FAQs

* ACRONYMS
* General Export Compliance FAQs
* Export Administration Regulations FAQs
* International Traffic in Arms Regulations FAQs

ACRONYMS

AECA - Arms Export Control Act.

AES - Automated Export System. A computerized method for filing Shipper's Export Declarations.

AG - Australia Group. An arrangement among cooperating nations that have agreed to adopt national export controls on dual-use chemical weapon precursors, biological microorganisms and related equipment to prevent the proliferation of chemical and biological weapons.

AT - Anti-Terrorism. A reason for control on the Commerce Control List (CCL). Countries subject to AT controls are those on the State Department's list of countries that support international terrorism.

BXA - Bureau of Export Administration. An agency of the Department of Commerce established by the Export Administration Act that is responsible for administering and enforcing export controls on "dual-use" items.

CB - Chemical & Biological Weapons. A reason for control on the Commerce Control List (CCL).

CBM - Office of Chemical, Biological and Missile Proliferation, Nonproliferation Bureau, Department of State. CBM establishes and implements U.S. foreign policy relating to the proliferation and international transfers of weapons of mass destruction.

CC - Crime Control. A reason for control on the Commerce Control List (CCL).

CCAT - Commodity Classification Automated Tracking System.

CCL - Commerce Control List. A list of items subject to Bureau of Export Administration export license requirements based on their identity.

CFR - Code of Federal Regulations. The CFR is the codification of the general and permanent rules of the Executive departments and agencies of the Federal Government. The CFR is amended by rules published in the Federal Register.

CFR - Cost and Freight. INCOTERM

CIF - Cost, Insurance and Freight. INCOTERM

CIP - Carriage and Insurance Paid To. INCOTERM

CIV - Civil end users.

CPT - Carriage Paid To. INCOTERM

CTP - Computers.

CW - Chemical Weapons. A reason for control on the Commerce Control List (CCL) of chemicals that are listed on schedules of the Chemical Weapons Convention.

CWC - Chemical Weapons Convention. An international agreement among nations that agree they will not develop, produce, stockpile, or use chemical weapons.

DAF - Delivered at Frontier. INCOTERM

DDP -
Delivered Duty Paid. INCOTERM

DDU - Delivered Duty Unpaid. INCOTERM

DES - Delivered Ex Ship. INCOTERM

DEQ - Delivered Ex Quay. INCOTERM

DPL - Denied Persons List. A list, available at Supplement No. 2 to Part 764 of the EAR, of persons whose export privileges are currently denied, in whole or in part.

DTC - Office of Defense Trade Controls. The office in the Department of State (DOS) that administers licenses for defense services and defense articles.

DTRA - Defense Treat Reduction Agency. An agency of the Department of Defense (DOD) responsible for the development and implementation of policies on international transfers of defense-related technology, and review of certain dual-use export license applications.

EAA - Export Administration Act. The EAA is the statute that authorizes the export control and antiboycott compliance activities of the Department of Commerce (DOC).

EAR - Export Administration Regulations.

ECCN - Export Control Classification Number. Individual categories of items on the Commerce Control List (CCL) are identified by an Export Control Classification Number (ECCN).

ECNP - Office of Export Controls and Conventional Arms Nonproliferation Policy, Nonproliferation Bureau, Department of State. ECNP establishes and implements U.S. foreign policy relating to the proliferation and international transfer of conventional arms and sensitive dual-use technology.

ECP -
Export Control Program.

EI - Encryption Items. A reason for control on the Commerce Control List (CCL) covering encryption commodities, software and technology.

ELAIN - Export License Application and Information Network. A system that allows electronic submission of license applications through private vendors.

EMS - Export Management System.

EXW- Ex Works. INCOTERM

FAS - Free Alongside Ship. INCOTERM

FC - Firearms Convention. A reason for control on the Commerce Control List (CCL).

FCA - Free Carrier. INCOTERM

FOB - Free On Board. INCOTERM

FTO - Foreign Terrorist Organization. The Secretary of State designates FTOs. The Treasury Department's Office of Foreign Assets Control requires U.S. banks to block financial transactions with FTOs. The Export
Administration Regulations impose controls on exports and reexport to FTOs.

FTSR - Foreign Trade Statistics Regulations. Issued by the Bureau of the Census, U.S. Department of Commerce to regulate the preparation and filing of the Shipper's Export Declaration (SED) by exporters, freight forwarders, and ocean carriers.

GBS - Group B Shipments. A license exception specified in the EAR.

HPC - High performance Computer. Computers whose processing capabilities require enhanced export control treatment. As computer technology advances, the export control threshold of an HPC changes. Consult EAR §742.12 for the current HPC threshold.

ICP - Internal Control Program. To qualify for a Special Comprehensive License (SCL), the SCL holder and consignee must develop an ICP to assure that exports and reexports are not made contrary to the Export Administration Regulations (EAR).

ITAR - International Traffic in Arms Regulations. Govern the export and import of defense articles and services under State Department export licensing jurisdiction.

L/C - Letter of Credit.

LVS - Limited Value Shipments. A license exception specified in the EAR.

MT - Missile Technology. A reason for control on the Commerce Control List (CCL).

MARC - Missile Annex Review Committee. The MARC is an interagency group that develops U.S. proposals and reviews foreign proposals to change the Missile Technology Control Regime (MTCR) Annex. The annex contains the list of items that the MTCR member countries have agreed to control.

MTCR - Missile Technology Control Regime. The United States and other nations in this multilateral control regime have agreed to guidelines for restricting the export of dual use items that may contribute to the development of missiles.

MTEC - Missile Technology Export Committee. An interagency group chaired by a representative of the Department of State (DOS) that reviews export license applications involving items controlled for missile technology reasons.

NLR - "no license required". A symbol entered on the Shipper's Export Declaration (SED), certifying that no BXA export license is required.

NP - Nuclear Nonproliferation. A reason for control on the Commerce Control List (CCL).

NS - National Security. A reason for control on the Commerce Control List (CCL).

NSG - Nuclear Suppliers Group. The international export control regime focusing on the proliferation of nuclear weapons.

OExS - Office of Exporter Services. The office in BXA's Export Administration responsible for administering the licensing process, counseling exporters, conducting export control seminars, and maintaining the Export Administration Regulations (EAR).

OFAC - Office of Foreign Assets Control. The Office of Foreign Assets Control ("OFAC") of the U.S. Department of the Treasury administers and enforces economic and trade sanctions against targeted foreign countries, terrorism sponsoring organizations and international narcotics traffickers based on U.S. foreign policy and national security goals.

PPI - Principle Party in Interest. This is the person that receives the primary benefit monetary or otherwise of the export transaction.

RS - Regional Stability. A reason for control on the Commerce Control List (CCL).

RWA - Return Without Action. BXA's closing of a license application case without issuing the license or denying it.

SCL - Special Comprehensive License. An export license authorizing multiple shipments of pre-approved commodities, software, and/or technical data to pre-approved consignees and/or destinations.

SDN - Specially Designated National. Specially designated nationals are identified by the Secretary of the Treasury under regulations issued by the Office of Foreign Assets Control (OFAC).

SDT - Specially Designated Terrorist. A specially designated terrorist is identified in regulations maintained by the Treasury Department's Office of Foreign Assets Control (OFAC).

SED - Shipper's Export Declaration.

SI - Significant Items. A reason for control on the Commerce Control List (CCL).

SME - Significant Military Equipment.

SNAP - Simplified Network Application Process. A method of submitting applications over the Internet.

SS - Short Supply. A reason for control on the Commerce Control List (CCL).

STELA - System for Tracking Export License Applications. An automated telephone voice response system that provides applicants with the status of their license and classification applications.

TSR - Technology and Sofware Restricted. A license exception specified in the EAR.

USML - United States Munitions List. The list of defense articles, technology and services under the export and import jurisdiction of the State Department.

WA - Wassenaar Arrangement. The Wassenaar Arrangement on Export Controls for Conventional Arms and Dual-Use Goods and Technologies is a multilateral regime that contributes to regional and international security by promoting transparency and greater responsibility in international transfers of conventional arms and dual-use goods and technologies.

XP - High Performance Computer. A reason for control on the Commerce Control List (CCL).

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General Export Compliance FAQs

What constitutes a violation of the export regulations?

Who is the U.S. Principal Party in Interest (USPPI)?


What is the Missile Technology Control Regime and what does it do?

How long must export records be kept?


What constitutes a violation of the export regulations?

The following represents a list of activities that could constitute a violation of export regulations:

Engaging in prohibited conduct
Causing, aiding and abetting a violation
Solicitation and attempt
Conspiracy
Acting with the knowledge of a violation
Possession with the intent to export illegally
Misrepresentation and/or concealment of facts
Failure to comply with reporting and recordkeeping requirements
Misuse of license (export control documents)
Unauthorized use and alteration
Acting contrary to the terms of a denial order

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Who is the U.S. Principal Party in Interest (USPPI)?

The person in the United States that receives the primary benefit, monetarily or otherwise of the export transaction. Generally that person is the U.S. seller, manufacturer, order party, or foreign entity.

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What is the Missile Technology Control Regime and what does it do?

The Missile Technology Control Regime (MTCR) is an informal group of nations that coordinate their national export controls on goods and technology that can contribute to missile proliferation; the United States, along with 32 other countries, is a member. The BXA and ODTC have concurrent jurisdiction over missile technology.

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How long must export records be kept?

The U.S. government requires that companies keep export records for five years.

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FAQs

What is the Commerce Control List (CCL)?

What is the difference between EAR99 and NLR?

What is the “deemed export” rule?

What is the "deemed reexport" rule?


What is the Commerce Control List (CCL)?

The Commerce Control List is listed in the Export Administration Regulations and includes such "dual use" items as commodities, software and technology which are subject to the export licensing authority of the BXA.

The CCL is divided into ten categories and numbered as follows:
0) Nuclear Materials, Facilities, Equipment and Miscellaneous
1) Materials, Chemicals, "Microorganisms," and Toxins
2) Materials Processing
3) Electronics
4) Computers
5) Telecommunications and Information Security
6) Lasers and Sensors
7) Navigation and Avionics
8) Marine
9) Propulsion Systems, Space Vehicles, and Related Equipment

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What is the difference between EAR99 and NLR?

EAR99 is a classification for an item. It indicates that a particular item is subject to the Export Administration Regulations (EAR), but not listed with a specific Export Control Classification Number (ECCN) on the Commerce Control List (CCL). While the classification describes the item, the authorization for shipment of that item may change, depending on the transaction. NLR is the designator of a transaction that stands for the "No License Required" authorization. NLR may be used for either EAR99 items, or items on the CCL that do not require a license for the destination in question, provided no General Prohibitions apply.

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What is the “deemed export” rule?

An export of technology or source code (except encryption source code) is "deemed" to take place when it is released to a foreign national within the United States.

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What is the "deemed reexport rule?

The term "deemed re-export" is often used to indicate the transfer of controlled U.S. technology to a third-country national overseas

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International Traffic in Arms Regulations FAQs

What is the U.S. Munitions List?

What is the principal U.S. government agency for ITAR licensing?

What are the registration requirements under ITAR?

What is an "empowered official"?

What is "significant military equipment"?

What is "major defense equipment"?

What is "reexport or retransfer" within the meaning of ITAR?


What is the U.S. Munitions List?

The US Munitions List is the part of the secondary regulations (the International Traffic in Arms Regulations or ITAR) that defines which defence articles and services are subject to licensing.
The list is contained in part 121 of ITAR and is divided into 16 sections.

These sections are:
1. General introduction
2. Interpretations of the US Munitions List and the Missile Technology Control Regime Annex
3. Aircraft and related articles
4. Amphibious and related articles
5. Apparatus and devices under category 4(c)
6 Cartridge and shell casings
7. Chemical agents
8. End-items, components, accessories, attachments, parts, firmware, software and systems
9. Firearms
10. Forgings, castings and machined bodies
11. Military demolition blocks and blasting caps
12. Military explosives and propellants
13. Military fuel thickeners
14. [Reserved]
15. Vessels of war and special naval equipment
16. Missile Technology Control Regime Annex

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What is the principal U.S. government agency for ITAR licensing?

The Office of Defense Trade Controls is the principal U.S. government agency for ITAR licensing. The ODTC may refer the license to the Defense Security Cooperation Agency, which is part of the Department of Defense for further review.

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What are the registration requirements under ITAR?

Both exporters and manufacturers or providers of defense articles or services (whether exporting or not) need to be registered with the U.S. government under ITAR. This is the requirement even for a company that intends to sell only domestically, or that manufacturers a product sold to distributors within the United States which it believes are then sold only domestically.

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What is an "empowered official"?

An empowered official is authorized by a business enterprise to sign and process license applications on behalf of the company. An empowered official understands the provisions of ITAR. This individual has the authority within his/her company to inquire into any aspect of a proposed export and to verify the legality and accuracy of the information submitted for a transaction. An empowered official also has the authority to refuse to sign any license application without retribution from his/her company. This is important because an empowered official is held liable for any violations of ITAR.

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What is "significant military equipment"?

Significant military equipment means defense articles for which special export controls are warranted because of their capacity for substantial military utility or capability.

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What is "major defense equipment"?

Major defense equipment means any item of significant military equipment on the U.S. Munitions List having a nonrecurring research and development cost of more than $50,000,000 or a total production cost of more than $200,000,000. These items require Congressional notification.

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What is "re-export or retransfer" within the meaning of ITAR?

Re-export or retransfer means the transfer of defense articles or defense services to an end use, end user or destination not previously authorized.

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