BIS Final Rule on Wassenaar Changes to the CCL, Etc

The Bureau of Industry and Security (BIS) has issued a final rule, effective April 29, 2004, which revises certain entries on the Commerce Control List (CCL) controlled for national security reasons in Categories 1, 2, 3, 4, 5 Part I (telecommunications), 5 Part II (information security), 6, and 7 to conform with changes in the List of Dual-Use Goods and Technologies maintained and agreed to by the governments participating in the Wassenaar Arrangement on Export Controls for Conventional Arms and Dual-Use Goods and Technologies that were agreed to at the December 2003 meeting.

In addition, BIS' final rule adds a paragraph to Interpretation 12 on "Computers" to provide guidance as to how to calculate the Composite Theoretical Performance (CTP) for computer systems with "non-uniform memory access" (NUMA) architecture, and to define NUMA.

This is Part IV of a multi-part series of summaries on this BIS final rule and focuses on the changes to CCL Categories 4 and 5.

Category 4 - Computers

BIS' final rule amends Export Control Classification Numbers (ECCNs) in CCL Category 4 as follows:

ECCN 4A002 is deleted from the CCL.

(Note: For commodities no longer controlled under ECCN 4A002, there is a license requirement under ECCN 4A994 for exports and reexports to anti-terrorism (AT) Column 1 countries of the Commerce Country Chart. The software and technology for the "development," "production," and "use" of this commodity will move from 4D001 to 4D994, and 4E001 to 4E992, respectively.)

ECCN 4A994 is amended by revising the heading and adding paragraph 4A994.k to control commodities that were previously controlled by ECCN 4A002. In addition, this final rule adds an explanatory note contained in the List of Items Controlled section of ECCN 4A003 to ECCN 4A994 to clarify that the control status of the listed items is determined the same way for both ECCNs.

CTP Calculation formula is amended to add a nota bene (N.B.) just below the heading to reference a new paragraph (3) to paragraph 770.2(1) Interpretation 12: "Computers," which now provides guidance as to how to calculate the CTP for computer systems with NUMA architecture, and defines NUMA.

Category 5 - Part I - Telecommunications

This final rule amends ECCNs in CCL Category 5 - Part I - Telecommunications as follows:

ECCN 5B001 is amended by: (a) removing the term "stored program controlled" from 5B001.b; (b) removing the phrase "including 'Asynchronous Transfer Mode' ('ATM')" from 5B001.b.1; (c) revising the "total digital transfer rate" parameter from "1.5 Gbit/s" to "15 Gbit/s" in 5B001.b.1; and (d) adding a Technical Note after 5B001.b.1 to define "total digital transfer rate."

License requirement. BIS notes that for commodities no longer controlled under ECCN 5B001, there is a license requirement under ECCN 5B991 for exports and reexports to AT Column 1 countries of the Commerce Country Chart.

ECCN 5D001 is amended by: (a) removing the term "stored program controlled" from 5D001.d; (b) removing the phrase "including 'Asynchronous Transfer Mode' ('ATM')" from 5D001.d.1; (c) revising the "total digital transfer rate" parameter from "1.5 Gbit/s" to "15 Gbit/s" in 5D001.d.1; and (d) adding a Technical Note after 5D001.d.1 to define "total digital transfer rate."

License requirement. BIS notes that for commodities no longer controlled under ECCN 5D001, there is a license requirement under ECCN 5D991 for exports and reexports to AT Column 1 countries of the Commerce Country Chart.

ECCN 5E001 is amended by: (a) removing the term "stored program controlled" from 5E001.c; (b) removing the phrase "including 'Asynchronous Transfer Mode' ('ATM')" from 5E001.c.1; (c) revising the "total digital transfer rate" parameter from "1.5 Gbit/s" to "15 Gbit/s" in 5E001.c.1; (d) adding a Technical Note after 5E001.c.1 to define "total digital transfer rate;" and (e) revising the frequency parameter from "31 GHz" to "31.8 GHz" in 5E001.c.4.b.

License requirement. BIS notes that for commodities no longer controlled under ECCN 5E001, there is a license requirement under ECCN 5E991 for exports and reexports to AT Column 1 countries of the Commerce Country Chart.

Category 5 - Part II - Information Security

This final rule amends an ECCN in CCL Category 5 - Part II - Information Security as follows:

ECCN 5A002 is amended by removing and reserving 5A002.a.7, which read "Designed or modified to provide certified or certifiable 'multilevel security' or user isolation at a level exceeding Class B2 of the Trusted Computer System Evaluation Criteria (TCSEC) or equivalent."

License "Grace Period" Until June 1, 2004

Shipments of items removed from eligibility for export or reexport without a license, under a particular License Exception authorization or the designator NLR (No License Required), as a result of this final rule may continue to be exported or reexported under that License Exception authorization or designator until June 1, 2004.

"Grace Period" for Revisions to CCL Numbering and Structure

In addition, this final rule revises the numbering and structure of certain entries on the CCL. For items under such entries and for July 28, 2004 (sic), BIS will accept license applications for items described either by the entries in effect immediately before April 29, 2004, or the entries described in this final rule.

(See ITT's Online Archives or 05/04/04, 05/05/04, and 05/06/04 news, 04050420, 04050530, and 04050625 for Parts I - III of this series.)

BIS final rule (D/N 040414115-4115-01, FR Pub 04/29/04) available at http://a257.g.akamaitech.net/7/257/2422/14mar20010800/edocket.access.gpo.gov/2004/pdf/04-9540.pdf