Bureau of Export Administration, Commerce § 770.2
(x) Evidence of the item being exhibited at for example, a western producer or purchaser a trade fair in a foreign country, particularly of the item, a recognized expert, a reputable for the purpose of inducing sales of the item trade publication, or independent laboratory; to the foreign country; (v) A comparative list identifying, by man- (xi) A copy of the export control laws or ufacturers and model numbers, the key per- regulations of the source country, showing formance components and the materials used that the item is not controlled; or in the item that qualitatively affect the per- (xii) A catalog or brochure indicating the formance of the U.S. and foreign items; item is for sale in a specific country. (vi) Evidence of the interchangeability of (2) Foreign (non-U.S.) source: U.S. and foreign items; (i) Names of foreign manufacturers of the (vii) Patent descriptions for the U.S. and item including, if possible, addresses and foreign items; telephone numbers; (viii) Evidence that the U.S. and foreign (ii) A report from a reputable source of in- items meet a published industry, national, or formation on commercial relationships that international standard; a foreign manufacturer is not linked finan- (ix) A report or eyewitness account, by cially or administratively with a U.S. com- deposition or otherwise, of the foreign item’s pany; operation; (iii) A list of the components in the U.S. (x) Evidence concerning the foreign manu- item and foreign item indicating model num- facturers’ corporate reputation; bers and their sources; (xi) Comparison of the U.S. and foreign end (iv) A schematic of the foreign item identi- item(s) made from a specific commodity, fying its components and their sources; tool(s), device(s), or technical data; or (v) Evidence that the item is a direct prod- (xii) Evidence of the reputation of the for- uct of foreign technology (e.g., a patent law eign item including, if possible, information suit lost by a U.S. producer, a foreign pat- on maintenance, repair, performance, and ent); other pertinent factors. (vi) Evidence of indigenous technology, production facilities, and the capabilities at SUPPLEMENT NO. 2 TO PART 768—ITEMS those facilities; or ELIGIBLE FOR EXPEDITED LICENSING (vii) Evidence that the parts and compo- PROCEDURES [RESERVED] nents of the item are of foreign origin or are exempt from U.S. licensing requirements by the parts and components provision § 732.4 of PART 770—INTERPRETATIONS the EAR. (3) Sufficient quantity: Sec. (i) Evidence that foreign sources have the 770.1 Introduction. item in serial production; 770.2 Item interpretations. (ii) Evidence that the item or its product is 770.3 Interpretations related to exports of used in civilian applications in foreign coun- technology and software to destinations tries; in Country Group D:1. (iii) Evidence that a foreign country is AUTHORITY: 50 U.S.C. app. 2401 et seq.; 50 marketing in the specific country an item of U.S.C. 1701 et seq.; E.O. 12924, 59 FR 43437, 3 its indigenous manufacture; CFR, 1994 Comp., p. 917; E.O. 13026, 61 FR (iv) Evidence of foreign inventories of the 58767, 3 CFR, 1996 Comp., p. 228; Notice of Au- item; gust 3, 2000 (65 FR 48347, August 8, 2000). (v) Evidence of excess capacity in a foreign country’s production facility; § 770.1 Introduction. (vi) Evidence that foreign countries have not targeted the item or are not seeking to In this part, references to the EAR purchase it in the West; are references to 15 CFR chapter VII, (vii) An estimate by a knowledgeable subchapter C. This part provides com- source of the foreign country’s needs; or modity, technology, and software in- (viii) An authoritative analysis of the terpretations. These interpretations worldwide market (i.e., demand, production rate for the item for various manufacturers, clarify the scope of controls where such plant capacities, installed tooling, monthly scope is not readily apparent from the production rates, orders, sales and cumu- Commerce Control List (CCL) (see Sup- lative sales over 5–6 years). plement No. 1 to part 774 of the EAR) (4) Comparable quality: and other provisions of the Export Ad- (i) A sample of the foreign item; ministration Regulations. (ii) Operation or maintenance manuals of the U.S. and foreign items; § 770.2 Item interpretations. (iii) Records or a statement from a user of the foreign item; (a) Interpretation 1: Anti-friction bear- (iv) A comparative evaluation, preferably ing or bearing systems and specially de- in writing, of the U.S. and foreign items by, signed parts. (1) Anti-friction bearings
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or bearing systems shipped as spares or piece of equipment, whether or not the replacements are classified under Ex- wire or cable is cut to length and port Control Classification Numbers whether or not it is fitted with connec- (ECCNs) 2A001, 2A002, 2A003, 2A004, tors at one or both ends, so long as it 2A005, and 2A006 (ball, roller, or needle- is in normal quantity necessary to roller bearings and parts). This applies make the original installation of the to separate shipments of anti-friction equipment and is necessary to its oper- bearings or bearing systems and anti- ation. friction bearings or bearing systems (2) Wire or cable exported as replace- shipped with machinery or equipment ment or spares, or for further manufac- for which they are intended to be used ture is controlled under the applicable as spares or replacement parts. wire or cable ECCN only. This includes (2) An anti-friction bearing or bear- wire or cable, whether or not cut to ing system physically incorporated in a length or fitted with connectors at one segment of a machine or in a complete or both ends. machine prior to shipment loses its (d) Interpretation 4: Telecommuni- identity as a bearing. In this scenario, cations equipment and systems. Control the machine or segment of machinery equipment for paging systems (broad- containing the bearing is the item sub- cast radio or selectively signalled re- ject to export control requirements. ceiving systems) is defined as circuit (3) An anti-friction bearing or bear- switching equipment in Category 5 of ing system not incorporated in a seg- the CCL. ment of a machine prior to shipment, (e) Interpretation 5: Numerical control but shipped as a component of a com- systems—(1) Classification of ‘‘Numerical plete unassembled (knocked-down) ma- Control’’ Units. ‘‘Numerical control’’ chine, is considered a component of a units for machine tools, regardless of machine. In this scenario, the complete their configurations or architectures, machine is the item subject to export are controlled by their functional char- license requirements. acteristics as described in ECCN (b) Interpretation 2: Classification of 2B001.a. ‘‘Numerical control’’ units in- ‘‘parts’’ of machinery, equipment, or other clude computers with add-on ‘‘motion items—(1) An assembled machine or unit control boards’’. A computer with add- of equipment is being exported. In in- on ‘‘motion control boards’’ for ma- stances where one or more assembled chine tools may be controlled under machines or units of equipment are ECCN 2B001.a even when the computer being exported, the individual compo- alone without ‘‘motion control boards’’ nent parts that are physically incor- is not subject to licensing require- porated into the machine or equipment ments under Category 4 and the ‘‘mo- do not require a license. The license or tion control boards’’ are not controlled general exception under which the under ECCN 2B001.b. complete machine or unit of equipment (2) Export documentation requirement. is exported will also cover its compo- (i) When preparing a license applica- nent parts, provided that the parts are tion for a numerical control system, normal and usual components of the the machine tool and the control unit machine or equipment being exported, are classified separately. If either the or that the physical incorporation is machine tool or the control unit re- not used as a device to evade the re- quires a license, then the entire unit quirement for a license. requires a license. If either a machine (2) Parts are exported as spares, re- tool or a control unit is exported sepa- placements, for resale, or for stock. In in- rately from the system, the exported stances where parts are exported as component is classified on the license spares, replacements, for resale, or for application without regard to the other stock, a license is required only if the parts of a possible system. appropriate entry for the part specifies (ii) When preparing the Shipper’s Ex- that a license is required for the in- port Declaration (SED), a system being tended destination. shipped complete (i.e., machine and (c) Interpretation 3: Wire or cable cut to control unit), should be reported under length. (1) Wire or cable may be in- the Schedule B number for each ma- cluded as a component of a system or chine. When either a control unit or a
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machine is shipped separately, it Exporter Services, Room 1099A, U.S. should be reported under the Schedule Department of Commerce, Washington, B number appropriate for the indi- DC 20230, before reporting a shipment vidual item being exported. as metal scrap. (f) Interpretation 6: Parts, accessories, (h) Interpretation 8: Military auto- and equipment exported as scrap. Parts, motive vehicles and parts for such vehi- accessories, or equipment that are cles—(1) Military automotive vehicles. (i) being shipped as scrap should be de- For purposes of U.S. export controls, scribed on the SED in sufficient detail military automotive vehicles ‘‘pos- to be identified under the proper ECCN. sessing or built to current military When commodities declared as parts, specifications differing materially from accessories, or equipment are shipped normal commercial specifications’’ in bulk, or are otherwise not packaged, may include, but are not limited to, packed, or sorted in accordance with the following characteristics: normal trade practices, the Customs (A) Special fittings for mounting ord- Officer may require evidence that the nance or military equipment; shipment is not scrap. Such evidence (B) Bullet-proof glass; may include, but is not limited to, bills of sale, orders and correspondence indi- (C) Armor plate; cating whether the commodities are (D) Fungus preventive treatment; scrap or are being exported for use as (E) Twenty-four volt electrical sys- parts, accessories, or equipment. tems; (g) Interpretation 7: Scrap arms, ammu- (F) Shielded electrical system (elec- nition, and implements of war. Arms, tronic emission suppression); or ammunition, and implements of war, (G) Puncture-proof or run-flat tires. as defined in the U.S. Munitions List, (ii) Automotive vehicles fall into two and are under the jurisdiction of the categories. U.S. Department of State (22 CFR parts (A) Military automotive vehicles on the 120 through 130), except for the fol- Munitions List, new and used. Auto- lowing, which are under the jurisdic- motive vehicles in this category are tion of the Department of Commerce: primarily combat (fighting) vehicles, (1) Cartridge and shell cases that with or without armor and/or arma- have been rendered useless beyond the ment, ‘‘designed for specific fighting possibility of restoration to their origi- function.’’ These automotive vehicles nal identity by means of excessive are licensed for export by the U.S. De- heating, flame treatment, mangling, partment of State (22 CFR parts 120 crushing, cutting, or by any other through 130). method are ‘‘scrap’’. (B) Military automotive vehicles not on (2) Cartridge and shell cases that . have been sold by the armed services as the U.S. Munitions List, new and used ‘‘scrap’’, whether or not they have been Automotive vehicles in this category heated, flame-treated, mangled, are primarily transport vehicles de- crushed, cut, or reduced to scrap by signed for non-combat military pur- any other method. poses (transporting cargo, personnel (3) Other commodities that may have and/or equipment, and/or for to wing been on the U.S. Munitions List are other vehicles and equipment over land ‘‘scrap’’, and therefore under the juris- and roads in close support of fighting diction of the Department of Com- vehicles and troops). These automotive merce, if they have been rendered use- vehicles are licensed for export by the less beyond the possibility of restora- U.S. Department of Commerce. tion to their original identity only by (iii) Parts for military automotive vehi- means of mangling, crushing, or cut- cles. Functional parts are defined as ting. When in doubt as to whether a those parts making up the power train commodity covered by the Munitions of the vehicles, including the electrical List has been rendered useless, export- system, the cooling system, the fuel ers should consult the Office of Defense system, and the control system (brake Trade Controls, U.S. Department of and steering mechanism), the front and State, Washington, DC 20520, or the Ex- rear axle assemblies including the porter Counseling Division, Office of wheels, the chassis frame, springs and
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shock absorbers. Parts specifically de- (v) Observation, bearing an ‘‘O’’ des- signed for military automotive vehi- ignation and using piston engines. cles on the Munitions List are licensed (3) All reciprocating engines. for export by the U.S. Department of (4) Other aircraft engines not specifi- State (22 CFR parts 120 through 130). cally designed or modified for military (iv) General instructions. Manufactur- aircraft. ers of non-Munitions List automotive (5) Parts, accessories, and compo- vehicles and/or parts will know wheth- nents (including propellers), designed er their products meet the conditions exclusively for aircraft and engines de- described in this paragraph (h). Mer- scribed in paragraphs (i)(1), (i)(2), (i)(3), chant exporters and other parties who and (i)(4) of this section. are not sure whether their products (6) General purpose parts, acces- (automotive vehicles and/or parts) sories, and components usable inter- meet these conditions should check changeably on either military or civil with their suppliers for the required in- aircraft. formation before making a shipment (j) Interpretation 10: Civil aircraft iner- under general exception or submitting tial navigation equipment. (1) The De- an application to BXA for a license. partment of Commerce has licensing (2) [Reserved] jurisdiction over exports and reexports (i) Interpretation 9: Aircraft, parts, ac- to all destinations of inertial naviga- cessories and components. Aircraft, tion systems, inertial navigation parts, accessories, and components de- equipment, and specially designed com- fined in Categories VIII and IX of the ponents therefor for ‘‘civil aircraft’’. Munitions List are under the export li- (2) The Department of State, retains censing authority of the U.S. Depart- jurisdiction over all software and tech- ment of State (22 CFR parts 120 nology for inertial navigation systems through 130). All other aircraft, and and navigation equipment, and spe- parts, accessories and components cially designed components therefor, therefor, are under the export licensing for shipborne use, underwater use, authority of the U.S. Department of ground vehicle use, spaceborne use or Commerce. The following aircraft, use other than ‘‘civil aircraft’’. parts, accessories and components are (k) Interpretation 11: Precursor chemi- under the licensing authority of the cals. The following chemicals are con- U.S. Department of Commerce: trolled by ECCN 1C350. The appropriate (1) Any aircraft (except an aircraft Chemical Abstract Service Registry that has been demilitarized, but includ- (C.A.S.) number and synonyms, (i.e., ing aircraft specified in paragraph (i)(2) alternative names) are included to help of this section) that conforms to a Fed- you determine whether your chemicals eral Aviation Agency type certificate are controlled by this entry. These in the normal, utility, acrobatic, trans- chemicals require a license to all coun- port, or restricted category, provided tries except Argentina, Australia, Aus- such aircraft has not been equipped tria, Belgium, Canada, Czech Republic, with or modified to include military Denmark, Finland, France, Germany, equipment, such as gun mounts, tur- Greece, Hungary, Iceland, Ireland, rets, rocket launchers, or similar Italy, Japan, Korea (South), Luxem- equipment designed for military com- bourg, the Netherlands, New Zealand, bat or military training purposes. Norway, Poland, Portugal, Romania, (2) Only the following military air- Slovakia, Spain, Sweden, Switzerland, craft, demilitarized (aircraft not spe- and the United Kingdom. cifically equipped, reequipped, or modi- # fied for military operations): (1) (C.A.S. 1341–49–7) Ammonium hy- (i) Cargo, bearing designations ‘‘C–45 drogen bifluoride through C–118 inclusive,’’ and ‘‘C–121’’; Acid ammonium fluoride (ii) Trainers, bearing a ‘‘T’’ designa- Ammonium bifluoride tion and using piston engines; Ammonium difluoride (iii) Utility, bearing a ‘‘U’’ designa- Ammonium hydrofluoride tion and using piston engines; Ammonium hydrogen bifluoride (iv) Liaison, bearing an ‘‘L’’ designa- Ammonium hydrogen difluoride tion; and Ammonium monohydrogen difluoride
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(2) (C.A.S. #7784–34–1) Arsenic tri- N,N-Diethyl-2-hydroxyethylamine chloride Diethylaminoethanol Arsenic (III) chloride 2-(Diethylamino) ethanol Arsenous chloride 2-(Diethylamino)ethyl alcohol Fuming liquid arsenic N,N-Diethylmonoethanolamine Trichloroarsine (2-Hydroxyethyl) diethylamine (3) (C.A.S. #76–93–7) Benzilic acid 2-Hydroxytriethylamine .alpha.,.alpha.-Diphenyl-.alpha.- (10) (C.A.S. #5842–07–9) N,N-Diisopropyl- hydroxyacetic acid .beta.-aminoethane thiol Diphenylglycolic acid 2-(Diisopropylamino) ethanethiol .alpha.,.alpha.-Diphenylglycolic acid Diisopropylaminoethanethiol Diphenylhydroxyacetic acid .beta.-Diisopropylaminoethanethiol .alpha.-Hydroxy-2,2-diphenylacetic 2-(bis(1-Methylethyl)amino) acid ethanethiol 2-Hydroxy-2,2-diphenylacetic acid (11) (C.A.S. #4261–68–1) N, N- .alpha.-Hydroxy-.alpha.- Diisopropyl-.2-aminoethyl chloride phenylbenzeneacetic acid hydrochloride Hydroxydiphenylacetic acid (12) (C.A.S. #96–80–0) N,N-Diisopropyl- (4) (C.A.S. #107–07–3) 2-Chloroethanol .beta.-aminoethanol 2-Chloro-1-ethanol N,N-Diisopropyl-2-aminoethanol Chloroethanol 2-(Diisopropylamino) ethanol 2-Chloroethyl alcohol (N,N-Diisopropylamino) ethanol Ethene chlorohydrin 2-(Diisopropylamino) ethyl alcohol Ethylchlorohydrin N,N-Diisopropylethanolamine Ethylene chlorhydrin (13) (C.A.S. #96–79–7) N,N-Diisopropyl- Ethylene chlorohydrin .beta.-aminoethyl chloride Glycol chlorohydrin 2-Chloro-N,N-diisopropylethanamine Glycol monochlorohydrin 1-Chloro-N,N- 2-Hydroxyethyl chloride diisopropylaminoethane (5) (C.A.S. #78–38–6) Diethyl 2-Chloro-N,N-diisopropylethylamine ethylphosphonate Ethylphosphonic N-(2-chloroethyl)-N-(1-methylethyl)- acid diethyl ester 2-propanamine (6) (C.A.S. #15715–41–0) Diethyl N-(2-Chloroethyl) diisopropylamine methylphosphonite N,N-Diisopropyl-2-chloroethylamine Diethoxymethylphosphine 1-(Diisopropylamino)-2-cholorethane Diethyl methanephosphonite 2-(Diisopropylamino)ethyl chloride 0,0-Diethyl methylphosphonite Diisopropylaminoethyl chloride Methyldiethoxyphosphine .beta.-Diisopropylaminoethyl chlo- Methylphosphonous acid diethyl ride ester (14) (C.A.S. #108–18–9) Diisopropylamine (7) (C.A.S. #2404–03–7) Diethyl-N, N- N,N-Diisopropylamine dimethylphosphoro-amidate N-(1-Methylethyl)-2-propanamine N,N-Dimethyl-O,O′-diethyl (15) (C.A.S. #6163–75–3) Dimethyl phosphoramidate ethylphosphonate Diethyl dimethylphosphoramidate Dimethyl ethanephosphonate Dimethylphosphoramidic acid Ethylphosphonic acid dimethyl ester diethyl ester (16) (C.A.S. #756–79–6) Dimethyl (8) (C.A.S. #762–04–9) Diethyl phosphite methylphosphonate Diethoxyphosphine oxide Dimethoxymethyl phosphine oxide Diethyl acid phosphite Dimethyl methanephosphonate Diethyl hydrogen phosphite Methanephosphonic acid dimethyl Diethyo phosphonate ester Hydrogen diethyl phosphite Methylphosphonic acid dimethyl (9) (C.A.S. #100–37–8) N, N- ester Diethylethanolamine (17) (C.A.S. #868–85–9) Dimethyl N,N-Diethyl-2-aminoethanol phosphite Diethyl (2-hydroxyethyl) amine Dimethoxyphosphine oxide N,N-Diethyl-N-(.beta.-hydroxyethyl) Dimethyl acid phosphite amine Dimethyl hydrogen phosphite
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Dimethyl phosphonate Methyldichlorophosphine Hydrogen dimethyl phosphite Methylphosphorus dichloride Methyl phosphate (29) (C.A.S. #753–59–3) (18) (C.A.S. #124–40–3) Dimethylamine Methylphosphonous diflouride N-Methyl methanamine Difluoromethylphosphine (19) (C.A.S. #506–59–2) Dimethylamine Methyldifluorophosphine hydrochloride (30) (C.A.S. #676–97–1) Dimethylammonium chloride Methylphosphonyl dichloride N-Methyl methanamine hydro- Dichloromethylphosphine oxide chloride Methanephosphonodichloridic acid (20) (C.A.S. #57856–11–8) O-Ethyl-2- Methanephosphonyl chloride diisoprophylaminoethyl Methylphosphonic acid dichloride methylphosphonite (QL) Methylphosphonic dichloride Methylphosphonous acid 2-(bis(1- Methylphosphonodichloridic acid methylethyl)amino)ethyl ethyl Methylphosphonyl chloride ester (31) (C.A.S. #676–99–3) (21) (C.A.S. #1498–40–4) Methylphosphonyl difluoride Ethylphosphonous dichloride Difluoromethylphosphine oxide Dichloroethylphosphine Methyl difluorophosphite Ethyl phosphonous dichloride Methylphosphonic difluoride Ethyldichlorophosphine (32) (C.A.S. #10025–87–3) Phosphorus (22) (C.A.S. #430–78–4) Ethylphosphonus oxychloride difluoride Phosphonyl trichloride Ethyldifluorophosphine Phosphoric chloride (23) (C.A.S. #1066–50–8) Ethylphosphonyl Phosphoric trichloride dichloride Phosphoroxychloride Dichloroethylphosphine oxide Phosphoroxytrichloride Ethanephosphonyl chloride Phosphorus chloride oxide Ethylphosphinic dichloride Phosphorus monoxide trichloride Ethylphosphonic acid dichloride Phosphorus oxide trichloride Ethylphosphonic dichloride Phosphorus oxytrichloride (24) (C.A.S. #753–98–0) Ethylphosphonyl Phosphorus trichloride oxide difluoride Phosphoryl trichloride Ethyl difluorophosphite Trichlorophosphine oxide Ethyldifluorophosphine oxide Trichlorophosphorus oxide Ethylphosphonic difluoride (33) (C.A.S. #10026–13–8) Phosphorus (25) (C.A.S. #7664–39–3) Hydrogen fluo- pentachloride ride Pentachlorophosphorane Anhydrous hydrofluoric acid Pentachlorophosphorus Fluorhydric acid Phosphoric chloride Fluorine monohydride Phosphorus(V) chloride Hydrofluoric acid gas Phosphorus perchloride (26) (C.A.S. #3554–74–3) 3-Hydroxyl-1- (34) (C.A.S. #1314–80–3) Phosphorus methylpiperidine pentasulfide 3-Hydroxy-N-methylpiperidine Diphosphorus pentasulfide 1-Methyl-3-hydroxypiperidine Phosphoric sulfide N-Methyl-3-hydroxypiperidine Phosphorus persulfide 1-Methyl-3-piperidinol Phosphorus sulfide N-Methyl-3-piperidinol (35) (C.A.S. #7719–12–2) Phosphorus tri- (27) (C.A.S. #76–89–1) Methyl benzilate chloride Benzilic acid methyl ester Phosphorus chloride .alpha.-Hydroxy-.alpha.- Trichlorophosphine phenylbenzeneacetic acid methyl (36) C.A.S. #75–97–8) Pinacolone ester tert-Butyl methyl ketone Methyl .alpha.-phenylmandelate 2,2-Dimethyl-3-butanone Methyl diphenylglycolate 3,3-Dimethyl-2-butanone (28) (C.A.S. #676–83–5) 2,2-Dimethylbutanone Methylphosphonous dichloride 3,3-Dimethylbutanone Dichloromethylphosphine 1,1-Dimethylethyl methyl ketone
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Methyl tert-butyl ketone Sulfur chloride oxide Pinacolin Sulfur oxychloride Pinacoline Sulfurous dichloride 1,1,1-Trimethylacetone Sulfurous oxychloride (37) (C.A.S. #464–07–3) Pinacolyl alcohol Thionyl dichloride tert-Butyl methyl carbinol (51) (C.A.S. #102–71–6) Triethanolamine 2,2-Dimethyl-3-butanol Alkanolamine 244 3,3-Dimethyl-2-butanol Nitrilotriethanol 1-Methyl-2,2-dimethylpropanol 2,2′,2″-Nitrilotriethanol (38) (C.A.S. #151–50–8) Potassium cya- 2,2′,2″-Nitrilotris(ethanol) nide TEA (39) (C.A.S. #7789–23–3) Potassium fluo- TEA (amino alcohol) ride Tri (2-hydroxyethyl) amine Potassium monofluoride Triethanolamin (40) (C.A.S. #7789–29–9) Potassium hy- Tris (.beta.-hydroxyethyl) amine drogen fluoride Tris (2-hydroxyethyl) amine Hydrogen potassium difluoride Trolamine Hydrogen potassium fluoride (52) (C.A.S. #637–39–8) Triethanolamine Potassium acid fluoride hydrochloride Potassium bifluoride (53) (C.A.S. #122–52–1) Triethyl Potassium hydrogen difluoride phosphite Potassium monohydrogen difluoride Phosphorous acid triethyl ester (41) (C.A.S. #1619–34–7) 3-Quinuclidinol Triethoxyphosphine 1-Azabicyclo(2.2.2)octan-3-ol Tris(ethoxy)phosphine 3-Hydroxyquinuclidine (54) (C.A.S. #121–45–9) Trimethyl (42) (C.A.S. #3731–38–2) 3-Quinuclidinone phosphite 1-Azabicyclo(2.2.2)octan-3-one Phosphorus acid trimethyl ester 3-Oxyquinuclidine Trimethoxyphosphine Quinuclidone (l) Interpretation 12: Computers. (1) (43) (C.A.S.) #1333–83–1) Sodium Digital computers or computer systems bifluoride classified under ECCN 4A003.a, .b, or .c, Sodium hydrogen difluoride that qualify for ‘‘No License Required’’ Sodium hydrogen fluoride (NLR) must be evaluated on the basis (44) (C.A.S. #143–33–9) Sodium cyanide of CTP alone, to the exclusion of all (45) (C.A.S. #7681–49–4) Sodium fluoride other technical parameters. Computers Sodium monofluoride controlled in this entry for MT reasons (46) (C.A.S. #1313–82–2) Sodium sulfide are not eligible for License Exception Disodium monosulfide CTP regardles of the CTP of the com- Disodium sulfide puter. Digital computers or computer Sodium monosulfide systems classified under ECCN 4A003.a, Sodium sulphide .b, or .c that qualify for License Excep- (47) (C.A.S. #10025–67–9) Sulfur tion CTP must be evaluated on the Monochloride basis of CTP, to the exclusion of all (48) (C.A.S. #10545–99–0) Sulfur other technical parameters, except for dicholoride parameters of Missile Technology con- (49) (C.A.S. #111–48–8) Thiodiglycol cern, or ECCN 4A003.e (equipment per- Bis(2-hydroxyethyl) sulfide forming analog-to-digital conversions Bis(2-hydroxyethyl) thioether exceeding the limits in ECCN Di(2-hydroxyethyl) sulfide 3A001.a.5.a). This License Exception Diethanol sulfide does not authorize the export or reex- 2,2′-Dithiobis-(ethanol) port of computers controlled for MT 3-Thiapentane-1,5-diol purposes regardless of the CTP. Assem- 2,2′-Thiobisethanol blies performing analog-to-digital con- 2,2′-Thiodiethanol versions are evaluated under Category Thiodiethylene glycol 3—Electronics, ECCN 3A001.a.5.a. 2,2′-Thiodiglycol (2) Related equipment classified (50) C.A.S. #7719–09–7) Thionyl chloride under ECCN 4A003.d, .e, .f, or .g may be Sulfinyl chloride exported or reexported under License Sulfinyl dichloride Exceptions GBS or CIV. When related
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equipment is exported or reexported as specifically indicated on the face of the part of a computer system, NLR or Li- license. The only technology and soft- cense Exception CTP is available for ware related to equipment exports that the computer system and the related may be exported without a license is equipment, as appropriate. technology described in §§ 734.7 through (m) Interpretation 13: Encryption soft- 734.11 of the EAR; operating technology ware controlled for EI reasons. and software described in § 740.13(a) of Encryption software controlled for EI the EAR; sales technology described in reasons under ECCN 5D002 may be pre- § 740.13(b) of the EAR; and software up- loaded on a laptop and exported under dates described in § 740.13(c) of the the tools of trade provision of License EAR. Exception TMP or the personal use ex- (c) Commingled technology and soft- emption under License Exception BAG, ware. (1) U.S.-origin technology does subject to the terms and conditions of not lose its U.S.-origin when it is such License Exceptions. This provi- redrawn, used, consulted, or otherwise sion replaces the personal use exemp- commingled abroad in any respect with tion of the International Traffic and other technology of any other origin. Arms Regulations (ITAR) that existed Therefore, any subsequent or similar for such software prior to December 30, technical data prepared or engineered 1996. Neither License Exception TMP abroad for the design, construction, op- nor License Exception BAG contains a eration, or maintenance of any plant or reporting requirement. equipment, or part thereof, which is (n) Interpretation 14: Encryption com- based on or utilizes any U.S.-origin modity and software reviews. Classifica- technology, is subject to the EAR in tion of encryption commodities or soft- the same manner as the original U.S.- ware is required to determine eligi- origin technology, including license re- bility for certain licensing mechanisms quirements, unless the commingled (see §§ 740.13(e) and 740.17 of the EAR) technology is not subject to the EAR and exports to subsidiaries of U.S. com- by reason of the de minimis exclusions panies (see § 740.17(b)(1) of the EAR). described in § 734.4 of the EAR. Note that subsequent bundling, patch- (2) U.S.-origin software that is incor- es, upgrades or releases, including name changes, may be exported or re- porated into or commingled with for- exported under the applicable provi- eign-origin software does not lose its sions of the EAR without further re- U.S.-origin. Such commingled software view as long as the functional is subject to the EAR is the same man- encryption capacity of the originally ner as the original U.S.-origin soft- reviewed product has not been modified ware, including license requirements, or enhanced. This does not extend to unless the commingled software is not products controlled under a different subject to the EAR by reason of the de category on the CCL. minimis exclusions described in § 734.4 of the EAR. [61 FR 12920, Mar. 25, 1996, as amended at 61 (d) Certain License Exception. The fol- FR 67450, Dec. 23, 1996; 62 FR 6686, Feb. 12, lowing questions and answers are in- 1997; 62 FR 25469, 25470, May 9, 1997; 63 FR 50525, Sept. 22, 1998; 65 FR 62609, Oct. 19, 2000] tended to further clarify the scope of technology and software eligible for a § 770.3 Interpretations related to ex- License Exception. ports of technology and software to (1)(i) Question 1. (A) Our engineers, in destinations in Country Group D:1. installing or repairing equipment, use (a) Introduction. This section is in- techniques (experience as well as pro- tended to provide you additional guid- prietary knowledge of the internal ance on how to determine whether componentry or specifications of the your technology or software would be equipment) that exceed what is pro- eligible for a License Exception, may vided in the standard manuals or in- be exported under NLR, or require a li- structions (including training) given to cense, for export to Country Group D:1. the customer. In some cases, it is also (b) Scope of licenses. The export of a condition of the license that such in- technology and software under a li- formation provided to the customer be cense is authorized only to the extent constrained to the minimum necessary
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for normal installation, maintenance specifically represented in your license and operation situations. application as required for this cus- (B) Can we send an engineer (with tomer installation, and in fact author- knowledge and experience) to the cus- ized on the face of the license or a sepa- tomer site to perform the installation rate technology license, may not be un- or repair, under the provisions of Li- dertaken while the license is suspended cense Exception TSU for operation or revoked. technology and software described in [61 FR 12920, Mar. 25, 1996, as amended at 61 § 740.13(a) of the EAR, if it is under- FR 64286, Dec. 4, 1996; 62 FR 25470, May 9, stood that he is restricted by our nor- 1997; 65 FR 14860, Mar. 20, 2000] mal business practices to performing the work without imparting the knowl- edge or technology to the customer PART 772—DEFINITIONS OF TERMS personnel? (ii) Answer 1. Export of technology AUTHORITY: 50 U.S.C. app. 2401 et seq.; 50 includes release of U.S.-origin data in a U.S.C. 1701 et seq.; E.O. 12924, 59 FR 43437, 3 foreign country, and ‘‘release’’ includes CFR, 1994 Comp., p. 917; E.O. 13026, 61 FR ‘‘application to situations abroad of 58767, 3 CFR, 1996 Comp., p. 228; Notice of Au- personal knowledge or technical expe- gust 3, 2000 (65 FR 48347, August 8, 2000). rience acquired in the United States.’’ SOURCE: 61 FR 12925, Mar. 25, 1996, unless As the release of technology in the cir- otherwise noted. cumstances described here would ex- ceed that permitted under the License § 772.1 Definitions of terms as used in Exception TSU for operation tech- the Export Administration Regula- tions (EAR). nology and software described in § 740.13(a) of the EAR, a license would The following are definitions of be required even though the technician terms as used in the Export Adminis- could apply the data without disclosing tration Regulations (EAR). In this it to the customer. part, references to the EAR are ref- (2)(i) Question 2. We plan, according erences to 15 CFR chapter VII, sub- to our normal business practices, to chapter C. Those terms in quotation train customer engineers to maintain marks refer to terms used on the Com- equipment that we have exported under merce Control List (CCL) (Supplement a license, License Exception, or NLR. No. 1 to part 774 of the EAR). Par- The training is contractual in nature, enthetical references following the provided for a fee, and is scheduled to terms in quotation marks (i.e., (Cat 5)) take place in part in the customer’s fa- refer to the CCL category in which cility and in part in the U.S. Can we that term is found. now proceed with this training at both AES. See ‘‘Automated Export Sys- locations under a License Exception? tem.’’ (ii) Answer 2. (A) Provided that this is ATM. (Cat 5)—See ‘‘Asynchronous your normal training, and involves Transfer Mode.’’ technology contained in your manuals Accuracy. (Cat 2 and 6)—‘‘Accuracy’’ and standard instructions for the ex- is usually measured in terms of inaccu- ported equipment, and meets the other racy. It is defined as the maximum de- requirements of License Exception viation, positive or negative, of an in- TSU for operation technology and soft- dicated value from an accepted stand- ware described in § 740.13(a), the train- ard or true value. ing may be provided within the limits Active flight control systems. (Cat 7)— of those provisions of License Excep- Function to prevent undesirable ‘‘air- tion TSU. The location of the training craft’’ and ‘‘missile’’ motions or struc- is not significant, as the export occurs tural loads by autonomously proc- at the time and place of the actual essing outputs from multiple sensors transfer or imparting of the technology and then providing necessary preven- to the customer’s engineers. tive commands to effect automatic (B) Any training beyond that covered control. under the provisions of License Excep- Active pixel. (Cat 6 and 8)—A max- tion TSU for operation technology and imum (single) element of the solid software described in § 740.13(a), but state array that has a photoelectric
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