An attempt at Harmonization: Export Documentation Changes

The Bureau of Industry and Security (BIS) is currently accepting comments on methods of improving the Export Administration Regulations (EAR) as well as harmonizing these regulations with the clearance requirements under the International Traffic in Arms Regulations (ITAR). This notice and comment period is open until July 6.

Potential additional requirements on Export Control Documents include:

  • Export Control Classification Numbers, except those designated EAR99, for all items on the Commerce Control List
  • Identification of an ultimate destination country
  • A designation of license number, license exception code or “no license required” status

The potential changes would result in the removal of AES Filing Exemption for Canada, in addition to requiring Automated Export System filing for certain items. These items include those controlled for national security, missile technology, nuclear nonproliferation, and chemical and biological weapons reasons.

BIS is requesting comments to help determine the volume of impacted trade that these filing requirements might have, the beneficial or detrimental effects on industry, the commercial impact on exporters, and alternative methods for acquiring this information.

Additionally, BIS and the State Department are also accepting comments until July 6 on harmonizing destination control statements that are required under the EAR and ITAR. Both EAR and ITAR require exporters to include destination control statements to inform parties outside of the United States that the items received are subject to United States regulations and were exported in accordance with United States regulations standards. Increases in exporters shipping articles that are subject to both ITAR and EAR in the same shipments creates confusion as to which, if not both, destination control statement to include in shipments. BIS and State Department harmonization of destination control statements intends help ease this confusion. It is also an important step towards the creation of a single export control list and licensing agency in the future.

The first sentence of a harmonized destination control statement would clarify that the items included in a shipment are controlled and authorized by the United States government for export only to the specifically designated country of ultimate destination. The second sentence would assert that items included in the shipment are not to be resold or transferred to any other country or person other than those listed, without first obtaining approval from the U.S. government.

With these changes, BIS and State Department intend to lessen the confusion that arises when dealing with documentation for international exports.