reexporter or transferor of items previously
received under License Exception STA must obtain and retain the
statement required by paragraph (d)(2), BIS determined that adding
another sentence to the introductory text of this paragraph would be
helpful. For example, a company exports an item eligible for License
Exception STA to a consignee located in Germany. The U.S. exporter
[[Page 32618]]
obtained the prior consignee statement from the consignee in Germany
prior to making the export authorized under License Exception STA, as
well as meeting the other applicable terms and conditions of License
Exception STA. The company in Germany decides to reexport the item
received under License Exception STA to a consignee in France. The
German company in this scenario must obtain the prior consignee
statement from the consignee in France prior to using License Exception
STA, just as the U.S. exporter obtained the prior consignee statement
before exporting to Germany.
In addition, this final rule redesignates paragraphs (d)(2)(iv),
(v), (vi) and (vii), as paragraphs (d)(2)(v), (vi), (vii) and (viii)
respectively. This final rule redesignates these paragraphs, so a new
paragraph (d)(2)(iv) can be added for the prior consignee statement.
This final rule adds a new paragraph (d)(2)(iv) to specify that the
prior consignee statement must also include a statement that the
consignee agrees to obtain a prior consignee statement when using
License Exception STA for any reexport or transfer (in-country) of
items previously received under License Exception STA. The obligation
to get a retransfer certification as part of the prior consignee
statement under License Exception STA is no more of a burden than the
need to get a retransfer authorization under 22 CFR 123.9 (Country of
ultimate destination and approval of reexports or retransfers) of the
ITAR. As a conforming change this final rule revises the last two
sentences of the introductory text of paragraph (d)(2) to clarify that
paragraphs (d)(2)(i) through (vi) of this section are required for all
transactions under License Exception STA. (This includes the new
paragraph (d)(2)(iv) that is added with this final rule, as well as the
former paragraphs (d)(2)(iv) and (d)(2)(v) that this rule redesignates
as paragraph (d)(2)(v) and (vi)). The conforming changes also update
the reference to the ``600 series'' by specifying that paragraph
(d)(2)(vii) is required for all transactions in ``600 series'' items
and paragraph (viii) of this section is required for transactions in
``600 series'' items if the consignee is not the government of a
country listed in Country Group A:5 (See Supplement No. 1 to part 740
of the EAR).
Lastly, this final rule adds to the end of paragraph (d)(2) a new
requirement that the prior consignee statement must include the name
and title of the person signing the document, and the date the document
is signed. This is a change to the prior consignee statement, although
based on BIS reviews of prior consignee statements, in many cases
consignees have already been including such information as part of
their prior consignee statements. Including such information is a good
compliance practice and will help to better identify who provided the
consignee statement and when the statement was provided, so this final
rule adds these as additional elements to be included in the prior
consignee statement along with the clarification to the prior consignee
statement described above.
BIS recognizes that this rule's clarification to the prior
consignee statement could have resulted in requiring exporters,
reexporters and transferors to obtain new consignee statements. To
avoid making those with existing consignee statements have to obtain
replacement consignee statements simply to accommodate this rule's
clarifications, the clarifications to the prior consignee statement
will only apply to statements issued or amended after this rule becomes
effective.
License Exceptions TMP and GOV cross-references are updated in this
final rule to conform to changes implemented in the April 16 rule.
Specifically, this rule updates the references to TMP in: Sec.
740.2(a)(5)(i) and (ii) from Sec. 740.9(a)(2)(ii) to Sec. 740.9(a)(4)
(for kits consisting of replacement parts); Sec. Sec. 746.2(a)(1)(i),
746.4(c), and 746.9(b)(i) from Sec. 740.9(a)(2)(viii) to Sec.
740.9(a)(9) (for the news media); and Sec. 758.1(c)(6) from Sec.
740.9(a)(2)(i) to Sec. 740.9(a)(1) (for tools of trade).
In addition, prior to those revisions, the criteria for export or
reexport to U.S. government personnel and agencies under License
Exception GOV was in Sec. 740.11(b)(2)(i) and (ii) of the EAR and the
criteria for export or reexport to agencies of a cooperating government
were in Sec. 740.11(b)(2)(iii) and (iv) of the EAR. As revised, the
criteria relating to agencies and personnel of the U.S. government are
now in Sec. 740.11(b)(2) and those relating to agencies of a
cooperating government are in Sec. 740.11(c)(2). The April 16 rule
also made additional types of transactions relating to agencies and
personnel of the U.S. government eligible for License Exception GOV in
order to make License Exception GOV consistent with U.S. government
related license exemptions available under the ITAR. However, the rule
making those additions did not make conforming changes to Sec. Sec.
746.4(c) and 746.9(b) of the EAR, which limit use of license exceptions
for exports and reexports to North Korea and Syria, respectively. BIS
did not intend to limit U.S. government related transactions to those
destinations more narrowly than U.S. government related transactions to
other destinations. Accordingly, this rule revises Sec. Sec. 746.4(c)
and 746.9(b) of the EAR to allow use of License Exception GOV for all
of the types of transactions described in Sec. 740.11(b)(2) of the
EAR.
In Sec. 750.7(c)(1)(ix) (Direct exports, reexports, or transfers
(in-country) to and among approved end users and ultimate consignee on
a license), this final rule makes a correction to this paragraph by
adding the phrase ``and ultimate consignee'' after the phrase ``to and
among approved end users'' to specify that direct exports, reexports,
or transfers (in-country) to and among approved end users and the
ultimate consignee on a license are a non-material change to the
license, provided the other terms and conditions of paragraph
(c)(1)(ix) are met. This was the intent of the April 16 rule, but after
receiving a question that asked whether the ``to and among'' concept
described in paragraph (c)(1)(ix) was intended to include the ultimate
consignee listed on the license, BIS recognized that the regulatory
text did not refer to the ultimate consignee and decided to correct
this omission in this final rule.
In Sec. 762.2(b)(9) (Records to be retained), this final rule
corrects that paragraph by removing the outdated reference to ``Sec.
740.13(f)'' (Technology and software--unrestricted TSU) and adding in
its place the current paragraph reference ``Sec. 740.13(h).''
Paragraph (f) was redesignated as paragraph (h) in the April 16 rule,
but this conforming change was not made to Sec. 762.2, so this final
rule reflects the new paragraph designation in Sec. 740.13.
ECCNs 9A610 and 9A619. This final rule makes a clarification for
the ``600 series'' .y paragraphs in 9A610 and 9A619. BIS has received
questions from the public regarding the classification of ``parts,''
``components,'' ``accessories,'' and ``attachments'' ``specially
designed'' for commodities specified in the respective ``600 series''
.y paragraphs. For example, galleys are classified under 9A610.y.9 and
the public has asked whether ``parts,'' ``components,''
``accessories,'' and ``attachments'' ``specially designed'' for
galleys, such as a sink ``specially designed'' for use in a galley, are
also classified under 9A610.y. These questioners believed BIS's intent
was likely that such ``parts,'' ``components,'' ``accessories,'' and
``attachments'' were also intended to be classified under those
respective .y paragraphs and not under ``600 series'' .x paragraphs. To
clarify the classification of such commodities, BIS adds the phrase
``and ``parts,'' ``components,'' ``accessories,'' and ``attachments''
``specially designed''
[[Page 32619]]
therefor'' to the end of the .y paragraphs in 9A610 and 9A619, making
it clear that such commodities are also classified under the .y
paragraphs in these respective ``600 series'' ECCNs.'' BIS has recently
made this same clarification to the .y paragraphs in ECCNs 0A606,
0A617, 0B617, 8A609, 8A620, 8B609 and 8B620 in a correction rule for
the July 8 rule. Subsequent ECR implementation final rules will also
generally include such text regarding the scope of the respective .y
paragraphs.
This final rule also makes a change to ECCN 9A610 to clarify where
``parts,'' ``components,'' ``accessories,'' and ``attachments''
``specially designed'' for commodities in ECCN 9A610.h are classified.
The commodities classified in 9A610.h were moved from ECCN 9A018 in the
April 16 rule. The former ECCN 9A018.e did not include a control on
``specially designed'' ``parts,'' ``components,'' ``accessories,'' and
``attachments,'' meaning such ``specially designed'' ``parts,
``components,'' ``accessories, and ``attachments'' prior to the April
16 rule, and dating back to the early 1990s, were designated as EAR99.
For consistency with the Wassenaar Arrangement Munitions List (WAML)
10.g, the April 16 rule added ``parts, ``components,'' ``accessories,''
and ``attachments'' for items under ECCN 9A610.h, which was done with
the `catch-all' paragraph in ECCN 9A610.x based on ``specially
designed.'' A person with ``components'' ``specially designed'' for
commodities classified in ECCN 9A610.h raised the question whether it
was BIS's intention to move the classification of such ``components''
from EAR99 to an ECCN with a worldwide license requirement, except for
Canada, by classifying such ``components'' under 9A610.x.
BIS determined that, for consistency with WAML 10.g, such
``parts,'' ``components,'' ``accessories,'' and ``attachments'' should
be classified under a ``600 series'' ECCN, but because they are
militarily less significant, such ``parts,'' ``components,''
``accessories,'' and ``attachments'' ``specially designed'' for
commodities in ECCN 9A610.h should have been classified in the April 16
rule as ``specially designed'' ``parts,'' ``components,
``accessories,'' and ``attachments'' under a paragraph in ECCN 9A610.y.
This final rule makes this correction to ECCN 9A610 by adding a new
``Items'' paragraph y.30 in the List of Items Controlled section. This
paragraph will clarify that ``parts,'' ``components,'' ``accessories,''
and ``attachments'' ``specially designed'' for commodities other than
electronic items or navigation equipment in ECCN 9A610.h are classified
under 9A610.y.30, which is consistent with BIS's original intention for
where such militarily less significant items should be controlled under
the ``600 series.''
Finally, this final rule revises 9A610.h to add the term
``parachute'' between the phrase ``complete canopies'' to clarify the
control is for complete parachute canopies and not complete cockpit
canopies.
ECCN 9B619. This final rule corrects 9B619 by adding the phrase
``(see List of Items Controlled)'' to the end of the heading. ECCN
9B619 includes an ``Items'' paragraph in the List of Items Controlled,
so the heading should include the phrase ``(see List of Items
Controlled).'' This change is made for consistency with the CCL and
past final rules that adopted this consistent structure for ECCN
headings on the CCL.
(G) Other Corrections and Clarifications to the EAR
In addition to the corrections and clarifications described above,
this final rule makes the following additional corrections and
clarifications to the EAR, which resulted from amendments included in
other final rules or other changes, such as removing a telephone number
that is no longer needed in the EAR.
Other Typographical Errors and Corrections
ECCN 1C350. This final rule corrects 1C350.c.12 by removing the
hyphen from Ethyldiethanolamine. The hyphen was unintentionally
included when this paragraph was initially published in the Federal
Register on December 29, 2004 (69 FR 77890).
In CCL Category 2, Product Group E, Materials Processing Table on
Deposition Techniques, this final rule corrects the resultant coating
for Molybdenum and Molybdenum alloy substrates in the Materials
Processing Table on Deposition Techniques in the introductory portion
of Category 2, Product Group E. The table listed the resultant coating
as ``Dielectric Players'' and it is corrected to read ``Dielectric
layers.''
Other Conforming Changes and Clarifications to Past Amendments to EAR
In Sec. 740.9, this final rule makes a correction to the heading
of paragraph (a)(6) (Inspection and calibration) by adding the terms
``test'' and ``repair'' to the heading of this paragraph. Paragraph
(a)(6) includes the terms ``test'' and ``repair'' in the text of the
paragraph, but the heading may give the mistaken impression that the
scope of this paragraph is limited to inspection and calibration, so
the heading is revised to read ``Inspection, test, calibration and
repair,'' which more accurately reflects the scope of this paragraph.
Also in Sec. 740.9 (Temporary Imports, Exports, Reexports, and
Transfers (in-country) (TMP)), this final rule makes a correction to
paragraph (c)(8) by removing the phrase ``paragraphs (a) through (e)''
and adding in its place ``paragraphs (a) through (d)'' for the
reference to Supplement No. 6 to part 742. Supplement No. 6 to part 742
does not include a paragraph (e).
In Sec. 740.10 (License Exception Servicing and replacement of
parts and equipment (RPL)), this final rule makes a clarification to
License Exception RPL to replace the tern ``returned'' with the term
``sent'' in paragraph (b)(1) (Scope). This change is made to clarify
that the scope of paragraph (b) does not require that the item in
question be originally exported from the United States and subsequently
returned to the United States for servicing. This change is made
because the intent of paragraph (b)(1) is to also allow for items
produced outside the United States to be sent to the United States for
servicing under paragraph (b). In addition, this final rule makes a
conforming change to paragraph (b)(1) by adding in the phrase ``or to a
foreign party for servicing,'' so the scope paragraph (b)(1) accurately
reflects the scope of the authorization in paragraph (b)(2).
In Sec. 742.6(b) (Licensing policy), this rule revises the first
sentence of Sec. 742.6(b)(1) to explicitly state the foreign policy
considerations employed in review of license applications for ``600
series'' items include the United States' foreign policy interest of
promoting the observance of human rights throughout the world. This is
a longstanding foreign policy interest of the United States that is
noted in both statute and regulation (see, e.g. 22 U.S.C. 2304(a) and
15 CFR 742.7(a)). This revision merely provides explicit notice that
the review of license applications for ``600 series'' items to
determine whether the transaction is contrary to the foreign policy
interests of the Unites States includes consideration of human rights.
This is not a substantive change from the policy set forth in Sec.
742.6(b)(1).
In Sec. 746.3 (Iraq), this final rule also removes the outdated
reference to the ``Interim Government of Iraq'' and adds in its place
the correct reference the ``Government of Iraq.'' The final rule also
in that same section removes the outdated reference to the phrase ``or
the Multinational Force in Iraq.''
[[Page 32620]]
In Sec. 746.3(c) (License Exceptions), in addition to the changes
described above for this section to remove the two outdated references,
this final rule removes an errant open quotation mark, adds a sentence
to the end of paragraph (c) to clarify the relationship between the
license requirements in paragraph (a)(4) of this section and the use of
license exceptions. This new sentence clarifies that license exceptions
may not be applied to paragraph (a)(4) license requirements. This
clarification is not a change in policy, but rather clarifies the
existing relationship between paragraphs (a)(4) and (c).
In Sec. 748.2(a)(3), this final rule removes the first telephone
number listed (408) 998-8805 for BIS's Western Regional Office in
paragraph (a)(3) because it will no longer be used as a general
outreach number. The second telephone number listed in that paragraph
for the Western Regional Office is intended to be used by the public as
a general outreach number and will remain in paragraph (a)(3).
In Sec. 748.4(h) (Emergency processing), this final rule revises
the cross reference regarding validity periods on emergency licenses
from Sec. 750.7(h) to Sec. 750.7(g). Section 750.7(g) is the section
of the EAR that addresses validity periods, including for emergency
licenses. This revision simply corrects an error and improves the
utility of the EAR to exporters.
In Supplement No. 7 to Part 748 (Authorization Validated End-User
(VEU): List of Validated End-Users, Respective Items Eligible for
Export, Reexport and Transfer, and Eligible Destinations), this rule
corrects an oversight by adding an omitted Federal Register citation to
one of the VEU entries. Specifically, in this rule, BIS amends the VEU
List by revising the ``Federal Register Citation'' Column for VEU Lam
Research Service Co., Ltd. (Lam) in ``China, (Peoples Republic of)'' to
include the citation for the most recent amendment to Lam's VEU
authorization. That citation is 78 FR 54752, 9/6/13.
In Sec. 750.7(c) (Changes to the license), this final rule adds a
non-material change under new paragraph (c)(2) (Notification of name
change by advisory opinion request) to specify that in certain cases a
name change can be made for a party listed on a BIS license (i.e., name
of exporter, reexporter, purchaser, intermediate consignee, ultimate
consignee, or end user), provided no changes in ownership, merger or
acquisition activity, or other change in legal status has occurred
since the time the license was approved for the person listed on the
license. In order to rely on this new paragraph, BIS must have approved
the name change in response to a request for an advisory opinion
submitted by the licensee that BIS treat the name change as an eligible
name change under this paragraph. Prior to publication of this final
rule, because name changes were not identified in paragraph (c), any
name change for a party listed on a BIS license was a material change
to the license. However, in certain cases, exporters, reexporters or
transferors submitted advisory opinion requests to BIS that requested
BIS confirmation that certain name changes did not warrant a new
license, because the party listed on the license was the same in all
respects, except for the change in the name, which was typically being
changed for marketing or branding reasons. BIS has approved such name
changes in the past through advisory opinion responses when the person
listed on the license was the same, except for the name change. Making
BIS's past practice more explicit in the EAR will also make the EAR
more consistent with the ITAR since DDTC uses a similar process for
reviewing and approving similar types of name changes under 22 CFR
126.3 (Exceptions) and 22 CFR 122.4 (Notification of changes in
information furnished by registrants). BIS adds this new paragraph
(c)(2) to ensure all interested parties are aware that such an advisory
opinion may be submitted to BIS.
This final rule adds a new paragraph (c)(2)(i) to specify the
information that must be included in advisory opinion requests for name
changes. This final rule adds a new paragraph (c)(2)(ii) to specify how
BIS will respond to such an advisory opinion request. This rule adds a
new paragraph (c)(2)(iii), to specify the additional actions required
by a licensee, when relying on paragraph (c)(2), including a cross
reference to see Sec. 758.4(d) (Exports against licenses with approved
name changes) for export clearance requirements for such licenses.
These requirements under paragraphs (c)(2)(i)-(iii) put into the EAR
the established practices and review criteria BIS already uses when
reviewing such advisory opinion requests and making such
determinations. Lastly, paragraph (c)(2)(iv) reminds the licensee that
if the name change request is not approved by BIS or the licensee
believes that the name change that is a material change to the license,
then the parties to the transaction should apply for a new license.
Sec. 758.1 (The Electronic Export Information (EEI) filing to the
Automated Export System (AES)), Sec. 758.4 (Use of export license) and
Sec. 762.2 (Records to be retained) are updated as necessary to add
references to Sec. 750.7(c)(2), describing circumstances where the
licensee can change the name of persons listed on a license. Under
Sec. 758.1 this final rule revises paragraph (f)(2) that deals with
conformity of statements on AES records with the contents of BIS
licenses, to add a reference to name changes approved by BIS in writing
in accordance with Sec. 750.7(c)(2) of the EAR, as a possible
exception for when the information entered into the AES record may not
conform to what is listed on the license. This final rule also replaces
in paragraph (f)(2) the phrase ``exporter blocks'' with the AES phrase
``USPPI and USPPI identification blocks'' to conform with how those
blocks are referred to in AES. Under Sec. 758.4 this final rule adds a
new paragraph (d) (Exports against license with approved name changes)
to specify that when exporting against a license with an approved name
change under Sec. 750.7(c)(2), prior to using that export license you
are required to include in the respective name field in AES (e.g., in
the USPPI name field in AES), the new name followed by the original
name in this format ``[new name] f.k.a. [original name].'' This
additional reporting requirement (by putting additional text into an
existing box on an already approved form) would be completed by the
authorized filer of the electronic export information (EEI) in AES. The
use of the acronym f.k.a. will alert those reviewing the AES data that
this person was formerly known as the original name. Under Sec. 762.2
(Records to be retained), this final rule adds a new paragraph (b)(53)
to specify that notification of name change by advisory opinion
requests made under Sec. 750.7(c)(2) are records that must be
retained.
In Sec. 772.1 (Definitions of terms as used in the Export
Administration Regulations), under the definition of ``technology,''
this final rule adds a sentence to the end of the definition. This
final rule also adds a note 2 to the definition of ``technology'' and
redesignates the current note as note 1. The new sentence clarifies
that ``technology'' also includes specific information necessary for
operation, installation, maintenance, repair, overhaul, refurbishing,
as well as for other terms specified in ECCNs that control
``technology.'' The new note 2 also does not change the definition of
``technology.'' The note provides additional guidance on the
application of the definition based on current BIS
[[Page 32621]]
practice and past interpretive guidance BIS has provided, along with
the new sentence this final rule adds to the definition. This new note
2 clarifies that ``technology'' not elsewhere specified on the CCL is
designated as EAR99, unless the ``technology'' is subject to the
exclusive jurisdiction of another U.S. Government agency or is
otherwise not subject to the EAR as set forth in Sec. 734.4(b)(2) and
(b)(3) and Sec. Sec. 734.7 through 734.11 of the EAR.
In Sec. 772.1, under the definition of ``use,'' this final rule
adds a note to the definition of ``use.'' The note does not change the
definition of ``use.'' The note is limited to providing guidance on the
application of the definition based on current BIS practice and past
interpretive guidance BIS has provided. The new note clarifies that if
an ECCN specifies one or more of the six elements of ``use'' in the
heading or control text, only those elements specified are captured
under that ECCN.
In CCL Category 1 and CCL Category 5--Part 2, this final rule
reinserts the Product Group D heading in CCL Category 1 and reinserts
the Product Groups A, B and E headings in CCL Category 5--Part 2. A
final rule did not intentionally remove these Product Group headings
from CCL Categories 1 and 5--Part 2. It appears that either a final
rule inadvertently removed those Product Group headings or that in
making an incorporation into the Code of Federal Regulations (CFR) for
the EAR, those Product Group headings may have inadvertently been
removed. This final rule corrects Categories 1 and 5--Part 2 by
reinserting those Product Group headings. BIS became aware of this
issue when confirming that the incorporations for the Product Group
headings were fully implemented for the April 16 rule.
EAR Conforming Changes Required by Amendment to ITAR
This final rule makes two conforming changes to the EAR in Sec.
746.1(b)(2) and Supplement No. 1 to part 740 as a result of a final
rule published by the Department of State on April 17, 2014 (79 FR
21616), titled Amendment to the International Traffic in Arms
Regulations: Central African Republic. The State Department's rule
revised ITAR Sec. 126.1 to include the Central African Republic in new
paragraph (u), establishing that it is the policy of the United States
to deny licenses or other approval for exports or imports of defense
articles and defense services destined for or originating in the
Central African Republic and specifying under what circumstances a
license or other approval may be issued on a case-by-case basis. The
April 17 rule noted that ITAR Sec. 126.1(u) was being added to
implement the United Nations arms embargo, adopted in United Nations
Security Council (UNSC) Resolution 2127 (December 5, 2013) and UNSC
Resolution 2134 (January 28, 2014).
This final rule revises Sec. 746.1(b)(2) (Sanctions on selected
categories of items to specific destinations), which identifies
destinations subject to United Nations Security Council arms embargoes,
by adding the Central African Republic. This final rule also revises
Country Group D:5 (in Supplement No. 1 to part 740), which identifies
countries subject to U.S. arms embargoes to add the country of Central
African Republic. As is noted in footnote 1 to Country Group D:5,
Country Group D:5 is intended to track with the ITAR's Sec. 126.1 and
as additions or removals are made to this section of the ITAR,
conforming changes are made to Country Group D:5. Because the Central
African Republic is also subject to a United Nations Security Council
arms embargo, conforming changes are needed in both Country Group D:5
and Sec. 746.1.
Export Administration Act
Although the Export Administration Act expired on August 20, 2001,
the President, through Executive Order 13222 of August 17, 2001, 3 CFR,
2001 Comp., p. 783 (2002), as amended by Executive Order 13637 of March
8, 2013, 78 FR 16129 (March 13, 2013) and as extended by the Notice of
August 8, 2013, 78, 2013, 78 FR 49107 (August 12, 2013), has continued
the Export Administration Regulations in effect under the International
Emergency Economic Powers Act. BIS continues to carry out the
provisions of the Export Administration Act, as appropriate and to the
extent permitted by law, pursuant to Executive Order 13222 as amended
by Executive Order 13637.
Rulemaking Requirements
1. Executive Orders 13563 and 12866 direct agencies to assess all
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distribute impacts, and equity). Executive
Order 13563 emphasizes the importance of quantifying both costs and
benefits, of reducing costs, of harmonizing rules, and of promoting
flexibility. This final rule, which is a consolidation of corrections
and clarifications of final rules published in 2013 and 2014, has been
determined to be not significant for purposes of Executive Order 12866.
2. Notwithstanding any other provision of law, no person is
required to respond to nor be subject to a penalty for failure to
comply with a collection of information, subject to the requirements of
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA),
unless that collection of information displays a currently valid Office
of Management and Budget (OMB) Control Number. This regulation involves
collections previously approved by OMB under control number 0694-0088,
Simplified Network Application Processing System, which includes, among
other things, license applications and carries a burden estimate of
43.8 minutes for a manual or electronic submission; license exceptions
(0694-0137); recordkeeping (0694-0096); export clearance (0694-0122);
and the Automated Export System (0607-0152). Total burden hours
associated with the PRA and OMB control number 0694-0088 are expected
to slightly decrease as a result of this rule when taking into account
the full scope of corrections and clarifications included in this final
rule. The two changes in this final rule that may result in a slight
increase are (1) the clarification to ECCN 1A984, and (2) the changes
made to the EAR to add the Central African Republic to Sec.
746.1(b)(2) and in Supplement No. 1 to part 740 under Country Group D:5
to conform to the addition of this country to Sec. 126.1 of the ITAR.
Specifically, the clarification that the last phrase of ECCN 1A984 also
includes ``parts'' and ``components'' ``specially designed'' therefor
and not elsewhere specified may result in a slight increase in the
number of applications received by BIS, although BIS believes the
public likely was already treating such ``specially designed''
``parts'' and ``components'' as pyrotechnic articles under ECCN 1A984,
so the overall impact of this clarification is expected to be minimal.
The addition of the Central African Republic to Sec. 746.1(b)(2) and
to Country Group D:5 in Supplement No. 1 to part 740 is not expected to
result in much of an increase in the number of license applications
received because the license requirements in Sec. 746.1(b) are in
almost all cases redundant with the other EAR license requirements that
apply to the countries identified in paragraph (b)(2), such as Crime
Control. The addition of the Central African Republic to Country Group
D:5 for the ``600 series'' will impose significant restrictions, but
the overall impact on licenses received is anticipated to be
[[Page 32622]]
minimal. You may send comments regarding the collection of information
associated with this rule, including suggestions for reducing the
burden, to Jasmeet K. Seehra, Office of Management and Budget (OMB), by
email to Jasmeet_K._Seehra@omb.eop.gov, or by fax to (202) 395-7285.
3. This rule does not contain policies with Federalism implications
as that term is defined under E.O. 13132.
4. The Department of Commerce finds that there is good cause under
5 U.S.C. 553(b)(3)(B) to waive the provisions of the Administrative
Procedure Act otherwise requiring prior notice and the opportunity for
public comment because they are unnecessary. The majority of the
revisions made by this rule are administrative in nature and do not
affect the privileges and obligations of the public. These revisions in
this rule are important to get in place as soon as possible to avoid
confusion by the public regarding the intent and meaning of recent
changes to the EAR without harming anyone's substantive rights. The
Department also finds that there is good cause under 5 U.S.C.
553(b)(3)(A) to waive the provisions of the Administrative Procedure
Act requiring notice and comment because these changes are limited to
providing guidance on existing interpretations of current EAR
provisions. These changes, which are described above, include the
revisions to Sec. Sec. 736.2, 740.2(a)(13), 742.6(b)(1), 746.3(c),
750.7, 750.7(c)(1)(ix), 758.1(f)(2), 758.4(d), 772.1 for the
definitions of ``specially designed,'' ``technology'' and ``use'' and
ECCN 1A984. These revisions in this rule are important to get in place
as soon as possible so the public will be aware of these existing
interpretations of current EAR provisions. Because these revisions are
not substantive changes to the EAR, the 30-day delay in effectiveness
otherwise required by 5 U.S.C. 553(d) is not applicable. No other law
requires that a notice of proposed rulemaking and opportunity for
public comment be given for this rule. The analytical requirements of
the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) are not
applicable.
5. Because a notice of proposed rulemaking and an opportunity for
public comment are not required to be given for these amendments by 5
U.S.C. 553, or by any other law, the analytical requirements of the
Regulatory Flexibility Act, 5 U.S.C. 601 et seq., are not applicable.
6. With respect to amendments to Sec. 740.11, the Department also
finds that the provisions of the Administrative Procedure Act (5 U.S.C.
553) requiring prior notice, the opportunity for public comment and a
delay in effective date are inapplicable because this amendment
involves a military or foreign affairs function of the United States
(see 5 U.S.C. 553(a)(1)). BIS, with the concurrence of the U.S.
Departments of Defense and State, is amending Sec. 740.11 to allow
items subject to the EAR to be exported, reexported or transferred (in-
country) to, and in support of, specific cooperating governments or
agencies of NATO for their official use. Under the existing
regulations, cooperating governments could already receive exports of
these items. The changes being made to Sec. 740.11 add NATO and its
agencies to the list of recipients and, in furtherance of the
objectives of NATO, the United States, and its allies, the rule
clarifies that reexports and transfers (in-country) are authorized by
this license exception when for their official use wherever the items
are needed.
Immediate allowance of a license exception is necessary to effect
this amendment's national security and foreign policy goals of allowing
NATO and cooperating governments to receive items subject to the EAR
for military purposes, to users and for uses that support the national
security of the United States and its allies. In the alternative, BIS
finds good cause under 5 U.S.C. 553(b)(3)(B) to forgo prior notice and
the opportunity for public comment. In addition to the reasons
described above, if BIS delayed this rule to allow for prior notice and
opportunity for public comment, the resulting delay in applying for and
receiving licenses could pose a national security threat, thereby
undermining the purpose of the rule.
In addition, BIS finds good cause to waive the 30-day delay in
effectiveness under 5 U.S.C. 553(d)(3). Immediate implementation will
allow NATO and cooperating governments to receive and use these items
to assist the national security of the United States and its allies. If
BIS delayed this rule to allow for a 30-day delay in effectiveness, the
resulting delay in implementation would create a delay and possible
negative impacts on the United States' support of NATO and its allies
similar to delays this rule is seeking to avoid by allowing a license
exception for these transactions.
Because a notice of proposed rulemaking and an opportunity for
public comment are not required to be given for these changes by 5
U.S.C. 553, or by any other law, the analytical requirements of the
Regulatory Flexibility Act, 5 U.S.C. 601 et seq., are not applicable.
7. The Department finds that there is good cause under 5 U.S.C.
553(b)(3)(B) to waive the provisions of the Administrative Procedure
Act requiring prior notice and the opportunity for public comment
because they are either unnecessary or contrary to the public interest.
This rationale applies to the changes in Sec. Sec. 740.10, 740.20 and
in Supplement No. 1 to part 774 under ECCNs 9A610.y and 9A619.y. The
rationale also applies to the reinsertion of text removed in ECCNs
2B352, 5A980, 6A002 and 9A120 to correct oversights in the October 4
rule that mistakenly did not take into account edits to the underlying
ECCN text or redesignation of paragraphs in those four ECCNs in earlier
final rules. These revisions are non-substantive, only clarifying the
regulations and thus prior notice and the opportunity for public
comment is unnecessary. Because a notice of proposed rulemaking and an
opportunity for public comment are not required to be given for these
amendments by 5 U.S.C. 553, or by any other law, the analytical
requirements of the Regulatory Flexibility Act, 5 U.S.C. 601 et seq.,
are not applicable.
List of Subjects
15 CFR Parts 736, 738 and 772
Exports.
15 CFR Parts 740, 748, 750 and 758
Administrative practice and procedure, Exports, Reporting and
recordkeeping requirements.
15 CFR Part 742
Exports, Terrorism.
15 CFR Part 744
Exports, Reporting and recordkeeping requirements, Terrorism.
15 CFR Part 762
Administrative practice and procedure, Business and industry,
Confidential business information, Exports, Reporting and recordkeeping
requirements.
15 CFR Parts 746 and 774
Exports, Reporting and recordkeeping requirements.
Accordingly, parts 736, 738, 740, 742, 744, 746, 748, 750, 758,
762, 772 and 774 of the Export Administration Regulations (15 CFR parts
730-774) are amended as follows:
PART 736--[AMENDED]
0
1. The authority citation for 15 CFR part 736 is revised to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 2151 note; E.O.
[[Page 32623]]
12938, 59 FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 13020, 61 FR
54079, 3 CFR, 1996 Comp., p. 219; E.O. 13026, 61 FR 58767, 3 CFR,
1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
783; E.O. 13338, 69 FR 26751, 3 CFR, 2004 Comp., p. 168; Notice of
August 8, 2013, 78 FR 49107 (August 12, 2013); Notice of November 7,
2013, 78 FR 67289 (November 12, 2013): Notice of May 7, 2014, 79 FR
26589 (May 9, 2014).
0
2. Section 736.2 is amended by revising paragraph (b)(3)(i) to read as
follows:
Sec. 736.2 General prohibitions and determination of applicability.
* * * * *
(b) * * *
(3) * * *
(i) Country scope of prohibition. You may not, without a license or
license exception, reexport any item subject to the scope of this
General Prohibition Three to a destination in Country Group D:1 or E:1
(See Supplement No.1 to part 740 of the EAR). Additionally, you may
not, without a license or license exception, reexport or export from
abroad an ECCN 0A919 commodities subject to the scope of this General
Prohibition Three to a destination in Country Group D:1, D:3, D:4, D:5
or E:1.
* * * * *
0
3. Supplement No. 1 to part 736, under paragraph (e) (General Order No.
5), is amended by redesignating paragraph (a) as paragraph (e)(1);
paragraph (b) as paragraph (e)(2); paragraph (b)(1) as paragraph
(e)(2)(i); paragraph (b)(2) as paragraph (e)(2)(ii); paragraph (c) as
paragraph (e)(3); and paragraph (d) as paragraph (e)(4), respectively.
0
4. Supplement No. 2 to Part 736 is amended by removing the phrase
``Administration Order'' in Administrative Order Two under paragraph
(a)(3) introductory text and adding in its place the phrase
``Administrative Order''.
PART 738--[AMENDED]
0
5. The authority citation for 15 CFR part 738 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
10 U.S.C. 7420; 10 U.S.C. 7430(e); 22 U.S.C. 287c; 22 U.S.C. 3201 et
seq.; 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u); 42 U.S.C. 2139a; 42
U.S.C. 6212; 43 U.S.C. 1354; 15 U.S.C. 1824a; 50 U.S.C. app. 5; 22
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR 58767, 3 CFR,
1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
783; Notice of August 8, 2013, 78 FR 49107 (August 12, 2013).
0
6. Section 738.4 is amended by revising paragraph (b)(2) to read as
follows:
Sec. 738.4 Determining whether a license is required.
* * * * *
(b) * * *
(2) Sample CCL entry.
2A000: Entry heading.
License Requirements
Reason for Control: NS, NP, AT
------------------------------------------------------------------------
Country chart (see supp. No.
Control(s) 1 to part 738).
------------------------------------------------------------------------
NS applies to entire entry................ NS Column 2.
NP applies to 2A000.b..................... NP Column 1.
AT applies to entire entry................ AT Column 1.
------------------------------------------------------------------------
List Based License Exceptions (See Part 740 for a description of
all license exceptions)
LVS: $5,000.
GBS: Yes.
CIV: N/A.
List of Items Controlled
Related Controls: N/A.
Related Definitions: N/A.
Items: a. Having x.
b. Having z.
* * * * *
PART 740--[AMENDED]
0
7. The authority citation for 15 CFR part 740 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 7201 et seq.; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp.,
p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice
of August 8, 2013, 78 FR 49107 (August 12, 2013).
0
8. Section 740.2 is amended:
0
a. In paragraph (a)(5)(i) by removing phrase ``Sec. 740.9(a)(2)(ii)''
and adding in its place ``Sec. 740.9(a)(4)'';
0
b. In paragraph (a)(5)(ii) by removing phrase ``Sec. 740.9(a)(2)(ii)''
and adding in its place ``Sec. 740.9(a)(4)''; and
0
c. By revising the last sentence in the introductory text of paragraph
(a)(13) and paragraph (a)(13)(vi) to read as follows:
Sec. 740.2 Restrictions on all license exceptions.
(a) * * *
* * * * *
(13) * * * Only the following license exceptions may be used to
export ``600 series'' items to destinations other than those identified
in Country Group D:5 (see Supplement No.1 to part 740 of the EAR):
* * * * *
(vi) License Exception STA under Sec. 740.20(c)(1) of the EAR,
provided all of the applicable terms and conditions, including those
specific to the ``600 series'' are met.
* * * * *
Sec. 740.9 [Amended]
0
9. Section 740.9 is amended:
0
a. By revising the heading of paragraph (a)(6) to read ``Inspection,
test, calibration, and repair.''; and
0
b. In paragraph (c)(8) by removing the phrase ``paragraphs (a) through
(e)'' and adding in its place ``paragraphs (a) through (d)''.
0
10. Section 740.10 is amended:
0
a. By revising the first sentence of paragraph (a)(2)(ii);
0
b. By revising the second sentence of paragraph (a)(4)(i);
0
c. By revising paragraph (b)(1);
0
d. By revising paragraph (b)(3) introductory text; and
0
e. By revising the introductory text of paragraph (b)(3)(ii) to read as
follows:
Sec. 740.10 License Exception Servicing and replacement of parts and
equipment (RPL).
* * * * *
(a) * * *
(2) * * *
(ii) Parts, components, accessories, and attachments may be
exported only to replace, on a one-for-one basis, parts, components,
accessories, or attachments, respectively, contained in commodities
that were: Lawfully exported from the United States; lawfully
reexported; or made in a foreign country incorporating authorized
parts, components, accessories, or attachments ``subject to the EAR''
(see Sec. 734.2(a) of the EAR). * * *
(iii) * * *
* * * * *
(4) * * *
(i) * * * A party reexporting one-for-one replacement parts,
components, accessories, or attachments ``subject to the EAR'' shall
ensure that the commodities being repaired were shipped to their
present location in accordance with U.S. law and continue to be
lawfully used, and that either before or promptly after reexport of the
replacement parts, components, accessories, or attachments, the
replaced commodities and software are either destroyed or returned to
the United States, or to the foreign firm in Country Group B (see
Supplement No. 1 to this part) that shipped the replacement parts.
* * * * *
(b) * * * (1) Scope. The provisions of this paragraph (b) authorize
the export and reexport to any destination, except for ``600 series''
items to destinations identified in Country Group D:5 (see
[[Page 32624]]
Supplement No. 1 to this part) or otherwise prohibited under the EAR,
of commodities and software that were sent to the United States or to a
foreign party for servicing and replacement of defective or
unacceptable commodities and software ``subject to the EAR'' (see Sec.
734.2(a) of the EAR).
* * * * *
(3) Replacements for defective or unacceptable equipment ``subject
to the EAR.''
* * * * *
(ii) In addition to the general conditions in paragraph (b)(3)(i)
of this section, the following conditions apply to exports or reexports
of replacements for defective or unacceptable commodities or software
``subject to the EAR'' (see Sec. 734.2(a) of the EAR) to a destination
in Country Group B or Country Group D:1 (see Supplement No. 1 to this
part):
* * * * *
0
11. Section 740.11 is amended:
0
a. By revising the section heading;
0
b. By revising paragraph (c) heading;
0
c. By revising paragraph (c)(1);
0
d. By redesignating paragraph (c)(2)(ii) as paragraph (c)(2)(iii);
0
e. By adding new paragraph (c)(2)(ii); and
0
f. By revising paragraphs (c)(3)(i), (c)(3)(v), and (c)(3)(vi), to read
as follows:
Sec. 740.11 Governments, international organizations, international
inspections under the Chemical Weapons Convention, and the
International Space Station (GOV).
* * * * *
(c) Cooperating Governments and the North Atlantic Treaty
Organization. (1) Scope. The provisions of this paragraph (c) authorize
exports, reexports, and transfers (in-country) of the items listed in
paragraph (c)(2) of this section to agencies of cooperating governments
or agencies of the North Atlantic Treaty Organization (NATO). `Agency
of a cooperating government' includes all civilian and military
departments, branches, missions, and other governmental agencies of a
cooperating national government. Cooperating governments are the
national governments of countries listed in Country Group A:1 (see
Supplement No. 1 to this part) and the national governments of
Argentina, Austria, Finland, Hong Kong, Ireland, Korea (Republic of),
New Zealand, Singapore, Sweden, Switzerland and Taiwan.
(2) * * *
(ii) Items for official use by agencies of cooperating governments
for military purposes or NATO. With the exception of items excluded by
paragraph (c)(3) of this section, this license exception is available
for all items consigned to and for the official use of:
(A) A military end user of or for the military end use of
cooperating governments, or
(B) An agency of NATO.
* * * * *
(3) * * *
(i) Items on the Sensitive List (see Supplement No. 6 to part 774
of the EAR), except to or for the use by governments of countries
listed in Country Group A:5 (see Supplement No. 1 to this part) or an
agency of NATO;
* * * * *
(v) ``600 series'' items, except to or for the use by governments
of countries listed in Country Group A:5 (see Supplement No. 1 to this
part) or an agency of NATO;
(vi) Items controlled for nuclear nonproliferation (NP) reasons; or
* * * * *
Sec. 740.12 [Amended]
0
12. Section 740.12 is amended by redesignating footnote 2 to paragraph
(a) as footnote 1 to paragraph (a).
Sec. 740.13 [Amended]
0
13. Section 740.13 is amended by redesignating footnote 3 to paragraph
(d)(1) as footnote 2.
Sec. 740.15 [Amended]
0
14. Section 740.15 is amended:
0
a. By redesignating footnote 4 and 5 to paragraphs (c)(1) and (c)(2) as
footnotes 3 and 4, respectively; and
0
b. In paragraph (c)(2)(iv) by removing the phrase ``record is filed''.
0
15. Section 740.20 is amended:
0
a. By revising paragraph (b)(3)(ii)(B);
0
b. By revising paragraph (b)(3)(ii)(C);
0
c. By revising the Note to paragraph (c)(1);
0
d. In the introductory text of paragraph (d)(2) by adding a sentence to
beginning of this paragraph after the paragraph heading and by revising
the last two sentences in the introductory text of paragraph (d)(2);
0
e. By redesignating paragraphs (d)(2)(iv), (v), (vi) and (vii), as
paragraphs (d)(2)(v), (vi), (vii) and (viii), respectively;
0
f. By adding a new paragraph (d)(2)(iv);
0
g. By revising newly redesignated paragraph (d)(2)(vii)(B);
0
h. By revising newly redesignated paragraph (d)(2)(vii)(C); and
0
i. By adding undesignated bracketed text at the end of paragraph (d)(2)
to read as follows:
Sec. 740.20 License Exception Strategic Trade Authorization (STA).
* * * * *
(b) * * *
(3) * * *
(ii) * * *
(B) For the ``development,'' ``production,'' operation,
installation, maintenance, repair, overhaul, or refurbishing of an item
in one of the countries listed in Country Group A:5 or the United
States that will be for one, or more, of the following purposes:
(1) Ultimately to be used by any such government agencies in one of
the countries listed in Country Group A:5 or the United States
Government; or
(2) Sent to a person in the United States and not for subsequent
export under Sec. 740.9(b)(1) (License Exception TMP for items moving
in transit through the United States); or
(C) The United States Government has otherwise authorized the
ultimate end use, the license or other authorization is in effect, and
the consignee verifies in writing that such authorization exists and
has provided the license or other approval identifier to the exporter,
reexporter or transferor (as applicable).
* * * * *
(c) * * *
* * * * *
Note to paragraph (c)(1). License Exception STA under Sec.
740.20(c)(1) may be used to authorize the export, reexport, or
transfer (in-country) of ``600 series'' items only if the purchaser,
intermediate consignee, ultimate consignee, and end user have
previously been approved on a license or other approval, i.e.,
Directorate of Defense Trade Controls (DDTC) Manufacturing License
Agreement (MLA), Technical Assistance Agreement (TAA), Warehouse
Distribution Agreement (WDA), or General Correspondence approval
(GC) issued by BIS or DDTC at the U.S. Department of State.
* * * * *
(d) * * *
(2) Prior Consignee Statement. The requirements in this paragraph
(d)(2) apply to each party using License Exception STA to export,
reexport or transfer (in-country), including reexporters and
transferors of items previously received under License Exception STA. *
* * Paragraphs (d)(2)(i) through (vi) of this section are required for
all transactions. In addition, paragraph (d)(2)(vii) is required for
all transactions in ``600 series'' items and paragraph (viii) of this
section is required for transactions in ``600 series'' items if the
consignee is not the government of a country listed in Country Group
A:5 (See Supplement No. 1 to part 740 of the EAR).
* * * * *
[[Page 32625]]
(iv) Agrees to obtain a prior consignee statement when using
License Exception STA for any reexport or transfer (in-country) of
items previously received under License Exception STA;
* * * * *
(vii) * * *
(B) For the ``development,'' ``production,'' operation,
installation, maintenance, repair, overhaul, or refurbishing of an item
in one of the countries listed in Country Group A:5 or the United
States that will be for one, or more, of the following purposes:
(1) Ultimately to be used by any such government agencies in one of
the countries listed in Country Group A:5 or the United States
Government; or
(2) Sent to a person in the United States and not for subsequent
export under Sec. 740.9(b)(1) (License Exception TMP for items moving
in transit through the United States); or
(C) The United States Government has otherwise authorized the
ultimate end use, the license or other authorization is in effect, and
the consignee verifies in writing that such authorization exists and
has provided the license or other approval identifier to the exporter,
reexporter or transferor (as applicable).
* * * * *
[INSERT NAME AND TITLE OF PERSON SIGNING THIS DOCUMENT, AND DATE
DOCUMENT IS SIGNED].
* * * * *
0
16. Supplement No. 1 to part 740, Country Group D is amended by adding
a row in alphabetical order for: Central African Republic, and by
adding an ``X'' under the D:5 column for the Central African Republic
row.
PART 742--[AMENDED]
0
17. The authority citation for 15 CFR part 742 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22
U.S.C. 7210; Sec. 1503, Pub. L. 108-11, 117 Stat. 559; E.O. 12058,
43 FR 20947, 3 CFR, 1978 Comp., p. 179; E.O. 12851, 58 FR 33181, 3
CFR, 1993 Comp., p. 608; E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp.,
p. 950; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O.
13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Presidential
Determination 2003-23 of May 7, 2003, 68 FR 26459, May 16, 2003;
Notice of August 8, 2013, 78 FR 49107 (August 12, 2013); Notice of
November 7, 2013, 78 FR 67289 (November 12, 2013).
0
18. Section 742.6 is amended by revising the first sentence of
paragraph (b)(1) to read as follows:
Sec. 742.6 Regional stability.
* * * * *
(b) * * * (1) Applications for exports and reexports of ``600
series'' items will be reviewed on a case-by-case basis to determine
whether the transaction is contrary to the national security or foreign
policy interests of the United States, including the foreign policy
interest of promoting the observance of human rights throughout the
world.* * *
* * * * *
PART 744--[AMENDED]
0
19. The authority citation for 15 CFR part 744 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22
U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR, 1978 Comp., p. 179;
E.O. 12851, 58 FR 33181, 3 CFR, 1993 Comp., p. 608; E.O. 12938, 59
FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 12947, 60 FR 5079, 3 CFR,
1995 Comp., p. 356; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p.
228; E.O. 13099, 63 FR 45167, 3 CFR, 1998 Comp., p. 208; E.O. 13222,
66 FR 44025, 3 CFR, 2001 Comp., p. 783; E.O. 13224, 66 FR 49079, 3
CFR, 2001 Comp., p. 786; Notice of August 8, 2013, 78 FR 49107
(August 12, 2013); Notice of September 18, 2013, 78 FR 58151
(September 20, 2013); Notice of November 7, 2013, 78 FR 67289
(November 12, 2013); Notice of January 21, 2014, 79 FR 3721 (January
22, 2014).
Sec. 744.17 [Amended]
0
20. Section 744.17 is amended in paragraph (e) by removing the phrase
`military end-uses' and adding in its place `military end uses' with
single quotes.
0
21. Section 744.21 is amended by revising the section heading to read
as follows:
Sec. 744.21 Restrictions on certain `military end uses' in the
People's Republic of China (PRC).
* * * * *
PART 746--[AMENDED]
0
22. The authority citation for 15 CFR part 746 is revised to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 287c; Sec 1503, Pub. L. 108-11, 117 Stat. 559; 22 U.S.C.
6004; 22 U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 12854, 58 FR
36587, 3 CFR, 1993 Comp., p. 614; E.O. 12918, 59 FR 28205, 3 CFR,
1994 Comp., p. 899; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
783; E.O. 13338, 69 FR 26751, 3 CFR, 2004 Comp., p 168; Presidential
Determination 2003-23 of May 7, 2003, 68 FR 26459, May 16, 2003;
Presidential Determination 2007-7 of December 7, 2006, 72 FR 1899
(January 16, 2007); Notice of August 8, 2013, 78 FR 49107 (August
12, 2013); Notice of May 7, 2014, 79 FR 26589 (May 9, 2014).
0
23. Section 746.1 is amended by revising paragraph (b)(2) to read as
follows:
Sec. 746.1 Introduction.
* * * * *
(b) * * *
(2) The countries subject to United Nations Security Council arms
embargoes are: Central African Republic, Cote d'Ivoire (Ivory Coast),
Democratic Republic of the Congo, Eritrea, Iran, Iraq, Lebanon,
Liberia, Libya, North Korea, Somalia, and Sudan.
* * * * *
0
24. Section 746.2 is amended by revising paragraph (a)(1)(i) to read as
follows:
Sec. 746.2 Cuba.
(a) * * *
(1) * * *
(i) Temporary exports and reexports (TMP) by the news media (see
Sec. 740.9(a)(9) of the EAR).
* * * * *
0
25. Section 746.3 is amended:
0
a. By removing the phrase ``Interim Government of Iraq or the
Multinational Force in Iraq'' and adding in its place the phrase
``Government of Iraq'' in the first sentence of the introductory text
of the section;
0
b. By removing the phrase ``Interim Government of Iraq or the
Multinational Force in Iraq'' and adding in its place the phrase
``Government of Iraq'' in the second sentence of paragraph (a)(4); and
0
c. By revising paragraph (c) to read as follows:
Sec. 746.3 Iraq.
* * * * *
(c) License exceptions. You may export or reexport without a
license if your transaction meets all the requirements of any of the
following License Exceptions: CIV, APP, TMP, RPL, GOV, GFT, TSU, BAG,
AVS, or ENC. For specific requirements of each of these License
Exceptions, refer to part 740 of the EAR. Notwithstanding the above,
this paragraph may not be applied to exports or reexports that require
a license under paragraph (a)(4) of this section.
* * * * *
0
26. Section 746.4(c)(1) is amended:
0
a. In paragraph (c)(1) by removing the phrase ``Sec.
740.9(a)(2)(viii)'' and adding in its place ``Sec. 740.9(a)(9)''.
0
b. In paragraph (c)(2) by removing the phrase ``(b)(2)(i) and
(b)(2)(ii)'' and adding in its place ``(b)(2)''.
Sec. 746.9 [Amended]
0
27. Section 746.9 is amended:
0
a. In paragraph (b)(1) by removing the phrase ``Sec.
740.9(a)(2)(viii)'' and adding in its place ``Sec. 740.9(a)(9)''.
[[Page 32626]]
0
b. In paragraph (b)(2) by removing the phrase ``Sec. 740.11(b)(2)(i)
and (ii)'' and adding in its place ``Sec. 740.11(b)(2)''.
PART 748--[AMENDED]
0
28. The authority citation for 15 CFR part 748 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13222, 66
FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August 8, 2013, 78 FR
49107 (August 12, 2013).
Sec. 748.2 [Amended]
0
29. Section 748.2(a)(3) is amended by removing the phrase ``(408) 998-
8805 or''.
Sec. 748.4 [Amended]
0
30. Section 748.4(h) is amended by removing the phrase ``Sec.
750.7(h)'' and adding in its place ``Sec. 750.7(g)'' in the final
sentence.
Supplement No. 1 to Part 748 [Amended]
0
31. Supplement No. 1 to part 748 is amended by adding a single space
between ``(x)'' and the word ``of'' in the fifth sentence at the end of
Block 24.
Supplement No. 7 to Part 748 [Amended]
0
32. Supplement No. 7 to part 748 (Authorization Validated End-User
(VEU): List of Validated End-Users, Respective Items Eligible for
Export, Reexport and Transfer, and Eligible Destinations) is amended by
adding the citation ``78 FR 54752, 9/6/13.'' at the end of the entry in
the ``Federal Register Citation'' Column for VEU ``Lam Research Service
Co., Ltd.'' in ``China, (Peoples Republic of)''.
PART 750--[AMENDED]
0
33. The authority citation for part 750 continues to read as follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
Sec 1503, Pub. L. 108-11, 117 Stat. 559; E.O. 13026, 61 FR 58767, 3
CFR, 1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp.,
p. 783; E.O. 13637 of March 8, 2013, 78 FR 16129 (March 13, 2013);
Presidential Determination 2003-23 of May 7, 2003, 68 FR 26459, May
16, 2003; Notice of August 8, 2013, 78 FR 49107 (August 12, 2013).
0
34. Section 750.7 is amended:
0
a. By revising paragraph (c)(1)(ix); and
0
b. By adding paragraph (c)(2) to read as follows:
Sec. 750.7 Issuance of licenses.
* * * * *
(c) * * *
(1) * * *
(ix) Direct exports, reexports, or transfers (in-country) to and
among approved end users and the ultimate consignee on a license,
provided those end users and ultimate consignee are listed by name and
location on such license and the license does not contain any
conditions specific to the ultimate consignee that cannot be complied
with by the end user, such as a reporting requirement that must be made
by the ultimate consignee. Reexports and transfers (in-country) among
approved end users may be further limited by license conditions.
(2) In some circumstances, BIS may authorize changing the name of a
person listed on a license (i.e., name of exporter, reexporter,
purchaser, intermediate consignee, ultimate consignee or end user),
provided the pertinent person has not undergone a change in ownership,
including merger or acquisition, or any other change in legal status
since the time the license was issued. In order to rely on this
paragraph (c)(2), BIS must have approved the name change in response to
an advisory opinion request submitted by the licensee pursuant to Sec.
748.3(c) of the EAR and the instructions below.
(i) The advisory opinion request must be submitted on the
licensee's company letterhead and include the following information:
(A) The title of the advisory opinion, in this format: ``License
name change notification and review request;''
(B) All license numbers subject to the notification and review
request (either in the letter or as a separate attachment);
(C) The name(s) changing on the license(s) (include the original
and new names), and when the name(s) are changing (either in the letter
or as a separate attachment);
(D) Any background information available on the reasons for the
name change(s) (e.g., press releases from the person changing its
name(s)); and
(E) A statement regarding whether there has been a change in
ownership, including a merger or acquisition, or any other change in
legal status regarding the person(s) changing its name(s).
(F) Confirmation that, if the request is approved, the licensee
will share the advisory opinion response from BIS with all other
persons listed on the license, and inform those persons that the
advisory opinion response must be retained pursuant to the
recordkeeping requirements in part 762 of the EAR.
(ii) If BIS determines the name change is not a material change to
the license and approves the request to change the name(s) on the
license, BIS will send a written response to the licensee who submitted
the notification. If BIS does not approve the request to change the
name(s) on the license, BIS will send a written response to the
licensee who submitted the notification.
(iii) For guidance on using an export license with approved name
changes, see Sec. 758.4(d) (Exports against license with approved name
change).
(iv) If a license name change notification and review request is
denied by BIS or the licensee determines that there has been a material
change to the license, such as a change in ownership of a person on the
license, including merger or acquisition, or any other change in legal
status since the time the license was issued, a new license application
should be submitted.
* * * * *
PART 758--[AMENDED]
0
35. The authority citation for part 758 continues to read as follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August
8, 2013, 78 FR 49107 (August 12, 2013).
0
36. Section 758.1 is amended:
0
a. In paragraph (b)(3) by adding the phrase ``or otherwise described''
after the term ``enumerated'';
0
b. In paragraph (c)(6) by removing the phrase ``Sec. 740.9(a)(2)(i)''
and adding in its place ``Sec. 740.9(a)(1)''; and
0
c. By revising paragraph (f)(2) to read as follows:
Sec. 758.1 The Electronic Export Information (EEI) filing to the
Automated Export System (AES).
* * * * *
(f) * * *
(2) Statements on the EEI filing are in conformity with the
contents of any license issued by BIS, with the possible exception of
the USPPI and USPPI identification blocks in routed transactions or any
name change approved by BIS in writing in accordance with Sec.
750.7(c)(2) of the EAR; and
* * * * *
0
37. Section 758.4 is amended by adding paragraph (d) to read as
follows:
Sec. 758.4 Use of export license.
* * * * *
(d) Exports against license with approved name changes. If you are
exporting against a license with approved name changes under Sec.
750.7(c)(2) of the EAR, prior to using that export license you are
required to include in the respective name field in
[[Page 32627]]
AES (e.g., in the USPPI name field in AES), the new name followed by
the original name in this format ``[new name] f.k.a. [original name].''
This reporting requirement would be completed by the authorized filer
of the electronic export information (EEI) in AES. Although not
required, the exporter may include a copy of the BIS written response
approving the non-material name changes in accordance with Sec.
750.7(c)(2) of the EAR. If the items have already been exported against
the license by the time the name changes are approved, you are not
required to report this additional information in AES, but you still
must follow the recordkeeping requirements in part 762 of the EAR.
PART 762--[AMENDED]
0
38. The authority citation for 15 CFR part 762 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August
8, 2013, 78 FR 49107 (August 12, 2013).
0
39. Section 762.2 is amended:
0
a. In paragraph (b)(9) by removing ``Sec. 740.13(f)'' and adding in
its place ``Sec. 740.13(h)'';
0
b. By revising paragraph (b)(13);
0
c. By removing the word ``and'' at the end of paragraph (b)(50);
0
d. By removing the period ``.'' at the end of paragraph (b)(51) and
adding in its place a semi-colon ``;''; and
0
e. By adding paragraphs (b)(52) and (b)(53) to read as follows:
Sec. 762.2 Records to be retained.
* * * * *
(b) * * *
(13) Sec. 743.4(c)(1) and (c)(2), Conventional arms reporting;
* * * * *
(52) Sec. 744.15(b), UVL statement as well as any logs or records
created for multiple exports, reexports, and transfers (in-country);
and
(53) Sec. 750.7(c)(2), Notification of name change by advisory
opinion request.
* * * * *
PART 772--[AMENDED]
0
40. The authority citation for 15 CFR part 772 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August
8, 2013, 78 FR 49107 (August 12, 2013).
0
41. Section 772.1 is amended:
0
a. In the definition of ``specially designed'' by removing the word
``a'' immediately before the phrase ``achieving or exceeding'' in the
fourth sentence of Note to paragraph (a)(1);
0
b. In the definition of ``technology'' by adding a sentence to the end
of the definition, and by redesignating the Note as Note 1 and by
adding a new Note 2; and
0
c. In the definition of ``use'' by adding a new Note to read as
follows:
Sec. 772.1 Definitions of terms as used in the Export Administration
Regulations (EAR).
* * * * *
Technology. * * * ``Technology'' also is specific information
necessary for any of the following: Operation, installation (including
on-site installation), maintenance (checking), repair, overhaul,
refurbishing, or other terms specified in ECCNs on the CCL that control
``technology.''
* * * * *
Note 2: ``Technology'' not elsewhere specified on the CCL is
designated as EAR99, unless the ``technology'' is subject to the
exclusive jurisdiction of another U.S. Government agency (see Sec.
734.3(b)(1)) or is otherwise not subject to the EAR (see Sec.
734.4(b)(2) and (b)(3) and Sec. Sec. 734.7 through 734.11 of the
EAR).
* * * * *
Use. * * *
Note: If an ECCN specifies one or more of the six elements of
``use'' in the heading or control text, only those elements
specified are classified under that ECCN.
* * * * *
PART 774--[AMENDED]
0
42. The authority citation for 15 CFR part 774 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
10 U.S.C. 7420; 10 U.S.C. 7430(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et
seq.; 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u); 42 U.S.C. 2139a; 42
U.S.C. 6212; 43 U.S.C. 1354; 15 U.S.C. 1824a; 50 U.S.C. app. 5; 22
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR 58767, 3 CFR,
1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
783; Notice of August 8, 2013, 78 FR 49107 (August 12, 2013).
0
43. Section 774.1 is amended by revising paragraph (b)(3) and the Note
to paragraph (b) to read as follows:
Sec. 774.1 Introduction.
* * * * *
(b) * * *
(3) The following multilateral export control regime reference is
provided, as an additional point of historical reference: 0C201--
INFCIRC 254 Part 1, 5.3.1(b).
Note to paragraph (b): ECCNs 0D001 and 0E001 are ``subject to
the ITAR'' (see 22 CFR parts 120 through 130). These ECCNs are
retained on the CCL as cross references to the ITAR, although the
former cross references to export licensing authority of the Nuclear
Regulatory Commission (see 10 CFR part 110) for ECCN 0D001, and to
the Department of Energy (see 10 CFR part 810) for 0E001 were
removed from the Control(s) paragraph in the License Requirements
section of these two ECCNs and added as a more general
jurisdictional cross reference in a heading note added to these two
ECCNs as of June 5, 2014.
* * * * *
0
44. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0A604
is amended by revising the heading, as added January 2, 2014, at 79 FR
282, effective July 1, 2014, to read as follows:
Supplement No. 1 to Part 774--The Commerce Control List
* * * * *
0A604 Commodities related to military explosive devices and charges
(see List of Items Controlled).
* * * * *
0
45. Supplement No. 1 to part 774 (the Commerce Control List), is
amended by adding quotes around the phrase ``subject to the ITAR''
wherever it appears in Export Control Classification Numbers (ECCNs):
0A604, 0A614, 1A005, 1A613, 1B608, 1C239, 9D001, 9D002, 9D003, 9D104,
9E001, 9E002, 9E101, and 9E102, as added January 2, 2014, at 79 FR 282-
294, effective July 1, 2014.
0
46. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0A606
is amended:
0
a. By adding quotes around the term ``specially designed'' in Note 2.a
to paragraph a. in the ``Items'' paragraph in the List of Items
Controlled section;
0
b. By adding quotes around the term ``components'' wherever it appears
in the introductory text of Note 2 to paragraph a, and in Notes
2.b.1.a, 2.f, and y.12. in the ``Items'' paragraph in the List of Items
Controlled section.
0
c. By adding quotes around the term ``parts'' '' in Note 2.b to
paragraph a in the ``Items'' paragraph in the List of Items Controlled
section; and
0
b. By revising the heading to read as follows:
0A606 Ground vehicles and related commodities, as follows (see List
of Items Controlled).
* * * * *
0
47. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items),
[[Page 32628]]
Export Control Classification Number (ECCN) 0A614 is amended by
revising the heading, as added January 2, 2014, at 79 FR 282, effective
July 1, 2014, to read as follows:
0A614 Military training ``equipment,'' as follows (see List of Items
Controlled).
* * * * *
0
48. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0A617
is amended:
0
a. By adding quotes around the terms ``components'' and ``parts'' in
the ``Related Controls'' paragraph (6) in the List of Items Controlled
section;
0
b. By adding quotes around the term ``specially designed'' in the
``Related Controls'' paragraph (10) in the List of Items Controlled
section; and
0
c. By adding a ``Related Definitions'' paragraph after the ``Related
Controls'' paragraph in the List of Items Controlled Section to read as
follows:
0A617 Miscellaneous ``equipment,'' materials, and related
commodities (see List of Items Controlled).
* * * * *
List of Items Controlled
* * * * *
Related Definitions: N/A
* * * * *
0
49. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0A918
is amended by revising the heading to read as follows:
0A918 Miscellaneous military equipment not on the Wassenaar
Munitions List (see List of Items Controlled).
* * * * *
0
50. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0A988
is amended by further revising the heading, as revised January 2, 2014,
at 79 FR 283, effective July 1, 2014, to read as follows:
0A988 Conventional military steel helmets as described by 0A018.d.1.
* * * * *
0
51. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0B604
is amended by revising the heading, as added January 2, 2014, at 79 FR
283, effective July 1, 2014, to read as follows:
0B604 Test, inspection, and production ``equipment'' and related
commodities ``specially designed'' for the ``development,''
``production,'' repair, overhaul, or refurbishing of commodities in
ECCN 0A604 or related defense articles in USML Category IV (see List
of Items Controlled).
* * * * *
0
52. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0B614
is amended by revising the heading, as added January 2, 2014, at 79 FR
283, effective July 1, 2014, to read as follows:
0B614 Test, inspection, and production ``equipment'' for military
training ``equipment'' and ``specially designed'' ``parts,''
``components,'' ``accessories'' and ``attachments'' therefor, as
follows (see List of Items Controlled).
* * * * *
0
53. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0D001
is amended:
0
a. By further revising the heading, as revised January 2, 2014, at 79
FR 283, effective July 1, 2014;
0
b. By adding a heading note; and
0
c. By removing the first Control(s) paragraph in License Requirements
section, to read as follows:
0D001 ``Software'' ``specially designed'' or modified for the
``development,'' ``production,'' or ``use'' of commodities described
in 0A002. (These items are ``subject to the ITAR.'' See 22 CFR parts
120 through 130.)
Heading Note: Certain ``software'' for the ``development,''
``production,'' or ``use'' of nuclear related commodities is subject
to the export licensing authority of the Nuclear Regulatory
Commission (see 10 CFR part 110).
* * * * *
0
54. Supplement No. 1 to part 774 (the Commerce Control List), is
amended by adding the phrase ``(see List of Items Controlled).'' at the
end of the headings in Export Control Classification Numbers (ECCN):
0D604, 0E604, 1D608, 1E608, 9D604, and 9E604, as added January 2, 2014,
at 79 FR 284-294, effective July 1, 2014.
0
55. Supplement No. 1 to part 774 (the Commerce Control List), is
amended by adding a period at the end of the headings in Export Control
Classification Numbers (ECCN): 0D614, 0E614, 1B608, 1B613, 1C018,
1D018, 1D613, 1E001, 1E101, 1E201, 9A604, 9B115, 9B116, 9B604, 9D001,
9D002, 9D003, 9D104, 9E001, 9E101, and 9E102, as added January 2, 2014,
at 79 FR 284-294, effective July 1, 2014.
0
56. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0E001
is amended:
0
a. By further revising the heading, as revised January 2, 2014, at 79
FR 284, effective July 1, 2014;
0
b. By adding a heading note; and
0
c. By removing the first Control(s) paragraph in the License
Requirements section to read as follows:
0E001 ``Technology,'' according to the Nuclear Technology Note, for
the ``development,'' ``production,'' or ``use'' of items described
in 0A002, or 0D001.
Heading Note: ``Technology'' for certain items subject to the
export licensing authority of the Nuclear Regulatory Commission (see
10 CFR part 110) is subject to the export licensing authority of the
Department of Energy (see 10 CFR part 810).
* * * * *
0
57. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0E018
is amended by adding a period after the phrase ``for items formerly
controlled by 0A018.a'' in the Note to the ``items'' paragraph in the
List of Items Controlled section.
0
58. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 0--Nuclear Materials, Facilities & Equipment (and
Miscellaneous Items), Export Control Classification Number (ECCN) 0E614
is amended by adding a comma between the terms ``repair'' and
``overhaul'' in the ``items'' paragraph a in the List of Items
Controlled section, as added January 2, 2014, at 79 FR 285, effective
July 1, 2014.
0
59. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals, add the
Product Group D heading ``SOFTWARE'' immediately before Export Control
Classification Number (ECCN) 1D001.
0
60. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' the Technical Note introductory text
after the Product Group C: ``Materials'' heading is amended by removing
[[Page 32629]]
``1C012'' and adding in its place ``1C011''.
0
61. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1A001 is amended by adding quotes around ``specially designed''
in the ``Related Controls'' paragraph (1) in the List of Items
Controlled section.
0
62. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1A004 is amended by removing the term ``agent'' and adding in
its place the term ``agents'' in Technical Note 1 to the ``items''
paragraph in the List of Items Controlled section.
0
63. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1A007 is amended by adding quotes around the term ``specially
designed'' in the heading and in the ``Related Controls'' paragraph in
the List of Items Controlled section, as revised January 2, 2014, at 79
FR 285, effective July 1, 2014.
0
64. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1A101 is amended by removing the term ``which'' in the ``Related
Controls'' paragraph (2) in the List of Items Controlled section.
0
65. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1A613, as added January 2, 2014, at 79 FR 286, effective July 1,
2014, is amended:
0
a. By revising the heading;
0
b. By adding ``Related Controls'' paragraph (3) to the ``Related
Controls'' paragraph in the List of Items Controlled section; and
0
c. By revising ``items'' paragraph e and adding ``items'' paragraph f
in the List of Items Controlled section.
1A613 Armored and protective ``equipment'' and related commodities,
as follows (see List of Items Controlled).
* * * * *
List of Items Controlled
Related Controls: * * * (3) See ECCN 9A610.g for anti-gravity
suits (``G-suits'') and pressure suits capable of operating at
altitudes higher than 55,000 feet above sea level.
* * * * *
Items:
* * * * *
e. Atmospheric diving suits ``specially designed'' for rescue
operations for submarines controlled by the USML or the CCL.
f. Other personal protective ``equipment'' ``specially
designed'' for military applications not controlled by the USML, not
elsewhere controlled on the CCL.
* * * * *
0
66. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1A984 is amended by revising the heading to read as follows:
1A984 Chemical agents, including tear gas formulation containing 1
percent or less of orthochlorobenzalmalononitrile (CS), or 1 percent
or less of chloroacetophenone (CN), except in individual containers
with a net weight of 20 grams or less; liquid pepper except when
packaged in individual containers with a net weight of 3 ounces
(85.05 grams) or less; smoke bombs; non-irritant smoke flares,
canisters, grenades and charges; and other pyrotechnic articles
(excluding shotgun shells) having dual military and commercial use,
and ``parts'' and ``components'' ``specially designed'' therefor,
n.e.s.
* * * * *
0
67. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1C111 is amended by removing ``C111.c.1'' and adding
``1C111.c.1'' in its place in the ``Related Controls'' paragraph (1) in
the List of Items Controlled section.
0
68. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms,'' and ``Toxins,'' Export Control Classification
Number (ECCN) 1C239 is amended by revising the heading to read as
follows:
1C239 High explosives, other than those controlled by the U.S.
Munitions List, or substances or mixtures containing more than 2% by
weight thereof, with a crystal density greater than 1.8 g/cm\3\ and
having a detonation velocity greater than 8,000 m/s.
* * * * *
0
69. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1C350, Item.c.12 is amended by removing ``Ethyldiethan-olamine''
and adding ``Ethyldiethanolamine'' in its place.
0
70. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1C608 is amended by revising the heading, as added January 2,
2014, at 79 FR 288, effective July 1, 2014, to read as follows:
1C608 Energetic materials and related commodities (see List of Items
Controlled).
* * * * *
0
71. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1D018 is amended by adding quotes around the term ``specially
designed'' in the heading, as added January 2, 2014, at 79 FR 289,
effective July 1, 2014.
0
72. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 1--Special Materials and Related Equipment, Chemicals,
``Microorganisms'' and ``Toxins,'' Export Control Classification Number
(ECCN) 1E001 is amended:
0
a. By adding quotes around the term ``specially designed'' in the
``Related Controls'' paragraph (3) in the List of Items Controlled
section, as revised January 2, 2014, at 79 FR 290, effective July 1,
2014; and
0
b. By removing the phrase ``eight destinations listed in Sec.
740.20(c)(2) of the EAR'' and adding in its place ``destinations listed
in Country Group A:6 (See Supplement No.1 to part 740 of the EAR)'' in
the STA paragraph of the ``Special Conditions for STA'' section.
0
73. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 2--Materials Processing, Export Control Classification Number
(ECCN) 2A291 is amended by adding quotes around the term
``accessories'' in the ``items'' paragraph d in the List of Items
Controlled section.
[[Page 32630]]
0
74. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 2--Materials Processing, Export Control Classification Number
(ECCN) 2B350 is amended by removing the term ``include'' and adding in
its place ``includes'' in the ``Related Definitions'' paragraph in the
List of Items Controlled section.
0
75. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 2--Materials Processing, Export Control Classification Number
(ECCN) 2B352 is amended:
0
a. By revising ``items'' paragraph h and the introductory text of
paragraph i in the List of Items Controlled section; and
0
b. By revising ``Technical Notes'' paragraph 2 at the end of the
``items'' paragraph in the List of Items Controlled section to read as
follows:
2B352 Equipment capable of use in handling biological materials, as
follows (see List of Items Controlled).
* * * * *
List of Items Controlled
* * * * *
Items:
* * * * *
h. Chambers designed for aerosol challenge testing with
microorganisms, viruses, or toxins and having a capacity of 1 m\3\
or greater.
i. Spraying or fogging systems and ``parts'' and ``components''
therefor, as follows:
* * * * *
Technical Notes:
* * * * *
2. This ECCN does not control spraying or fogging systems,
``parts'' and ``components,'' as specified in 2B352.i, that are
demonstrated not to be capable of delivering biological agents in
the form of infectious aerosols.
* * * * *
0
76. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 2--Materials Processing, Export Control Classification Number
(ECCN) 2B999 is amended by revising the ``Related Controls'' paragraph
in the List of Items Controlled section to read as follows:
2B999 Specific processing equipment, n.e.s., as follows (see List of
Items Controlled).
* * * * *
List of Items Controlled
Related Controls: (1) See also 1B233, 2A293, 2B001.f, 2B004,
2B009, 2B104, 2B109, 2B204, 2B209, 2B228, 2B229, 2B231, and 2B350.
(2) Certain nuclear related processing equipment is subject to the
export licensing authority of the Nuclear Regulatory Commission (see
10 CFR part 110).
* * * * *
0
77. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 2--Materials Processing, the Category 2E--Materials Processing
Table; Deposition Techniques is amended by removing the phrase
``Dielectric Players'' and adding in its place ``Dielectric layers'' in
the third column of the fifth row of the table.
0
78. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 3--Electronics, Export Control Classification Number (ECCN)
3A001 is amended by adding quotes around the terms ``accessories'' and
``attachments'' in ``Related Controls'' paragraph (2)(c) in the List of
Items Controlled section.
0
79. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 3--Electronics, Export Control Classification Number (ECCN)
3E982 is amended by removing the term ``require'' and adding in its
place ``required'' in quotes in the heading.
0
80. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 4--Computers, Export Control Classification Number (ECCN)
4A003 is amended by redesignating ``Note 1'' as ``Note'' at the end of
the License Requirements section;
0
81. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 5--Telecommunications and ``Information Security,'' Part 1
Telecommunications, Export Control Classification Number (ECCN) 5A001
is amended by adding quotes around the term ``accessories'' in
``items'' paragraph b in the List of Items Controlled section.
0
82. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 5--Telecommunications and ``Information Security,'' Part 1
Telecommunications, Export Control Classification Number (ECCN) 5A980
is amended by revising the heading to read as follows:
5A980 Devices primarily useful for the surreptitious interception of
wire, oral, or electronic communications, other than those
controlled under 5A001.f.1; and ``parts,'' ``components'' and
``accessories'' therefor.
* * * * *
0
83. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 5--Telecommunications and ``Information Security,'' Part 1--
Telecommunications, Export Control Classification Number (ECCN) 5B001
is amended:
0
a. By removing the phrase ``eight destinations listed in Sec.
740.20(c)(2) of the EAR'' and adding in its place ``destinations listed
in Country Group A:6 (See Supplement No.1 to part 740 of the EAR)'' in
the STA paragraph of the ``Special Conditions for STA'' section; and
0
b. By adding quotes around the term ``components'' in ``items''
paragraph b in the List of Items Controlled section.
0
84. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 5--Telecommunications and ``Information Security,'' Part 2--
Information Security:
0
a. Add the Product Group A heading ``END ITEMS,'' ``EQUIPMENT,''
``ACCESSORIES,'' ``ATTACHMENTS,'' ``PARTS,'' ``COMPONENTS,'' AND
``SYSTEMS'' immediately before Export Control Classification Number
(ECCN) 5A002;
0
b. Add the Product Group B heading TEST, INSPECTION AND ``PRODUCTION
EQUIPMENT'' immediately before Export Control Classification Number
(ECCN) 5B002; and
0
c. Add the Product Group E heading ``TECHNOLOGY'' immediately before
Export Control Classification Number (ECCN) 5E002.
0
85. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 5--Telecommunications and ``Information Security,'' Part 2--
Information Security, Export Control Classification Number (ECCN) 5A002
is amended by adding the word ``and'' before the term ``components'' in
the heading.
0
86. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 6--Sensors and Lasers, Export Control Classification Number
(ECCN) 6A002 is amended by revising the Special Conditions for STA
section to read as follows:
6A002 Optical sensors and equipment, and ``components'' therefor, as
follows (see List of Items Controlled).
* * * * *
Special Conditions for STA
STA: License Exception STA may not be used to ship to any of the
destinations listed in Country Group A:6 (See Supplement No. 1 to
part 740 of the EAR) any commodity in: 6A002.a.1.a, a.1.b or a.1.c;
6A002.a.3.c, a.3.d, a.3.e, or a.3.f; or 6A002.b.
* * * * *
0
87. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 6--Sensors and Lasers, Export Control Classification Number
(ECCN) 6A004 is amended:
0
a. By adding quotes around the term ``components'' in the heading; and
0
b. By adding a closing quotation mark after the first word in ``items''
paragraph c.4 in the List of Items Controlled section.
[[Page 32631]]
0
88. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 6--Sensors and Lasers, Export Control Classification Number
(ECCN) 6A998 is amended by removing the quotes around the term ``major
components'' and adding quotes back only around the term ``components''
in the heading.
0
89. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 6--Sensors and Lasers, Export Control Classification Number
(ECCN) 6B995 is amended by revising the heading to read as follows:
6B995 Equipment, including tools, dies, fixtures or gauges, and
other ``specially designed'' ``parts,'' ``components'' and
``accessories'' therefor, ``specially designed'' or modified for any
of the following (see List of Items Controlled).
* * * * *
0
90. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 7--Navigation and Avionics, Export Control Classification
Number (ECCN) 7D101 is amended by removing the term ``the'' and the
period ``.'' in the MT entry in the License Requirements table.
0
91. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 8--Marine, Export Control Classification Number (ECCN) 8A018
is amended by adding quotes around the terms ``specially designed'' and
``components'' wherever they appear in this ECCN.
0
92. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 8--Marine, Export Control Classification Number (ECCN) 8A609
is amended by removing the second semicolon at the end of ``items''
paragraph y.8 in the List of Items Controlled section.
0
93. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 8--Marine, Export Control Classification Number (ECCN) 8A620
is amended by adding quotes around the terms ``specially designed'' and
``components'' in ``items'' paragraph f in the List of Items Controlled
section.
0
94. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 8--Marine, Export Control Classification Number (ECCN) 8A992
is amended by removing ``UN'' from the Reasons for Control and by
removing the UN entry in the License Requirements table.
0
95. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 8--Marine, Export Control Classification Number (ECCN) 8C609
is amended by revising the heading to read as follows:
8C609 Materials ``specially designed'' for the ``development'' or
``production'' of commodities controlled by 8A609 not elsewhere
specified in the USML (see List of Items Controlled).
* * * * *
0
96. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 8--Marine, Export Control Classification Number (ECCN) 8E001
is amended by removing the term ``software'' and adding the term
``technology'' in its place in the TSR paragraph in the List Based
License Exceptions section.
0
97. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9A120 is amended by removing ``2B352.h'' and adding in
its place ``2B352.i'' in the ``Related Controls'' paragraph in the List
of Items Controlled section.
0
98. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9A610 is amended:
0
a. By revising ``items'' paragraph h in the List of Items Controlled
section;
0
b. By revising the introductory text of ``items'' paragraph y in the
List of Items Controlled section; and
0
c. By adding a new paragraph y.30 to ``items'' paragraph y in the List
of Items Controlled section to read as follows:
9A610 Military aircraft and related commodities, other than those
enumerated in 9A991.a (see List of Items Controlled).
* * * * *
List of Items Controlled
* * * * *
Items:
* * * * *
h. Parachutes, paragliders, complete parachute canopies,
harnesses, platforms, electronic release mechanisms ``specially
designed'' for use with aircraft controlled by either USML paragraph
VIII(a) or ECCN 9A610.a, and ``equipment'' ``specially designed''
for military high altitude parachutists, such as suits, special
helmets, breathing systems, and navigation equipment.
* * * * *
y. Specific ``parts,'' ``components,'' ``accessories,'' and
``attachments'' ``specially designed'' for a commodity subject to
control in this ECCN or a defense article in USML Category VIII and
not elsewhere specified in the USML or the CCL, and other aircraft
commodities ``specially designed'' for a military use, as follows,
and ``parts,'' ``components,'' ``accessories,'' and ``attachments''
``specially designed'' therefor:
* * * * *
y.30. ``Parts,'' ``components,'' ``accessories,'' and
``attachments'' for use in or with a commodity other than electronic
items or navigation equipment controlled by ECCN 9A610.h.
0
99. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9A619 is amended by revising the introductory text of
``items'' paragraph y in the List of Items Controlled section to read
as follows:
9A619 Military gas turbine engines and related commodities (see List
of Items Controlled).
* * * * *
List of Items Controlled
* * * * *
Items:
* * * * *
y. Specific ``parts,'' ``components,'' ``accessories,'' and
``attachments'' ``specially designed'' for a commodity subject to
control in this ECCN or for a defense article in USML Category XIX
and not elsewhere specified on the USML or in the CCL, and other
commodities, as follows, and ``parts,'' ``components,''
``accessories,'' and ``attachments'' ``specially designed''
therefor:
* * * * *
0
100. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9A990 is amended by removing quotes from the term ``major
components'' and adding quotes back only around the term ``components''
in ``items'' paragraphs b and c in the List of Items Controlled
section.
0
101. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9B115 is amended by removing ``9A104'' and adding in its
place ``9A103'' in the ``Related Controls'' paragraph in the List of
Items Controlled section.
0
102. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9B116 is amended by removing ``9A104'' and adding in its
place ``9A103'' in the ``Related Controls'' paragraph in the List of
Items Controlled section.
0
103. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9B610 is amended by revising the ``Related Controls''
paragraph in the List of Items Controlled section to read as follows:
9B610 Test, inspection, and production ``equipment'' and related
commodities ``specially designed'' for the ``development'' or
``production'' of commodities enumerated or otherwise
[[Page 32632]]
described in ECCN 9A610 or USML Category VIII (see List of Items
Controlled).
* * * * *
List of Items Controlled
Related Controls: USML Category VIII(h)(1) controls ``parts,''
``components,'' ``accessories,'' ``equipment,'' and ``attachments''
``specially designed'' for the aircraft enumerated or otherwise
described in Category VIII(h)(1), but does not control the
commodities enumerated or otherwise described in ECCN 9B610. USML
Category VIII(h)(2)-(26) controls other aircraft ``parts,''
``components,'' ``accessories,'' ``attachments,'' ``equipment,'' and
``systems.''
* * * * *
0
104. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9B619 is amended:
0
a. By revising the heading; and
0
b. By revising the ``Related Controls'' paragraph in the List of Items
Controlled section to read as follows:
9B619 Test, inspection, and production ``equipment'' and related
commodities ``specially designed'' for the ``development'' or
``production'' of commodities enumerated or otherwise described in
ECCN 9A619 or USML Category XIX (see List of Items Controlled).
* * * * *
List of Items Controlled
Related Controls: USML Category XIX(f)(1) controls ``parts,''
``components,'' ``accessories,'' ``equipment,'' and ``attachments''
``specially designed'' for the engines described in Category
XIX(f)(1), but does not control the commodities enumerated or
otherwise described in ECCN 9B619. USML Category XIX(f)(2)-(7)
controls other engine ``parts,'' ``components,'' ``accessories,''
``attachments,'' ``equipment,'' and ``systems.''
* * * * *
0
105. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9B991 is amended by revising the heading to read as
follows:
9B991 ``Specially designed'' ``equipment,'' tooling or fixtures, not
controlled by 9B001, for manufacturing or measuring gas turbine
blades, vanes or tip shroud castings, as follows (see List of Items
Controlled).
* * * * *
0
106. In Supplement No. 1 to part 774 (the Commerce Control List),
Category 9--Aerospace and Propulsion, Export Control Classification
Number (ECCN) 9E101 is amended by removing ``9A104'' and adding in its
place ``9A103'' in the ``Related Controls'' paragraph in the List of
Items Controlled section.
Supplement No. 4 to Part 774--[Amended]
0
107. In Supplement No. 4 to Part 774--Commerce Control List Order of
Review, under paragraph (a)(5), in the second to last sentence, remove
the phrase ``Steps 4a and 4b'' and add in its place ``Steps 4.a and
4.b''.
Dated: May 21, 2014.
Kevin J. Wolf,
Assistant Secretary for Export Administration.
[FR Doc. 2014-12151 Filed 6-4-14; 8:45 am]
BILLING CODE 3510-33-P