(11) Export restrictions that negatively affect
the United States industrial base may ultimately
weaken United States military capabilities and lead
to dependencies on foreign sources for key compo-
nents.
(12) Minimization of restrictions on exports of
agricultural commodities and products is of critical
importance to the maintenance of a sound agricul-
tural sector, to a positive contribution to the balance
of payments, to reducing the level of Federal ex-
penditures for agricultural support programs, and to
United States cooperation in efforts to eliminate
malnutrition and world hunger.
(13) Minimization of restrictions on the export
of information technology products and services is of
critical importance to United States leadership in re-
moving obstacles to the effective development of a
superior global information infrastructure and the
new jobs and markets, increased trade and informa-
tion flows, improved national security, and new tools
for the improvement of the quality of life for people
globally that will be created.
(14) The United States should play a leading
role in promoting transparency and responsibility
with regard to the transfers of conventional arma-
ments and sensitive dual-use goods and technologies.
SEC. 103. POLICY STATEMENT.
It is the policy of the United States to do the follow-
ing:
(1) To stem the proliferation of weapons of
mass destruction, and the means to deliver them,
and other significant military capabilities by—
(A) leading international efforts to control
the proliferation of chemical and biological
weapons, nuclear explosive devices, missile deliv-
ery systems, and other significant military ca-
pabilities;
(B) controlling involvement of United
States persons in, and contributions by United
States persons to, foreign programs intended to
develop weapons of mass destruction, missiles,
and other significant military capabilities, and
the means to design, test, develop, produce,
stockpile, or use them; and
(C) implementing international treaties or
other agreements or arrangements concerning
controls on exports of designated items, reports
on the production, processing, consumption,
and exports and imports of such items, and
compliance with verification programs.
(2) To restrict the export of items—
(A) that would significantly contribute to
the military potential of countries so as to prove
detrimental to the national security of the Unit-
ed States or its allies; or
(B) where necessary to further signifi-
cantly the foreign policy of the United States or
to fulfill its declared international commit-
ments.
(3) To—
(A) minimize uncertainties in export con-
trol policy; and
(B) encourage trade with all countries with
which the United States has diplomatic or trad-
ing relations, except those countries with which
such trade has been determined by the Presi-
dent to be against the national interest.
(4) To restrict export trade when necessary to
protect the domestic economy from the excessive
drain of scarce materials and to reduce the serious
inflationary impact of foreign demand.
(5) To further increase the reliance of the Unit-
ed States upon multilateral coordination of controls
through effective control regimes that maintain lists
of controlled items that are truly critical to the con-
trol objectives, strive to increase membership to in-
clude all relevant countries, maintain common cri-
teria and procedures for licensing, and harmonize
member countries’ licensing practices. It is the pol-
icy of the United States that multilateral controls
are the best means of achieving the control objec-
tives of the United States.
(6) To impose unilateral controls only when it
is necessary to further significantly the national se-
curity or foreign policy of the United States, and
only after full consideration of the economic impact
of the controls and their effectiveness in achieving
their intended objectives.
(7) To make all licensing determinations in a
timely manner so undue delays in the licensing proc-
ess will not cause a United States person to lose an
export sale.
(8) To use export controls to deter and punish
acts of international terrorism and to encourage
other countries to take immediate steps to prevent
the use of their territories or resources to aid, en-
courage, or give sanctuary to those persons involved
in directing, supporting, or participating in acts of
international terrorism. To this end, consistent with
the policies of this section and the provisions of this
title, the United States should, by restricting exports
to countries that have violated international norms
of behavior by repeatedly supporting acts of inter-
national terrorism, distance itself from those coun-
tries.
(9)(A) To counteract restrictive trade practices
or boycotts fostered or imposed by foreign countries
against other countries friendly to the United States
or against any United States person.
(B) To encourage and, in specified cases, re-
quire United States persons engaged in the export of
commodities, technology, and other information to
refuse to take actions, including furnishing informa-
tion or entering into or implementing agreements,
which have the effect of furthering or supporting the
restrictive trade practices or boycotts fostered or im-
posed by any foreign country against a country
friendly to the United States or against any United
States person.
(10) To streamline export control functions and
increase administrative accountability, and thereby
better serve the exporting public by reducing and
eliminating overlapping, conflicting, and inconsistent
regulatory burdens.
(11) To minimize restrictions on the export of
agricultural commodities and products.
(12) To minimize restrictions on the export of
information technology products and services as part
of a flexible regulatory environment that can keep
pace with the rapid technological changes necessary
to realize the full economic, societal, and national se-
curity benefits of United States leadership in the de-
velopment of a superior global information infra-
structure.
(13) To cooperate with other countries to pro-
mote greater transparency and responsibility with
regard to the transfers of armaments and sensitive
goods and technologies, both for the purpose of de-
veloping common understandings of the risks to
international peace and regional security associated
with the transfers of such items and to coordinate
national control policies to combat those risks.
(14) To enhance the national security and non-
proliferation interests of the United States. To this
end and consistent with the other policies of this sec-
tion and the provisions of this title, the United
States will use export controls when necessary to en-
sure that access to weapons of mass destruction,
missile delivery systems, and other significant mili-
tary capabilities is restricted. While the multilateral
nonproliferation regimes will be the primary instru-
ments through which the United States will pursue
its nonproliferation goals, it may also, consistent
with the policies of this section and the provisions of
this title, take unilateral action.
(15) To promote international peace, stability,
and respect for fundamental human rights. The
United States may establish controls on exports that
contribute to the military capabilities of countries
that threaten international peace or stability or to
countries that abuse the fundamental rights of their
citizens, or to promote other important foreign pol-
icy objectives of the United States, consistent with
the policies of this section and the provisions of this
title.
SEC. 104. GENERAL PROVISIONS.
(a) TYPES OF LICENSES.—Under such conditions as
the Secretary may impose, consistent with the provisions
of this title, the Secretary may require any type of license
appropriate to the effective and efficient implementation
of this title, including the following:
(1) SPECIFIC EXPORTS.—A license authorizing
a specific export.
(2) MULTIPLE EXPORTS.—Licenses authorizing
multiple exports, issued pursuant to an application
by the exporter, in lieu of a license for each such ex-
port. Licenses under this paragraph shall be de-
signed to encourage and acknowledge exporters’ in-
ternal control programs for ensuring compliance
with the terms of the license.
(b) 
UNITED
STATES
COMMODITY
CONTROL
INDEX.—
(1) IN GENERAL.—The Secretary shall establish
and maintain, in consultation with the Secretary of
Defense and the heads of other appropriate depart-
ments and agencies, a United States Commodity
Control Index specifying the license requirements
under this title that are applicable to the items on
the list.
(2) CONTENTS.—The control index shall—
(A) consist of a multilateral control list of
items on which export controls are imposed
under section 105, an emergency control list of
items on which export controls are imposed
under section 106, and a short supply control
list of commodities on which export controls are
imposed under section 107;
(B) include, as part of the multilateral and
emergency control lists, those items identified
pursuant to section 111(a);
(C) for each item on the control index,
specify with particularity the performance
(where applicable) and other identifying charac-
teristics of the item and provide a rationale for
why the item is on the control list;
(D) identify countries, and, as appropriate,
end uses or end users, including specific
projects and end users of concern, cross-ref-
erenced with the list of commodities and tech-
nology on which export controls are imposed;
and
(E) be sufficiently specific and clear as to
guide exporters and licensing officers in deter-
minations of licensing requirements under this
title.
(c) DENIED OR DEBARRED PARTIES, SANCTIONED
PARTIES, BLOCKED PERSONS, SPECIALLY DESIGNATED
NATIONALS, AND OTHER PARTIES PRESENTING UNAC-
CEPTABLE RISKS OF DIVERSION.—
(1) DENIED
OR
DEBARRED
PARTIES, SANC-
TIONED
PARTIES, BLOCKED
PERSONS, AND
SPE-
CIALLY
DESIGNATED
NATIONALS.—The President
shall ensure that an official list is published semi-
annually in the Federal Register of all parties denied
or debarred from export privileges under this title or
under the Arms Export Control Act, all parties sanc-
tioned for prohibited proliferation activity under this
title or other statutes, and all blocked persons and
specially designated nationals. For purposes of this
paragraph, a ‘‘blocked person’’ or ‘‘specially des-
ignated national’’ is a person or entity so designated
by the President or the Secretary of the Treasury
under the Trading With the Enemy Act, or the
International Emergency Economic Powers Act, with
whom transactions are prohibited on account of the
relationship of that person or entity with a country,
organization, or activity against which sanctions are
imposed under either such Act. Promptly after any
person is designated a ‘‘blocked person’’ or ‘‘spe-
cially designated national’’, the Secretary of the
Treasury shall publish such designation in the Fed-
eral Register.
(2) OTHER
PARTIES.—The Secretary shall
maintain a list of parties for whom licenses under
this title will be presumptively denied.
(d) DELEGATION OF AUTHORITY.—Subject to the
provisions of this title, the President may delegate the
power, authority, and discretion conferred upon the Presi-
dent by this title to such departments, agencies, and offi-
cials of the Government as the President considers appro-
priate, except that no authority under this title may be
delegated to, or exercised by, any official of any depart-
ment or agency the head of which is not appointed by the
President, by and with the advice and consent of the Sen-
ate. The President may not delegate or transfer his power,
authority, or discretion to overrule or modify any rec-
ommendation or decision made by the Secretary, the Sec-
retary of Defense, or the Secretary of State under this
title and may not delegate the authority under section
106(a)(4).
(e) NOTIFICATION OF THE PUBLIC; CONSULTATION
WITH BUSINESS.—The Secretary shall keep the public
fully apprised of changes in export control policy and pro-
cedures instituted in conformity with this title with a view
to encouraging trade. The Secretary shall consult regu-
larly with representatives of a broad spectrum of enter-
prises, labor organizations, and citizens interested in or
affected by export controls, in order to obtain their views
on United States export control policy and the foreign
availability of items subject to controls.
(f) EXPORT ADVISORY COMMITTEES.—
(1) APPOINTMENT.—Upon his or her own ini-
tiative or upon the written request of representatives
of a substantial segment of any industry which pro-
duces any items subject to export controls under this
title or under the International Emergency Eco-
nomic Powers Act, or being considered for such con-
trols, the Secretary shall appoint export advisory
committees with respect to any such items. Each
such committee shall consist of representatives of
United States industry and Government, including
the Department of Commerce and other appropriate
departments and agencies of the Government. The
Secretary shall permit the widest possible participa-
tion by the business community on the export advi-
sory committees.
(2) FUNCTIONS.—Export advisory committees
appointed under paragraph (1) shall advise and as-
sist the Secretary, and any other department, agen-
cy, or official of the Government carrying out func-
tions under this title, on actions (including all as-
pects of controls imposed or proposed) designed to
carry out the policies of this title concerning the
items with respect to which such export advisory
committees were appointed. Such committees, where
they have expertise in such matters, shall be con-
sulted on questions involving—
(A) technical matters,
(B) worldwide availability and actual utili-
zation of production technology,
(C) licensing procedures which affect the
level of export controls applicable to any items,
(D) revisions of the multilateral control list
(as provided in section 105(g)), including pro-
posed revisions of multilateral controls in which
the United States participates,
(E) the issuance of regulations,
(F) the impact and interpretation of exist-
ing regulations,
(G) processes and procedures for review of
licenses and policy,
(H) any other questions relating to actions
designed to carry out this title, and
(I) the operation and conduct of inter-
national business transactions.
Nothing in this subsection shall prevent the United
States Government from consulting, at any time,
with any person representing an industry or the gen-
eral public, regardless of whether such person is a
member of an export advisory committee. Members
of the public shall be given a reasonable opportunity,
pursuant to regulations prescribed by the Secretary,
to present evidence to such committees.
(3) REIMBURSEMENT
OF
EXPENSES.—Upon
the request of any member of any export advisory
committee appointed under paragraph (1), the Sec-
retary may, if the Secretary determines it to be ap-
propriate, reimburse such member for travel, sub-
sistence, and other necessary expenses incurred by
such member in connection with the duties of such
member.
(4) CHAIRPERSON.—Each export advisory com-
mittee appointed under paragraph (1) shall elect a
chairperson, and shall meet at least every 3 months
at the call of the chairperson, unless the chairperson
determines, in consultation with the other members
of the committee, that such a meeting is not nec-
essary to achieve the purposes of this subsection.
Each such committee shall be terminated after a pe-
riod of 2 years, unless extended by the Secretary for
additional periods of 2 years each. The Secretary
shall consult with each such committee on such ter-
mination or extension of that committee.
(5) ACCESS
TO
INFORMATION.—To facilitate
the work of the export advisory committees ap-
pointed under paragraph (1), the Secretary, in con-
junction with other departments and agencies par-
ticipating in the administration of this title, shall
disclose to each such committee adequate informa-
tion, consistent with national security, pertaining to
the reasons for the export controls which are in ef-
fect or contemplated for the items or policies for
which that committee furnishes advice. Information
provided by the export advisory committees shall not
be subject to disclosure under section 552 of title 5,
United States Code, and such information shall not
be published or disclosed unless the Secretary deter-
mines that the withholding thereof is contrary to the
national interest.
(g) DEVELOPMENT AND REVIEW OF THE CONTROL
INDEX.—
(1) IN GENERAL.—
(A) Consistent with the general guidance
of the Export Control Policy Committee estab-
lished in section 114(c), the Secretary of De-
fense and the heads of other appropriate de-
partments and agencies may identify and rec-
ommend to the Secretary—
(i) commodities and technology for in-
clusion on, or deletion from, the multilat-
eral and emergency control lists; and
(ii) the licensing requirements that
should or should not apply to these com-
modities and technology.
(B) The Secretary of Defense shall have
primary responsibility for identifying commod-
ities and technologies that are critical to the de-
sign, development, test, production, stockpiling,
or use of weapons of mass destruction and
other military capabilities, including manned
and unmanned vehicles capable of delivering
such weapons, in determining recommendations
for inclusion of items on the control index.
(C) If the Secretary of Defense, the Sec-
retary of State, or the Secretary of Energy dis-
agrees with the decision of the Secretary re-
garding the inclusion or deletion, or licensing
requirements of, any commodity or technology,
the Secretary of Defense, State, or Energy (as
the case may be) may, within 30 days after the
Secretary makes the decision, appeal the Sec-
retary’s decision to the President in writing,
but only on the basis of the specific provisions
of this title. If the Secretary of Defense, the
Secretary of State, or the Secretary of Energy
fails to appeal a decision of the Secretary in ac-
cordance with the preceding sentence, he or she
shall be deemed to have no objection to the de-
cision. The President shall resolve a disagree-
ment under this subsection not later than 30
days after the appeal is made under this para-
graph.
(2) NEGOTIATIONS.—The Secretary of State, in
consultation with appropriate departments and agen-
cies, shall be responsible for conducting negotiations
with other countries regarding multilateral arrange-
ments for restricting the export of items to carry out
the policies of this title. All appropriate departments
and agencies shall develop initial technical param-
eters and product definitions in connection with the
development of proposals within the United States
Government to be made to multilateral regimes, in
consultation with the export advisory committees as
provided in paragraph (3).
(3) CONSULTATIONS WITH EXPORT ADVISORY
COMMITTEES.—The Secretary shall consult with the
appropriate export advisory committee appointed
under this section with respect to changes in the
control index, and such export advisory committee
may submit recommendations to the Secretary with
respect to such changes. The Secretary shall con-
sider the recommendations of the export advisory
committee and shall inform the committee of the dis-
position of its recommendations. The Secretary shall
also seek comments and recommendations from the
public in connection with changes in the control
index. To the maximum extent practicable and con-
sistent with the conduct of international negotia-
tions, such comments and recommendations should
be taken into consideration in the development of
United States Government proposals and positions
to be taken in multilateral regimes.
(h) RIGHT OF EXPORT.—No authority or permission
to export may be required under this title, or under regula-
tions issued under this title, except to carry out the poli-
cies set forth in section 103.
(i) INTERNATIONAL OBLIGATIONS UNDER TREA-
TIES.—Notwithstanding any other provision of this title
containing limitations on authority to control exports, the
Secretary, in consultation with the Secretary of State, may
impose controls on exports to a particular country or coun-
tries in order to fulfill obligations of the United States
under resolutions of the United Nations and under trea-
ties to which the United States is a party. The Secretary
may regulate domestic and foreign conduct consistent with
the policies of such United Nations resolutions and trea-
ties. Such authority shall include, but not be limited to,
authority to prohibit activity such as financing, contract-
ing, providing services, or employment, to deny access to
items in the United States and abroad, to conduct audits
of records and inspections of facilities, to compel reports,
and to curtail travel.
(j) FEES.—No fee may be charged in connection with
the submission or processing of an export license applica-
tion under this title.
SEC. 105. MULTILATERAL CONTROLS.
(a) AUTHORITY.—
(1) IN GENERAL.—In order to carry out the
policies set forth in paragraphs (1), (2), (5), (13),
(14), and (15) of section 103, the President may, in
accordance with this section, prohibit, curtail, or re-
quire the provision of information regarding, the ex-
port of any commodities, technology, or other infor-
mation subject to the jurisdiction of the United
States, or exported by any person subject to the ju-
risdiction of the United States, in order to imple-
ment multilateral export control regimes. The au-
thority under this paragraph shall include, but not
be limited to, the authority to regulate domestic and
foreign conduct, to prohibit activity such as financ-
ing, contracting, providing services, or employment,
to deny access to items in the United States and
abroad, to conduct audits of records and inspections
of facilities, and to compel reports. The authority
granted by this subsection may not be exercised to
impose unilateral controls.
(2) EXERCISE OF AUTHORITY.—The authority
granted by this subsection shall be implemented by
the Secretary, in consultation with appropriate de-
partments and agencies.
(3) CONSISTENCY WITH EXPORT CONTROL RE-
GIMES.—Any provision of this title that provides
that no authority or permission to export may be re-
quired under this title shall not apply to the extent
that such a provision is inconsistent with an inter-
national commitment of the United States under a
multilateral export control regime.
(b) MULTILATERAL CONTROL LIST.—The Secretary
shall, in consultation with appropriate departments and
agencies as provided in section 104(g), designate as part
of the control index, a multilateral control list, comprised
of the items on which export controls are in effect under
this section.
(c) EXPORT LICENSING POLICIES.—The President
shall ensure that steps are taken to increase the degree
to which the licensing requirements of other export regime
members are harmonized with the licensing requirements
maintained by the Secretary in controlling items under
this section.
(d) MULTILATERAL CONTROL REGIMES.—
(1) POLICY.—In order to carry out the policies
set forth in section 103, the Secretary of State, in
consultation with appropriate departments and agen-
cies, should seek multilateral arrangements that are
intended to secure effective achievement of these
policies and, in so doing, also establish fairer and
more predictable competitive opportunities for Unit-
ed States exporters.
(2) STANDARDS FOR NATIONAL SYSTEMS.—In
the establishment and maintenance of multilateral
regimes, the Secretary of State, in consultation with
appropriate departments and agencies, shall take
steps to attain the cooperation of members of the re-
gimes in the effective implementation of export con-
trol systems. Such systems should contain the fol-
lowing elements:
(A) National laws providing enforcement
authorities, civil and criminal penalties, and
statutes of limitations sufficient to deter poten-
tial violations and punish violators.
(B) A program to evaluate export license
applications that includes sufficient technical
expertise to assess the licensing status of ex-
ports and ensure the reliability of end users.
(C) An enforcement mechanism that pro-
vides authority for trained enforcement officers
to investigate and prevent illegal exports.
(D) A system of export control documenta-
tion to verify the movement of items.
(E) Procedures for the coordination and
exchange of information concerning licensing,
end users, and enforcement.
(F) Adequate national resources devoted to
carrying out subparagraphs (A) through (E).
(3) 
STANDARDS
FOR
MULTILATERAL
RE-
GIMES.—In the establishment and maintenance of
multilateral regimes, the Secretary of State, in con-
sultation with appropriate departments and agen-
cies, should seek, consistent with the policies set
forth in section 103, the following features for the
multilateral control regimes in which the United
States participates:
(A) FULL
MEMBERSHIP.—Achieve mem-
bership of all supplier countries whose policies
and activities are consistent with the objectives
and membership criteria of the multilateral re-
gime.
(B) EFFECTIVE ENFORCEMENT AND COM-
PLIANCE.—Promote enforcement and compli-
ance with the rules and guidelines of the mem-
bers of the regime through maintenance of an
effective control list.
(C) PUBLIC
UNDERSTANDING.—Enhance
public understanding of each regime’s purpose
and procedures.
(D) EFFECTIVE IMPLEMENTATION PROCE-
DURES.—Achieve procedures for effective imple-
mentation of the rules and guidelines of the re-
gime through uniform and consistent interpre-
tations of export controls agreed to by the gov-
ernments participating in the regime.
(E) ENHANCED COOPERATION AMONG RE-
GIME MEMBERS.—Reach agreement to enhance
cooperation among members of the regime in
obtaining the agreement of governments outside
the regime to restrict the export of items con-
trolled by the regime, to establish an ongoing
mechanism in the regime to coordinate planning
and implementation of export control measures
related to such agreements, and to remove
items from the list of items controlled by the re-
gime if the control of such items no longer
serves the objectives of the members of the re-
gime.
(F) PERIODIC
HIGH-LEVEL
MEETINGS.—
Conduct periodic meetings of high-level rep-
resentatives of participating governments for
the purpose of coordinating export control poli-
cies and issuing policy guidance to members of
the regime.
(G) 
COMMON
LIST
OF
CONTROLLED
ITEMS.—Reach agreement on a common list of
items controlled by the regime.
(H) TREATMENT
OF
CERTAIN
COUN-
TRIES.—Prevent the export or diversion of the
most sensitive items to countries whose activi-
ties are threatening to the national security of
the United States or its allies.
(I) DISCLOSURE OF NONPROPRIETARY IN-
FORMATION.—Promote transparency and timely
disclosure of nonproprietary information with
respect to the transfers of sensitive dual-use
commodities and technologies, when appro-
priate, for the purpose of developing common
understandings of the risks to international
peace and regional security associated with such
transfers and to coordinate national control
policies to combat those risks.
(e) INCENTIVES
FOR
PARTNERSHIP.—Consistent
with the policies of this title and consistent with the objec-
tives, rules, and guidelines of the individual regime—
(1) the Secretary, in consultation with appro-
priate departments and agencies, may provide for
exports free of license requirements to and among
members of a multilateral regime for items subject
to controls under such a multilateral regime; and
(2) the Secretary, in consultation with appro-
priate departments and agencies, may adjust licens-
ing policies with respect to a particular country or
entity for access to items controlled under this title
to the extent of the adherence of that country or en-
tity to the export control policies of this section.
Actions by the Secretary under paragraphs (1) and (2)
shall be consistent with the requirements of section
111(a)(1)(C).
(f) TRANSPARENCY
OF MULTILATERAL CONTROL
REGIMES.—
(1) PUBLICATION OF INFORMATION ON EACH
EXISTING REGIME.—Within 6 months after the date
of the enactment of this Act, the Secretary shall, to
the extent doing so is not inconsistent with arrange-
ments in multilateral export control regimes, publish
in the Federal Register the following information
with respect to each multilateral control regime ex-
isting on the date of the enactment of this Act:
(A) Purposes of the control regime.
(B) Members of the regime.
(C) Licensing policy.
(D) Items subject to the controls under the
regime, together with all public notes, under-
standings, and other aspects of the agreement
of the regime, and all changes thereto.
(E) Any countries, end uses, or end users
that are subject to the controls.
(F) Rules of interpretation.
(G) Major policy actions.
(H) The rules and procedures of the re-
gime for establishing and modifying any matter
described in subparagraphs (A) through (G)
and for reviewing export license applications.
(2) NEW REGIMES.—Within 2 months after the
United States joins or organizes a new export con-
trol regime, the Secretary shall, to the extent doing
so is not inconsistent with arrangements in the re-
gime, publish the information described in subpara-
graphs (A) through (H) of paragraph (1) with re-
spect to that regime.
(3) PUBLICATION
OF
CHANGES.—Within 2
months after the applicable regime adopts any
changes in the information published under this sub-
section, the Secretary shall, to the extent doing so
is not inconsistent with arrangements in the regime,
publish such changes in the Federal Register.
(g) REVIEW OF CONTROLLED ITEMS.—
(1) IN GENERAL.—Under the policy guidance of
the Export Control Policy Committee established in
section 114(c), and consistent with the procedures in
section 104(g), the Secretary shall review all items
on the multilateral control list maintained under
subsection (b) at least every 2 years, except that the
Secretary shall review annually whether the policy
set forth in section 103(12) is being achieved. At the
conclusion of each review, the Secretary shall decide
whether to maintain or remove items from the multi-
lateral control list, maintain, change, or eliminate
the specifications, performance thresholds, or licens-
ing requirements on items on the list, or add items
to the list.
(2) CONSIDERATIONS.—In conducting the re-
view, the Secretary shall—
(A) consult with the Secretary of Defense
concerning militarily critical technologies;
(B) consult with the appropriate export ad-
visory committees appointed under section
104(f) and consider recommendations of such
committees with respect to proposed changes in
the multilateral control list;
(C) consider whether controlled items or
their equivalent are so widely available in the
United States (in terms of quantity, cost, and
means of sale and delivery) that the require-
ment for a license is ineffective in achieving the
purpose of the control;
(D) consider whether the differences be-
tween the export controls of the United States
and that of governments of foreign suppliers of
competing items effectively has placed or will
place the United States exporter at a significant
commercial disadvantage with respect to its
competitors abroad, and has placed, or will
place, employment in the United States in jeop-
ardy;
(E) consider the results of determinations
made under section 114(k); and
(F) consider comments received pursuant
to the notice of review provided under para-
graph (3)(A).
(3) PROCEDURES.—
(A) NOTICE
OF
REVIEW.—Before begin-
ning each review under this subsection, the Sec-
retary shall publish a notice of that review in
the Federal Register and shall provide a 30-day
period for comments and submission of data,
including by exporters and other interested par-
ties.
(B) PROPOSALS TO EXPORT CONTROL RE-
GIMES.—If a revision to the multilateral control
list or to a licensing requirement under this
paragraph is inconsistent with the control lists,
guidelines, or the licensing requirements of, an
export control regime, the Secretary of State
shall propose such revision to that regime. Such
revision shall become effective only to the extent
such revision is agreed to by the export control
regime.
(C) PUBLICATION
OF
REVISIONS.—The
Secretary shall publish in the Federal Register
any revisions in the list, with an explanation of
the reasons for the revisions.
SEC. 106. EMERGENCY CONTROLS.
(a) AUTHORITY.—
(1) IN GENERAL.—In order to carry out the
policy set forth in paragraphs (1), (2), (6), (8), (14),
and (15) of section 103, the President may, in ac-
cordance with the provisions of this section, unilater-
ally prohibit, curtail, or require the provision of in-
formation regarding the export of any commodity,
technology, or other information subject to the juris-
diction of the United States or exported by any per-
son subject to the jurisdiction of the United States.
The authority under this paragraph shall include,
but not be limited to, the authority to regulate do-
mestic and foreign conduct, to prohibit activity such
as financing, contracting, providing services, or em-
ployment, to deny access to items in the United
States and abroad, to conduct audits of records and
inspections of facilities, and to compel reports.
(2) EXERCISE OF AUTHORITY.—The authority
contained in this section shall be exercised by the
Secretary, in consultation with the Secretary of
State, the Secretary of Defense, and such other de-
partments and agencies as the President considers
appropriate, and consistent with the procedures in
section 104(g).
(3) EXPIRATION OF CONTROLS.—
(A) IN GENERAL.—Any controls imposed
under this section shall expire 12 months after
they are imposed, unless they are terminated
earlier by the President or unless they are ex-
tended under this section, except that such con-
trols may be adopted as multilateral controls
under section 105 or included in an embargo
that is imposed by the President under the
International Emergency Economic Powers Act,
the Trading with the Enemy Act, or other pro-
vision of law other than this title. Any extension
or subsequent extension of the controls under
this section shall be for a period of not more
than 1 year each. The controls shall expire at
the end of each such extension unless they are
terminated earlier by the President or unless
they are further extended under this section,
except that such controls may be adopted as
multilateral controls under section 105 or in-
cluded in an embargo described in the first sen-
tence of this subparagraph.
(B) 
EXCEPTION
FOR
MULTILATERAL
AGREEMENTS.—Subparagraph (A) shall not
apply to controls imposed by the President in
order to fulfill obligations of the United States
under resolutions of the United Nations or
under treaties to which the United States is a
party. If such a resolution or treaty ceases to
be in effect, controls imposed by the President
pursuant to such resolution or treaty shall im-
mediately cease to be in effect.
(4) CRITERIA.—Controls may be imposed, ex-
panded, or extended under this section only if the
President determines that—
(A) the controls are necessary to further
significantly the nonproliferation, national secu-
rity, or foreign policies of the United States
provided in section 103, the objective of the
controls is in the overall national interest of the
United States, and reasonable alternative
means to the controls are not available;
(B) the controls are likely to make sub-
stantial progress toward achieving the intended
purpose of—
(i) changing, modifying, or constrain-
ing the undesirable conduct or policies of
the country to which the controls apply;
(ii) denying access by the country to
controlled items from all sources;
(iii) establishing multilateral coopera-
tion to deny the country access to con-
trolled items from all sources; or
(iv) denying exports or assistance that
significantly contributes to the prolifera-
tion of weapons of mass destruction or
other important military capabilities, ter-
rorism, or human rights abuses;
(C) the proposed controls are compatible
with the foreign policy objectives of the United
States and with overall United States policy to-
ward the country to which the controls apply;
(D) the reaction of other countries to the
imposition, expansion, or extension of such ex-
port controls by the United States is not likely
to render the controls ineffective in achieving
the intended purpose or to be counter-produc-
tive to United States policy interests;
(E) the effect of the proposed controls on
the export performance of the United States,
the competitive position of the United States as
a supplier of items, or on the economic well-
being of individual United States companies
and their employees and communities does not
exceed the benefit to the United States foreign
policy, nonproliferation, or national security in-
terests; and
(F) the United States has the ability to en-
force the proposed controls effectively.
(b) CONSULTATION WITH INDUSTRY.—The Sec-
retary shall consult with and seek advice from affected
United States industries and export advisory committees
appointed under section 104(f) before the imposition, ex-
pansion, or extension of any export control under this sec-
tion.
(c) CONSULTATION WITH OTHER COUNTRIES.—
When expanding or extending export controls under this
section (unless such action is taken under subsection
(a)(3)(B)), the Secretary of State, in consultation with ap-
propriate departments and agencies, shall, at the earliest
appropriate opportunity, consult with the countries with
which the United States maintains export controls coop-
eratively, and with other countries, as appropriate, to ad-
vise them of the reasons for the action and to urge them
to adopt similar controls.
(d) CONSULTATIONS WITH THE CONGRESS.—
(1) CONSULTATIONS.—The Secretary may im-
pose, expand, or extend export controls under this
section only after consultation with the Congress, in-
cluding the Committee on International Relations of
the House of Representatives and the Committee on
Banking, Housing, and Urban Affairs of the Senate.
(2) REPORTS.—The Secretary may not impose
or expand controls under subsection (a) until the
Secretary has submitted to the Congress a report—
(A) addressing each of the criteria set
forth in subsection (a)(4);
(B) specifying the purpose of the controls;
(C) describing the nature, the subjects,
and the results of, or plans for, the consultation
with industry under subsection (b) and with
other countries under subsection (c);
(D) specifying the nature and results of
any alternative means attempted to achieve the
objectives of the controls, or the reasons for im-
posing or expanding the controls without at-
tempting any such alternative means; and
(E) describing the availability from other
countries of items comparable to the items sub-
ject to the controls, and describing the nature
and results of the efforts made to secure the
cooperation of foreign governments in control-
ling the foreign availability of such comparable
items.
Such report shall also indicate how such controls will
further significantly the policies of the United States
as set forth in section 103 or will further its de-
clared international obligations.
(e) SEEKING MULTILATERAL SUPPORT FOR UNILAT-
ERAL CONTROLS.—The Secretary of State, in consultation
with appropriate departments and agencies, shall have a
continuing duty to seek support for controls imposed
under this section by other countries and by effective mul-
tilateral control regimes.
(f) PROCEDURES AND LIMITATIONS ON EMERGENCY
CONTROLS.—
(1) CESSATION OF EMERGENCY CONTROLS.—
(A) IN GENERAL.—Controls imposed under
this section on commodities, technology, or
other information shall cease to be in effect im-
mediately upon—
(i) the imposition of similarly restric-
tive controls under section 105 on the
same commodities, technology, or informa-
tion to the country or end user, or for the
end use, with respect to which the controls
were imposed under this section; or
(ii) the imposition of an embargo,
under the International Emergency Eco-
nomic Powers Act, the Trading with the
Enemy Act, or other provision of law, on
exports to, and imports from the country
with respect to which the controls were im-
posed under this section.
(B) 
CONVERSION
TO
MULTILATERAL
AGREEMENTS.—If the President imposes con-
trols on commodities, technology, or other infor-
mation to a country or end user, or for an end
use, under this section in order to fulfill obliga-
tions of the United States under resolutions of
the United Nations or under a treaty to which
the United States is a party, any equivalent
controls imposed prior thereto under this sec-
tion on the same commodities, technology, or
information to the same country or end user, or
for the same end use, shall immediately cease
to be in effect.
(2) LIMITATIONS ON REIMPOSITION.—Controls
which have ceased to be in effect under subsection
(a)(3), and which have not been extended under sub-
section (g), may not be reimposed by the President
under subsection (a) for a period of 6 months begin-
ning on the date on which the original controls ex-
pire, unless the President determines that reimposi-
tion of controls is warranted due to significant
changes in circumstances since the expiration of the
controls.
(g) EXTENSION OF EMERGENCY CONTROLS.—
(1) REPORT.—If the President decides to ex-
tend controls imposed under subsection (a), which
are due to expire under subsection (a)(3), the Presi-
dent shall, not later than 30 calendar days before
the expiration of such controls, transmit to the Con-
gress a report on the proposed extension, setting
forth the reasons for the proposed extension in detail
and specifying the period of time, which may not ex-
ceed 1 year, for which the controls are proposed to
be extended. In particular, such report shall—
(A) contain determinations by the Presi-
dent—
(i) that the controls are likely to con-
tinue to make substantial progress toward
achieving the intended purpose of—
(I) changing, modifying, or con-
straining the undesirable conduct or
policies of the country to which the
controls apply;
(II) denying access by the coun-
try to controlled items from all
sources;
(III) establishing multilateral co-
operation to deny the country access
to controlled items from all sources;
or
(IV) denying exports or assist-
ance that significantly contributes to
the proliferation of weapons of mass
destruction or other important mili-
tary capabilities, terrorism, or human
rights abuses;
(ii) that the impact of the controls has
been compatible with the foreign policy ob-
jectives of the United States and with
overall United States policy toward the
controlled country;
(iii) that the reaction of other coun-
tries to the imposition or expansion of the
controls by the United States has not ren-
dered the controls ineffective in achieving
the intended purpose and have not been
counterproductive to United States policy
interests;
(iv) that the effect of the controls on
the export performance of the United
States, the competitive position of the
United States as a supplier of items, and
the economic well-being of individual Unit-
ed States companies and their employees
and communities has not exceeded the ben-
efit to the United States foreign policy,
nonproliferation, or national security inter-
ests; and
(v) that the United States has en-
forced the controls effectively.
(2) FURTHER EXTENSIONS OF CONTROLS.—If,
upon the expiration of the controls extended under
this subsection, the President determines that a fur-
ther extension of emergency controls for an addi-
tional period of time of not more than 1 year is nec-
essary, paragraph (1) shall apply to such further ex-
tension.
(h) EFFECT ON OTHER AUTHORITY.—
(1) EMBARGO
AUTHORITY.—Nothing in this
section shall be construed to limit the authority of
the President to impose an embargo on exports to,
and imports from, a specific country under the
International Emergency Economic Powers Act, the
Trading with the Enemy Act, or other provision of
law (other than this title). In any case in which the
President exercises any such authority to impose an
embargo, the requirements of this section shall not
apply for so long as such embargo is in effect.
(2) EFFECT
ON
EXISTING
EMBARGOES.—(A)
Nothing in this section affects the authorities con-
ferred upon the President by section 5(b) of the
Trading with the Enemy Act, which were being exer-
cised with respect to a country on July 1, 1977, as
a result of a national emergency declared by the
President before that date, and are being exercised
on the date of the enactment of this Act.
(B) Nothing in this section affects the authori-
ties conferred upon the President by the Inter-
national Economic Powers Act or other provision of
law (other than the Export Administration Act of
1979), which were being exercised with respect to a
country before the date of the enactment of this Act
as a result of a national emergency declared by the
President before that date, and are being exercised
with respect to such country on such date of enact-
ment.
(i) COUNTRIES SUPPORTING INTERNATIONAL TER-
RORISM.—
(1) PROHIBITION ON EXPORTS.—(A) No export
described in subparagraph (B) may be made to any
country the government of which the Secretary of
State has determined has repeatedly provided sup-
port for acts of international terrorism.
(B) The exports referred to in subparagraph
(A) are—
(i) of any commodity or technology the ex-
port of which is controlled under this title pur-
suant to the Wassenaar Arrangement, the Mis-
sile Technology Control Regime, or the Aus-
tralia Group, or controlled under this title pur-
suant to section 309(c) of the Nuclear Non-
Proliferation Act of 1978,
(ii) of any other commodity or technology
the export of which is controlled under this title
pursuant to multilateral export control regimes
in which the United States participates, and
(iii) of any commodity or technology which
could make a significant contribution to the
military potential of a country described in sub-
paragraph (A), including its military logistics
capability, or could enhance the ability of such
country to support acts of international terror-
ism,
other than food, medicine, or medical supplies that
the President determines will be used only for hu-
manitarian purposes. An individual validated license
shall be required for the export under this subpara-
graph of any such food, medicine, or medical sup-
plies.
(C) Paragraphs (3) and (4) of subsection (a)
shall not apply to exports prohibited or restricted
under this subsection.
(D)(i) The Secretary shall maintain a list of
commodities and technology described in subpara-
graph (B)(iii). The Secretary shall review the list of
items on that list at least annually. At the conclu-
sion of the review, the Secretary shall determine
whether to remove items from the list, change the
specifications of items on the list, or add items to
the list, in order to ensure that the items on the list
meet the requirements of subparagraph (B)(iii).
(ii) The procedures set forth in subparagraphs
(A) and (C) of section 105(g)(3) shall apply to re-
views under clause (i) of the list of items described
in subparagraph (B)(iii) to the same extent as such
section applies to reviews of the multilateral control
list under section 105(g).
(2) NOTIFICATION OF CONGRESS OF LICENSES
ISSUED.—The Secretary and the Secretary of State
shall notify the Speaker of the House of Representa-
tives and the Committee on Banking, Housing, and
Urban Affairs and the Committee on Foreign Rela-
tions of the Senate at least 30 days before issuing
any license under this title for exports to a country
the government of which the Secretary of State has
determined has repeatedly provided support for acts
of international terrorism.
(3) PUBLICATION OF DETERMINATIONS.—Each
determination of the Secretary of State under para-
graph (1)(A) shall be published in the Federal Reg-
ister.
(4) RESCISSION OF DETERMINATIONS.—A de-
termination made by the Secretary of State under
paragraph (1)(A) may not be rescinded unless the
President submits to the Speaker of the House of
Representatives and the chairman of the Committee
on Banking, Housing, and Urban Affairs and the
chairman of the Committee on Foreign Relations of
the Senate—
(A) before the proposed rescission would
take effect, a report certifying that—
(i) there has been a fundamental
change in the leadership and policies of the
government of the country concerned;
(ii) that government is not supporting
acts of international terrorism; and
(iii) that government has provided as-
surances that it will not support acts of
international terrorism in the future; or
(B) at least 45 days before the proposed
rescission would take effect, a report justifying
the rescission and certifying that—
(i) the government concerned has not
provided any support for international ter-
rorism during the preceding 6-month pe-
riod; and
(ii) the government concerned has
provided assurances that it will not sup-
port acts of international terrorism in the
future.
(5) WAIVER OF PROHIBITIONS.—The President
may waive the prohibitions contained in paragraph
(1)(A) with respect to a specific transaction if—
(A) the President determines that the
transaction is essential to the national security
interests of the United States; and
(B) not less than 30 days prior to the pro-
posed transaction, the President—
(i) consults with the Committee on
International Relations of the House of
Representatives and the Committee on
Banking, Housing, and Urban Affairs of
the Senate regarding the proposed trans-
action; and
(ii) submits to the Speaker of the
House of Representatives and the chair-
man of the Committee on Banking, Hous-
ing, and Urban Affairs of the Senate a re-
port containing—
(I) the name of any country in-
volved in the proposed transaction,
the identity of any recipient of the
items to be provided pursuant to the
proposed transaction, and the antici-
pated use of those items;
(II) a description of the items in-
volved in the proposed transaction (in-
cluding their market value) and the
actual sale price at each step in the
transaction;
(III) the reasons why the pro-
posed transaction is essential to the
national security interests of the Unit-
ed States and the justification for the
proposed transaction;
(IV) the date on which the pro-
posed transaction is expected to occur;
and
(V) the name of any foreign gov-
ernments involved in the proposed
transaction.
To the extent possible, the information specified in
clause (ii) of subparagraph (B) shall be provided in
unclassified form.
(6) MULTILATERAL REGIMES.—The Secretary
of State, in consultation with appropriate depart-
ments and agencies, shall seek support by other
countries and by effective multilateral control re-
gimes of controls imposed by this subsection.
(7) EFFECT ON OTHER LAWS.—The provisions
of this subsection do not affect any other provision
of law to the extent such other provision imposes
greater restrictions on exports to any country the
government of which the Secretary of State has de-
termined has repeatedly provided support for acts of
international terrorism than are imposed under this
subsection.
(j) CRIME CONTROL INSTRUMENTS.—
(1) LICENSE
REQUIRED.—Crime control and
detection instruments and equipment shall be ap-
proved for export by the Secretary only pursuant to
an export license. Paragraphs (3)(A) and (4) of sub-
section (a) shall not apply to the export controls im-
posed by this subsection.
(2) CONCURRENCE OF SECRETARY OF STATE.—
(A) ITEMS ON CONTROL INDEX.—Any de-
termination of the Secretary of what commod-
ities or technology shall be included on the con-
trol index as a result of the export restrictions
imposed by this subsection shall be made with
the concurrence of the Secretary of State.
(B) ACTION ON LICENSE APPLICATION.—
Any determination of the Secretary to approve
or deny an export license application to export
crime control or detection instruments or equip-
ment shall be made with the concurrence of the
Secretary of State.
(3) DISPUTE RESOLUTION.—If the Secretary of
State does not agree with the Secretary with respect
to any determination under paragraph (2), the Sec-
retary of State shall refer the matter to the Presi-
dent for resolution.
(4) EXCEPTIONS.—The provisions of this sub-
section shall not apply with respect to exports to
countries which are members of the North Atlantic
Treaty Organization or to Japan, Australia, or New
Zealand, or to such other countries as the President
shall designate consistent with the purposes of this
subsection and section 502B of the Foreign Assist-
ance Act of 1961.
(k) SPARE PARTS.—At the same time as the Presi-
dent imposes or expands export controls under this sec-
tion, the President shall determine whether such export
controls will apply to replacement parts or parts in com-
modities subject to such export controls.
(l) EFFECT ON OTHER LAWS.—None of the prohibi-
tions contained in this section shall apply to any trans-
action subject to the reporting requirements of title V of
the National Security Act of 1947.
SEC. 107. SHORT SUPPLY CONTROLS.
(a) AUTHORITY.—
(1) IN GENERAL.—In order to carry out the
policy set forth in section 103(4), the President may
prohibit or curtail the export of any commodities
subject to the jurisdiction of the United States or
exported by any person subject to the jurisdiction of
the United States. In curtailing exports to carry out
the policy set forth in section 103(4), the President
shall allocate a portion of export licenses on the
basis of factors other than a prior history of expor-
tation. Such factors shall include the extent to which
a country engages in equitable trade practices with
respect to United States commodities and treats the
United States equitably in times of short supply.
(2) PUBLIC
PARTICIPATION.—Upon imposing
quantitative restrictions on exports of any commod-
ities to carry out the policy set forth in section
103(4), the Secretary shall include in a notice pub-
lished in the Federal Register with respect to such
restrictions an invitation to all interested parties to
submit written comments within 15 days after the
date of publication on the impact of such restrictions
and the method of licensing used to implement
them.
(3) LICENSE FEES.—In imposing export con-
trols under this section, the President’s authority
that material but before the Secretary makes a de-
termination under paragraph (3) with respect to
that material only if—
(A) the failure to take such temporary ac-
tions would result in irreparable harm to the
entity filing the petition, or to the national
economy or segment thereof, including a domes-
tic industry, and
(B) the Secretary considers such action to
be necessary to carry out the policy set forth in
section 103(4).
(9) OTHER AUTHORITY NOT AFFECTED.—The
authority under this subsection shall not be con-
strued to affect the authority of the Secretary under
any other provision of this title, except that if the
Secretary determines, on the Secretary’s own initia-
tive, to impose monitoring or controls, or both, on
the export of metallic materials capable of being re-
cycled, under the authority of this section, the Sec-
retary shall publish the reasons for such action in
accordance with paragraph (3) (A) and (B).
(10) SUBMISSION AND CONSIDERATION OF AD-
DITIONAL INFORMATION.—Nothing contained in this
subsection shall be construed to preclude submission
on a confidential basis to the Secretary of informa-
tion under this subsection or with respect to any
property that may be subject to forfeiture under this
subsection, shall be governed by the provisions of
chapter 46 of title 18, United States Code, to the
same extent as property subject to forfeiture under
that chapter.
(c) CIVIL
PENALTIES; ADMINISTRATIVE
SANC-
TIONS.—
(1) CIVIL PENALTIES.—The Secretary may im-
pose a civil penalty of not more than $250,000 for
each violation of this title or any regulation, license,
or order issued under this title, either in addition to
or in lieu of any other liability or penalty which may
be imposed, except that the civil penalty for each
such violation of regulations issued under section
108 may not exceed $50,000.
(2) DENIAL OF EXPORT PRIVILEGES.—The Sec-
retary may deny the export privileges of any person,
including suspending or revoking the authority of
any person to export or receive United States-origin
commodities or technology subject to this title, on
account of any violation of this title or any regula-
tion, license, or order issued under this title.
(d) PAYMENT OF CIVIL PENALTIES.—The payment
of any civil penalty imposed under subsection (c) may be