State Department Controls on Exports of Defense Articles and Defense Services

Abstract

Chapter 2 covers U.S. government controls on exports, reexports, and transfers of “U.S.-origin” goods, software, and technology, and the provision of services, that are military in nature. These are governed principally by the Arms Export Control Act of 1976 and the International Traffic in Arms Regulations (ITAR), which are administered by the State Department’s Directorate of Defense Trade Controls (DDTC). The chapter explains: which items are subject to the ITAR; the basis and criteria for the ITAR’s restrictions; the requirement to register with DDTC if you export or manufacture items subject to the ITAR or if you are involved in other activities regulated by the ITAR; how to determine whether your product or technology is covered and, if so, whether you will need a license to export or reexport it; how to get a license if one is required; how to clear and document the actual export; the potential penalties for violating the rules; and reporting requirements related to political contributions, fees, and commissions paid in connection with certain sales, . The chapter also explains how the ITAR relate to the regulatory regimes covered in other parts of the book.