U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 

1 

59–118 ★ STAR PRINT 

" ! SENATE 110TH CONGRESS

1st Session 

TREATY DOC. 

2007

110–7 

TREATY WITH UNITED KINGDOM CONCERNING 

DEFENSE TRADE COOPERATION 

MESSAGE 

FROM

THE PRESIDENT OF THE UNITED STATES 

TRANSMITTING

TREATY BETWEEN THE GOVERNMENT OF THE UNITED STATES 

OF AMERICA AND THE GOVERNMENT OF THE UNITED KINGDOM 

OF GREAT BRITAIN AND NORTHERN IRELAND CONCERNING DEFENSE TRADE COOPERATION, DONE AT WASHINGTON AND LONDON ON JUNE 21 AND 26, 2007 

SEPTEMBER 20, 2007.—Treaty was read the first time, and together with 

the accompanying papers, referred to the Committee on Foreign Relations and ordered to be printed for the use of the Senate 


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LETTER OF TRANSMITTAL 

THE WHITE HOUSE, September 20, 2007. 

To the Senate of the United States: 

I transmit herewith for Senate advice and consent to ratification 

the Treaty Between the Government of the United States of America and the Government of the United Kingdom of Great Britain 

and Northern Ireland Concerning Defense Trade Cooperation, done 

at Washington and London on June 21 and 26, 2007. I transmit, 

for the information of the Senate, the report of the Department of 

State concerning this Treaty. 

My Administration is prepared to provide to the Senate for its 

information other relevant documents, including proposed implementing arrangements to be concluded pursuant to the Treaty, relevant correspondence with the Government of the United Kingdom 

about the Treaty, and proposed amendments to the International 

Traffic in Arms Regulations. 

This Treaty will allow for greater cooperation between the 

United States and the United Kingdom, enhancing the operational 

capabilities and interoperability of the armed forces of both countries. I recommend that the Senate give early and favorable consideration to this Treaty. 

GEORGE W. BUSH. 

THE WHITE HOUSE, September 20, 2007. 


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LETTER OF SUBMITTAL 

DEPARTMENT OF STATE, 

Washington, September 4, 2007. 

The PRESIDENT, 

The White House. 

THE PRESIDENT: I have the honor to submit to you, with a view 

to its transmittal to the Senate for advice and consent to ratification, the Treaty between the Government of the United States of 

America and the Government of the United Kingdom of Great Britain and Northern Ireland Concerning Defense Trade Cooperation, 

done at Washington and London June 21 and 26, 2007, accompanied by an overview of the Treaty. This self-executing Treaty is 

intended to create an exemption to provisions of the Arms Export 

Control Act regarding authorizations and notifications associated 

with certain exports and transfers, as defined in the Treaty. The 

Treaty envisages the conclusion of implementing arrangements, 

which may be entered into as Executive Agreements. I recommend 

that this Treaty be transmitted to the Senate for its advice and 

consent to ratification. 

Respectfully submitted. 

CONDOLEEZZA RICE. 

Enclosures: As stated. 

TREATY BETWEEN THE GOVERNMENT OF THE UNITED STATES OF

AMERICA AND THE GOVERNMENT OF THE UNITED KINGDOM OF

GREAT BRITAIN AND NORTHERN IRELAND CONCERNING DEFENSE

TRADE COOPERATION

OVERVIEW

For several years, the United States and the United Kingdom 

have sought to negotiate a legally binding agreement that would 

provide a mutually agreeable exemption for exports to the United 

Kingdom of defense articles controlled pursuant to the Arms Export Control Act (22 U.S.C. 2751 et seq.) (AECA) from some requirements, such as the licensing requirements, of Section 38 of the 

AECA and its implementing regulations, the International Traffic 

in Arms Regulations (22 C.F.R. 120–130) (ITAR). 

Section 1 of the AECA recognizes that ‘‘[t]he need for international defense cooperation among the United States and those 

friendly countries to which it is allied by mutual defense treaties 

is especially important . . .’’ and asserts that ‘‘it remains the policy 

of the United States to facilitate the common defense by entering 

into international arrangements with friendly countries which further the objective of applying agreed resources of each country to 


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programs and projects of cooperative exchange of data, research, 

development, production, procurement, and logistics support to 

achieve specific national defense requirements and objectives of 

mutual concern’’ (22 U.S.C. 2751). Section 38(a)(1) of the AECA authorizes the President ‘‘to control the import and the export of defense articles and defense services,’’ to ‘‘designate those items 

which shall be considered as defense articles and defense services,’’ and to ‘‘promulgate regulations for the import and export of such 

articles and services’’ (22 U.S.C. 2778(a)(1)). The AECA further provides that the President may regulate the import and export of defense articles and services pursuant to licenses (22 U.S.C. 2778(b)). 

In the proposed Treaty between the Government of the United 

States of America and the Government of the United Kingdom of 

Great Britain and Northern Ireland Concerning Defense Trade Cooperation, done at Washington and London June 21 and 26, 2007 

(the Treaty), the Government of the United Kingdom would be 

bound to a regime that would provide appropriate protections for 

U.S. defense articles and defense services exported under the Treaty through the application of the United Kingdom Official Secrets 

Act rather than through revisions to its export control regime. For 

this reason, the Treaty will not be entered into pursuant to the authority contained in section 38(j) of the AECA (22 U.S.C. 27780)). 

The Treaty establishes a comprehensive framework for the export of certain defense articles and defense services from the 

United States to certain facilities and entities of the United Kingdom. Where the Treaty applies, such export may occur without a 

license or other written authorization from the Department of 

State’s Directorate of Defense Trade Controls, which is the office 

responsible for developing and implementing the ITAR. Once exported, these Defense Articles may be transferred within what is 

referred to as an ‘‘Approved Community’’ without case-by-case review and approval by the Directorate of Defense Trade Controls. 

Transfers out of such Approved Community would, however, be 

subject to Directorate of Defense Trade Controls authorization requirements, and any unauthorized transfers would constitute violations of the AECA. 

As noted in the Treaty’s Preamble, this Treaty is self-executing 

in the United States. The purposes for which exports may occur 

pursuant to this Treaty and the defense articles that may not be 

exported pursuant to the Treaty will be identified in separate Implementing Arrangements, as well as in regulations intended to 

clarify this matter. The list of facilities and entities in the United 

Kingdom that may receive defense articles and defense services 

through exports pursuant to this Treaty will be identified through 

processes established in separate Implementing Arrangements. 

This Treaty establishes an exemption from the operation of the 

licensing and notification requirements contained in the AECA and 

the ITAR. As stated below, compliance with the procedures established in accordance with this Treaty shall constitute an exception 

to these requirements. Conduct outside of the procedures established in accordance with this Treaty must comply with the normal 

requirements. Although the Treaty is self-executing, it will be necessary to promulgate a number of regulatory changes to the ITAR 

to effectuate the licensing exemption. Once the Implementing ArVerDate Aug 31 2005 20:48 Sep 25, 2007 Jkt 059118 PO 00000 Frm 00006 Fmt 7633 Sfmt 6602 E:\HR\OC\TD007.XXX TD007

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rangements have entered into force, they will be made available to 

the public, and changes to the ITAR will be published in the Federal Register. 

Definitions 

Article 1 of the Treaty provides definitions for many of the terms 

used in the Treaty. When the capitalized form of any defined term, 

or its variants, is used in the Treaty, the intent is to employ the 

definition provided in Article 1. When a lower case form of any defined term, or its variants, is used in the Treaty, the intent is to 

refer to the ordinary meaning of the term. This procedure is also 

being followed for purposes of the discussion in this ‘‘Overview.’’ The Treaty defines ‘‘Defense Articles’’ as those articles, services, 

and related technical data, including software, in tangible or intangible form, listed on the United States Munitions List (‘‘USML’’) of 

the ITAR, as amended. As origin (i.e., where the product is manufactured) is not an element of this definition, the term ‘‘Defense Articles’’ may extend to items of United Kingdom origin, or to items 

with United Kingdom content, that are listed or described on the 

USML, even if such items are not of United States origin or are 

without United States content. 

Several of the definitions (i.e., those for Her Majesty’s Government Personnel, Her Majesty’s Government Facilities, Implementing Arrangements, United Kingdom Community, and United 

States Community) incorporate by reference the substantive provision of the Treaty that gives meaning to each term. Such definitions are intended to provide clarity in that the term appears in 

the substantive text prior to the relevant provision that provides its 

meaning. 

Four definitions apply to the movement of Defense Articles. An ‘‘Export’’ involves the movement of Defense Articles from the 

United States Community to the United Kingdom Community. 

Once a Defense Article has been Exported pursuant to the Treaty, 

covered movements of such Defense Articles include ‘‘Transfers,’’ ‘‘Re-transfers,’’ and ‘‘Re-exports.’’ A ‘‘Transfer’’ involves the movement of previously ‘‘Exported’’ Defense Articles (1) within the 

United Kingdom Community, (2) from the United Kingdom Community to the United States Community, or (3) from the United 

States Community back to the United Kingdom Community. A ‘‘Retransfer’’ involves the movement of previously Exported Defense 

Articles by a member of the United Kingdom Community from a 

location in the Approved Community to a location that is outside 

of the Approved Community but in the Territory of the United 

Kingdom. A ‘‘Re-export’’ involves the movement of Defense Articles 

by a member of the United Kingdom Community from a location 

in the Approved Community to a location outside the Territory of 

the United Kingdom. 

Purpose of the treaty 

Article 2 contains a simple recital of the Treaty’s purpose: to provide a comprehensive framework for Exports and Transfers of Defense Articles without a license or other written authorization, to 

the extent that such Exports and Transfers support certain types 

of activities. This Article stands for the proposition that it is in the 


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mutual security and defense interests of the United States and the 

United Kingdom to improve the interoperability of their armed 

forces by facilitating the movement of Defense Articles in support 

of certain mutually agreed activities, while maintaining and ensuring proper safeguards against unauthorized release of the defense 

technology involved. 

Scope of the treaty 

Article 3 identifies the activities in support of which Defense Articles may be Exported or Transferred without a license or other 

written authorization. The Treaty applies to the movement of Defense Articles that are required for agreed combined military or 

counter-terrorism operations; cooperative security and defense research, development, production, and support programs; security 

and defense projects where the Government of the United Kingdom 

is the end-user; and for United States Government end-use. Either 

Government may exclude certain Defense Articles from the application of the Treaty. 

The Treaty does not apply to the provision of Defense Articles 

pursuant to the Foreign Military Sales program. The process for 

providing Defense Articles pursuant to that program will remain 

unchanged. Once such Defense Articles are provided, however, they 

may be transferred within the Approved Community pursuant to 

the Treaty. 

An exporter may request a license or other authorization from 

the Directorate of Defense Trade Controls in which case the terms 

of such license or authorization will apply instead of the procedures 

that will be established to implement the Treaty . 

Approved community 

Articles 4 and 5 identify the persons and entities that may Export or Transfer Defense Articles without a license or other written 

authorization. Specifically, Article 4 identifies the persons, entities, 

and facilities of the United Kingdom that may send or receive such 

Defense Articles; and Article 5 identifies the persons, entities, and 

facilities of the United States that may send or receive such Defense Articles. 

The entities and facilities of the United Kingdom that may send 

or receive Defense Articles pursuant to this Treaty are (1) those facilities of the Government of the United Kingdom that are accredited pursuant to the General Security Agreement between the Government of the United States of America and the Government of 

the United Kingdom of Great Britain and Northern Ireland of April 

14, 1961, and its implementing arrangements that are relevant to 

the scope of the Treaty; and (2) nongovernmental United Kingdom 

entities and facilities that meet agreed eligibility requirements, are 

accredited pursuant to a process agreed to by both Parties in an 

Implementing Arrangement, and that are agreed to by both Parties 

for inclusion on a List. Once on the List, a nongovernmental United 

Kingdom entity or facility will be removed from the List if either 

the United States or the United Kingdom considers such removal 

to be in its national interests. 

Personnel of the Government of the United Kingdom who meet 

agreed criteria, which at a minimum will require appropriate 


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United Kingdom security accreditation and a need-to-know, may be 

provided access to Defense Articles Exported or Transferred pursuant to the Treaty. Employees of the agreed nongovernmental entities and facilities who meet agreed criteria, which at a minimum 

will require appropriate United Kingdom security accreditation and 

a need-to-know, may be provided access to Defense Articles Exported or Transferred pursuant to the Treaty. 

The departments and agencies of the United States Government 

may send and receive Defense Articles pursuant to this Treaty. In 

addition, nongovernmental United States entities that are registered with the State Department’s Directorate of Defense Trade 

Controls and that are eligible to export defense articles and defense 

services in accordance with United States law and regulation, including the AECA and the ITAR, may send or receive Defense Articles pursuant to this Treaty. 

United States Government personnel with appropriate security 

clearance and a need-to-know may be provided access to Defense 

Articles exported or transferred pursuant to this Treaty. Employees 

of the nongovernmental United States entities referred to above 

who have appropriate security clearance and a need-to-know may 

be provided access to Defense Articles Exported or Transferred pursuant to this Treaty. 

The facilities, entities, and personnel described in Article 4 comprise the United Kingdom Community. The facilities, entities, and 

personnel described in Article 5 comprise the United States Community. The United Kingdom and United States Communities comprise the Approved Community. 

Exports of defense articles from the United States 

Article 6(1) of the Treaty provides that departments and agencies 

of the United States Government and eligible nongovernmental 

United States entities may Export Defense Articles within the 

scope of this Treaty to a member of the United Kingdom Community without licenses or other authorization. Article 6(2) requires 

that the United States Government establish procedures to ensure 

proper identification of Defense Articles Exported pursuant to the 

Treaty. Article 6(3) requires that the Government of the United 

Kingdom appropriately identify these Defense Articles once they 

enter the United Kingdom Community. 

The Directorate of Defense Trade Controls would promulgate regulations to effectuate Article 6. In particular, it would be necessary 

to provide procedures to ensure potential exporters know whether 

a proposed recipient is a member of the United Kingdom Community, and whether the proposed project falls within the scope of Article 3. 

Transfers of defense articles 

Article 7 provides that the Transfer of previously Exported Defense Articles to members of the United Kingdom Community, as 

identified in Article 4, or the United States Community, as identified in Article 5, will not require authorization by the United 

States Government. Pursuant to Article 9, however, if a member of 

the United Kingdom community were to retransfer previously Exported Defense Articles outside of the Approved Community, auVerDate Aug 31 2005 20:48 Sep 25, 2007 Jkt 059118 PO 00000 Frm 00009 Fmt 7633 Sfmt 6602 E:\HR\OC\TD007.XXX TD007

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thorization of the Government of the United Kingdom would be required. (Such retransfers would include ‘‘Retransfers’’ and ‘‘Re-exports’’ as defined in the Treaty.) Prior to granting authorization for 

Re-transfers and Re-exports, the Government of the United Kingdom will require the exporter to provide supporting documentation 

that includes United States Government approval. Any Re-transfer 

or Re-export without the authorization of the Government of the 

United Kingdom and United States Government approval will be 

a violation of, at a minimum, the Arms Export Control Act and the 

United Kingdom Official Secrets Act, and will be punishable as 

such. 

Exports of Defense Articles from a member of the United States 

Community to an entity, facility, or person outside of the United 

Kingdom Community would continue to require a license or other 

written authorization by the Directorate of Defense Trade Controls 

of the Department of State. 

Exports and transfers from the United Kingdom 

Article 8 obligates the Government of the United Kingdom to ensure that Defense Articles exported from the United Kingdom Community to the United States Community do not require additional 

export licenses or other authorizations. Specifically, Article 8(1) recognizes that the Government of the United Kingdom may satisfy 

this obligation through its blanket or open authorizations. 

Proprietary rights and intellectual property 

Article 10(1) provides that nothing in the Treaty shall affect any 

rights to, or interests in, intellectual property or other proprietary 

information of the Parties or of any person or entity within the Approved Community. Article 10(2) provides that nothing in this 

Treaty shall affect any provisions for the protection of intellectual 

property and other proprietary information that may be agreed between the persons or entities Exporting or Transferring Defense 

Articles pursuant to the Treaty. Accordingly, such persons or entities may agree between themselves on procedures to provide protections to intellectual property or other proprietary information, 

additional to the protections afforded to classified information. 

Protection of defense articles exported from the United States 

Article 11 provides that Defense Articles Exported or Transferred 

pursuant to the Treaty will be marked, identified, transmitted, 

stored, and handled in accordance with the General Security Agreement between the Government of the United Kingdom of Great 

Britain and Northern Ireland and the Government of the United 

States of America of April 14, 1961, as amended, and implementing 

arrangements thereto. At a minimum, the Defense Articles will be 

treated as United Kingdom ‘‘restricted’’ information. Such treatment will result in the application of the United Kingdom Official 

Secrets Act with respect to Defense Articles exported pursuant to 

the Treaty. If the Defense Articles are classified at a higher level, 

they will be so marked and identified, and treated according to the 

requirements for that classification level in the aforementioned 

General Security Agreement. 


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Recordkeeping and notification 

Article 12 requires both Parties to require that entities within 

their respective Community Exporting, Transferring, or receiving 

Defense Articles pursuant to the Treaty maintain detailed records 

of such movements. Either Party may request that the other Party 

obtain, and provide it with copies of, such records. Article 12 further allows for either Party to establish procedures, which may include advance notification of certain Exports, to accomplish appropriate notification to its legislative bodies. 

Enforcement 

Article 13 provides that if persons or entities Exporting or Transferring Defense Articles pursuant to the Treaty comply with the 

procedures established pursuant to this Treaty, including its Implementing Arrangements, and any regulations promulgated to implement the Treaty’s effect on existing law, they shall be exempt from 

the generally applicable licensing requirements established pursuant to the Arms Export Control Act with respect to exports and 

transfers of Defense Articles. If, however, persons or entities Exporting or Transferring Defense Articles engage in conduct that is 

outside the scope of the Treaty, including certain of its Implementing Arrangements, and any regulations promulgated to implement the Treaty’s effect on existing law, that conduct remains subject to the applicable licensing requirements and implementing regulations of the AECA. 

Because the Treaty is self-executing, this exemption will be created through ratification of the Treaty; no additional legislation 

will be required to implement the exemption in United States law. 

Those Implementing Arrangements constituting terms of the exemption are authorized by this self-executing Treaty. They will not 

be submitted for Senate advice and consent to ratification and also 

require no further legislative action to become a fully effective part 

of the exemption. 

Both governments will investigate potential violations of the procedures established pursuant to the Treaty. Where appropriate, 

both governments will cooperate in the conduct of such investigations as well as in prosecutions and administrative actions resulting from such investigations. 

As with exports that are regulated pursuant to § 38 of the Arms 

Export Control Act, as amended, it is important to ensure that Defense Articles exported or transferred pursuant to the Treaty are 

properly handled and controlled. In this regard, the governments 

will review the procedures utilized with respect to postshipment 

verification and end-use or end-user monitoring for current exports 

to ensure that they are appropriate for exports or transfers pursuant to this Treaty. Such procedures will be modified as required. 

Implementing arrangements 

Article 14(1) of the Treaty provides that the Parties shall conclude, on an expedited basis, Implementing Arrangements for this 

Treaty, which may be amended or supplemented by the Parties 

from time to time. For example, the Implementing Arrangements 

will establish eligibility requirements for persons to be considered 

part of the United Kingdom Community. 


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Article 14(2) further provides that the Parties will include in 

such Implementing Arrangements a process by which entities in 

the Approved Community may transition from the requirements of 

U.S. government defense export licenses or other authorizations 

issued under the ITAR to the regime established under the Treaty. 

The Administration does not intend to submit any of the Implementing Arrangements to the Senate for advice and consent, but 

is prepared to provide these Implementing Arrangements to the 

Senate for its information. 

Implementing agencies 

Article 15 of the Treaty requires that each Party designate an 

authorized agency to implement its obligations under the Treaty. 

The authorized agency for the Government of the United States is 

the Department of State. The authorized agency for the Government of the United Kingdom is the Ministry of Defence. Either 

Party may change the designation of its authorized agency by providing written notice to the other Party. 

Relationship to other international agreements 

Article 16 provides that the Treaty does not affect the rights and 

obligations of either Party under other international agreements to 

which it is a Party. 

Consultations 

Article 17 of the Treaty requires that the Parties consult at least 

annually on cooperative aspects of their export control relationship 

and to review the operation of the Treaty. It further clarifies that 

the consultations are intended to provide a mechanism to review 

and address all relevant export control issues. Such issues therefore are not limited to issues specifically arising under the Treaty. 

Dispute resolution 

Article 18 provides that any disputes between the Parties arising 

out of, or in connection with, the Treaty shall be resolved through 

consultations between the Parties and shall not be referred to any 

court, tribunal, or third party. 

Amendments 

Article 19 provides that the Treaty may be amended upon written agreement of the Parties. 

Entry into force 

In accordance with Article 20, the Treaty shall enter into force 

upon an exchange of notes confirming that each Party has completed the necessary domestic requirements to bring the Treaty 

into force. The United States will not provide such notice until the 

Senate provides its advice and consent to ratification of the Treaty 

and the President ratifies the Treaty. 

Duration and withdrawal 

Article 21(1) provides that the Treaty shall be of unlimited duration. Article 21(2) further provides that either Party may withdraw 

from the Treaty if it decides that extraordinary events related to 


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the subject matter of the Treaty have jeopardized its national interests. Should a Party decide to withdraw from the Treaty, it shall 

notify the other Party of its intent to withdraw and shall include 

a statement of the extraordinary events that it regards as having 

jeopardized its national interests. The Parties shall commence consultations within thirty days of the provision of such notification, 

with a view to allowing the continuation of the Treaty. If the notifying Party does not agree to the continuation of the Treaty, the 

withdrawal of the notifying Party will take effect six months after 

the provision of such notification. 

Article 21(3) provides that should either Party withdraw from 

the Treaty, the procedures for the protection of Defense Articles 

that were exported pursuant to the Treaty shall continue in effect 

until appropriate export licenses or other authorizations are in 

place. 


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