New DDTC Re-export Requirement – What You Need to Know

As of October 1, the State Department’s Directorate of Defense Trade Controls (DDTC) has added an additional requirement for foreign parties looking to re-export or re-transfer items that are under their jurisdiction by virtue of the fact that they are  U.S. made (or made with U.S. parts or materials) and appear on the U.S. Munitions List (USML). Luckily, the new requirement is very straightforward. It consists of one piece of additional paperwork (a letter) that must be submitted by foreign parties when they are applying for a license from DDTC to re-export/re-transfer a USML item. The letter must say whether:

  1. The applicant or any senior officer of the co has been charged with violating ITAR or is ineligible to receive a license to temporarily import/export USML items.
  2. Any party involved in the export transaction has been charged with the same or is ineligible.

The statement also must be signed by a “responsible official empowered by the applicant.” The DDTC’s 1-page guidance on the new requirement can be found here. Make sure to update your procedures accordingly and inform your foreign partners immediately to avoid costly licensing delays.