Nl

EXPEDITING YOUR DOCUMENTS

The Administrative Section in the Office of
Defense Trade Controls (DTC) receives ap-
proximately 250 applications every business
day. Upon receipt, personnel review each
application for data entry before delivering it
to the appropriate Licensing Officer (LO).

Several companies have adopted a standard
order in which they package their documents.
This ordering saves processing time, since the
person who reviews the application knows
where to look for each separate document.
We, therefore, encourage you to package your
documents as follows for minimum delays
and maximum service (see illustration): li-
cense application; letter signed by responsible
official empowered by applicant and ad-
dressed to Director of DTC (section 126.13 of
the International Traffic in Arms Regulations,
or ITAR); and attachments.

License
Application

126.13 Letter

Attachments

VISITING DTC

Security procedures in the building housing
the Office of Defense Trade Controls (DTC)
have recently changed. Visitors may still en-
ter the first floor at Nash Street, and may also
come into the lobby level through the newly-
opened Lynn Street and N. Fort Myer Drive
doors. Visitors must present identification at
the guard desk on either level, sign in, and
receive a Visitor's Badge before entering the
elevators. The Lynn Street and N. Fort Myer
Drive entrances are open from 8:15 am to 5
pm, Monday through Friday except holidays.
The Nash Street entrance remains open 24
hours every day.

PARCEL DELIVERIES TO DTC

When addressing parcels for courier delivery
to the Office of Defense Trade Controls
(DTC), located on 1701 N. Fort Myer Drive in
Arlington, Virginia, please specify “Nash
Street Entrance.” Due to security measures,
couriers may not deliver directly to our office;
DIC office personnel must retrieve courier
deliveries and do so at the first floor entrance
on Nash Street. Since couriers may now enter
on either the lobby or first floors, package
pickup could be delayed by confusion about
lobby versus first floor entrances, by elevator
stoppages, and by personnel shortages. To
prevent such occurrences, mark your pack-
ages clearly for delivery to the Nash Street
entrance. #

ugh
CORRECTIONS

For the Defense Investigative Service (DIS) office
in Phoenix, AZ, the correct ZIP Code is 85012-
2002, and the phone numbers arc (602) 640-2448,
(FTS) 261-2448. Please make these changes at
the top left column, page 15, in the Vol. 2, No. 4,
October 1991 issue of Defense Trade News. We
thank DIS personnel for bringing these correc-
tions to our attention.

Page 20

Defense Trade News, Volume 3, Number 1, January 1992



EE

DEPARTMENTS

Customs

The Role of Port Coordinators in
Exporting

The U.S. Customs Service, Office of Enforce-
ment, has designated EXODUS Port Coordi-
nators at most offices headed by a Special
Agent-in-Charge (SAC) or Resident Agent-in-
Charge (RAC). The Port Coordinator, who is
usually a Senior Special Agent, may perform
the following duties:

¢ Actas the conduit between the EXO-
DUS Command Center and the EXODUS
teams. All changes in EXODUS procedures,
Commerce and State Department regulations,
reporting requirements, etc., will be sent di-
rectly to the Port Coordinator for distribution
to his/her EXODUS team;

U.S, CUSTOMS PORT
Atlanta, GA

Baltimore, MD

PORT COORDINATOR
Tom Martin

Tom Baumgardner

© Conduct or coordinate preliminary in-
vestigations on all seizures. Ensure that in-
vestigations with potential are initiated;

© Receive intelligence and information
from U.S. Customs Headquarters, the enforce-
ment teams, local agencies, industry, and
other SAC/RAC offices. Disseminate them to
the EXODUS teams and/or agents so that
they can be incorporated into port alerts or
investigations;

* Originate intelligence on strategic tech-
nology diversions and munitions control vio-
lations and disseminate it to the appropriate
officials;

Serve as liaison with local industry and
other enforcement/regulatory agencies;

* Notify exporters of EXODUS detentions
and seizures of merchandise; and

¢ Present talks to trade meetings, etc., on
Operation EXODUS. Represent U.S. Customs
with local news media on specific investiga-
tions or seizures.

To request a presentation for your company
or organization, or to report any suspicious
activities indicating a possible illegal export
or diversion, please contact one of the Port
Coordinators listed on these pages.

PHONE NUMBER
404-763-7761

410-962-2622

Blaine, WA Larry Brown 206-332-6725
Boston, MA Kenneth MacDonald 617-565-7400
Charleston, SC Frederick Gleffe 803-724-4119
Chicago, IL Sheila O'Neill 312-353-8450
Columbia, SC Scott Davis 803-765-5430
Page 14 Defense Trade News, Volume 3, Number 1, January 1992



DEFENSE TRADE NEWS
United States Department of State
Washington, D.C. 20522-0602

OFFICIAL BUSINESS
PENALTY FOR PRIVATE USE $300

Address Correction Requested

BULK RATE
POSTAGE & FEES PAID
U.S. Department of State
Permit No. G-130

SMON epedL asuajag aes Jo UaWedad “S'N

ze6l Asenuer

LON ‘€ “10A


SS

Conclusion. In order to protect its security
interests, the United States must maintain the
forces necessary to exercise a forward pres-
ence in key areas and respond to unforeseen
threats; it must retain a credible nuclear deter-
rent; and it must provide defense articles and
services to meet the self-defense needs of its
security partners.

The Persian Gulf War demonstrated the im-
portance of assisting U.S. friends and allies
and preserving a strong defense industrial
base. The Department of State will seek to
maintain a vigorous security assistance pro-
gram and to facilitate defense exports in ac-
cordance with U.S. national security and for-
eign policy objectives. #

Poland, Hungary, and Czechoslovakia

Determination of Foreign Military Sales Eligibility

On December 6, 1991, the President made
Hungary, Poland, and Czechoslovakia eli-
gible to purchase U.S. defense articles and
services under section 503(a) of the Foreign
Assistance Act of 1961, as amended [22 USC
2311(a)], and section 3(a)(1) of the Arms Ex-
port Control Act, as amended [22 USC
2743(a)(1)], for Foreign Military Sales (FMS)
programs. The subject Presidential Determi-
nations, numbers 92-6 through 92-8, were
published in the December 16, 1991, Federal
Register. This eligibility for FMS now gives
these countries the option of purchasing U.S.
defense articles and services either through
direct commercial channels or from the U.S.
Government. The United States has FMS rela-
tionships with approximately 130 countries
and seven international organizations.

President Bush's decision to make these coun-
tries eligible for FMS is part of the evolution
of strengthened bilateral relationships. This
decision followed the July 1991 approval to
remove these countries from the prohibited
list of countries under section 126.1 of the
International Traffic in Arms Regulations
(ITAR), thereby permitting them to purchase

limited quantities of U.S. Munitions List
(USML) items directly from U.S. manufactur-
ers. This change appeared in the October 29,
1991, Federal Register.

Current Administration policy does not in-
clude the sale of sophisticated weapons sys-
tems to these countries. All requests for FMS
sales will be reviewed on the same case-by-
case basis that now exists for direct commer-
cial transactions of the same items. All FMS
sales would be cash purchases only, as the
United States is not currently proposing any
Foreign Military Financing (FMF) to these
countries.

An anticipated benefit to enhanced security
assistance relationships with these countries
will be the opportunity to assist them in their
efforts to transform their militaries into viable
national defense organizations, accountable to
elected civilian authorities. The United States
also supports these countries’ efforts to ad-
dress their citizens’ economic and social wel-
fare needs. The United States will continue to
work with these governments to find ways to
meet their legitimate self-defense require-
ments without creating threats to the stability
of the region. #

Defense Trade News, Volume 3, Number 1, danuary 1992

Page 5



Training—Relief Is Just A Letter Away

Are export procedures giving you or your employees headaches? The Office of Defense Trade
Controls (DTC) can design a seminar on export licensing policies and procedures with your specific
needs in mind. Seminars are held in DTC’s main conference room on the second floor at 1701 N.
Fort Myer Drive, Arlington, VA.

DTC normally holds two seminars per month if demand warrants. Seating constraints limit atten-
dance to 30 people per seminar. Normal training sessions are half-day, but they can be extended
according to the needs of the participants. Small companies are encouraged to apply for these
training sessions. We combine participants from different companies each month to make upa
session. Larger companies might have enough personnel to take up all of the available spaces ina
session, in which case, we will schedule a special session for that company.

In order to request a training seminar, please complete the application below and return it to DTC.

1. Type(s) of Training Desired

Completion of Applications
Country Licensing Policies

Registration Requirements
Congressional Requirements

COCOM Requirements Agreement Requirements
U.S. Customs EXODUS Program Commodity Jurisdiction Requests
Processing of Requests Licensing Foreign Nationals

Other subject areas you wish covered:

(fold on this line)

2. Number of individuals wishing to attend from your firm.

3. Please list the primary U.S. Munitions List category(ies) of defense articles, services, and/or tech-
nical data in which your firm usually deals.

“

2. 3. 4,

4. Name of Company /Individual
DTC Registration Code
Address

Point of Contact
Phone ( ) - ( ) -
Direct Line DataFax

5. Would your company be interested in briefing DTC about your products or services?

Yes No


SS

CONTACTING THE CENTER FOR DEFENSE TRADE (CDT)

Director, Center for Defense Trade
PM, Room 7321

Bureau of Politico-Military Affairs
U.S. Department of State
Washington, D.C. 20520-7321
(202) 647-6977

Office of Defense Trade Controls (DTC) Office of Defense Trade Policy (DTP)
Postal Mailing Address

PM/DTC, SA-6, Room 200 PM/DTP, Room 7815

Office of Defense Trade Controls Office of Defense Trade Policy
Bureau of Politico-Military Affairs Bureau of Politico-Military Affairs
U.S. Department of State U.S. Department of State
Washington, D.C. 20522-0602 Washington, D.C. 20520-7815

Express Mail and Courier Delivery Address

PM/DTC, Room 200 PM/DTP, Room 7815

Office of Defense Trade Controls Office of Defense Trade Policy
Bureau of Politico-Military Affairs Bureau of Politico-Military Affairs
USS. Department of State US. Department of State

1701 N. Fort Myer Drive (Nash St. Entrance) Washington, D.C. 20520-7815

Arlington, VA 22209-3113
Telephone Numbers

General Information: (703) 875-6644 General Information: (202) 647-4231
Licensing: (703) 875-6644 #3 Embassy Support: (202) 647-4231
Registration/Compliance: (703) 875-6650
Office Director and Deputies: (703) 875-7050
Defense Trade News: (703) 875-5660
Congressional Cases: (703) 875-6641
Commodity Jurisdictions: (703) 875-7041/5655
License Status Staff: (703) 875-6652
Automated License Status Systems:
ALISS (Telephonic): (703) 875-7374
ROBB (Electronic): (703) 875-6650

Facsimile Numbers

Licensing /Management/Forms: (703) 875-6647 PM/DIP: (202) 647-4232
Registration /Compliance/ROBB: (703) 875-5663

Department of State Publication 9783
Bureau of Politico-Military Affairs
Revised March 1992


SS

Interface Transformers and Data Bus
Couplers and Terminators ccL**

Interface Transformers and Data Busses CCL“*
Joint Mission Planning System Software USML XI(a)
Keyboard Panel for Aircraft Transceiver

with Signal Hopping Capabilities USML XIa)(2)
Magnesium Powder ccL*
When 99% pure and particles smaller
than 60 micrometers USML Vic)
Magnetic Cards and Terminals cc
Management Software Program ccL*

Membrane Separation Systems for
Nitrogen and Floxal Gas Supply Systems CCL ECCN 1B96G

Metal Matrix Composite ccL*
When specially designed for Military
‘Application USML XIII(@)

Metallic Powder used in Infrared Smoke — USML Vie)
Microwave Amplifiers for Navy Fire

Control System USML XII)
Microwave Components, and Solid

State Devices CCL ECCN 3A01A
Mine Clearing Device USML IV()
Miniature Optical Shaft Encoders CCL ECCN 65996

When designed for Military Equipment USML?*

Monolithic Microwave Integrated Circuits
(MMIC) made of Galliun Arsenide (GaAs)

operating in the 2 - 25 GHz range USML XI(e)
Movement Detection System USML Xtc)
Multi-protocol Network Software using DES
Object Code ccL*
Source Code USML XIII(b)

Multibeam Bathymetric Sonar System CCL ECCN 6A01A

Non-DES Based Banking Transaction
Software ccL*

Non-DES Based Security Software Package CCL **
Personal Identification Number Selector

System ccL*
Prediction Software developed for Missile
and Rocket Design USML XVIII

Pressure Transducers and Transmitters — CCL ECCN 9A96G
Program Planning, Cost Estimating, and

Risk Assessment Software Models cc”
Protein Crystallization Experiment to be

used in a Space Station Experiment CCL ECCN 1896G
Radar Absorbing Metal Powders USML XII(e)
Rectifiers or Diodes CCL ECCN 65996
Reflectance Spectrometer CCL ECCN 65996

Remotely Piloted Vehicles, Aerial Targets,
‘Associated Launching Platforms and
Laser Detection Systems USML VIII

Reverse Osmosis Water Purification Unit CCL ECCN 2A96G
Rings made for Image Intensifier Tubes USML XiII(c)

Rotary Control Ball Valve designed for
US.Navy

Rotary Control Valves

Ruggedized Chassis for Commercial
Computers

Ruggedized Dot Matrix Printer with EMI
capability

Ruggedized Video Recorders and Players

Secure Telecommunications Equipment

Signalling Equipment used for Fire and
Security Alarms

Single Sapphire Crystals for use in
Tactical Missiles

Smart Cards with Encryption
Initialized and Personalized
Not Initialized and Personalized

Software Communications Package

Software for designing Radiation
Hardened Integrated Circuits

Software Program for Specification
Electromagnetic Analysis

Software used in designing Propellant
Systems

Solar Window Film and Thermal Blanket
Material

Sound Simulator
When specially designed or modified
for use in Military Training Systems

Special Daylight Avionics Switches
For Night Vision Imaging Systems

Subminiature Rate Gyroscope
When Integrated into an FAA Certified
Civil Aircraft

Subscriber Television System

Tank Training System
Data Base for Tank Training System
Individual Parts and Components
without Data Base
Individual Components or Parts with
Data Base Integrated

Target Radar Simulator

Technical Data for a Hypersonic Wind
Tunnel Nozzle

Telephone Switching Antenna
Towed Aerial Targets
Transformers designed for Missiles
Turbine Engine Ignition System

Turbo-Prop Military Trainer Aircraft
Specially Designed Parts and
Components

Unmanned Aerial Vehicle
Voice Privacy Device for Telephones

Note 1: USML category is the same as the item for which this part or component was designed.

USML VI(b)
CCL ECCN 1B96G

cel

USML XI(e}
CCL ECCN 1572A
USML XIII (b)

ccL**

USML IV(h)

USML XIII(b)
CCL Cat SD

CCL ECCN 3D21B
CCL ECCN 3D96G
USML IV(h)

cc
CCL ECCN 3A93A

USML IX(b)

CCL ECCN 9A94F
USML XI(a)

USML VIIl(g)

CCL7A02A,
cc"
USML IX
USML IX(b)
CCL Cat 4

USML IX(b)
CCL ECCN 1501A

CCL ECCN 9825B
USML XII(a)
USML IX(a)

USML 1V(h)

CCL ECCN 6498F
USML VIII)

USML VING).
USML VIII(a)
ccL*

** A specific Export Commodity Classification Number (ECCN) was not provided by the Department of Commerce. For the ECCN
number, please file a commodity classification request with the Bureau of Export Administration (BXA), Department of Commerce,

P.O. Box 273, Washington, DC 20044.

Page 18

Defense Trade News, Volume 3, Number 1, January 1992



el

(continued from page 7)

and the Malaysian Ministry of Defense, and a
list of local agents that can facilitate interac-
tion with the Government of Malaysia.

At the Singapore Air Show in February, U.S.
Ambassador to Malaysia Paul Cleveland gave
a daily briefing to U.S. industry representa-
tives, and along with other Embassy officials,
answered questions, and addressed industry
concerns. Embassy personnel regularly at-
tend international and regional trade shows,
and distribute the information packet. (To
obtain the full information packet, one can
write to:

Security Assistance Office
American Embassy

376 Jalan Tun Razak
50400 Kuala Lumpur
Malaysia

or to:

Security Assistance Office
American Embassy—Kuala Lumpur
APO AP 96535-5000

Requests can also be faxed to: SAO, U.S.
Embassy Malaysia, 011 (60) (3) 242-2207.)

Although much of the information in the Em-
bassy letter is specific to Malaysia, many of
the offices, functions, and procedures de-
scribed apply in most U.S. Embassies and
with many foreign governments.

Providing Feedback. The Center for Defense
Trade (CDT) welcomes thoughts, ideas, and
information about Embassy assistance to U.S.
Defense firms. Although Embassy officials
must be aware of the special considerations
and responsibilities involved in defense ex-
ports, American Embassies are in a unique
position to help the U.S. defense industry
with their ability to provide country-specific
information and to draw upon a variety of
talents within each mission. CDT looks for-
ward to publishing additional articles that
detail expanded U.S. Embassy support avail-
able to the U.S. defense industry abroad.
Comments should be forwarded to :

Editor, Defense Trade News
PM/DTC, SA-6, Room 200
Office of Defense Trade Controls
Bureau of Politico-Military Affairs
U.S. Department of State
Washington, D.C. 20522-0602

Class and Multiple Commodity Jurisdiction Requests

Reduced Processing Time

Class and Multiple CJs Encouraged. As re-
ported in the June 1990 Defense Trade News,
the Office of Defense Trade Controls (DTC)
initiated several workload reduction actions
including the use of class or multiple Com-
modity Jurisdiction (CJ) requests. The class CJ
concept was developed so that various mod-
els of a product could be addressed simulta-
neously. DTC encourages manufacturers of
products that have similar functions, but may
vary in physical properties, or range of capa-
bility, to submit class CJ requests. A manu-

facturer seeking determinations on several
different products with dissimilar functions is
encouraged to submit a multiple CJ request
by single letter.

The Class CJ Request. A class is a product or
product line having several models or varia-
tions which perform the same function. Class
examples include different types of knives
produced by the same manufacturer, a vari-
ety of microchips produced by an electronics
firm, and various software security programs
developed by a software developer.

Page 10

Defense Trade News, Volume 3, Number 1, January 1992



ee

Under the law, the President may terminate
these suspensions if he reports to Congress
either that the termination is in the national
interest, or that China has made progress on a
number of human-rights-related political re-
forms specified in the law. Only two such
waivers have been issued on the basis of na-
tional interest, both for U.S. satellites previ-
ously ordered by third countries for launch
by Chinese rockets.

Based on evidence that two Chinese firms had
transferred missile technology to Pakistan, the
President announced on June 16, 1991, that he
would offer no further waivers of the ban on
satellite exports imposed by the Foreign Rela-
tions Authorization Act. Applications for
export to China of Commerce Department-
controlled high performance computers with
composite theoretical performance (CTP) lev-
els above 41 million theoretical operations per
second (MTOPS) were subject to extensive
review with a presumption of denial. Also,
under a separate requirement of law, issuance

of export licenses for missile-related USML or
CCL items going to the two Chinese firms
involved in missile proliferation activities was
prohibited for 2 years.

Following receipt of written confirmation of
China’s commitment to abide by the guide-
lines and parameters of the Missile Technol-
ogy Control Regime (MTCR) , the Adminis-
tration announced in February 1992 that it
was taking steps to lift the 1991 sanctions.
This means the Administration intends once
again to consider national interest exceptions
to the statutory ban on PRC launches of U.S.
satellites on a case-by-case basis. License ap-
plications for export of high performance
computers to China will be evaluated accord-
ing to appropriate dual-use criteria. Steps are
also being taken to waive the sanctions im-
posed on the two Chinese firms. Exporters
are encourage to consult with the State De-
partment on USML items and with the Com-
merce Department on CCL items before sub-
mitting license applications. +

Assisting Defense Firms Overseas

How One U.S. Embassy Does It

State Department Directive on Support for
Defense Trade. On July 10, 1990, Acting Sec-
retary of State Lawrence Eagleburger sent a
cable to all U.S. Ambassadors worldwide out-
lining the appropriate Embassy role in sup-
port of U.S. defense trade (Defense Trade News,
Vol. 1, No. 3, September 1990). Secretary
Eagleburger wrote: “It is the policy of the
United States that our diplomatic posts
abroad should support the marketing efforts
of U.S, companies in the defense trade arena
as in all other spheres of commercial activity.”
The cable expanded previous guidance that
US. officials should operate in a more coop-
erative manner with overseas representatives
of the U.S. defense industry.

How One Embassy Helps U.S. Defense
Firms. The American Embassy in Kuala
Lumpur, Malaysia, has taken various steps to
implement the Eagleburger cable. The post
has incorporated the expertise of several Em-
bassy offices and has produced a single infor-
mation packet for U.S. defense iridustry. The
Security Assistance Office (SAO) has pre-
pared a letter, “Assistance to U.S. Defense
Contractors” (reproduced on pages 8-9),
which outlines the assistance available from
the Embassy and specifies the Embassy of-
fices responsible for different actions. The
SAO also provides a brochure, “Procurement
System of the Ministry of Defence—Malaysia,”
that describes military procurement in that
country. The Embassy maintains current lists
of points of contact in both the U.S. Embassy

(continued on page 10)

Defense Trade News, Volume 3, Number 1, January 1992

Page 7



SS

Newly Independent States

Policy on Transfers to Former Soviet Republics

In January 1992, the State Department ap-
proved addition of the names of the newly
independent states of the former Soviet Union
to the list of prohibited destinations for de-
fense articles and services in the International
Traffic in Arms Regulations (ITAR) (22 CFR
parts 120-130) and formally removed the now
dissolved “Union of Soviet Socialist Repub-
lics” (USSR) from the list of prohibited desti-
nations.

At this time, the prohibitions of section 126.1
of the ITAR that have been in effect for the
Soviet Union, or USSR, continue to apply to
the newly independent republics of the
former Soviet Union. Until further notice, it
will be the policy of the U.S. Government to

deny licenses and other approvals in general
with respect to defense articles and defense
services destined for or originating in the fol-
lowing newly independent republics: the
Republic of Armenia, Republic of Azerbaijan,
Republic of Byelarus, Republic of Georgia,
Republic of Kazakhstan, Republic of Kyrgyz-
stan, Republic of Moldova, Russian Federa-
tion, Republic of Tajikistan, Turk-menistan,
Ukraine, and Republic of Uzbekistan. The
previous inclusion of the now independent
Baltic states of Estonia, Latvia, and Lithuania
on the list of prohibited destinations in sec-
tion 126.1 continues to apply.

This policy and related information will be
published in a forthcoming Federal Register
notice. #

China

Effect of Sanctions on Defense Trade

Executive actions and legislation have se-
verely restricted U.S. defense exports to the
People’s Republic of China (PRC) since the
violent events in Beijing’s Tiananmen Square
on June 4, 1989. Additional sanctions im-
posed in 1991 because of concern about PRC
contributions to ballistic missile proliferation
are being lifted.

Effective June 5, 1989, the President issued an
Executive order suspending all licenses to
export defense items and provide defense
services to the PRC. A follow-up notice ex-
plicitly extended the suspension to the gen-
eral exemptions for various types of technical
data listed in section 125.4 of the International
Traffic in Arms Regulations (ITAR).

Applicants could petition the Director, Office
of Munitions Control (now the Office of De-
fense Trade Controls), if they felt their par-

ticular export was in the interest of the secu-
rity and foreign policy of the United States.
While returning applications for defense or
public security end users without action, DTC
continued to accept applications for U.S. Mu-
nitions List (USML) exports to civilian end
users. A small number of exceptions were
granted in 1989-90.

In February 1990, Congress codified some of t
these sanctions in the Foreign Relations Au-
thorization Act for Fiscal Years 1990 and 1991
(Public Law 101-246). This law suspended
issuance of export licenses for all USML items
except inertial navigation systems for civilian
aircraft. It also suspended export licensing of
crime control and detection equipment on the
dual-use Commerce Control List (CCL) and
of USS. satellites for launch from Chinese ve-
hicles.

Page 6

Defense Trade News, Volume 3, Number 1, January 1992



———————={[{__———$_$_=_=_=_=_=_—_———

Personnel Updates

Charles A. Ray reported as the Special Assis-
tant to the Director of the Office of Defense
Trade Controls in September 1991. He ar-
rived from the American Consulate General
in Chiang-Mai, Thailand, after a 3-year tour
as the Administrative Officer. In his current
position, Mr. Ray oversees and coordinates
Congressional affairs and special projects for
the Director. Mr. Ray brings 10 years of State
Department and 20 years of Army experience
to this assignment. In a previous Foreign Ser-
vice assignment, Mr. Ray spent 4 years in
China.

David Shapiro joined the Office of Defense
Trade Policy (DTP) as a Politico-Military Af-
fairs Officer in October 1991. A Foreign Ser-
vice Officer with experience in Sudan, Israel,
and Australia, he served a year with the Mul-
tinational Force and Observers in the Sinai
and covers Middle East issues for DTP. His
private sector experience includes law, ac-
counting, and marketing. He holds an under-
graduate and law degree from the University
of Pennsylvania and an MBA from Columbia
University.

Constance D. Reese. On January 28, 1992, Miss Reese succumbed to a
short-term illness at Georgetown University Hospital in Washington,
D.C. She was loved and respected by all she touched. Miss Reese served
for 4 years as Secretary to the Chief of the Arms Licensing Division (ALD)
in the Office of Defense Trade Controls (DTC). In 1991, she was selected
as Secretary of the Year for the Bureau of Politico-Military Affairs in rec-
ognition of her outstanding achievements and professionalism.

Miss Reese graduated from Southampton High School in Courtland, Vir-
ginia, and received an Associate’s Degree in Art from Paul D. Camp
Community College in Franklin, Virginia. She previously worked as an
Administrative Secretary with the Securities and Exchange Commission,
and transferred to the U.S. Department of State in 1987. Connie filled her
32 years with many worthwhile accomplishments and wholesome inter-
ests. Her family, friends, and colleagues miss her presence, and cherish
her memory.

Defense Trade News, Volume 3, Number 1, January 1992

Page 19



If the SAO is requested to assist, we request that the following information be
provided:

Full name of company.
Address of company.
Phone number and fax number.
Information on representatives.
Full name(s) .
Passport number(s) .
U.S. Government clearance(s), if any.
e Product information.
Nomenclature.
Application
Has license to sell to Malaysia been granted?
£ Local agent, if any.
g Window during which company representative(s) will be in Kuala Lumpur
(date(s) and times] and available to meet with MINDEF officials.

aa 7 w

On receipt of your request, we’1l do our best to set up appointments with the
appropriate MINDEF officials.

Chief
Security Assistance Office

Enclosures:

Embassy Points of Contact

MINDEF Points of Contact

Local Agents

Brochure — “Procurement System of the Ministry of Defence —
Malaysia”

BNE


United States Department of State ° Bureau of Politico-Military Affairs

, Defense Trade News

The Bulletin of the Center for Defense Trade

Volume 3, Number 4 January 1992

Washington, D.C.

Features

International Security Environment
Retrospective and Look Ahead

Poland, Hungary, and Czechoslovakia
Determination of Foreign Military Sales Eligibility

Newly Independent States
Policy on Transfers to Former Soviet Republics

China
Effect of Sanctions on Defense Trade

Assisting Defense Firms Overseas
How One U.S. Embassy Does It

Class and Multiple Commodity Jurisdiction Requests
Reduced Processing Time

Prohibited Destinations
Change in International Traffic in Arms Regulations

Le

DO} ON! ©] MD! oa! ow

wk, | ek

Departments

U.S. Customs at DTC 14
Commodity Jurisdiction Determinations 17
Personnel Updates 19
Tips and Tidbits 20
Training Form 21

Written and Edited by the Center for Defense Trade

y


el

Prohibited Destinations

Change in International Traffic in Arms Regulations

Final notification of the following rule
change, which applies to section 126.1 of the
International Traffic in Arms Regulations
(ITAR) (“Prohibited exports and sales to cer-
tain countries.”), appeared in the Federal Reg-
ister (Volume 56, Number 209, Tuesday, Octo-
ber 29, 1991, pages 55630-55631). The notice
reads as follows:

International Traffic in Arms
Regulations; Amendments

Summary: The Department of State is for-
mally removing Chile, Poland, Hungary,
Czechoslovakia, East Germany, and South
Yemen (PDRY) from the list of proscribed
destinations for exports of defense articles
and defense services in the International Traf-
fic in Arms Regulations (ITAR) (22 CFR parts
120-130) and is expressly adding Iraq to the
list of proscribed destinations. Additionally,
this notice revises §§ 126.1(c) and 126.1(c)(2)
to reflect current export policy on South Af-
rica in light of the termination of the major
sanctions against South Africa imposed under
the Comprehensive Anti-Apartheid Act of
1986.

Effective Date: October 29, 1991.

For Further Information Contact:
Rose Marie H. Biancaniello,
Chief, Arms Licensing Division,
Office of Defense Trade Controls,
Bureau of Politico-Military Affairs
US. Department of State
Washington, D.C. 20522-0602
Telephone: (703) 875-6644.

Supplementary Information The ITAR is
being amended to reflect changes in export
policy affecting several countries.

On December 1, 1990, the Secretary of
State made a determination pursuant to sec-
tion 726 of the International Security and De-
velopment Cooperation Act of 1981 and offi-

cially removed Chile from the prohibition
codified in § 126.1(e) of the ITAR. The arms
embargo against Chile terminated at that
time. Section 126.1(e) of the ITAR is being
amended to reflect this change.

On September 1, 1990, the Acting Secre-
tary of State determined that Iraq had repeat-
edly provided support for acts of interna-
tional terrorism and thereby returned Iraq to
the terrorism list currently contained in §
126.1(d) of the ITAR. Iraq will now be subject
to the requirements of section 40 of the Arms
Export Control Act and the policy specified in
§ 126.1(a) of the ITAR.

At the same time, South Yemen (the
former PDRY) was removed from the official
list of terrorism supporting countries. (South
Yemen had merged with the Yemen Arab
Republic to form the Republic of Yemen and
ceased to exist as a state entity.)

Poland, Hungary, Czechoslovakia, and
the geographical region previously known as
the German Democratic Republic (or East
Germany) are being deleted from the list of
proscribed countries contained in § 126.1(a) of
the ITAR. Thus, the Department will con-
sider applications for licenses for the export of
US. munitions list items to these areas on a
case-by-case basis.

Finally, on July 10, 1991, the President
issued Executive Order Number 12769, in
which he concluded that the major sanctions
against South Africa contained in title IIT of
the Comprehensive Anti-Apartheid Act of
1986 (CAAA) had terminated. The preexist-
ing arms embargo against South Africa was
not affected by the President's action. Thus,
the only effect of the termination of the
CAAA sanctions with respect to arms exports
is that advance Congressional notification is
not required before any license may be ap-
proved by the State Department. Section
126.1(c) is being amended to delete references
to the CAAA and to state the current policy
on exports of munitions items to South Africa.

Page 12

Defense Trade News, Volume 3, Number 1, January 1992



A

Submitting the Class CJ. Requests are sub-
mitted in accordance with International Traf-
fic in Arms Regulations (ITAR), 22 CFR
§120.3, §120.5, §120.7, §120.8, and §121. (Ad-
ditional articles about CJs appeared in the
March, June, and September 1990, and Octo-
ber 1991 issues of Defense Trade News.)

Applicants should submit nine complete
packets of the class CJ request letter and at-
tached technical information to DTC. The
subject line of the letter should specify that it
is a class CJ request. Ata minimum, include
the following in the request:

1. Description: A general description of
the products and their function; identification
of characteristics or capabilities that differen-
tiate the products.

2. Use: Identification or discussion as to
whether or not the product is a part, compo-
nent, or subassembly of an end-item (describ-
ing the end-item and its designed use).

3. Market: Identification of the target and
current markets in specific terms. Include, as
appropriate, the model, item nomenclature,
manufacturer, component and end-item iden-
tification, and end-item user.

4. USML or CCL Coverage: Your recom-
mendation or opinion about your products’
coverage under the U.S. Munitions List
(USML) or Commerce Control List (CCL), i.e.,
which agency you believe should license your
product and why. (According to the models
or other parameters of the products in review,
include your recommendation on specific
criteria for delineating between the USML
and CCL.)

The Multiple CJ Request. The multiple CJ
request differs from a class CJ in that it con-
tains several different products with a variety
of functions allowing a manufacturer to ob-
tain a CJ determination on a diversified prod-
uct line. This can be accomplished by submit-
ting a single request letter identifying the spe-
cific products for which the determination is
desired. Examples include both a company
producing machined articles such as ball
bearings, valves, and fittings, and a company
producing a variety of electronic devices that
perform different functions such as radios,
surveillance cameras, and video displays.

Submitting a Multiple CJ Request. The mul-
tiple CJ request letter must contain the same
information as required for the class CJ re-
quest; however, it must detail the description,
use, and market for each product. The subject
line of the letter should specify that it is a
multiple CJ request. DTC encourages the
requestor to include a recommendation for
USML or CCL coverage, although this recom-
mendation is not required for the multiple CJ
request.

Class and Multiple CJ Requests Effective.
The review of many items simultaneously
under one request letter has permitted the
transfer of hundreds of items to the Com-
merce Department's CCL after a single
interagency review. Previously, the requestor
would have prepared a separate cover letter
for each item, and each letter would have
gone through the review process individu-
ally. The class and multiple CJ procedures,
therefore, have dramatically reduced the pa-
perwork and processing time.

Assistance Available. For assistance in pre-
paring either a class or multiple CJ request,
please contact Gary Oncale at (703) 875-
7041/5655. +

Defense Trade News, Volume 3, Number 1, January 1992

Page 11



Embassy of the United States of America
Security Assistance Office
376 Jalan Tun Razak
50400 Kuala Lumpur
Malaysia

U-0252 06 September 1991

Assistance to U.S. Defense Contractors

The purpose of this note is to outline assistance available from the Embassy
to U.S. companies marketing defense products in Malaysia. The Embassy stands
ready to provide all appropriate assistance to U.S. companies seeking to fill
Malaysia’s defense requirements. Where two or more U.S. companies seek to meet a
single requirement, we are committed to providing evenhanded assistance to all.

In general, assistance from the Embassy is available from any section. The sec-
tions specifically charged with assistingcompanies marketing defense products
are the Security Assistance Office (SAO), the Foreign Commercial Service (FCS),
and the Defense Attache Office (DAO). The SAO can assist with appointments in
the Ministry of Defence (MINDEF); the FCS can provide detailed information regard-
ing doing business in Malaysia, assist with Malaysian Government contacts outside
MINDEF, and provide information on local agents; and the DAO can provide informa-
tion on Malaysian defense requirements.

We request that U.S. companies marketing defense products make contact with
the Embassy through the SAO. The SAO will arrange for appointments with the FCS
and DAO if requested.

We recommend that companies which have identified a specific Malaysian re-
quirement, and believe they have a good chance of being selected to fill it, use a
local agent. Local agents can greatly facilitate appointments with Malaysian Gov-
ernment officials and can provide constant feedback. However, the SAO is happy to
try to make appointments with MINDEF officials if requested. It is particularly ap-
propriate for the SAO to become involved if a substantive briefing on a particular
weapon system is contemplated.


SN el

Tape Edge Before Mailing

POSTAGE AND FEES PAID
DEPARTMENT OF STATE
STA-501

PM/DTC, SA-6, Room 200
ATIN: Training Seminars

Office of Defense Trade Controls
Bureau of Politico-Military Affairs
US. Department of State
Washington, D.C. 20522-0602


a

The major suppliers—the United States, the
Soviet Union, France, China, and the United
Kingdom—met in 1991 to discuss arms trans-
fer and nonproliferation matters. In October,
they met in London and agreed to establish
guidelines for responsible defense transfers.
These guidelines are similar to those in the
Arms Export Control Act (AECA).

The major suppliers also agreed to notify one
another, on a confidential basis, of arms trans-
fers to the Middle East. Six categories of

weapons were suggested for consideratian:
Tanks

Armored Combat Vehicles

Artillery

Military Aircraft and Helicopters
Naval Vessels

Certain Missile Systems z Asm?

eoeeee

epee ae
The suppliers met in February 1992 to refine
the list of arms for notification and to con-
tinue developing guidelines on weapons of
mass destruction and missiles. Adoption of
common guidelines and agreement to consult
on defense exports to the Middle East will
counter the type of weapons flow to the re-
gion that permitted Iraq to pose a significant
threat to stability.

Defense Sales to the Middle East. The agree-
ment reached in London last October by the
major supplying nations did not mean a “car-
tel” was being established among the suppli-
ers of defense articles to the Middle East. Nor
did it mean that the Administration advo-
cated a moratorium on arms sales to the
Middle East. Security assistance to friends in
the region remains essential. Thus, Congres-
sional notifications of arms proposals for se-
curity partners in the region will continue.
The United States remains strongly commit-
ted to meeting the legitimate defense require-
| ments of its friends and allies in the Middle
‘East.

Facilitating Legitimate Defense Exports. De-
fense transfers, judiciously applied, will re-
main an important foreign policy instrument.

The market for defense exports is becoming
significantly tighter, however, as supply con-

tinues to exceed demand. Inthe months
ahead, competition for scarce contracts will
become even more heated. Furthermore, Eu-
ropean economic integration (EC-92) will lead
to closer coordination among European de-
fense firms, posing competitive challenges to
USS. firms.

Because cooperative defense efforts can be
mutually beneficial, the State Department will
push har ure that any EC-92 changes
do not exclude U.S. defense manufacturers
from competing fairly in the European mar-
ket Tt willalso consider The need Tor closer
ties between U.S. and European companies

when evaluating technology transfer and
arms sales policy.

Tt is also imperative that the United States
preserve its de i i ind its
technological prowess. Toward this end, a Zz
number of steps have been taken-over the

past 2 years. The Department has reorga-
nized and expanded its defense trade func-
tion. Additional resources have been allo-
cated to correct the problems industry has
had in the past with the Department in regard
to commercial defense Gi i the same
time, Deputy Secretary agleburged has is-
sued guidance to U.S. Embassies overseas on
assisting U.S. defense exporters. (See “Assist- L
ing Defense Firms Overseas”, p. 7.) Finally,
an interagency Defense Trade Working
Group (DTWG) has been created, and a de-
fense trade advisory group composed of rep-
resentatives from industry and government is
being established. :

The Department is also refining export con-
trols (through rationalization of the U.S. Mu-
nitions List and revision of the International
Traffic in Arms Regulations) to remove im-
pediments to legitimate trade in keeping
with national security and foreign policy ob-
jectives. In the meantime, further improve-
ments are being made in the processing of
license and commodity jurisdiction requests.

Page 4

Defense Trade News, Volume 3, Number 1, January 1992



eS

U.S. CUSTOMS PORT PORT COORDINATOR PHONE NUMBER
Columbus, OH Peter Decensi 614-469-5705
Corpus Christi, TX Alonzo Pena 512-888-3501
Dallas, TX Timothy O’Connor 214-767-2011
Denver, CO Jim Roth 303-844-4976
Detroit, MI Paul Sward 313-226-3166
Eagle Pass, TX Jack Moore 512-773-7877
Falcon Dam, TX Steve Stow 512-844-5243
Ft. Myers, FL Anthony Mullen 813-443-1773
Grand Rapids, MI Jack Stowell 616-235-3936
Greenville, SC Mike Darnell 803-235-0519
Guam Ron Wolflick 671-472-7265
Gulfport, MS Steve Jenkins 601-864-1274
Huuma, LA Adrian Fortier 504-851-0179
Houston, TX Gene Lowery 713-653-5300
Kansas City, MO Richard Kresl 816-374-6426
Key West, FL William Leonard 305-294-1703
Lafayette, LA Sandra Wellman 318-264-6619
Lake Charles, LA Gene Steech 318-437-7238
Laredo, TX Jon-Ali Kundak 512-726-6210
Little Rock, AR Gene King 501-378-7345
Los Angeles, CA Mickey Baker 213-514-6231
McAllen, TX Michael Schuster 512-682-1366
Miami, FL Joseph Catanzarite 305-597-6175
Milwaukee, WI William Docken 414-297-3231

Defense Trade News, Volume 3, Number 1, January 1992 Page 15



Commodity Jurisdiction
Determinations

The following chart provides selected commodity juris-
diction (CJ) determinations. The commodity descrip-
tions are intentionally general to ensure the confidential-
ity of all proprietary information related to individual
cases. These determinations apply only to the specific

commodity reviewed in the CJ process. If you believe one of your products is similar to one of

those listed as having been placed on the Commerce Department’s Commerce Control List (CCL),
please submit a CJ request letter (ITAR 120.5). Please refer to the articles “A Checklist for Prepar-
ing CJ Requests” in Vol. 1, No. 3, September 1990, and “Class and Multiple CJ Requests” in Vol. 3,
No. 1, January 1992, for guidance in preparing the CJ request letter.

COMMODITY JURISDICTION
Accelerometers Inertial Navigation

Systems used in Missile Systems USML VILI(g)
Access Control Software ccL

Accessories for Shotguns CCL ECCN 6999G

Air Traffic Control Training Systems CCL ECCN 6238
When modified with a Military Data Base USML IX(a)

For use on ships USML IX(a)
Airborne Communications System USML XI(a)
Airborne Weather Radar CCL ECCN 1501
Aircraft Constant Speed Drives and

Electrical Power Generating Systems CCL ECCN 6198F

When specially designed for Military

Aircraft USML VING)
Aircraft Turbofan Engine ccL**
Authentication and Verification Software CCL**

Authentication System Software with DES USML XIII(b)
Automated Scanning Systems and

Data Storage Systems CCL 1B96G
Avionics Switches CCL ECCN 9A94F
Associated Night Vision Device USML XI(a)
Battery Packs specially designed for
Military Radios USML Xe)
Cable Cutter ccL*
Carbon Fibers cc”
Cathode Ray Tubes CCL ECCN 3A96G
Circuit Cards designed for Military
Communications Equipment USML XKe)
Collimators and Blackbody Sources CCL ECCN 15024
When specifically configured for
Mititary Weapons Systems USML XII(o)

Commercial Engines used by the Military CCL**
Specially designed components for

Military Vehicles USML VII(h)
Commercial Modem CCL ECCN 1527A
Commercial Radio Equipment CCL ECCN 6598F
Computer Equipment designed for

Military Application USML XIta)

COMMODITY
Computer System for Acquisition and
Logistics Management
Data Base Management System

Data Recording Set specifically designed
for use on Military Aircraft

Dies and Molds for Bullets
Non-Automatic Hand Loading Machines
Automatic Bullet Loading machines

Diesel Engines and Components
Digital Compass Sensor

Direction Finder designed to test
Military Radios

Dispersing Delay Line for System that
evaluates Tank Fire Control Systems

Electric Fireworks Ignitors

Electrical Connector Plugs

Emergency Escape Breathing Device

External Software Decryption Program
Associated Encryption Implementation
Program

Facsimile Interface Device
When modified to meet TEMPEST
standards
Floating Drydock
General Engineering Design Software
Heads-Up Display for Civil Aircraft
Helix Support Rods
Helix Traveling Wave Tubes (TWT)
Specially designed for Military Use
Frequency greater than 18 GHz
Minimum peak power 2.1 kW
Minimum Continuous Wave (CW)
power 300 watts
Instantaneous Bandwidth 1 Octave
or higher
Inflatable Life Vests

Intensified Multispectral Camera

JURISDICTION

ccL**
ccL**

USML VIIIG)

USML III(d)
CCL **
USML IIK(d)

ccl
CCL ECCN 7A94F

USML XI(c)

USML XII(c)
ccL

CCL ECCN 3A96G
CCL ECCN 9A96G
CCL ECCN 3A01A.

USML XHII(b)
ccL**

USML XIN(b)

CCL ECCN 6499G
CCL ECCN 2D96G
CCL ECCN 6398F

ccL

ccL

USML XI(e)
USML XI(e)
USML Xie)

USML XIe)

USML XI(e)
CCL ECCN 6499G.
USML XIIa)

Defense Trade News, Volume 3, Number 1, January 1992

Page 17



SU EES
International Security Environment

Retrospective and Look Ahead

Changes in the Global Environment. Dur-
ing the past year, dramatic developments
have transformed the international arena:
the end of the Cold War; the termination of
the Warsaw Pact; major reductions in strate-
gic and conventional forces; the success of
Operation Desert Storm; and the dissolution
of the Soviet Union. Asa result, traditional
threats to international security have dimin-
ished.

Qther threats toward peace remain, how-
cet The Wansler oPSSp Rt CaTed deters phisticated defense
articles; the spread of commodities and tech-
nologies useful in fabricating chemical, bio-
logical, and nuclear weapons; and the
spread of related missile delivery systems to
countries and regions of concern to the
United States.

U.S. Role. The United States has taken the
lead in international efforts to limit t epro-
liferation ind sensitive
technologies, It has urged other supplier
nations to adopt and apply export controls
comparable to those of the United States. It
has also consulted with other nations
through a number of mechanisms—the
United Nations, NATO, the Australia
Group, the Missile Technology Control Re-
gime, the Nuclear Suppliers Group, and
COCOM, among others—to ensure that
these efforts are multilateral in scope.

Decline of Us S.-Soviet Competition. The
si important element affecting de-
xports is the decline o tet
military competition spurred by political
events last year in the Soviet Union. The
national security of the United States and its
allies will now require smaller armed forces,
and weapons systems will not be acquired at
the same rate as in the past.

The United States will help the republics that
once made up the Soviet Union restructure
politically and economically along demo-

cratic and free-market lines. Because relations

wi. w republics remain sensitive, arms

sa lated at this Time.
Support for Eastern Europe. In Eastern Eu-

rope, the United States will continue to encour-
age a stable transition to representative gov-

ernment. The United States will also provide

assistance to further economic reforms and to

enhance the ability of the emerging demacra-
cies to defend.themselves. Pol:

and Czechoslovakia have already requested @
US. defense articles and Services.

The Department of State has been developing
guidelines on military cooperation and defense
trade with the Eastern European democracies.
Requests for U.S. Munitions List (USML) items
for civilian or nonlethal use have the best
chance of approval. Sales of major defense
items to these countries, however, are not

likely at present.

Middle East Efforts. Events in the Middle East
have also been dramatic. In 1991, an unpre-
cedented multinational coalition liberated Ku-
wait from Iraq’s occupation and strengthened
security in the Persian Gulf region. Moreover,
for the first time Israelis and Arabs, including
Palestinians, sat down together in Madrid for
peace talks. U.S. policy toward the Middle East
is shaped by the peace process, the President's
Middle East Arms Control Initiative, and post-

;war Gulf security arrangements. The United

States hopes to build on the momentum
achieved in the Madrid peace talks. It also

wishes to promote closer security cooperation
in the Gulf region through interoperability and

prudent defense transfers.

The Middle East Arms Control Initiative. On
May 29, 1991, the President announced a num-
ber of proposals intended to limit the prolifera-
tion of nuclear, chemical, and biological weap-
ons in the Middle East, in addition to the
missiles that could carry such arms. The
President's initiative focused on the Middle
East, given that region’s unique situation.

Defense Trade News, Volume 3, Number 1, danuaty 1992

Page 3



Secretary of State
James A. Baker Ill

Under Secretary
of State for
International Security
Affairs
Reginald Bartholomew

Assistant Secretary
of State for
Politico-Military
Affairs
Richard A. Clarke

Director of the Center
for Defense Trade
Charles A. Duelfer

Executive Editor
Brian |. McCleary

Managing Editor
Marsha S. Finley

Production Editor
Philip P. Schol

Layout Design
Paula M. Lorfano

Graphics Design
Richard E. Florence

Contributing Editors

Major Mike Van Atta

U.S. Customs at DTC:
Thomas R. Smith

Commodity Jurisdictions:

Defense Trade News (ISSN 1051-2845) is a quarterly publication (January,
April, July, and October) of the Center for Defense Trade, Bureau of Politico-
Military Affairs, U.S. Department of State. Its purpose is to provide American
industry, the general public, Congress, and government agencies with informa-
tion on developments about defense trade policy, licensing practices, and
compliance issues. The newsletter contains official policy statements and other
official documents. Special features, articles, and other supportive materials
(such as maps, charts, graphs, tables, and photographs) provide additional
information on current issues, but should not necessarily be interpreted as
official U.S. policy statements. The Secretary of State has determined that the
publication of this periodical is necessary in the transaction of public business
required by law of the Department.

Subscription and Address Changes: Firms registered with the Office of
Defense Trade Controls automatically receive this publication at their registered
address in the name of the registrant in Block 14 of Form DSP-9. Registrants
must nolify the Office of Defense Trade Controls by registered mail, citing the
applicant code, whenever their mailing address changes (ITAR 122.4). Distri-
bution is also made to all U.S. Customs Regional and District offices and to all
Director of Industrial Security (DIS) cognizant offices. The editorial staff
maintains a separate mailing list of other interested persons and organizations.
Contact the Managing Editor, via mail or datafax, to add or change an address
on the editorial mailing list.

Copyright: Most of this publication’s contents are in the public domain and are
not copyrighted. Such items may be reprinted; citation of their source as
Defense Trade News is appreciated. Permission to reproduce any copyrighted
material (including photographs) must be obtained from its original source.

Limited Reprint Authorization: All addressees who are registered with the
Office of Defense Trade Controls may reproduce this entire publication (exclud-
ing postal mailing label) for distribution within their respective organizations.
This permission is given to ensure proper distribution throughout companies
with multiple locations or offices and to reduce mailing costs.

Corrections, Contributions, and Correspondence: Address to Editor, Defense
Trade News, PM/DTC, SA-6, Room 200, U.S. Department of State, Washing-
ton, D.C. 20522-0602.

Postmaster: Send address changes to Defense Trade News, PM/DTC, SA-6,
Room 200, U.S. Department of State, Washington, D.C, 20522-0602.

Postage: Third-class postage paid in Washington, D.C. 20522-0602.


Current USS. policy refers to the country
previously known as “Kampuchea” by the
name “Cambodia.” As a technical change, the
ITAR is being amended to reflect current U.S.
Government usage.

This amendment involves a foreign affairs
function of the United States and thus is ex-
cluded from the major rule procedures of Ex-
ecutive Order Number 12291 (46 FR 13193)
and the procedures of 5 U.S.C. 553 and 554.
This final rule does not contain a new or
amended information requirement subject to
the Paperwork Reduction Act [44 U.S.C. 3501
et. seq.)

List of subjects in 22 CFR Part 126
Arms and Munitions, Exports.

Accordingly, for the reasons set forth in the
preamble, and under the authority of the
Arms Export Control Act, the State Depart-
ment is adopting the following amendments
to 22 CFR part 126.

Part 126—Amended

1. The authority citation for part 126 is
revised to read as follows:

Authority: Sec. 38, sec. 42, Arms Export
Control Act, 90 Stat. 744 [22 U.S.C. 2778,
2780); E.O. 11958, 42 FR 4311, E.O. 11322, 32
FR 119; 22 U.S.C. 2658.

2. Section 126.1 is amended by revising
paragraphs (a), (c), and (d), by removing
paragraph (e), and by redesignating para-
graph (f) as new paragraph (e) to read as fol-
lows:

§ 126.1 Prohibited exports and sales to cer-
tain countries.

{a) General. It is the policy of the
United States to deny licenses and other ap-
provals with respect to defense articles and
defense services destined for or originating in
certain countries or areas. This policy also
applies to exports to and imports from these
countries or areas. This policy applies to Al-
bania, Bulgaria, Cambodia, Cuba, Estonia,
Latvia, Lithuania, North Korea, Outer

Mongolia, Romania, the Soviet Union, and
Vietnam. This policy also applies to countries
or areas with respect to which the United
States maintains an arms embargo (e.g.,
Angola) or whenever an export would not
otherwise be in furtherance of world peace
and the security and foreign policy interests
of the United States. The exemptions pro-
vided in the regulations in this subchapter,
except § 128.17 and § 125.4(b)(13) of this
subchapter, do not apply with respect to ex-
ports to or originating in any of such pro-
scribed countries or areas.

* * * * *

(c) South Africa. South Africa is subject
to an arms embargo and thus to the policy
specified in paragraph (a) of this section. Ex-
ceptions may be made to this policy only if
the Assistant Secretary for Politico-Military
Affairs determines that:

(1) The item is not covered by United Na-
tions Security Council Resolution 418 of No-
vember 4, 1977; and

(2) The item is to be exported solely for
commercial purposes and not for use by the
armed forces, police, or other security forces
of South Africa or for any other similar pur-
pose.

(d) Terrorism. Exports to countries
that have repeatedly provided support for
acts of international terrorism are contrary to
the foreign policy of the United States and are
thus subject to the policy specified in para-
graph (a) of this section and the requirements .
of section 40 of the Arms Export Control Act
(22 U.S.C. 2780). The countries in this cat-
egory are Cuba, Iran, Iraq, Libya, Syria, and
North Korea. These are the same countries
identified pursuant to section 6(j) of the Ex-
port Administration Act, as amended [50
U.S.C. App. 2405()].

* * * * *

Dated: September 20, 1991

Lawrence S. Eagleburger
Acting Secretary of State +

Defense Trade News, Volume 3, Number 1, January 1992

Page 13



U.S. CUSTOMS PORT

Mobile, AL
Naples, FL
Newark, NJ

New Haven, CT
New Orleans, LA
New York, NY
Orlando, FL
Norfolk, VA
Portland, OR
Rouses Point, NY
San Antonio, TX
San Francisco, CA
San Juan, PR
Seattle, WA
Shreveport, LA
St. Thomas, VI
Tampa, FL

W. Palm Beach, FL

Wilmington, NC

PORT COORDINATOR

Henry Brown
Robert Averitt
Tom Dombrowski
Maryann Caggiano
David Erkin

Peter Angelino
Paul Hamrick
Robert M. Taylor
Kenneth Howaniec
Robert Lowe
William Mayer
Ronald Corte
William Castillo
Daryl McClary
Jacque Duck
George Guzman
Robert Siberski
Lawrence O’Donnell

James George

PHONE NUMBER
205-690-2146

813-643-4554
201-645-3770
203-773-2155
504-589-2747
212-466-5945
407-648-6847
804-441-6533
503-326-2711
518-297-6661
512-229-4571
415-705-4070
809-498-6975
206-442-7531
318-226-5351
809-774-7409
813-225-7638
407-659-4606

919-343-4899

Page 16

Defense Trade News, Volume 3, Number 1, January 1992