BIS Amends, Corrects Certain ECCNs Pursuant to Missile Technology Control Regime
The Bureau of Industry and Security has issued a final rule, effective April 20, 2010, which, among other things, amends certain Export Control Classification Numbers (ECCNs) under the Export Administration Regulations to reflect recent changes to the Missile Technology Control Regime (MTCR) Annex, and to correct a previous final rule.
(The MTCR is an export control arrangement among 34 nations; it establishes a common export control policy based on a list of controlled items (the Annex) and on guidelines that member countries implement in accordance with their national export controls.)
Two ECCNs, “Production Facilities” Definition Amended Pursuant to MTCR
The following are highlights of BIS’ final rule amendments to the EAR pursuant to MTCR Annex changes:
ECCN 1C117 expanded for tungsten, etc. ECCN 1C117 (Materials for the Fabrication of Missile Components for Rockets or Missiles Capable of Achieving a “Range” Equal to or Greater Than 300 km) is amended to expand the controls for tungsten and molybdenum to include solid tungsten and tungsten alloy billets for the fabrication of missile components.
ECCN 9A101 engine language removed. The heading of ECCN 9A101 (Turbojet and Turbofan Engines, Other Than Those Controlled by 9A001) is amended by removing the phrase “(including turbocompound engines),” because the international community does not refer to turbojet or turbofan engines as turbo-compound engines.
“Production equipment” clarified. BIS’ final rule also amends the definition of the term “production facilities” under 15 CFR 772.1 to add the word “production” before the word “equipment,” to more specifically describe the type of equipment that is included under the definition.
ECCN 1C111 Amended for Boron Alloys to Correct PreviousFinal Rule
BIS is also amending ECCN 1C111 (Propellants and Constituent Chemicals for Propellants, Other Than Those Specified in 1C011) to correct a December 2009 final rule which inadvertently removed a paragraph under 1C011 (Metals and Compounds) that was added in a November 2009 final rule on boron alloys. To correct this error, BIS is adding boron alloys to ECCN 1C111.
Specifically, ECCN 1C111 is amended by creating two sub-sets of metal fuels with a particle size of less than 60 µm controlled under “items” paragraph a.2: (1) metal fuels consisting 97% by weight or more of any of the following: Zirconium, Beryllium, Magnesium or Alloys of the these three metals (controlled under paragraphs a.2.a.1, a.2.a.2, a.2.a.3 or a.2.a.4); and (2) metal fuels consisting of boron alloys with a purity of 85% by weight or more (controlled under paragraph a.2.b).
(The boron alloys that are being added to a.2.b are the boron alloys that were controlled under 1C011.e prior to their inadvertent removal in the December 2009 final rule.
See ITT’s Online Archives or 11/11/09 and 12/09/09 news, (Ref: 09111135) and (Ref: 09120925), for BP summaries of the November and December 2009 final rules.)
Savings Clause
Shipments of items removed from eligibility for a License Exception or export or reexport without a license (NLR) as a result of this regulatory action that were on dock for loading, on lighter, laden aboard an exporting or reexporting carrier, or en route aboard a carrier to a port of export or reexport, on April 20, 2010, pursuant to actual orders for export or reexport to a foreign destination, may proceed to that destination under the previous eligibility for a License Exception or export or reexport without a license (NLR) so long as they are exported or reexported before May 20, 2010.
Any such items not actually exported or reexported before midnight on May 20, 2010 require a license in accordance with this rule.
BIS contact -- Dennis Krepp (202) 482-1309
BIS final rule (D/N 0912031426-0047-01, FR Pub 04/20/10) available at http://edocket.access.gpo.gov/2010/pdf/2010-8919.pdf