Control of Firearms, Guns, Ammunition and Related Articles the President Determines No Longer Warrant Control Under the United States Munitions List (USML), 46590-46597 [2021-17647]

Download as PDF 46590 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations List of Subjects in 10 CFR 431 Administrative practice and procedure, Confidential business information, Energy conservation, Incorporation by reference, Intergovernmental relations, Reporting and recordkeeping requirements, Small businesses. Signing Authority This document of the Department of Energy was signed on August 13, 2021, by Kelly Speakes-Backman, Principal Deputy Assistant Secretary and Acting Assistant Secretary for Energy Efficiency and Renewable Energy, pursuant to delegated authority from the Secretary of Energy. That document with the original signature and date is maintained by DOE. For administrative purposes only, and in compliance with requirements of the Office of the Federal Register, the undersigned DOE Federal Register Liaison Officer has been authorized to sign and submit the document in electronic format for publication, as an official document of the Department of Energy. This administrative process in no way alters the legal effect of this document upon publication in the Federal Register. Signed in Washington, DC, on August 13, 2021. Treena V. Garrett, Federal Register Liaison Officer, U.S. Department of Energy. For the reasons set forth in the preamble, DOE amends part 431 of chapter II, subchapter D, of title 10 of the Code of Federal Regulations, as set forth below: PART 431—ENERGY EFFICIENCY PROGRAM FOR CERTAIN COMMERCIAL AND INDUSTRIAL EQUIPMENT 1. The authority citation for part 431 continues to read as follows: ■ Authority: 42 U.S.C. 6291–6317; 28 U.S.C. 2461 note. ■ 2. Add subpart J to read as follows: Subpart J—Fans and Blowers Sec. 431.171 Purpose and scope. 431.172 Definition. 431.173–431.176 [Reserved]. Subpart J—Fans and Blowers lotter on DSK11XQN23PROD with RULES1 § 431.171 Purpose and scope. This subpart contains provisions regarding fans and blowers, pursuant to Part C of Title III of the Energy Policy and Conservation Act, as amended, 42 U.S.C. 6311–6317. This subpart does not cover ‘‘ceiling fans’’ as that term is defined and addressed in part 430 this chapter, nor does it cover ‘‘furnace fans’’ VerDate Sep<11>2014 18:33 Aug 18, 2021 Jkt 253001 as that term is defined and addressed in part 430 of this chapter. § 431.172 Definition. Fan or blower means a rotary bladed machine used to convert electrical or mechanical power to air power, with an energy output limited to 25 kilojoule (kJ)/kilogram (kg) of air. It consists of an impeller, a shaft and bearings and/or driver to support the impeller, as well as a structure or housing. A fan or blower may include a transmission, driver, and/or motor controller. §§ 431.173–431.176 [Reserved]. [FR Doc. 2021–17715 Filed 8–18–21; 8:45 am] BILLING CODE 6450–01–P DEPARTMENT OF COMMERCE Bureau of Industry and Security 15 CFR Parts 740, 742, 743, 748, 758, and 774 [Docket No. 210810–0160] RIN 0694–AF47 Control of Firearms, Guns, Ammunition and Related Articles the President Determines No Longer Warrant Control Under the United States Munitions List (USML) Bureau of Industry and Security, Department of Commerce. ACTION: Final rule; technical corrections. AGENCY: SUMMARY: On January 23, 2020, the Department of Commerce published a final rule in conjunction with a Department of State final rule to revise Categories I (firearms, close assault weapons and combat shotguns), II (guns and armaments), and III (ammunition/ ordnance) of the United States Munitions List (USML) and transfer items that no longer warrant control on the USML in the International Traffic in Arms Regulations (ITAR) to the Commerce Control List (CCL). This final rule makes corrections and clarifications to the January 23 rule. The changes made in this final rule are intended to make the requirements easier to understand, interpreted consistently, and in accordance with the intent of the Commerce January 23 rule. DATES: This rule is effective September 20, 2021. FOR FURTHER INFORMATION CONTACT: Steven Clagett, Office of Nonproliferation Controls and Treaty Compliance, Nuclear and Missile Technology Controls Division, tel. (202) 482–1641 or email steven.clagett@ bis.doc.gov. PO 00000 Frm 00012 Fmt 4700 Sfmt 4700 SUPPLEMENTARY INFORMATION: Background On January 23, 2020, the Department of Commerce published the final rule, Control of Firearms, Guns, Ammunition and Related Articles the President Determines No Longer Warrant Control Under the United States Munitions List (USML) (85 FR 4136) (referred to henceforth as the ‘‘Commerce January 23 rule’’) in conjunction with a Department of State final rule to revise Categories I, II, and III of the USML in the ITAR (85 FR 3819) (referred to henceforth as the ‘‘State January 23 rule’’). The Department of Commerce in issuing the January 23 rule described how articles the President determined no longer warrant control under USML Category I—Firearms, Close Assault Weapons and Combat Shotguns; Category II—Guns and Armament; and Category III—Ammunition/Ordnance were to be controlled on the CCL of the Export Administration Regulations (EAR). The Commerce January 23 rule was published in conjunction with the State January 23 rule, issued by the Department of State, Directorate of Defense Trade Controls (DDTC), completing the initial review of the USML that began in 2011 and making conforming changes to the EAR to control these items on the Commerce Control List (CCL). This final rule makes certain corrections and clarifications for the changes made in the Commerce January 23 rule. These changes are made to improve understanding of the 0x5zz Export Control Classification Numbers (ECCNs) for items that transitioned from USML Categories I and III to the CCL and to the associated control structure added to the EAR. These changes are informed by BIS’s experience of licensing, classifying, and enforcing the export control requirements specific to these items. These changes are also informed by BIS’s experience of conducting outreach and answering questions from the public on the changes made to the EAR in the Commerce January 23 rule. The changes made in this final rule are intended to make the requirements easier to understand, provide for consistent interpretation, and ensure the requirements are in accordance with the intent of the Commerce January 23 rule. Corrections and Clarifications In § 740.9(b) (Exports of items temporarily in the United States), this final rule removes the last sentence of the introductory text of paragraph (b)(1) and adds that same sentence as introductory text to paragraph (b). This E:\FR\FM\19AUR1.SGM 19AUR1 lotter on DSK11XQN23PROD with RULES1 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations sentence applies to all of paragraph (b), and so needed to be placed in the introductory text of paragraph (b) instead of paragraph (b)(1) to clarify the scope of its application. In § 742.17 (Exports of firearms to OAS member countries), this final rule revises the cross reference to § 748.12(d)(4) by updating that to reference paragraph (d)(3) instead of (d)(4). Paragraph (d)(4) does not exist and paragraph (d)(3) is what is intended in the described cross reference to § 748.12. In § 743.4 (Conventional arms reporting), this final rule removes the penultimate sentence of paragraph (a). This final rule removes this sentence to conform with the clarification made to § 758.1(g)(4)(ii) that this requirement only applies when a filer is following the alternative submission method for conventional arms reporting. In § 743.4, this final rule revises the second sentence of paragraph (h) to remove the phrase ‘six character ECCN classification (i.e., 0A501.a or 0A501.b)’ and adds in its place the phrase ‘items paragraph classification (i.e., .a, or .b) for ECCN 0A501.’ This change is made to conform with the change made to § 758.1(g)(4)(ii) to reduce the number of characters to be included in the Commodity description block to identify ECCN 0A501.a or .b firearms under the alternative submission method under paragraph (h). In § 748.12 (Firearms import certificate or import permit), this final rule revises paragraph (b)(1) by removing the reference to supplement no. 6 to part 748. Previously, the second parenthetical phrase in paragraph (b)(1) caused confusion for some exporters by incorrectly referencing supplement no. 6, which is reserved. To avoid this confusion, this final rule clarifies § 748.12(b)(1) by removing the parenthetical phrase that refers to supplement no. 6 to part 748. As an additional conforming change, in supplement no. 6 to part 748, this final rule revises the supplement to remove the heading and bracketed text to avoid confusion for some exporters. This change is made to supplement no. 6 to part 748 because the heading and bracketed text is unnecessary for a reserved supplement. However, because part 748 includes supplement nos. 7 to 9, this final rule continues to reserve supplement no. 6, as a placeholder for future use. In § 748.12(d) (Procedures for using document with license application), this final rule revises paragraph (d)(3) to add a new Note 2. New Note 2 clarifies that license applications for exports and reexports to an Organization of VerDate Sep<11>2014 16:12 Aug 18, 2021 Jkt 253001 American States (OAS) member country must include the initial Inter-American Convention Against the Illicit Manufacturing of and Trafficking in Firearms, Ammunition, Explosives, and other Related Materials (Firearms Convention) (FC) Import Certificate. This note also clarifies that all BIS licenses for ECCNs 0A501 and 0A505 commodities will include a standard rider that requires that the applicant/ exporter have a current FC Import Certificate on file prior to export. The note clarifies that while FC Import Certificates are usually valid for 1 year, BIS licenses are valid for 4 years. This clarification addresses a common question that BIS has received regarding the validity period of FC Import Certificates as compared to the validity period of BIS licenses. This note clarifies that it is the responsibility of the exporter to have a current copy of the FC import certificate prior to making an export under the authorization of the license. Also in § 748.12(e) (Requirement to obtain an import certificate or permit for other than OAS member states), this final rule adds a new Note 3 to paragraph (e)(3). New Note 3 clarifies the requirements for BIS license applications for ECCNs 0A501 and 0A505 commodities when the license application is not for exports to an OAS country. Note 3 clarifies that license applicants for exports and reexports to countries requiring that a governmentissued certificate or permit be obtained prior to importing the commodity must have the initial government-issued certificate or permit prior to any export under BIS license. Note 3, similar to Note 2, notes the usual, shorter validity periods of government-issued certificate or permit compared to the four year validity period of BIS licenses and clarifies that the applicant/exporter must have a current government-issued certificate or permit on file prior to export under the license. The rider included on these licenses also addresses the scenario where if subsequently a foreign government decides a government issued certificate or permit is required, the existing license would already take that into account and require the exporter or reexporter to obtain the governmentissued certificate or permit prior to making the export or reexport. Lastly, as a conforming change, this final rule redesignates Note 2 to paragraph (e) as Note 4 to paragraph (e). In § 758.1 (The electronic export information (EEI) filing to the automated export system (AES)), this final rule revises paragraph (g)(4)(ii) (Identifying end item firearms by ‘‘items’’ level PO 00000 Frm 00013 Fmt 4700 Sfmt 4700 46591 classification or other control descriptor in the EEI filing in AES), to make two clarifications. The first change clarifies that the requirement in paragraph (g)(4)(ii) is only applicable when an exporter will use the alternative submission method under § 743.4(h) for conventional arms reporting. BIS is making this change in response to questions from the public asking for clarification because they prefer using the standard method under § 743.4(h) or, as a result of how their software systems are set up for filing EEI in AES, that meeting the requirement under paragraph (g)(4)(ii) is not possible. This clarification will make it clear that when relying on the standard method, this additional EEI filing requirement in AES is not applicable. The second clarification that BIS makes is to shorten the text required in the commodity description block in the EEI filing in AES. Instead of requiring the six character ECCN classification (i.e., 0A501.a or 0A501.b), or, for shotguns controlled under 0A502, the phrase ‘0A502 barrel length less than 18 inches,’ filers will now be required, when relying on the alternative submission method, to insert ‘.a’ or ‘.b’ for 0A501, or ‘SB’ instead of ‘0A502 barrel length less than 18 inches’’ in the commodity description block in the EEI filing in AES. This change is possible because the ECCN is already included in another block in the EEI filing in AES. BIS can therefore shorten the required text, which will assist filers by eliminating problems related to the limited number of characters allowed in the commodity description block, while continuing to allow BIS to identify the items as firearms and shotguns in the AES data. In ECCN 0A018, this final rule removes the ECCN. No items are currently in this ECCN 0A018, so this change is limited to removing the heading and the cross reference to 0A505 for ‘‘parts’’ and ‘‘components’’ for ammunition that, immediately prior to March 9, 2020, were classified under 0A018.b. Because the January 23 rule has been effective for over one year, this cross reference is no longer needed. In ECCN 0A501, this final rule makes thirteen changes to the control text for clarity. These changes include adding additional notes and technical notes, as well as other clarifications to the text to make the control parameters easier to understand and, therefore, interpreted consistently. These corrections and clarifications to 0A501 are described as follows: This final rule adds a new Technical Note to 0A501.a. This technical note clarifies that the non-automatic and E:\FR\FM\19AUR1.SGM 19AUR1 lotter on DSK11XQN23PROD with RULES1 46592 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations semi-automatic firearms described in 0A501 includes those chambered for the Browning Machine Gun (BMG) cartridge. This final rule revises 0A501.c to add the term ‘striker’ after the term ‘hammers’ in two places to indicate that the term is synonymous for purposes of this control parameter. This final rule adds a new Technical Note to 0A501.c to clarify that barrel blanks that have reached a stage in manufacturing in which they are either chambered or rifled are controlled by 0A501.c. This final rule revises 0A501.d to remove the phrase ‘greater than 16 rounds’ and add in its place the phrase ‘17 to 50 rounds’ for clarity. This final rule revises Note 2 to 0A501.d to add a cross reference to the USML to specify that magazines with a capacity greater than 50 rounds are controlled under USML Category I. This final rule adds a new Note 3 to 0A501.e. This note clarifies that the term ‘frames (receivers)’ as used under 0A501.e refers to any ‘‘part’’ or ‘‘component’’ of the firearm that has or normally has a serial number when required by law. This new note also clarifies that the scope of 0A501.e for frames (receivers) is synonymous with a ‘‘part’’ or ‘‘component’’ that ATF regulates as a ‘‘firearm.’’ This final rule revises ECCN 0A501.y.1 by adding a parenthetical phrase after the term stocks to clarify that stocks include adjustable, collapsible, blades and braces. This final rule also adds the terms ‘handguards’ and ‘forends’ to ECCN 0A501.y.1 to clarify that stocks also include the handguard and the forend. Both of these amendments to ECCN 0A501.y.1 are clarifications, not additions to the parameters of the items controlled under the entry. As a conforming change to the addition of striker to ECCN 0A501.c, this final rule adds the term ‘striker’ after the term ‘hammers’ in the parenthetical phrase for the exclusions from 0A501.y.1. This final rule removes and reserves ECCN 0A501.y.2 to .y.5. This change is made because the vast majority of items that would otherwise meet the control parameters under 0A501.y.2 to y.5 were subject to the EAR prior to March 9, 2020 (the effective date of the Commerce January 23 rule) and are designated as EAR99 on the basis of paragraph (b)(1) of ‘‘specially designed.’’ Based on BIS official classifications since January 23, 2020, no additional commodities have been identified that would warrant keeping these commodities in 0A501.y. Therefore, the items that are controlled under ECCN VerDate Sep<11>2014 16:12 Aug 18, 2021 Jkt 253001 0A501.y.2 to y.5 are those commodities that meet the control parameters and were moved to the EAR on March 9, 2020. However, the items identified as being classified under 0A501.y.2 to y.5 since January 23, 2020 have not substantively differed from the other items that were previously subject to the EAR and designated as EAR99. In addition, trying to keep track of which commodities are designated EAR99 and which are controlled in 0A501.y.2 to y.5 has created unneeded burdens on industry and the U.S. Government, so it is warranted to remove these .y paragraphs and treat these commodities all as EAR99. This final rule adds a Technical note 2 to 0A501 to specify that for purposes of 0A501.e, receivers incorporating any other controlled ‘‘part’’ or ‘‘component,’’ such as a barrel under 0A501.c, remain controlled under 0A501.e. BIS has received questions from the public on the applicability of 0A501.e when a receiver incorporates a ‘‘part’’ or ‘‘component’’ from one of the items captured under other 0A501 paragraphs. This new Technical Note 2 to 0A501 will make the relationship between the different items under 0A501 clear. This final rule revises Note 3 to 0A501 to redesignate the note as Note 4 to 0A501 and to add the word ‘and’ between the terms ‘muzzle loading’ and ‘black powder.’ This clarification is made because some muzzle loaders use black powder and some muzzle loaders use smokeless powder, and both are subject to the guidance in the Note. The final rule in Note 4 to 0A501 redesignates the note as Note 5 to 0A501 and replaces the phrase ‘later than’ with the word ‘post’ for clarity. In addition, this final rule adds the word ‘and’ between the terms ‘muzzle loading’ and ‘black powder’ because, as noted above, some muzzle loaders use black powder and some muzzle loaders use smokeless powder, and both are subject to the guidance in the Note. This final rule adds a new Note 6 to 0A501, as a conforming change to the removal of ECCN 0A501.y.2 to .y.5, to specify these ‘‘parts’’ and ‘‘components’’ previously controlled under 0A501.y.2 to y.5 are designated as EAR99. This note also eliminates the confusion regarding whether these ‘‘parts’’ or ‘‘components’’ are ‘‘specially designed’’ for purposes of 0A501.x. This final rule adds a Note 7 to 0A501 to clarify how kits of commodities that contain ‘‘parts’’ and ‘‘components’’ with different classifications under 0A501 should be classified. This note clarifies that the kit should be classified based on the classification of the most restrictive ‘‘part’’ or ‘‘component’’ PO 00000 Frm 00014 Fmt 4700 Sfmt 4700 included in the kit. This guidance is based on existing BIS classification practice, but adding the new Note 7 to 0A501 will make this clear and hopefully reduce the number of questions that BIS receives specific to this issue. Note 7 to 0A501 also clarifies that a complete firearm disassembled in kit form is controlled as a firearm. In ECCN 0A505, this final rule makes nine changes to the control text for clarity. These changes include adding additional notes, technical notes, or otherwise clarifying or adding text, e.g., adding a new related definition, to make the control parameters easier to understand and interpreted consistently. These corrections and clarifications to 0A505 are as follows: This final rule adds an ECCN-specific definition of ‘marking rounds’ in the Definitions paragraph in the List of Items Controlled section of ECCN 0A505. This definition clarifies that ‘marking rounds’ are non-lethal. The definition also clarifies what ‘marking rounds’ are typically used for and the types of materials used in ‘marking rounds.’ This final rule revises ECCN 0A505.b to add the phrase ‘any material’ to the end of the parenthetical phrase that provides technical parameters for the types of buckshot controlled. The inclusion of the phrase ‘any material’ will clarify that 0A505.b controls plastic and rubber as well as metal buckshot that meet the control criteria, including the rubber/plastic (less lethal) buckshot rounds used by law enforcement. Also in 0A505.b, this final rule adds shotgun shells that contain only, or are for the dispersion of, chemical irritants to paragraph .b to clarify that such shells are controlled with buckshot shotgun shells under paragraph .b. This final rule removes shotgun shells containing only chemical irritants from ECCN 1A984 (as described further below) and adds them to 0A505.b where they will be controlled for crime control (CC Column 1), and United Nations (UN) reasons for control. Because of the controls required on shotgun shells containing only chemical irritants, it is more appropriate to control them under 0A505.b, where they will have the same level of control as they did under 1A984, than under 0A505.c. This final rule removes Note 1 to ECCN 0A505.c. Note 1 is no longer needed because the shotguns shells previously controlled under 1A984 are being moved by this final rule to 0A505.b, eliminating the need for a cross reference to 1A984 in 0A505.c. As 0A505.c is controlled for UN and AT reasons only, it was not appropriate to move the shotgun shells from 1A984 to E:\FR\FM\19AUR1.SGM 19AUR1 lotter on DSK11XQN23PROD with RULES1 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations 0A505.c, because the level of control for 1A984 items is higher than the level of control for 0A505.c items. Therefore, this rule moves the shotguns shells from 1A984 to 0A505.b where they will continue to be controlled at the same level. This final rule revises ECCN 0A505.d to add a reference to 0A502 to clarify that the blank ammunition controlled under 0A505.d includes blank ammunition for items controlled under 0A502, provided the ammunition is also not enumerated in USML Category III. This final rule also revises ECCN 0A505.d to add a technical note to clarify that ‘marking rounds’ that have paint or dye as the projectile are controlled under 0A505.d. As noted above, this rule also added a Related Definition for ‘marking rounds;’ the new definition and this new technical note to 0A505.d will enhance understanding of the controls under 0A505 for ‘marking rounds.’ This final rule revises ECCN 0A505.x to remove the reference to paragraph .d. The reference is redundant to the phrase ‘or the CCL,’ which includes 0A505.d. This final rule redesignates Note 2 to 0A505.x, Note 3 to 0A505.x, and Note 4 0A505 as Note 1 to 0A505.x, Note 2 to 0A505.x and Note 3 to 0A505, respectively, as conforming changes to the removal of Note 1 to 0A505.c. This final rule revises newly redesignated Note 1 to 0A505.x (prior to this rule designated as Note 2 to 0A505.x), to include, at the end of the note, the term ‘frangible projectiles’ after the phrase ‘copper projectiles.’ This change will clarify that the ‘‘parts’’ and ‘‘components’’ under 0A505.x include ‘frangible projectiles.’ Frangible projectiles are not made from a lead projectile covered with a copper jacket, but rather are produced with composite materials of tungsten, copper, or tin utilizing an injection molding or powder metallurgical production process. This final rule revises newly redesignated Note 3 to 0A505 (prior to this rule designated as Note 4 to 0A505), by removing the word ‘lead’ from the term ‘lead shot’ and adding in its place the word ‘metal.’ This clarification to the control parameter addresses the fact that steel and bismuth shot are also used for hunting loads, so the control parameter should not be limited to lead as the only material. The use of the term ‘metal shot’ instead of ‘lead shot’ will clarify that other types of shot are also within the control parameter, as was intended by the Commerce January 23 rule. This final rule also revises the newly redesignated Note 3 to 0A505 to VerDate Sep<11>2014 16:12 Aug 18, 2021 Jkt 253001 remove the term ‘blank’ and adds in its place the correct term ‘drill.’ This final rule adds a new Note 4 to ECCN 0A505 to clarify the items paragraph under which shotgun shells that contain two or more balls/shot larger than .24-inch are controlled. This note clarifies that such shotgun shells are controlled under 0A505.b. In ECCN 0B501, this final rule clarifies the control text of ECCN 0B501.d by deleting the word ‘spill’ in the phrase ‘spill boring.’ This final rule also adds the term ‘reaming’ before the term ‘machines.’ These changes do not change the intended scope of control. These changes are made for clarity and for consistency with BIS issued classifications for these types of machines. In ECCN 0E505, this final rule makes a correction to the text in the RS Control paragraph in the License Requirements section. The phrase ‘entire entry except’ was inadvertently included in the RS Control paragraph in the Commerce January 23 rule, which created confusion regarding the intended scope of the RS license requirement. This final rule removes the unintended phrase ‘entire entry except’ from the RS license requirement to clarify the scope of the RS license requirement under ECCN 0E505. In ECCN 1A984, this final rule revises the heading of 1A984 to remove the phrase ‘unless the shotgun shells contain only chemical irritant’ in the parenthetical phrase that follows the phrase ‘and other pyrotechnic articles.’ This final rule moves shotgun shells that contain only chemical irritants to ECCN 0A505.b, as described above under the description of changes of 0A505.b. Export Control Reform Act of 2018 On August 13, 2018, the President signed into law the John S. McCain National Defense Authorization Act for Fiscal Year 2019, which included the Export Control Reform Act of 2018 (ECRA) (codified, as amended, at 50 U.S.C. Sections 4801–4852). ECRA provides the legal basis for BIS’s principal authorities and serves as the authority under which BIS issues this rule. 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, distributive impacts, and PO 00000 Frm 00015 Fmt 4700 Sfmt 4700 46593 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 has been determined to be significant for purposes of Executive Order 12866. 2. Notwithstanding any other provision of law, no person may be required to respond to or 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 OMB control number. This final regulation involves one collection currently approved by OMB under this collection and control number: The U.S. Census Bureau collection for the Automated Export System (AES) Program (control number 0607–0152). This final rule will also affect the information collection under control number 0607–0152, for filing EEI in AES because of one change this final rule makes to part 758 of the EAR. This rule revises § 758.1(g)(4)(ii) to shorten the information that is required to be included when relying on the alternative method for identifying end item firearms by ‘‘items’’ level classification or other control descriptor in the EEI filing in AES to make it easier to fit this identifying information in the Commodity description block in the EEI filing in AES. This change is not anticipated to result in a change in the burden under this collection. Any comments regarding these collections of information, including suggestions for reducing the burden, may be submitted online at https:// www.reginfo.gov/public/do/PRAMain. Find the particular information collection by using the search function and entering either the title of the collection or the OMB Control Number. 3. This rule does not contain policies with Federalism implications as that term is defined in Executive Order 13132. 4. Pursuant to section 1762 of the Export Control Reform Act of 2018 (50 U.S.C. 4801–4852), this action is exempt from the Administrative Procedure Act (5 U.S.C. 553) requirements for notice of proposed rulemaking, opportunity for public participation, and delay in effective date. 5. Because a notice of proposed rulemaking and an opportunity for public comment are not required to be given for this rule 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 E:\FR\FM\19AUR1.SGM 19AUR1 46594 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations not applicable. Accordingly, no regulatory flexibility analysis is required and none has been prepared. List of Subjects 15 CFR Parts 740, 748, and 758 Administrative practice and procedure, Exports, Reporting and recordkeeping requirements. 4. Section 742.17 is amended by revising paragraph (g) to read as follows: ■ § 742.17 Exports of firearms to OAS member countries. 15 CFR Part 742 Exports, Terrorism. * 15 CFR Part 743 Administrative practice and procedure, Reporting and recordkeeping requirements. 15 CFR Part 774 Exports, Reporting and recordkeeping requirements. For the reasons stated in the preamble, parts 740, 742, 743, 748, 758, and 774 of the Export Administration Regulations (15 CFR parts 730–774) are amended as follows: PART 740—LICENSE EXCEPTIONS 1. The authority citation for part 740 continues to read as follows: ■ Authority: 50 U.S.C. 4801–4852; 50 U.S.C. 4601 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. 2. Section 740.9 is amended by: a. Adding introductory text to paragraph (b); and ■ b. Removing the last sentence of paragraph (b)(1) introductory text. The addition reads as follows: ■ ■ * * * * (b) Exports of items temporarily in the United States. No provision of this paragraph (b), other than paragraph (b)(3), (4), or (5), may be used to export firearms controlled by ECCN 0A501.a, .b, or shotguns with a barrel length less than 18 inches controlled in ECCN 0A502. * * * * * PART 742—CONTROL POLICY—CCL BASED CONTROLS 3. The authority citation for part 742 continues to read as follows: lotter on DSK11XQN23PROD with RULES1 ■ Authority: 50 U.S.C. 4801–4852; 50 U.S.C. 4601 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 Jkt 253001 PART 743—SPECIAL REPORTING AND NOTIFICATION 5. The authority citation for part 743 continues to read as follows: ■ Authority: 50 U.S.C. 4801–4852; 50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; E.O. 13637, 78 FR 16129, 3 CFR, 2014 Comp., p. 223; 78 FR 16129. 6. Section 743.4 is amended by removing the penultimate sentence of paragraph (a) introductory text and revising paragraph (h). The revision reads as follows: ■ Conventional arms reporting. * * 16:12 Aug 18, 2021 * * * * (g) Validity period for licenses. Although licenses generally will be valid for a period of four years, your ability to ship items that require an FC Import Certificate or equivalent official document under this section may be affected by the validity of the FC Import Certificate or equivalent official document (see § 748.12(d)(3) of the EAR). § 743.4 § 740.9 Temporary imports, exports, reexports, and transfers (in-country) (TMP). VerDate Sep<11>2014 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, 68 FR 26459, 3 CFR, 2004 Comp., p. 320; Notice of November 12, 2020, 85 FR 72897 (November 13, 2020). * * * * (h) Alternative submission method. This paragraph (h) describes an alternative submission method for meeting the conventional arms reporting requirements of this section. The alternative submission method requires the exporter, when filing the required EEI submission in AES, pursuant to § 758.1(b)(9) of the EAR, to include the items paragraph classification (i.e., .a, or .b) for ECCN 0A501 as the first text to appear in the Commodity description block. If the exporter properly includes this information in the EEI filing in AES, the Department of Commerce will be able to obtain that export information directly from AES to meet the U.S. Government’s commitments to the Wassenaar Arrangement and United Nations for conventional arms reporting. An exporter that complies with the requirements in § 758.1(g)(4)(ii) of the EAR does not have to submit separate annual and semi-annual reports to the Department of Commerce pursuant to this section. * * * * * PO 00000 Frm 00016 Fmt 4700 Sfmt 4700 PART 748—APPLICATIONS (CLASSIFICATION, ADVISORY, AND LICENSE) AND DOCUMENTATION 7. The authority citation for part 748 is revised to read as follows: ■ Authority: 50 U.S.C. 4801–4852; 50 U.S.C. 4601 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 6, 2021, 86 FR 43901 (August 10, 2021). 8. Section 748.12 is amended by: a. Revising paragraphs (b)(1) and (d)(3); ■ b. Redesignating Note 2 to paragraph (e)(3) as Note 4 to paragraph (e)(3); and ■ c. Adding Note 3 to paragraph (e)(3). The revisions and addition read as follows. ■ ■ § 748.12 Firearms import certificate or import permit. * * * * * (b) * * * (1) Applicants must request that the importer (e.g., ultimate consignee or purchaser) obtain the FC Import Certificate or an equivalent official document from the government of the importing country, and that it be issued covering the quantities and types of firearms and related items that the applicant intends to export. Upon receipt of the FC Import Certificate, its official equivalent, or a copy, the importer must provide the original or a certified copy of the FC Import Certificate or the original or a certified copy of the equivalent official document to the license applicant. * * * * * (d) * * * (3) Validity period. FC Import Certificates or equivalent official documents issued by an OAS member country will be valid until the expiration date on the Certificate or for a period of four years, whichever is shorter. Note 2 to paragraph (d)(3): Applicants for license applications for exports and reexports to an OAS member country must submit the initial FC Import Certificate with the license application. All BIS licenses for ECCNs 0A501 and 0A505 commodities will include a standard rider that requires that the applicant/exporter must have a current FC Import Certificate on file prior to export. Note that while FC Import Certificates are usually valid for 1 year, BIS licenses are valid for 4 years. The text of the standard rider will generally be as follows: ‘‘A current, complete, accurate and valid Firearms Convention (FC) Import Certificate (or equivalent official document) shall be obtained, if required by the government of the importing country, from the Ultimate Consignee and maintained in the exporter’s file prior to any export of the item(s) listed on this license. A copy shall E:\FR\FM\19AUR1.SGM 19AUR1 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations be provided to the U.S. Government upon request. (Refer to section 742.17(b) of the EAR for guidance.)’’ (e) * * * Note 3 to paragraph (e): Applicants for license applications for exports and reexports to countries requiring that a governmentissued certificate or permit be obtained prior to importing the commodity must have the initial government-issued certificate or permit prior to any export. All BIS licenses for ECCNs 0A501 and 0A505 commodities will include a standard rider that requires that the applicant/exporter have a government-issued certificate or permit on file prior to export. Note that while government-issued certificates or permits are usually valid for 1 year, BIS licenses are valid for 4 years. The text of the standard rider will generally be as follows: ‘‘A current, complete, accurate and valid Firearms Convention (FC) Import Certificate (or equivalent official document) shall be obtained, if required by the government of the importing country, from the Ultimate Consignee and maintained in the Exporter’s file prior to any export of the item(s) listed on this license. A copy shall be provided to the U.S. Government upon request. (Refer to § 742.17(b) of the EAR for guidance.)’’ * * * * * Supplement No. 6 to Part 748 [Removed and Reserved] 9. Supplement No. 6 to part 748 is removed and reserved. ■ 10. The authority citation for part 758 is revised to read as follows: ■ Authority: 50 U.S.C. 4801–4852; 50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783. 11. Section 758.1 is amended by revising paragraph (g)(4)(ii) to read as follows: ■ § 758.1 The Electronic Export Information (EEI) filing to the Automated Export System (AES). lotter on DSK11XQN23PROD with RULES1 * * * * (g) * * * (4) * * * (ii) Identifying end item firearms by ‘‘items’’ level classification or other control descriptor in the EEI filing in AES. For any export of items controlled under ECCNs 0A501.a or .b, or shotguns with a barrel length less than 18 inches controlled under ECCN 0A502, in addition to any other required data for the associated EEI filing when an exporter will use the alternative submission method under § 743.4(h) for conventional arms reporting, you must include the items paragraph classification (i.e., .a, or .b) for ECCN VerDate Sep<11>2014 16:12 Aug 18, 2021 Jkt 253001 PART 774—THE COMMERCE CONTROL LIST 12. The authority citation for part 774 continues to read as follows: ■ Authority: 50 U.S.C. 4801–4852; 50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; 10 U.S.C. 8720; 10 U.S.C. 8730(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et seq.; 22 U.S.C. 6004; 42 U.S.C. 2139a; 15 U.S.C. 1824; 50 U.S.C. 4305; 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. Supplement No. 1 to Part 774 [Amended] 13. In Supplement No. 1 to part 774, Category 0, remove Export Control Classification Number (ECCN) 0A018. ■ 14. In Supplement No. 1 to part 774, Category 0, revise Export Control Classification Number (ECCN) 0A501 to read as follows: ■ 0A501 Firearms (except 0A502 shotguns) and related commodities as follows (see List of Items controlled). PART 758—EXPORT CLEARANCE REQUIREMENTS * 0A501, or for shotguns controlled under 0A502 the letters ‘‘SB’’ for short barrel length less than 18 inches as the first text to appear in the Commodity description block in the EEI filing in AES. (See § 743.4(h) of the EAR for the use of this information for conventional arms reporting). * * * * * License Requirements Reason for Control: NS, RS, FC, UN, AT Control(s) NS applies to entire entry except 0A501.y. RS applies to entire entry except 0A501.y. FC applies to entire entry except 0A501.y. UN applies to entire entry. AT applies to entire entry. Country chart (see supp. No. 1 to part 738) NS Column 1 RS Column 1 FC Column 1 See § 746.1 of the EAR for UN controls AT Column 1 License Requirement Note: In addition to using the Commerce Country Chart to determine license requirements, a license is required for exports and reexports of ECCN 0A501.y.7 firearms to the People’s Republic of China. List Based License Exceptions (See Part 740 for a Description of All License Exceptions) LVS: $500 for 0A501.c, .d, and .x. $500 for 0A501.c, .d, .e, and .x if the ultimate destination is Canada. GBS: N/A PO 00000 Frm 00017 Fmt 4700 Sfmt 4700 46595 Special Conditions for STA STA: Paragraph (c)(2) of License Exception STA (§ 740.20(c)(2) of the EAR) may not be used for any item in this entry. List of Items Controlled Related Controls: (1) Firearms that are fully automatic, and magazines with a capacity of greater than 50 rounds, are ‘‘subject to the ITAR.’’ (2) See ECCN 0A502 for shotguns and their ‘‘parts’’ and ‘‘components’’ that are subject to the EAR. Also see ECCN 0A502 for shot-pistols. (3) See ECCN 0A504 and USML Category XII for controls on optical sighting devices. Related Definitions: N/A Items: a. Non-automatic and semi-automatic firearms equal to .50 caliber (12.7 mm) or less. Note 1 to paragraph 0A501.a: ‘Combination pistols’ are controlled under ECCN 0A501.a. A ‘combination pistol’ (a.k.a., a combination gun) has at least one rifled barrel and at least one smoothbore barrel (generally a shotgun style barrel). Technical Note to 0A501.a: Firearms described in 0A501.a includes those chambered for the .50 BMG cartridge. b. Non-automatic and non-semi-automatic rifles, carbines, revolvers or pistols with a caliber greater than .50 inches (12.7 mm) but less than or equal to .72 inches (18.0 mm). c. The following types of ‘‘parts’’ and ‘‘components’’ if ‘‘specially designed’’ for a commodity controlled by paragraph .a or .b of this entry, or USML Category I (unless listed in USML Category I(g) or (h)): Barrels, cylinders, barrel extensions, mounting blocks (trunnions), bolts, bolt carriers, operating rods, gas pistons, trigger housings, triggers, hammers/striker, sears, disconnectors, pistol grips that contain fire control ‘‘parts’’ or ‘‘components’’ (e.g., triggers, hammers/ striker, sears, disconnectors) and buttstocks that contain fire control ‘‘parts’’ or ‘‘components.’’ Technical Note to 0A501.c: Barrel blanks that have reached a stage in manufacturing in which they are either chambered or rifled are controlled by 0A501.c. d. Detachable magazines with a capacity of 17 to 50 rounds ‘‘specially designed’’ for a commodity controlled by paragraph .a or .b of this entry. Note 2 to paragraph 0A501.d: Magazines with a capacity of 16 rounds or less are controlled under 0A501.x; for magazines with a capacity greater than 50 rounds, see USML Category I. e. Receivers (frames) and ‘‘complete breech mechanisms,’’ including castings, forgings, stampings, or machined items thereof, ‘‘specially designed’’ for a commodity controlled by paragraph .a or .b of this entry. Note 3 to 0A501.e: Frames (receivers) under 0A501.e refers to any ‘‘part’’ or ‘‘component’’ of the firearm that has or is customarily marked with a serial number when required by law. This paragraph 0A501.e is synonymous with a ‘‘part’’ or ‘‘component’’ that is regulated by the Bureau of Alcohol, Tobacco, Firearms and E:\FR\FM\19AUR1.SGM 19AUR1 46596 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations Explosives (see 27 CFR parts 447, 478, and 479,) as a firearm. f. through w. [Reserved] x. ‘‘Parts’’ and ‘‘components’’ that are ‘‘specially designed’’ for a commodity classified under paragraphs .a through .c of this entry or the USML and not elsewhere specified on the USML or CCL. y. Specific ‘‘parts,’’ ‘‘components,’’ ‘‘accessories’’ and ‘‘attachments’’ ‘‘specially designed’’ for a commodity subject to control in this ECCN or common to a defense article in USML Category I and not elsewhere specified in the USML or CCL as follows, and ‘‘parts,’’ ‘‘components,’’ ‘‘accessories,’’ and ‘‘attachments’’ ‘‘specially designed’’ therefor. y.1. Stocks (including adjustable, collapsible, blades and braces), grips, handguards, or forends, that do not contain any fire control ‘‘parts’’ or ‘‘components’’ (e.g., triggers, hammers/striker, sears, disconnectors); y.2 to y.5. [RESERVED] y.6. Bayonets; and y.7. Firearms manufactured from 1890 to 1898 and reproductions thereof. Technical Note 1 to 0A501: The controls on ‘‘parts’’ and ‘‘components’’ in ECCN 0A501 include those ‘‘parts’’ and ‘‘components’’ that are common to firearms described in ECCN 0A501 and to those firearms ‘‘subject to the ITAR.’’ Classification Number (ECCN) 0A505 to read as follows: 0A505 Ammunition as follows (see List of Items Controlled). License Requirements Reason for Control: NS, RS, CC, FC, UN, AT Control(s) NS applies to 0A505.a and .x. RS applies to 0A505.a and .x. CC applies to 0A505.b. FC applies to entire entry except 0A505.d. UN applies to entire entry. AT applies to 0A505.a, .d, and .x. AT applies to 0A505.c Technical Note 2 to 0A501: A receiver with any other controlled ‘‘part’’ or ‘‘component’’ (e.g., a barrel (0A501.c), or trigger guard (0A501.x), or stock (0A501.y.1)) is still controlled under 0A501.e. Note 4 to 0A501: Antique firearms (i.e., those manufactured before 1890) and reproductions thereof, muzzle loading and black powder firearms except those designs based on centerfire weapons of a post 1937 design, BB guns, pellet rifles, paint ball, and all other air rifles are EAR99 commodities. Note 5 to 0A501: Muzzle loading and black powder firearms with a caliber less than 20 mm that were manufactured post 1937 that are used for hunting or sporting purposes that were not ‘‘specially designed’’ for military use and are not ‘‘subject to the ITAR’’ nor controlled as shotguns under ECCN 0A502 are EAR99 commodities. lotter on DSK11XQN23PROD with RULES1 Note 6 to 0A501: Scope mounts or accessory rails, iron sights, sling swivels, and butt plates or recoil pads are designated as EAR99. These commodities have been determined to no longer warrant being ‘‘specially designed’’ for purposes of ECCN 0A501. Note 7 to 0A501: A kit, including a replacement or repair kit, of firearms ‘‘parts’’ or ‘‘components’’ customarily sold and exported together takes on the classification of the most restrictive ‘‘part’’ or ‘‘component’’ that is included in the kit. For example, a kit containing 0A501.y and .x ‘‘parts,’’ is controlled as a 0A501.x kit because the .x ‘‘part’’ is the most restrictive ‘‘part’’ included in the kit. A complete firearm disassembled in a kit form is controlled as a firearm under 0A501.a, .b, or .y.7. 15. In Supplement No. 1 to part 774, Category 0, revise Export Control ■ VerDate Sep<11>2014 16:12 Aug 18, 2021 Jkt 253001 Country chart (see supp. No. 1 to part 738) NS Column 1 RS Column 1 CC Column 1 FC Column 1 See § 746.1 of the EAR for UN controls AT Column 1 A license is required for items controlled by paragraph .c of this entry to North Korea for anti-terrorism reasons. The Commerce Country Chart is not designed to determine AT licensing requirements for this entry. See § 742.19 of the EAR for additional information. List Based License Exceptions (See Part 740 for a Description of All License Exceptions) LVS: $500 for items in 0A505.x, except $3,000 for items in 0A505.x that, immediately prior to March 9, 2020, were classified under 0A018.b. (i.e., ‘‘Specially designed’’ components and parts for ammunition, except cartridge cases, powder bags, bullets, jackets, cores, shells, projectiles, boosters, fuses and components, primers, and other detonating devices and ammunition belting and linking machines (all of which are ‘‘subject to the ITAR’’). (See 22 CFR parts 120 through 130)) GBS: N/A Special Conditions for STA STA: Paragraph (c)(2) of License Exception STA (§ 740.20(c)(2) of the EAR) may not be used for any item in 0A505. caps, and lead balls and bullets, for use with muzzle-loading firearms are EAR99 items. Related Definitions: ‘Marking rounds’ are non-lethal, typically used for training purposes, and contain a dye or paint in a capsule that is not a chemical irritant. Items: a. Ammunition for firearms controlled by ECCN 0A501 or USML Category I and not enumerated in paragraph .b, .c, or .d of this entry or in USML Category III. b. Buckshot (No. 4 .24’’ diameter and larger, any material) shotgun shells and shotgun shells that contain only, or are for the dispersion of chemical irritants. c. Shotgun shells (including less than lethal rounds) that do not contain buckshot; and ‘‘specially designed’’ ‘‘parts’’ and ‘‘components’’ of shotgun shells. d. Blank ammunition for firearms controlled by ECCNs 0A501 or 0A502 and not enumerated in USML Category III. Technical Note to 0A505.d: Includes ‘marking rounds’ that have paint/dye as the projectile. e. through w. [Reserved] x. ‘‘Parts’’ and ‘‘components’’ that are ‘‘specially designed’’ for a commodity subject to control in this ECCN or a defense article in USML Category III and not elsewhere specified on the USML or the CCL. Note 1 to 0A505.x: The controls on ‘‘parts’’ and ‘‘components’’ in this entry include Berdan and boxer primers, metallic cartridge cases, and standard metallic projectiles such as full metal jacket, lead core, copper projectiles, and frangible projectiles. Note 2 to 0A505.x: The controls on ‘‘parts’’ and ‘‘components’’ in this entry include those ‘‘parts’’ and ‘‘components’’ that are common to ammunition and ordnance described in this entry and to those enumerated in USML Category III. Note 3 to 0A505: Metal shot smaller than No. 4 Buckshot, empty and unprimed shotgun shells, shotgun wads, smokeless gunpowder, ‘dummy rounds’ and ‘drill rounds’ (unless linked or belted), not incorporating a lethal or non-lethal projectile(s) are designated EAR99. A ‘dummy round’ or ‘drill round’ is a round that is completely inert, (i.e., contains no primer, propellant, or explosive charge). It is typically used to check weapon function and for crew training. Note 4 to 0A505: Shotgun shells that contain two or more balls/shot larger than .24-inch are controlled under 0A505.b. 16. In Supplement No. 1 to part 774, Category 0, revise Export Control Classification Number (ECCN) 0B501 to List of Items Controlled Related Controls: (1) Ammunition for modern read as follows: heavy weapons such as howitzers, artillery, cannon, mortars and recoilless rifles as well as inherently military ammunition types such as ammunition preassembled into links or belts, caseless ammunition, tracer ammunition, ammunition with a depleted uranium projectile or a projectile with a hardened tip or core and ammunition with an explosive projectile are ‘‘subject to the ITAR.’’ (2) Percussion PO 00000 Frm 00018 Fmt 4700 Sfmt 4700 ■ 0B501 Test, inspection, and production ‘‘equipment’’ and related commodities for the ‘‘development’’ or ‘‘production’’ of commodities enumerated or otherwise described in ECCN 0A501 or USML Category I as follows (see List of Items Controlled). License Requirements Reason for Control: NS, RS, UN, AT E:\FR\FM\19AUR1.SGM 19AUR1 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Rules and Regulations Control(s) NS applies to entire entry except equipment for ECCN 0A501.y. RS applies to entire entry except equipment for ECCN 0A501.y. UN applies to entire entry. AT applies to entire entry. Country chart (see supp. No. 1 to part 738) NS Column 1 RS Column 1 See § 746.1 of the EAR for UN controls AT Column 1 List Based License Exceptions (See Part 740 for a Description of all License Exceptions) LVS: $3000 GBS: N/A Special Conditions for STA STA: Paragraph (c)(2) of License Exception STA (§ 740.20(c)(2) of the EAR) may not be used to ship any item in this entry. List of Items Controlled Related Controls: N/A Related Definitions: N/A Items: a. Small arms chambering machines. b. Small arms deep hole drilling machines and drills therefor. c. Small arms rifling machines. d. Small arms boring/reaming machines. e. Production equipment (including dies, fixtures, and other tooling) ‘‘specially designed’’ for the ‘‘production’’ of the items controlled in 0A501.a through .x. or USML Category I. RS applies to ‘‘technology’’ for ‘‘development,’’ ‘‘production,’’ operation, installation, maintenance, repair, overhaul, or refurbishing commodities in 0A505.a and .x; for equipment for those commodities in 0B505 and for ‘‘software’’ for those commodities and that equipment in 0D505. UN applies to entire entry. CC applies to ‘‘technology’’ for the ‘‘development’’ or ‘‘production’’ of commodities in 0A505.b. AT applies to ‘‘technology’’ for ‘‘development,’’ ‘‘production,’’ operation, installation, maintenance, repair, overhaul, or refurbishing commodities in 0A505.a, .d, and .x. Country chart (see supp. No. 1 to part 738) RS Column 1 See § 746.1 of the EAR for UN controls CC Column 1 NS applies to ‘‘technology’’ for ‘‘development,’’ ‘‘production,’’ operation, installation, maintenance, repair, overhaul, or refurbishing commodities in 0A505.a and .x; for equipment for those commodities in 0B505; and for ‘‘software’’ for that equipment and those commodities in 0D505. VerDate Sep<11>2014 NS Column 1 16:12 Aug 18, 2021 Office of the Secretary 32 CFR Part 117 TSR: N/A STA: Paragraph (c)(2) of License Exception STA (§ 740.20(c)(2) of the EAR) may not be used for any ‘‘technology’’ in 0E505. Related Controls: Technical data required for and directly related to articles enumerated in USML Category III are ‘‘subject to the ITAR’’. Related Definitions: N/A Items: The list of items controlled is contained in this ECCN heading. 18. In Supplement No. 1 to part 774, Category 1, revise Export Control Classification Number (ECCN) 1A984 to read as follows: ■ Frm 00019 Fmt 4700 BILLING CODE 3510–33–P DEPARTMENT OF DEFENSE List Based License Exceptions (See Part 740 for a Description of All License Exceptions) PO 00000 List of Items Controlled Related Controls: N/A Related Definitions: N/A Items: The list of items controlled is contained in the ECCN heading. [FR Doc. 2021–17647 Filed 8–18–21; 8:45 am] AT Column 1 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 having dual military and commercial use, and ‘‘parts’’ and Jkt 253001 CC Column 1 Matthew S. Borman, Deputy Assistant Secretary for Export Administration. List of Items Controlled Country chart (see supp. No. 1 to part 738) Country chart (see supp. No. 1 to part 738) List Based License Exceptions (See Part 740 for a Description of All License Exceptions) LVS: N/A GBS: N/A 0E505 ‘‘Technology’’ ‘‘required’’ for the ‘‘development,’’ ‘‘production,’’ operation, installation, maintenance, repair, overhaul, or refurbishing of commodities controlled by 0A505. Control(s) License Requirements Reason for Control: CC CC applies to entire entry. Special Conditions for STA License Requirements Reason for Control: NS, RS, UN, CC, AT ‘‘components’’ ‘‘specially designed’’ therefor, n.e.s. Control(s) 17. In Supplement No. 1 to part 774, Category 0, revise Export Control Classification Number (ECCN) 0E505 to read as follows: ■ lotter on DSK11XQN23PROD with RULES1 Control(s) 46597 Sfmt 4700 [Docket ID: DoD–2020–OS–0045] RIN 0790–AL41 National Industrial Security Program Operating Manual (NISPOM); Amendment Office of the Under Secretary of Defense for Intelligence & Security, Department of Defense (DoD). ACTION: Final rule; technical amendment. AGENCY: SUMMARY: DoD is amending its NISPOM regulation to extend the implementation date for those contractors under DoD security cognizance to report and obtain pre-approval of unofficial foreign travel to the Department of Defense. DATES: This rule is effective August 19, 2021. FOR FURTHER INFORMATION CONTACT: Valerie Heil, 703–692–3754. SUPPLEMENTARY INFORMATION: This final rule amends 32 CFR part 117, ‘‘National Industrial Security Program Operating Manual (NISPOM)’’ final rule that published in the Federal Register on December 21, 2020 (85 FR 83300). The rule includes reporting requirements for contractor personnel who have been granted eligibility for access to classified information through the National Industrial Security Program to follow E:\FR\FM\19AUR1.SGM 19AUR1

Agencies

[Federal Register Volume 86, Number 158 (Thursday, August 19, 2021)]
[Rules and Regulations]
[Pages 46590-46597]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-17647]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Parts 740, 742, 743, 748, 758, and 774

[Docket No. 210810-0160]
RIN 0694-AF47


Control of Firearms, Guns, Ammunition and Related Articles the 
President Determines No Longer Warrant Control Under the United States 
Munitions List (USML)

AGENCY: Bureau of Industry and Security, Department of Commerce.

ACTION: Final rule; technical corrections.

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SUMMARY: On January 23, 2020, the Department of Commerce published a 
final rule in conjunction with a Department of State final rule to 
revise Categories I (firearms, close assault weapons and combat 
shotguns), II (guns and armaments), and III (ammunition/ordnance) of 
the United States Munitions List (USML) and transfer items that no 
longer warrant control on the USML in the International Traffic in Arms 
Regulations (ITAR) to the Commerce Control List (CCL). This final rule 
makes corrections and clarifications to the January 23 rule. The 
changes made in this final rule are intended to make the requirements 
easier to understand, interpreted consistently, and in accordance with 
the intent of the Commerce January 23 rule.

DATES: This rule is effective September 20, 2021.

FOR FURTHER INFORMATION CONTACT: Steven Clagett, Office of 
Nonproliferation Controls and Treaty Compliance, Nuclear and Missile 
Technology Controls Division, tel. (202) 482-1641 or email 
[email protected].

SUPPLEMENTARY INFORMATION:

Background

    On January 23, 2020, the Department of Commerce published the final 
rule, Control of Firearms, Guns, Ammunition and Related Articles the 
President Determines No Longer Warrant Control Under the United States 
Munitions List (USML) (85 FR 4136) (referred to henceforth as the 
``Commerce January 23 rule'') in conjunction with a Department of State 
final rule to revise Categories I, II, and III of the USML in the ITAR 
(85 FR 3819) (referred to henceforth as the ``State January 23 rule''). 
The Department of Commerce in issuing the January 23 rule described how 
articles the President determined no longer warrant control under USML 
Category I--Firearms, Close Assault Weapons and Combat Shotguns; 
Category II--Guns and Armament; and Category III--Ammunition/Ordnance 
were to be controlled on the CCL of the Export Administration 
Regulations (EAR). The Commerce January 23 rule was published in 
conjunction with the State January 23 rule, issued by the Department of 
State, Directorate of Defense Trade Controls (DDTC), completing the 
initial review of the USML that began in 2011 and making conforming 
changes to the EAR to control these items on the Commerce Control List 
(CCL).
    This final rule makes certain corrections and clarifications for 
the changes made in the Commerce January 23 rule. These changes are 
made to improve understanding of the 0x5zz Export Control 
Classification Numbers (ECCNs) for items that transitioned from USML 
Categories I and III to the CCL and to the associated control structure 
added to the EAR. These changes are informed by BIS's experience of 
licensing, classifying, and enforcing the export control requirements 
specific to these items. These changes are also informed by BIS's 
experience of conducting outreach and answering questions from the 
public on the changes made to the EAR in the Commerce January 23 rule. 
The changes made in this final rule are intended to make the 
requirements easier to understand, provide for consistent 
interpretation, and ensure the requirements are in accordance with the 
intent of the Commerce January 23 rule.

Corrections and Clarifications

    In Sec.  740.9(b) (Exports of items temporarily in the United 
States), this final rule removes the last sentence of the introductory 
text of paragraph (b)(1) and adds that same sentence as introductory 
text to paragraph (b). This

[[Page 46591]]

sentence applies to all of paragraph (b), and so needed to be placed in 
the introductory text of paragraph (b) instead of paragraph (b)(1) to 
clarify the scope of its application.
    In Sec.  742.17 (Exports of firearms to OAS member countries), this 
final rule revises the cross reference to Sec.  748.12(d)(4) by 
updating that to reference paragraph (d)(3) instead of (d)(4). 
Paragraph (d)(4) does not exist and paragraph (d)(3) is what is 
intended in the described cross reference to Sec.  748.12.
    In Sec.  743.4 (Conventional arms reporting), this final rule 
removes the penultimate sentence of paragraph (a). This final rule 
removes this sentence to conform with the clarification made to Sec.  
758.1(g)(4)(ii) that this requirement only applies when a filer is 
following the alternative submission method for conventional arms 
reporting.
    In Sec.  743.4, this final rule revises the second sentence of 
paragraph (h) to remove the phrase `six character ECCN classification 
(i.e., 0A501.a or 0A501.b)' and adds in its place the phrase `items 
paragraph classification (i.e., .a, or .b) for ECCN 0A501.' This change 
is made to conform with the change made to Sec.  758.1(g)(4)(ii) to 
reduce the number of characters to be included in the Commodity 
description block to identify ECCN 0A501.a or .b firearms under the 
alternative submission method under paragraph (h).
    In Sec.  748.12 (Firearms import certificate or import permit), 
this final rule revises paragraph (b)(1) by removing the reference to 
supplement no. 6 to part 748. Previously, the second parenthetical 
phrase in paragraph (b)(1) caused confusion for some exporters by 
incorrectly referencing supplement no. 6, which is reserved. To avoid 
this confusion, this final rule clarifies Sec.  748.12(b)(1) by 
removing the parenthetical phrase that refers to supplement no. 6 to 
part 748. As an additional conforming change, in supplement no. 6 to 
part 748, this final rule revises the supplement to remove the heading 
and bracketed text to avoid confusion for some exporters. This change 
is made to supplement no. 6 to part 748 because the heading and 
bracketed text is unnecessary for a reserved supplement. However, 
because part 748 includes supplement nos. 7 to 9, this final rule 
continues to reserve supplement no. 6, as a placeholder for future use.
    In Sec.  748.12(d) (Procedures for using document with license 
application), this final rule revises paragraph (d)(3) to add a new 
Note 2. New Note 2 clarifies that license applications for exports and 
reexports to an Organization of American States (OAS) member country 
must include the initial Inter-American Convention Against the Illicit 
Manufacturing of and Trafficking in Firearms, Ammunition, Explosives, 
and other Related Materials (Firearms Convention) (FC) Import 
Certificate. This note also clarifies that all BIS licenses for ECCNs 
0A501 and 0A505 commodities will include a standard rider that requires 
that the applicant/exporter have a current FC Import Certificate on 
file prior to export. The note clarifies that while FC Import 
Certificates are usually valid for 1 year, BIS licenses are valid for 4 
years. This clarification addresses a common question that BIS has 
received regarding the validity period of FC Import Certificates as 
compared to the validity period of BIS licenses. This note clarifies 
that it is the responsibility of the exporter to have a current copy of 
the FC import certificate prior to making an export under the 
authorization of the license.
    Also in Sec.  748.12(e) (Requirement to obtain an import 
certificate or permit for other than OAS member states), this final 
rule adds a new Note 3 to paragraph (e)(3). New Note 3 clarifies the 
requirements for BIS license applications for ECCNs 0A501 and 0A505 
commodities when the license application is not for exports to an OAS 
country. Note 3 clarifies that license applicants for exports and 
reexports to countries requiring that a government-issued certificate 
or permit be obtained prior to importing the commodity must have the 
initial government-issued certificate or permit prior to any export 
under BIS license. Note 3, similar to Note 2, notes the usual, shorter 
validity periods of government-issued certificate or permit compared to 
the four year validity period of BIS licenses and clarifies that the 
applicant/exporter must have a current government-issued certificate or 
permit on file prior to export under the license. The rider included on 
these licenses also addresses the scenario where if subsequently a 
foreign government decides a government issued certificate or permit is 
required, the existing license would already take that into account and 
require the exporter or reexporter to obtain the government-issued 
certificate or permit prior to making the export or reexport. Lastly, 
as a conforming change, this final rule redesignates Note 2 to 
paragraph (e) as Note 4 to paragraph (e).
    In Sec.  758.1 (The electronic export information (EEI) filing to 
the automated export system (AES)), this final rule revises paragraph 
(g)(4)(ii) (Identifying end item firearms by ``items'' level 
classification or other control descriptor in the EEI filing in AES), 
to make two clarifications. The first change clarifies that the 
requirement in paragraph (g)(4)(ii) is only applicable when an exporter 
will use the alternative submission method under Sec.  743.4(h) for 
conventional arms reporting. BIS is making this change in response to 
questions from the public asking for clarification because they prefer 
using the standard method under Sec.  743.4(h) or, as a result of how 
their software systems are set up for filing EEI in AES, that meeting 
the requirement under paragraph (g)(4)(ii) is not possible. This 
clarification will make it clear that when relying on the standard 
method, this additional EEI filing requirement in AES is not 
applicable. The second clarification that BIS makes is to shorten the 
text required in the commodity description block in the EEI filing in 
AES. Instead of requiring the six character ECCN classification (i.e., 
0A501.a or 0A501.b), or, for shotguns controlled under 0A502, the 
phrase `0A502 barrel length less than 18 inches,' filers will now be 
required, when relying on the alternative submission method, to insert 
`.a' or `.b' for 0A501, or `SB' instead of `0A502 barrel length less 
than 18 inches'' in the commodity description block in the EEI filing 
in AES. This change is possible because the ECCN is already included in 
another block in the EEI filing in AES. BIS can therefore shorten the 
required text, which will assist filers by eliminating problems related 
to the limited number of characters allowed in the commodity 
description block, while continuing to allow BIS to identify the items 
as firearms and shotguns in the AES data.
    In ECCN 0A018, this final rule removes the ECCN. No items are 
currently in this ECCN 0A018, so this change is limited to removing the 
heading and the cross reference to 0A505 for ``parts'' and 
``components'' for ammunition that, immediately prior to March 9, 2020, 
were classified under 0A018.b. Because the January 23 rule has been 
effective for over one year, this cross reference is no longer needed.
    In ECCN 0A501, this final rule makes thirteen changes to the 
control text for clarity. These changes include adding additional notes 
and technical notes, as well as other clarifications to the text to 
make the control parameters easier to understand and, therefore, 
interpreted consistently. These corrections and clarifications to 0A501 
are described as follows:
    This final rule adds a new Technical Note to 0A501.a. This 
technical note clarifies that the non-automatic and

[[Page 46592]]

semi-automatic firearms described in 0A501 includes those chambered for 
the Browning Machine Gun (BMG) cartridge.
    This final rule revises 0A501.c to add the term `striker' after the 
term `hammers' in two places to indicate that the term is synonymous 
for purposes of this control parameter.
    This final rule adds a new Technical Note to 0A501.c to clarify 
that barrel blanks that have reached a stage in manufacturing in which 
they are either chambered or rifled are controlled by 0A501.c.
    This final rule revises 0A501.d to remove the phrase `greater than 
16 rounds' and add in its place the phrase `17 to 50 rounds' for 
clarity.
    This final rule revises Note 2 to 0A501.d to add a cross reference 
to the USML to specify that magazines with a capacity greater than 50 
rounds are controlled under USML Category I.
    This final rule adds a new Note 3 to 0A501.e. This note clarifies 
that the term `frames (receivers)' as used under 0A501.e refers to any 
``part'' or ``component'' of the firearm that has or normally has a 
serial number when required by law. This new note also clarifies that 
the scope of 0A501.e for frames (receivers) is synonymous with a 
``part'' or ``component'' that ATF regulates as a ``firearm.''
    This final rule revises ECCN 0A501.y.1 by adding a parenthetical 
phrase after the term stocks to clarify that stocks include adjustable, 
collapsible, blades and braces. This final rule also adds the terms 
`handguards' and `forends' to ECCN 0A501.y.1 to clarify that stocks 
also include the handguard and the forend. Both of these amendments to 
ECCN 0A501.y.1 are clarifications, not additions to the parameters of 
the items controlled under the entry. As a conforming change to the 
addition of striker to ECCN 0A501.c, this final rule adds the term 
`striker' after the term `hammers' in the parenthetical phrase for the 
exclusions from 0A501.y.1.
    This final rule removes and reserves ECCN 0A501.y.2 to .y.5. This 
change is made because the vast majority of items that would otherwise 
meet the control parameters under 0A501.y.2 to y.5 were subject to the 
EAR prior to March 9, 2020 (the effective date of the Commerce January 
23 rule) and are designated as EAR99 on the basis of paragraph (b)(1) 
of ``specially designed.'' Based on BIS official classifications since 
January 23, 2020, no additional commodities have been identified that 
would warrant keeping these commodities in 0A501.y. Therefore, the 
items that are controlled under ECCN 0A501.y.2 to y.5 are those 
commodities that meet the control parameters and were moved to the EAR 
on March 9, 2020. However, the items identified as being classified 
under 0A501.y.2 to y.5 since January 23, 2020 have not substantively 
differed from the other items that were previously subject to the EAR 
and designated as EAR99. In addition, trying to keep track of which 
commodities are designated EAR99 and which are controlled in 0A501.y.2 
to y.5 has created unneeded burdens on industry and the U.S. 
Government, so it is warranted to remove these .y paragraphs and treat 
these commodities all as EAR99.
    This final rule adds a Technical note 2 to 0A501 to specify that 
for purposes of 0A501.e, receivers incorporating any other controlled 
``part'' or ``component,'' such as a barrel under 0A501.c, remain 
controlled under 0A501.e. BIS has received questions from the public on 
the applicability of 0A501.e when a receiver incorporates a ``part'' or 
``component'' from one of the items captured under other 0A501 
paragraphs. This new Technical Note 2 to 0A501 will make the 
relationship between the different items under 0A501 clear.
    This final rule revises Note 3 to 0A501 to redesignate the note as 
Note 4 to 0A501 and to add the word `and' between the terms `muzzle 
loading' and `black powder.' This clarification is made because some 
muzzle loaders use black powder and some muzzle loaders use smokeless 
powder, and both are subject to the guidance in the Note.
    The final rule in Note 4 to 0A501 redesignates the note as Note 5 
to 0A501 and replaces the phrase `later than' with the word `post' for 
clarity. In addition, this final rule adds the word `and' between the 
terms `muzzle loading' and `black powder' because, as noted above, some 
muzzle loaders use black powder and some muzzle loaders use smokeless 
powder, and both are subject to the guidance in the Note.
    This final rule adds a new Note 6 to 0A501, as a conforming change 
to the removal of ECCN 0A501.y.2 to .y.5, to specify these ``parts'' 
and ``components'' previously controlled under 0A501.y.2 to y.5 are 
designated as EAR99. This note also eliminates the confusion regarding 
whether these ``parts'' or ``components'' are ``specially designed'' 
for purposes of 0A501.x.
    This final rule adds a Note 7 to 0A501 to clarify how kits of 
commodities that contain ``parts'' and ``components'' with different 
classifications under 0A501 should be classified. This note clarifies 
that the kit should be classified based on the classification of the 
most restrictive ``part'' or ``component'' included in the kit. This 
guidance is based on existing BIS classification practice, but adding 
the new Note 7 to 0A501 will make this clear and hopefully reduce the 
number of questions that BIS receives specific to this issue. Note 7 to 
0A501 also clarifies that a complete firearm disassembled in kit form 
is controlled as a firearm.
    In ECCN 0A505, this final rule makes nine changes to the control 
text for clarity. These changes include adding additional notes, 
technical notes, or otherwise clarifying or adding text, e.g., adding a 
new related definition, to make the control parameters easier to 
understand and interpreted consistently. These corrections and 
clarifications to 0A505 are as follows:
    This final rule adds an ECCN-specific definition of `marking 
rounds' in the Definitions paragraph in the List of Items Controlled 
section of ECCN 0A505. This definition clarifies that `marking rounds' 
are non-lethal. The definition also clarifies what `marking rounds' are 
typically used for and the types of materials used in `marking rounds.'
    This final rule revises ECCN 0A505.b to add the phrase `any 
material' to the end of the parenthetical phrase that provides 
technical parameters for the types of buckshot controlled. The 
inclusion of the phrase `any material' will clarify that 0A505.b 
controls plastic and rubber as well as metal buckshot that meet the 
control criteria, including the rubber/plastic (less lethal) buckshot 
rounds used by law enforcement. Also in 0A505.b, this final rule adds 
shotgun shells that contain only, or are for the dispersion of, 
chemical irritants to paragraph .b to clarify that such shells are 
controlled with buckshot shotgun shells under paragraph .b. This final 
rule removes shotgun shells containing only chemical irritants from 
ECCN 1A984 (as described further below) and adds them to 0A505.b where 
they will be controlled for crime control (CC Column 1), and United 
Nations (UN) reasons for control. Because of the controls required on 
shotgun shells containing only chemical irritants, it is more 
appropriate to control them under 0A505.b, where they will have the 
same level of control as they did under 1A984, than under 0A505.c.
    This final rule removes Note 1 to ECCN 0A505.c. Note 1 is no longer 
needed because the shotguns shells previously controlled under 1A984 
are being moved by this final rule to 0A505.b, eliminating the need for 
a cross reference to 1A984 in 0A505.c. As 0A505.c is controlled for UN 
and AT reasons only, it was not appropriate to move the shotgun shells 
from 1A984 to

[[Page 46593]]

0A505.c, because the level of control for 1A984 items is higher than 
the level of control for 0A505.c items. Therefore, this rule moves the 
shotguns shells from 1A984 to 0A505.b where they will continue to be 
controlled at the same level.
    This final rule revises ECCN 0A505.d to add a reference to 0A502 to 
clarify that the blank ammunition controlled under 0A505.d includes 
blank ammunition for items controlled under 0A502, provided the 
ammunition is also not enumerated in USML Category III.
    This final rule also revises ECCN 0A505.d to add a technical note 
to clarify that `marking rounds' that have paint or dye as the 
projectile are controlled under 0A505.d. As noted above, this rule also 
added a Related Definition for `marking rounds;' the new definition and 
this new technical note to 0A505.d will enhance understanding of the 
controls under 0A505 for `marking rounds.'
    This final rule revises ECCN 0A505.x to remove the reference to 
paragraph .d. The reference is redundant to the phrase `or the CCL,' 
which includes 0A505.d.
    This final rule redesignates Note 2 to 0A505.x, Note 3 to 0A505.x, 
and Note 4 0A505 as Note 1 to 0A505.x, Note 2 to 0A505.x and Note 3 to 
0A505, respectively, as conforming changes to the removal of Note 1 to 
0A505.c.
    This final rule revises newly redesignated Note 1 to 0A505.x (prior 
to this rule designated as Note 2 to 0A505.x), to include, at the end 
of the note, the term `frangible projectiles' after the phrase `copper 
projectiles.' This change will clarify that the ``parts'' and 
``components'' under 0A505.x include `frangible projectiles.' Frangible 
projectiles are not made from a lead projectile covered with a copper 
jacket, but rather are produced with composite materials of tungsten, 
copper, or tin utilizing an injection molding or powder metallurgical 
production process.
    This final rule revises newly redesignated Note 3 to 0A505 (prior 
to this rule designated as Note 4 to 0A505), by removing the word 
`lead' from the term `lead shot' and adding in its place the word 
`metal.' This clarification to the control parameter addresses the fact 
that steel and bismuth shot are also used for hunting loads, so the 
control parameter should not be limited to lead as the only material. 
The use of the term `metal shot' instead of `lead shot' will clarify 
that other types of shot are also within the control parameter, as was 
intended by the Commerce January 23 rule. This final rule also revises 
the newly redesignated Note 3 to 0A505 to remove the term `blank' and 
adds in its place the correct term `drill.'
    This final rule adds a new Note 4 to ECCN 0A505 to clarify the 
items paragraph under which shotgun shells that contain two or more 
balls/shot larger than .24-inch are controlled. This note clarifies 
that such shotgun shells are controlled under 0A505.b.
    In ECCN 0B501, this final rule clarifies the control text of ECCN 
0B501.d by deleting the word `spill' in the phrase `spill boring.' This 
final rule also adds the term `reaming' before the term `machines.' 
These changes do not change the intended scope of control. These 
changes are made for clarity and for consistency with BIS issued 
classifications for these types of machines.
    In ECCN 0E505, this final rule makes a correction to the text in 
the RS Control paragraph in the License Requirements section. The 
phrase `entire entry except' was inadvertently included in the RS 
Control paragraph in the Commerce January 23 rule, which created 
confusion regarding the intended scope of the RS license requirement. 
This final rule removes the unintended phrase `entire entry except' 
from the RS license requirement to clarify the scope of the RS license 
requirement under ECCN 0E505.
    In ECCN 1A984, this final rule revises the heading of 1A984 to 
remove the phrase `unless the shotgun shells contain only chemical 
irritant' in the parenthetical phrase that follows the phrase `and 
other pyrotechnic articles.' This final rule moves shotgun shells that 
contain only chemical irritants to ECCN 0A505.b, as described above 
under the description of changes of 0A505.b.

Export Control Reform Act of 2018

    On August 13, 2018, the President signed into law the John S. 
McCain National Defense Authorization Act for Fiscal Year 2019, which 
included the Export Control Reform Act of 2018 (ECRA) (codified, as 
amended, at 50 U.S.C. Sections 4801-4852). ECRA provides the legal 
basis for BIS's principal authorities and serves as the authority under 
which BIS issues this rule.

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, distributive 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 has been determined to be significant for 
purposes of Executive Order 12866.
    2. Notwithstanding any other provision of law, no person may be 
required to respond to or 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 OMB control 
number.
    This final regulation involves one collection currently approved by 
OMB under this collection and control number: The U.S. Census Bureau 
collection for the Automated Export System (AES) Program (control 
number 0607-0152). This final rule will also affect the information 
collection under control number 0607-0152, for filing EEI in AES 
because of one change this final rule makes to part 758 of the EAR. 
This rule revises Sec.  758.1(g)(4)(ii) to shorten the information that 
is required to be included when relying on the alternative method for 
identifying end item firearms by ``items'' level classification or 
other control descriptor in the EEI filing in AES to make it easier to 
fit this identifying information in the Commodity description block in 
the EEI filing in AES. This change is not anticipated to result in a 
change in the burden under this collection.
    Any comments regarding these collections of information, including 
suggestions for reducing the burden, may be submitted online at https://www.reginfo.gov/public/do/PRAMain. Find the particular information 
collection by using the search function and entering either the title 
of the collection or the OMB Control Number.
    3. This rule does not contain policies with Federalism implications 
as that term is defined in Executive Order 13132.
    4. Pursuant to section 1762 of the Export Control Reform Act of 
2018 (50 U.S.C. 4801-4852), this action is exempt from the 
Administrative Procedure Act (5 U.S.C. 553) requirements for notice of 
proposed rulemaking, opportunity for public participation, and delay in 
effective date.
    5. Because a notice of proposed rulemaking and an opportunity for 
public comment are not required to be given for this rule 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

[[Page 46594]]

not applicable. Accordingly, no regulatory flexibility analysis is 
required and none has been prepared.

List of Subjects

15 CFR Parts 740, 748, and 758

    Administrative practice and procedure, Exports, Reporting and 
recordkeeping requirements.

15 CFR Part 742

    Exports, Terrorism.

15 CFR Part 743

    Administrative practice and procedure, Reporting and recordkeeping 
requirements.

15 CFR Part 774

    Exports, Reporting and recordkeeping requirements.

    For the reasons stated in the preamble, parts 740, 742, 743, 748, 
758, and 774 of the Export Administration Regulations (15 CFR parts 
730-774) are amended as follows:

PART 740--LICENSE EXCEPTIONS

0
1. The authority citation for part 740 continues to read as follows:

    Authority: 50 U.S.C. 4801-4852; 50 U.S.C. 4601 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.


0
2. Section 740.9 is amended by:
0
a. Adding introductory text to paragraph (b); and
0
b. Removing the last sentence of paragraph (b)(1) introductory text.
    The addition reads as follows:


Sec.  740.9   Temporary imports, exports, reexports, and transfers (in-
country) (TMP).

* * * * *
    (b) Exports of items temporarily in the United States. No provision 
of this paragraph (b), other than paragraph (b)(3), (4), or (5), may be 
used to export firearms controlled by ECCN 0A501.a, .b, or shotguns 
with a barrel length less than 18 inches controlled in ECCN 0A502.
* * * * *

PART 742--CONTROL POLICY--CCL BASED CONTROLS

0
3. The authority citation for part 742 continues to read as follows:

    Authority: 50 U.S.C. 4801-4852; 50 U.S.C. 4601 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, 68 FR 26459, 3 CFR, 2004 
Comp., p. 320; Notice of November 12, 2020, 85 FR 72897 (November 
13, 2020).


0
4. Section 742.17 is amended by revising paragraph (g) to read as 
follows:


Sec.  742.17   Exports of firearms to OAS member countries.

* * * * *
    (g) Validity period for licenses. Although licenses generally will 
be valid for a period of four years, your ability to ship items that 
require an FC Import Certificate or equivalent official document under 
this section may be affected by the validity of the FC Import 
Certificate or equivalent official document (see Sec.  748.12(d)(3) of 
the EAR).

PART 743--SPECIAL REPORTING AND NOTIFICATION

0
5. The authority citation for part 743 continues to read as follows:

    Authority: 50 U.S.C. 4801-4852; 50 U.S.C. 4601 et seq.; 50 
U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 
783; E.O. 13637, 78 FR 16129, 3 CFR, 2014 Comp., p. 223; 78 FR 
16129.


0
6. Section 743.4 is amended by removing the penultimate sentence of 
paragraph (a) introductory text and revising paragraph (h).
    The revision reads as follows:


Sec.  743.4   Conventional arms reporting.

* * * * *
    (h) Alternative submission method. This paragraph (h) describes an 
alternative submission method for meeting the conventional arms 
reporting requirements of this section. The alternative submission 
method requires the exporter, when filing the required EEI submission 
in AES, pursuant to Sec.  758.1(b)(9) of the EAR, to include the items 
paragraph classification (i.e., .a, or .b) for ECCN 0A501 as the first 
text to appear in the Commodity description block. If the exporter 
properly includes this information in the EEI filing in AES, the 
Department of Commerce will be able to obtain that export information 
directly from AES to meet the U.S. Government's commitments to the 
Wassenaar Arrangement and United Nations for conventional arms 
reporting. An exporter that complies with the requirements in Sec.  
758.1(g)(4)(ii) of the EAR does not have to submit separate annual and 
semi-annual reports to the Department of Commerce pursuant to this 
section.
* * * * *

PART 748--APPLICATIONS (CLASSIFICATION, ADVISORY, AND LICENSE) AND 
DOCUMENTATION

0
7. The authority citation for part 748 is revised to read as follows:

    Authority: 50 U.S.C. 4801-4852; 50 U.S.C. 4601 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 6, 2021, 86 FR 43901 (August 10, 2021).


0
8. Section 748.12 is amended by:
0
a. Revising paragraphs (b)(1) and (d)(3);
0
b. Redesignating Note 2 to paragraph (e)(3) as Note 4 to paragraph 
(e)(3); and
0
c. Adding Note 3 to paragraph (e)(3).
    The revisions and addition read as follows.


Sec.  748.12  Firearms import certificate or import permit.

* * * * *
    (b) * * *
    (1) Applicants must request that the importer (e.g., ultimate 
consignee or purchaser) obtain the FC Import Certificate or an 
equivalent official document from the government of the importing 
country, and that it be issued covering the quantities and types of 
firearms and related items that the applicant intends to export. Upon 
receipt of the FC Import Certificate, its official equivalent, or a 
copy, the importer must provide the original or a certified copy of the 
FC Import Certificate or the original or a certified copy of the 
equivalent official document to the license applicant.
* * * * *
    (d) * * *
    (3) Validity period. FC Import Certificates or equivalent official 
documents issued by an OAS member country will be valid until the 
expiration date on the Certificate or for a period of four years, 
whichever is shorter.

    Note 2 to paragraph (d)(3):  Applicants for license applications 
for exports and reexports to an OAS member country must submit the 
initial FC Import Certificate with the license application. All BIS 
licenses for ECCNs 0A501 and 0A505 commodities will include a 
standard rider that requires that the applicant/exporter must have a 
current FC Import Certificate on file prior to export. Note that 
while FC Import Certificates are usually valid for 1 year, BIS 
licenses are valid for 4 years. The text of the standard rider will 
generally be as follows: ``A current, complete, accurate and valid 
Firearms Convention (FC) Import Certificate (or equivalent official 
document) shall be obtained, if required by the government of the 
importing country, from the Ultimate Consignee and maintained in the 
exporter's file prior to any export of the item(s) listed on this 
license. A copy shall

[[Page 46595]]

be provided to the U.S. Government upon request. (Refer to section 
742.17(b) of the EAR for guidance.)''

    (e) * * *

    Note 3 to paragraph (e):  Applicants for license applications 
for exports and reexports to countries requiring that a government-
issued certificate or permit be obtained prior to importing the 
commodity must have the initial government-issued certificate or 
permit prior to any export. All BIS licenses for ECCNs 0A501 and 
0A505 commodities will include a standard rider that requires that 
the applicant/exporter have a government-issued certificate or 
permit on file prior to export. Note that while government-issued 
certificates or permits are usually valid for 1 year, BIS licenses 
are valid for 4 years. The text of the standard rider will generally 
be as follows: ``A current, complete, accurate and valid Firearms 
Convention (FC) Import Certificate (or equivalent official document) 
shall be obtained, if required by the government of the importing 
country, from the Ultimate Consignee and maintained in the 
Exporter's file prior to any export of the item(s) listed on this 
license. A copy shall be provided to the U.S. Government upon 
request. (Refer to Sec.  742.17(b) of the EAR for guidance.)''

* * * * *

Supplement No. 6 to Part 748 [Removed and Reserved]

0
9. Supplement No. 6 to part 748 is removed and reserved.

PART 758--EXPORT CLEARANCE REQUIREMENTS

0
10. The authority citation for part 758 is revised to read as follows:

    Authority: 50 U.S.C. 4801-4852; 50 U.S.C. 4601 et seq.; 50 
U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 
783.


0
11. Section 758.1 is amended by revising paragraph (g)(4)(ii) to read 
as follows:


Sec.  758.1   The Electronic Export Information (EEI) filing to the 
Automated Export System (AES).

* * * * *
    (g) * * *
    (4) * * *
    (ii) Identifying end item firearms by ``items'' level 
classification or other control descriptor in the EEI filing in AES. 
For any export of items controlled under ECCNs 0A501.a or .b, or 
shotguns with a barrel length less than 18 inches controlled under ECCN 
0A502, in addition to any other required data for the associated EEI 
filing when an exporter will use the alternative submission method 
under Sec.  743.4(h) for conventional arms reporting, you must include 
the items paragraph classification (i.e., .a, or .b) for ECCN 0A501, or 
for shotguns controlled under 0A502 the letters ``SB'' for short barrel 
length less than 18 inches as the first text to appear in the Commodity 
description block in the EEI filing in AES. (See Sec.  743.4(h) of the 
EAR for the use of this information for conventional arms reporting).
* * * * *

PART 774--THE COMMERCE CONTROL LIST

0
12. The authority citation for part 774 continues to read as follows:

    Authority:  50 U.S.C. 4801-4852; 50 U.S.C. 4601 et seq.; 50 
U.S.C. 1701 et seq.; 10 U.S.C. 8720; 10 U.S.C. 8730(e); 22 U.S.C. 
287c, 22 U.S.C. 3201 et seq.; 22 U.S.C. 6004; 42 U.S.C. 2139a; 15 
U.S.C. 1824; 50 U.S.C. 4305; 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.

Supplement No. 1 to Part 774 [Amended]

0
13. In Supplement No. 1 to part 774, Category 0, remove Export Control 
Classification Number (ECCN) 0A018.


0
14. In Supplement No. 1 to part 774, Category 0, revise Export Control 
Classification Number (ECCN) 0A501 to read as follows:

0A501 Firearms (except 0A502 shotguns) and related commodities as 
follows (see List of Items controlled).

License Requirements

Reason for Control: NS, RS, FC, UN, AT

 
                                            Country chart (see supp. No.
                Control(s)                         1 to part 738)
 
NS applies to entire entry except 0A501.y.  NS Column 1
RS applies to entire entry except 0A501.y.  RS Column 1
FC applies to entire entry except 0A501.y.  FC Column 1
UN applies to entire entry................  See Sec.   746.1 of the EAR
                                             for UN controls
AT applies to entire entry................  AT Column 1
 

License Requirement Note: In addition to using the Commerce Country 
Chart to determine license requirements, a license is required for 
exports and reexports of ECCN 0A501.y.7 firearms to the People's 
Republic of China.

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: $500 for 0A501.c, .d, and .x.
$500 for 0A501.c, .d, .e, and .x if the ultimate destination is 
Canada.
GBS: N/A

Special Conditions for STA

STA: Paragraph (c)(2) of License Exception STA (Sec.  740.20(c)(2) 
of the EAR) may not be used for any item in this entry.

List of Items Controlled

Related Controls: (1) Firearms that are fully automatic, and 
magazines with a capacity of greater than 50 rounds, are ``subject 
to the ITAR.'' (2) See ECCN 0A502 for shotguns and their ``parts'' 
and ``components'' that are subject to the EAR. Also see ECCN 0A502 
for shot-pistols. (3) See ECCN 0A504 and USML Category XII for 
controls on optical sighting devices.
Related Definitions: N/A
Items:

    a. Non-automatic and semi-automatic firearms equal to .50 
caliber (12.7 mm) or less.

    Note 1 to paragraph 0A501.a:  `Combination pistols' are 
controlled under ECCN 0A501.a. A `combination pistol' (a.k.a., a 
combination gun) has at least one rifled barrel and at least one 
smoothbore barrel (generally a shotgun style barrel).


    Technical Note to 0A501.a:  Firearms described in 0A501.a 
includes those chambered for the .50 BMG cartridge.

    b. Non-automatic and non-semi-automatic rifles, carbines, 
revolvers or pistols with a caliber greater than .50 inches (12.7 
mm) but less than or equal to .72 inches (18.0 mm).
    c. The following types of ``parts'' and ``components'' if 
``specially designed'' for a commodity controlled by paragraph .a or 
.b of this entry, or USML Category I (unless listed in USML Category 
I(g) or (h)): Barrels, cylinders, barrel extensions, mounting blocks 
(trunnions), bolts, bolt carriers, operating rods, gas pistons, 
trigger housings, triggers, hammers/striker, sears, disconnectors, 
pistol grips that contain fire control ``parts'' or ``components'' 
(e.g., triggers, hammers/striker, sears, disconnectors) and 
buttstocks that contain fire control ``parts'' or ``components.''

    Technical Note to 0A501.c:  Barrel blanks that have reached a 
stage in manufacturing in which they are either chambered or rifled 
are controlled by 0A501.c.

    d. Detachable magazines with a capacity of 17 to 50 rounds 
``specially designed'' for a commodity controlled by paragraph .a or 
.b of this entry.

    Note 2 to paragraph 0A501.d:  Magazines with a capacity of 16 
rounds or less are controlled under 0A501.x; for magazines with a 
capacity greater than 50 rounds, see USML Category I.

    e. Receivers (frames) and ``complete breech mechanisms,'' 
including castings, forgings, stampings, or machined items thereof, 
``specially designed'' for a commodity controlled by paragraph .a or 
.b of this entry.

    Note 3 to 0A501.e:  Frames (receivers) under 0A501.e refers to 
any ``part'' or ``component'' of the firearm that has or is 
customarily marked with a serial number when required by law. This 
paragraph 0A501.e is synonymous with a ``part'' or ``component'' 
that is regulated by the Bureau of Alcohol, Tobacco, Firearms and

[[Page 46596]]

Explosives (see 27 CFR parts 447, 478, and 479,) as a firearm.

    f. through w. [Reserved]
    x. ``Parts'' and ``components'' that are ``specially designed'' 
for a commodity classified under paragraphs .a through .c of this 
entry or the USML and not elsewhere specified on the USML or CCL.
    y. Specific ``parts,'' ``components,'' ``accessories'' and 
``attachments'' ``specially designed'' for a commodity subject to 
control in this ECCN or common to a defense article in USML Category 
I and not elsewhere specified in the USML or CCL as follows, and 
``parts,'' ``components,'' ``accessories,'' and ``attachments'' 
``specially designed'' therefor.
    y.1. Stocks (including adjustable, collapsible, blades and 
braces), grips, handguards, or forends, that do not contain any fire 
control ``parts'' or ``components'' (e.g., triggers, hammers/
striker, sears, disconnectors);
    y.2 to y.5. [RESERVED]
    y.6. Bayonets; and
    y.7. Firearms manufactured from 1890 to 1898 and reproductions 
thereof.

    Technical Note 1 to 0A501:  The controls on ``parts'' and 
``components'' in ECCN 0A501 include those ``parts'' and 
``components'' that are common to firearms described in ECCN 0A501 
and to those firearms ``subject to the ITAR.''


    Technical Note 2 to 0A501:  A receiver with any other controlled 
``part'' or ``component'' (e.g., a barrel (0A501.c), or trigger 
guard (0A501.x), or stock (0A501.y.1)) is still controlled under 
0A501.e.


    Note 4 to 0A501:  Antique firearms (i.e., those manufactured 
before 1890) and reproductions thereof, muzzle loading and black 
powder firearms except those designs based on centerfire weapons of 
a post 1937 design, BB guns, pellet rifles, paint ball, and all 
other air rifles are EAR99 commodities.


    Note 5 to 0A501:  Muzzle loading and black powder firearms with 
a caliber less than 20 mm that were manufactured post 1937 that are 
used for hunting or sporting purposes that were not ``specially 
designed'' for military use and are not ``subject to the ITAR'' nor 
controlled as shotguns under ECCN 0A502 are EAR99 commodities.


    Note 6 to 0A501:  Scope mounts or accessory rails, iron sights, 
sling swivels, and butt plates or recoil pads are designated as 
EAR99. These commodities have been determined to no longer warrant 
being ``specially designed'' for purposes of ECCN 0A501.


    Note 7 to 0A501:  A kit, including a replacement or repair kit, 
of firearms ``parts'' or ``components'' customarily sold and 
exported together takes on the classification of the most 
restrictive ``part'' or ``component'' that is included in the kit. 
For example, a kit containing 0A501.y and .x ``parts,'' is 
controlled as a 0A501.x kit because the .x ``part'' is the most 
restrictive ``part'' included in the kit. A complete firearm 
disassembled in a kit form is controlled as a firearm under 0A501.a, 
.b, or .y.7.


0
15. In Supplement No. 1 to part 774, Category 0, revise Export Control 
Classification Number (ECCN) 0A505 to read as follows:

0A505 Ammunition as follows (see List of Items Controlled).

License Requirements

Reason for Control: NS, RS, CC, FC, UN, AT

 
                                            Country chart (see supp. No.
                Control(s)                         1 to part 738)
 
NS applies to 0A505.a and .x..............  NS Column 1
RS applies to 0A505.a and .x..............  RS Column 1
CC applies to 0A505.b.....................  CC Column 1
FC applies to entire entry except 0A505.d.  FC Column 1
UN applies to entire entry................  See Sec.   746.1 of the EAR
                                             for UN controls
AT applies to 0A505.a, .d, and .x.........  AT Column 1
AT applies to 0A505.c.....................  A license is required for
                                             items controlled by
                                             paragraph .c of this entry
                                             to North Korea for anti-
                                             terrorism reasons. The
                                             Commerce Country Chart is
                                             not designed to determine
                                             AT licensing requirements
                                             for this entry. See Sec.
                                             742.19 of the EAR for
                                             additional information.
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: $500 for items in 0A505.x, except $3,000 for items in 0A505.x 
that, immediately prior to March 9, 2020, were classified under 
0A018.b. (i.e., ``Specially designed'' components and parts for 
ammunition, except cartridge cases, powder bags, bullets, jackets, 
cores, shells, projectiles, boosters, fuses and components, primers, 
and other detonating devices and ammunition belting and linking 
machines (all of which are ``subject to the ITAR''). (See 22 CFR 
parts 120 through 130))
GBS: N/A

Special Conditions for STA

STA: Paragraph (c)(2) of License Exception STA (Sec.  740.20(c)(2) 
of the EAR) may not be used for any item in 0A505.

List of Items Controlled

Related Controls: (1) Ammunition for modern heavy weapons such as 
howitzers, artillery, cannon, mortars and recoilless rifles as well 
as inherently military ammunition types such as ammunition 
preassembled into links or belts, caseless ammunition, tracer 
ammunition, ammunition with a depleted uranium projectile or a 
projectile with a hardened tip or core and ammunition with an 
explosive projectile are ``subject to the ITAR.'' (2) Percussion 
caps, and lead balls and bullets, for use with muzzle-loading 
firearms are EAR99 items.
Related Definitions: `Marking rounds' are non-lethal, typically used 
for training purposes, and contain a dye or paint in a capsule that 
is not a chemical irritant.
Items:

    a. Ammunition for firearms controlled by ECCN 0A501 or USML 
Category I and not enumerated in paragraph .b, .c, or .d of this 
entry or in USML Category III.
    b. Buckshot (No. 4 .24'' diameter and larger, any material) 
shotgun shells and shotgun shells that contain only, or are for the 
dispersion of chemical irritants.
    c. Shotgun shells (including less than lethal rounds) that do 
not contain buckshot; and ``specially designed'' ``parts'' and 
``components'' of shotgun shells.
    d. Blank ammunition for firearms controlled by ECCNs 0A501 or 
0A502 and not enumerated in USML Category III.

    Technical Note to 0A505.d:  Includes `marking rounds' that have 
paint/dye as the projectile.

    e. through w. [Reserved]
    x. ``Parts'' and ``components'' that are ``specially designed'' 
for a commodity subject to control in this ECCN or a defense article 
in USML Category III and not elsewhere specified on the USML or the 
CCL.

    Note 1 to 0A505.x:  The controls on ``parts'' and ``components'' 
in this entry include Berdan and boxer primers, metallic cartridge 
cases, and standard metallic projectiles such as full metal jacket, 
lead core, copper projectiles, and frangible projectiles.


    Note 2 to 0A505.x:  The controls on ``parts'' and ``components'' 
in this entry include those ``parts'' and ``components'' that are 
common to ammunition and ordnance described in this entry and to 
those enumerated in USML Category III.


    Note 3 to 0A505:  Metal shot smaller than No. 4 Buckshot, empty 
and unprimed shotgun shells, shotgun wads, smokeless gunpowder, 
`dummy rounds' and `drill rounds' (unless linked or belted), not 
incorporating a lethal or non-lethal projectile(s) are designated 
EAR99. A `dummy round' or `drill round' is a round that is 
completely inert, (i.e., contains no primer, propellant, or 
explosive charge). It is typically used to check weapon function and 
for crew training.


    Note 4 to 0A505:  Shotgun shells that contain two or more balls/
shot larger than .24-inch are controlled under 0A505.b.




0
16. In Supplement No. 1 to part 774, Category 0, revise Export Control 
Classification Number (ECCN) 0B501 to read as follows:

0B501 Test, inspection, and production ``equipment'' and related 
commodities for the ``development'' or ``production'' of commodities 
enumerated or otherwise described in ECCN 0A501 or USML Category I 
as follows (see List of Items Controlled).

License Requirements

Reason for Control: NS, RS, UN, AT

[[Page 46597]]



 
                                            Country chart (see supp. No.
                Control(s)                         1 to part 738)
 
NS applies to entire entry except           NS Column 1
 equipment for ECCN 0A501.y.
RS applies to entire entry except           RS Column 1
 equipment for ECCN 0A501.y.
UN applies to entire entry................  See Sec.   746.1 of the EAR
                                             for UN controls
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of all 
License Exceptions)

LVS: $3000
GBS: N/A

Special Conditions for STA

STA: Paragraph (c)(2) of License Exception STA (Sec.  740.20(c)(2) 
of the EAR) may not be used to ship any item in this entry.

List of Items Controlled

Related Controls: N/A
Related Definitions: N/A
Items:

    a. Small arms chambering machines.
    b. Small arms deep hole drilling machines and drills therefor.
    c. Small arms rifling machines.
    d. Small arms boring/reaming machines.
    e. Production equipment (including dies, fixtures, and other 
tooling) ``specially designed'' for the ``production'' of the items 
controlled in 0A501.a through .x. or USML Category I.


0
17. In Supplement No. 1 to part 774, Category 0, revise Export Control 
Classification Number (ECCN) 0E505 to read as follows:

0E505 ``Technology'' ``required'' for the ``development,'' 
``production,'' operation, installation, maintenance, repair, 
overhaul, or refurbishing of commodities controlled by 0A505.

License Requirements

Reason for Control: NS, RS, UN, CC, AT

 
                                            Country chart (see supp. No.
                Control(s)                         1 to part 738)
 
NS applies to ``technology'' for            NS Column 1
 ``development,'' ``production,''
 operation, installation, maintenance,
 repair, overhaul, or refurbishing
 commodities in 0A505.a and .x; for
 equipment for those commodities in 0B505;
 and for ``software'' for that equipment
 and those commodities in 0D505.
RS applies to ``technology'' for            RS Column 1
 ``development,'' ``production,''
 operation, installation, maintenance,
 repair, overhaul, or refurbishing
 commodities in 0A505.a and .x; for
 equipment for those commodities in 0B505
 and for ``software'' for those
 commodities and that equipment in 0D505.
UN applies to entire entry................  See Sec.   746.1 of the EAR
                                             for UN controls
CC applies to ``technology'' for the        CC Column 1
 ``development'' or ``production'' of
 commodities in 0A505.b.
AT applies to ``technology'' for            AT Column 1
 ``development,'' ``production,''
 operation, installation, maintenance,
 repair, overhaul, or refurbishing
 commodities in 0A505.a, .d, and .x.
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

TSR: N/A

Special Conditions for STA

STA: Paragraph (c)(2) of License Exception STA (Sec.  740.20(c)(2) 
of the EAR) may not be used for any ``technology'' in 0E505.

List of Items Controlled

Related Controls: Technical data required for and directly related 
to articles enumerated in USML Category III are ``subject to the 
ITAR''.
Related Definitions: N/A
Items: The list of items controlled is contained in this ECCN 
heading.


0
18. In Supplement No. 1 to part 774, Category 1, revise Export Control 
Classification Number (ECCN) 1A984 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 
having dual military and commercial use, and ``parts'' and 
``components'' ``specially designed'' therefor, n.e.s.

License Requirements

Reason for Control: CC

 
                                            Country chart (see supp. No.
                Control(s)                         1 to part 738)
 
CC applies to entire entry................  CC Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A

List of Items Controlled

Related Controls: N/A
Related Definitions: N/A
Items:

    The list of items controlled is contained in the ECCN heading.

Matthew S. Borman,
Deputy Assistant Secretary for Export Administration.
[FR Doc. 2021-17647 Filed 8-18-21; 8:45 am]
BILLING CODE 3510-33-P


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