EAR and ITAR Amendment Regarding Aircrafts, Gas Turbine Engines and Related Items

On April 16, 2013, the Bureau of Industry and Security of the Department of Commerce and the Directorate of Defense Trade Controls (DDTC), Department of State, have published several affirmed amendments to the Export Administration Regulations (EAR) and the International Traffic in Arms Regulations (ITAR). The regulation described the steps of implementation of Export Control Reform initiative with the emphasis on necessity in including a structure and certain provisions control munitions items such as aircraft, gas turbine engines, and related items which are no longer regarded as under the jurisdiction of the USML of the Department of State and transferred to CCL – the Department of Commerce. Final rule will take an effect on October 15, 2013, so there is plenty of time to identify, be familiar with and get used to all changes associated with implementation of the rule in particular and ECR initiative in general. According to the Federal Register/ Vol. 78, No. 73 / Tuesday, April 16, 2013 / Rules and Regulations revisions were made in Supplement No. 1 to part 774, Category 9. For the conveniences of interested parties, changes regarding some of the created ECCNs are highlighted below, note that they are mostly in summarized format:
• Particular aircrafts and related articles as well as gas turbine engines and related articles were moved under the jurisdiction of BIS and listed under the new series 600 ECCNs:
1. Addition of new ECCNs 9A610 and 9A619 between ECCNs 9A120 and 9A980:
- 9A610 – Military aircraft and related commodities.
- 9A619 – Military gas turbine engines and related commodities.
2. Addition of new ECCNs 9B610 and 9B619 between ECCNs 9B117 and 9B990:
- 9B610 – Test, inspection, and production ‘‘equipment’’ and related commodities ‘‘specially designed’’ for the ‘‘development’’ or ‘‘production’’ of commodities enumerated in ECCN 9A610 or USML Category VIII.
- 9B619 – Test, inspection, and production ‘‘equipment’’ and related commodities ‘‘specially designed’’ for the ‘‘development’’ or ‘‘production’’ of commodities enumerated in ECCN 9A619 or USML Category XIX.
3. Addition of new ECCNs 9C610 and 9C619 between ECCNs 9C110 and the product group header that reads ‘‘D. Software’’:
- 9C610 – Materials ‘‘specially designed’’ for commodities controlled by 9A610 not elsewhere specified in the CCL or the USML.
- 9C619 – Materials ‘‘specially designed’’ for commodities controlled by 9A619 not elsewhere specified in the CCL or on the USML.
4. Addition of new ECCNs 9D610 and 9D619 between ECCNs 9D105 and 9D990:
- 9D610 – Software ‘‘specially designed’’ for the ‘‘development,’’ ‘‘production,’’ operation, or maintenance of military aircraft and related commodities controlled by 9A610, equipment controlled by 9B610, or materials controlled by 9C610.
- 9D619 – Software ‘‘specially designed’’ for the ‘‘development,’’ ‘‘production,’’ operation or maintenance of military gas turbine engines and related commodities controlled by 9A619, equipment controlled by 9B619, or materials controlled by 9C619.
5. Addition of new ECCNs 9E610 and 9E619 between ECCNs 9E102 and 9E990:
- 9E610 – Technology ‘‘required’’ for the ‘‘development,’’ ‘‘production,’’ operation, installation, maintenance, repair, overhaul, or refurbishing of military aircraft and related
commodities controlled by 9A610, equipment controlled by 9B610, materials controlled by 9C610, or software controlled by 9D610.
- 9E619 – ‘‘Technology’’ ‘‘required’’ for the ‘‘development,’’ ‘‘production,’’ operation, installation, maintenance, repair, overhaul, or refurbishment of military gas turbine engines and related commodities controlled by 9A619, equipment controlled by 9B619, materials controlled by 9C619, or software controlled by 9D619.

For additional details on changes to EAR and ITAR and how this important change may affect your organization you can consult Intredex Export Compliance services. Intredex assists companies with services such as denied party screening, product export classification, achieving the EAR (Export Administration Regulations) and ITAR compliance with developing procedures for export transactions in alignment with the U.S. Government laws and regulations.