140
12 months has had on United States national se-
curity.
(b) EXPORT CONTROL AUTHORITY AND FUNCTIONS.—
(1) IN GENERAL.—Unless otherwise reserved to
the President or a department or agency outside the
Department of Commerce, all power, authority, and
discretion conferred by this title shall be exercised by
the Secretary.
(2) DELEGATION OF FUNCTIONS OF THE SEC-
RETARY.—The Secretary may delegate any function
under this title to the Under Secretary of Commerce
for Export Administration appointed under sub-
section (d) or to any other officer of the Department
of Commerce.
(c) EXPORT CONTROL POLICY COMMITTEE.—
(1) ESTABLISHMENT.—There is established an
Export Control Policy Committee (hereafter in this
subsection referred to as the ‘‘Committee’’).
(2) FUNCTIONS.—The Committee shall—
(A) provide policy guidance and advice to
the President on export control issues under this
title;
(B) review policy recommendations pro-
posed by the Secretary and other members of the
Committee; and
141
(C) receive policy recommendations from
other departments and agencies and resolve pol-
icy disputes among departments and agencies
under this title.
(3) MEMBERSHIP.—The Committee shall include
the Secretary, the Secretary of Defense, the Secretary
of Energy, the heads of other relevant departments,
and appropriate officials of the Executive Office of the
President.
(4) CHAIR.—The Committee shall be chaired by
the President or his designee.
(5) DELEGATION; OTHER REPRESENTATIVES.—A
member of the Committee under paragraph (3) may
designate the deputy head of his or her department or
agency to serve in his or her absence as a member of
the Committee, but this authority may not be dele-
gated to any other individual. The chair may also in-
vite the temporary participation in the Committee’s
meetings of representatives from other offices and
agencies as appropriate to the issues under consider-
ation.
(6) MEETINGS.—The chair of the Committee
may call a meeting of the Committee. Meetings shall
not be subject to section 552b of title 5, United States
Code.
143
be issued only after the regulations are submitted for review
to such departments or agencies as the President considers
appropriate. The Secretary shall consult with the appro-
priate export advisory committee appointed under section
104(f) in formulating regulations under this title. The sec-
ond sentence of this subsection does not require the concur-
rence or approval of any official, department, or agency
to which such regulations are submitted.
(f) AMENDMENTS TO REGULATIONS.—If the Secretary
proposes to amend regulations issued under this title, the
Secretary shall report to the Committee on Banking, Hous-
ing, and Urban Affairs of the Senate and the Speaker of
the House of Representatives on the intent and rationale
of such amendments. Such report shall evaluate the cost and
burden to the United States exporters of the proposed
amendments in relation to any enhancement of licensing
objectives. The Secretary shall consult with the appropriate
export advisory committees appointed under section 104(f)
in amending regulations issued under this title.
(g) CONFIDENTIALITY OF INFORMATION.—
(1) EXEMPTIONS FROM DISCLOSURE.—
(A) INFORMATION OBTAINED ON OR BEFORE
JUNE 30, 1980.—Except as otherwise provided by
the third sentence of section 108(b)(2), informa-
tion obtained under the Export Administration
144
Act of 1979 and its predecessor statutes on or be-
fore June 30, 1980, which is deemed confidential,
including Shipper’s Export Declarations, or
with reference to which a request for confidential
treatment is made by the person furnishing such
information, 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 determines that the
withholding thereof is contrary to the national
interest.
(B) INFORMATION OBTAINED AFTER JUNE
30, 1980.—Except as otherwise provided by the
third sentence of section 108(b)(2), information
obtained under this title or under the Export Ad-
ministration Act of 1979 after June 30, 1980,
may be withheld from disclosure only to the ex-
tent permitted by statute, except that informa-
tion submitted, obtained, or considered in con-
nection with an application for an export license
or other export authorization under the Export
Administration Act of 1979 or this title, includ-
ing—
(i) the export license or other export
authorization itself,
145
(ii) classification requests described in
section 109(h)(1),
(iii) information obtained during the
course of an assessment under subsection
(k),
(iv) information or evidence obtained
in the course of any investigation, and
(v) information obtained or furnished
under this title in connection with inter-
national agreements, treaties, or obligations,
shall be withheld from public disclosure and shall
not be subject to disclosure under section 552 of
title 5, United States Code, unless the release of
such information is determined by the Secretary
to be in the national interest.
(2) INFORMATION TO CONGRESS AND GAO.—
(A) IN
GENERAL.—Nothing in this title
shall be construed as authorizing the withholding
of information from the Congress or from the
General Accounting Office.
(B) AVAILABILITY TO THE CONGRESS.—
(i) IN GENERAL.—All information ob-
tained at any time under this title or pre-
vious Acts regarding the control of exports,
including any report or license application
146
required under this title, shall be made
available to any committee or subcommittee
of Congress of appropriate jurisdiction upon
the request of the chairman or ranking mi-
nority member of such committee or sub-
committee.
(ii) PROHIBITION
ON
FURTHER
DIS-
CLOSURE.—No committee, subcommittee, or
Member of Congress shall disclose any infor-
mation obtained under this title or previous
Acts regarding the control of exports which
is submitted on a confidential basis to the
Congress under clause (i) unless the full
committee to which the information is made
available determines that the withholding of
the information is contrary to the national
interest.
(C) AVAILABILITY TO THE GAO.—
(i) 
IN
GENERAL.—Notwithstanding
paragraph (1), information referred to in
subparagraph (B) shall, consistent with the
protection 
of 
intelligence, 
counterintel-
ligence, and law enforcement sources, meth-
ods, and activities, as determined by the
agency that originally obtained the infor-
147
mation, and consistent with the provisions
of section 716 of title 31, United States
Code, be made available only by the agency,
upon request, to the Comptroller General of
the United States or to any officer or em-
ployee of the General Accounting Office au-
thorized by the Comptroller General to have
access to such information.
(ii) PROHIBITION
ON
FURTHER
DIS-
CLOSURES.—No officer or employee of the
General Accounting Office shall disclose, ex-
cept to the Congress in accordance with this
paragraph, any such information which is
submitted on a confidential basis and from
which any individual can be identified.
(3) INFORMATION EXCHANGE.—Notwithstanding
paragraph (1), the Secretary and the Commissioner of
Customs shall exchange licensing and enforcement in-
formation with each other which is necessary to facili-
tate enforcement efforts and effective license decisions.
(4) PENALTIES FOR DISCLOSURE OF CONFIDEN-
TIAL INFORMATION.—Any officer or employee of the
United States, or any department or agency thereof,
who publishes, divulges, discloses, or makes known in
148
any manner or to any extent not authorized by law
any confidential information that—
(A) he or she obtains in the course of his or
her employment or official duties or by reason of
any examination or investigation made by, or
report or record made to or filed with, such de-
partment or agency, or officer or employee there-
of, and
(B) is exempt from disclosure under this
subsection,
shall be fined not more than $10,000, or imprisoned
not more than one year, or both, shall be removed
from office or employment, and shall be subject to a
civil penalty of not more than $1,000 imposed by the
Secretary under section 110(c).
(h) AUTHORITY
FOR SEMINAR
AND PUBLICATIONS
FUND.—The Secretary is authorized to cooperate with pub-
lic agencies, other governments, international organiza-
tions, private individuals, private associations, and other
groups in connection with seminars, publications, and re-
lated activities to carry out export activities, including edu-
cating the public or government officials on the application
of this title and the regulations issued under this title. The
Secretary is further authorized to accept contributions of
funds, property, or services in connection with such activi-
149
ties to recover the cost of such programs and activities. Con-
tributions may include payments for materials or services
provided as part of such activities. The contributions col-
lected may be retained for use in covering the costs of such
activities, and for providing information to the public with
respect to this title and other export control programs of
the United States and other governments.
(i) SUPPORT OF OTHER COUNTRIES’ EXPORT CON-
TROL PROGRAM.—The Secretary is authorized to partici-
pate in and provide training to officials of other countries
on the principles and procedures for the implementation of
effective export controls and may participate in any such
training provided by other departments and agencies of the
United States.
(j) 
INCORPORATED
COMMODITIES
AND
TECH-
NOLOGY.—
(1) 
COMMODITIES
CONTAINING
CONTROLLED
PARTS AND COMPONENTS.—Controls may not be im-
posed under this title or any other provision of law
for a commodity solely because the commodity con-
tains parts or components subject to export controls
under this title if such parts or components—
(A) are essential to the functioning of the
commodity,
150
(B) are customarily included in sales of the
commodity in countries other than controlled
countries, and
(C) comprise 25 percent or less of the total
value of the commodity,
unless the commodity itself, if exported, would by vir-
tue of the functional characteristics of the commodity
as a whole make a significant contribution to the
military or proliferation potential of a controlled
country or end user which would prove detrimental to
the national security of the United States.
(2) REEXPORTS OF FOREIGN-MADE ITEMS INCOR-
PORATING U.S. ITEMS.—
(A) COMMODITIES.—(i) No authority or
permission may be required under section 105 or
section 106 to reexport to a country other than
a terrorist country or an embargoed country a
commodity that is produced in a country other
than the United States and incorporates com-
modities that are subject to the jurisdiction of the
United States, if the value of the controlled Unit-
ed States content of the commodity produced in
such other country is 25 percent or less of the
total value of the commodity.
151
(ii) No authority or permission may be re-
quired under section 105 or section 106 to reex-
port to a terrorist country or to an embargoed
country a commodity that is produced in a
country other than the United States and incor-
porates commodities that are subject to the juris-
diction of the United States, if the value of the
controlled United States content of the commod-
ity produced in such other country is 10 percent
or less of the total value of the commodity.
(B) TECHNOLOGY.—(i) No authority or per-
mission may be required under section 105 or
section 106 to reexport to a country other than
a terrorist country or an embargoed country
technology that is produced in a country other
than the United States and is commingled with
or drawn from technology that is produced in the
United States, if the value of the controlled Unit-
ed States content of the technology produced in
such other country is 25 percent or less of the
total value of the technology.
(ii) No authority or permission may be re-
quired under section 105 or section 106 to reex-
port to a terrorist country or an embargoed
country technology that is produced in a country
152
other than the United States and is commingled
with or drawn from technology that is produced
in the United States, if the value of the con-
trolled United States content of the technology
produced in such other country is 10 percent or
less of the total value of the technology.
(C) DEFINITIONS.—For purposes of this
paragraph—
(i) the ‘‘controlled United States con-
tent’’ of a commodity or technology means
those commodities or technology that—
(I) are subject to the jurisdiction
of the United States;
(II) are incorporated into the
commodity or technology; and
(III) would, at the time of the re-
export, require a license under section
105 or 106 if exported from the United
States to a country to which the com-
modity or technology is to be reex-
ported;
(ii) an ‘‘embargoed country’’ is a coun-
try against which an embargo is in effect
under the Trading with the Enemy Act, the
153
International Emergency Economic Powers
Act, or other provision of law; and
(iii) a ‘‘terrorist country’’ is a country
with respect to which a determination is in
effect 
that 
was 
made 
under 
section
106(i)(1)(A) 
of 
this 
Act, 
or 
section
6(j)(1)(A) of the Export Administration Act
of 1979, that the government of such coun-
try has repeatedly provided support for acts
of international terrorism.
(3) TREATMENT OF TECHNOLOGY AND SOURCE
CODE.—For purposes of this subsection, technology
and source code used to design or produce foreign-
made commodities are not deemed to be incorporated
into such foreign-made commodities.
(4) REPORTING REQUIREMENTS.—Notwithstand-
ing paragraphs (1) through (3), the Secretary may
require persons to report to the Department of Com-
merce their proposed calculations and underlying
data sufficient for the Department of Commerce to
evaluate the adequacy of those calculations and data
related to commodities and technology before a re-
exporter may rely upon the exclusions from controls
provided in this subsection.
154
(5) EXCEPTIONS.—Paragraphs (1) and (2) do
not require any changes to regulations in effect on the
effective date of this title and, notwithstanding para-
graphs (1) and (2), controls may be imposed on com-
modities or technology transferred, after March 1,
1996, from export control under the Arms Export
Control Act to control under this title if those com-
modities or technology are designated by the President
for exemption from paragraph (1) or (2), as the case
may be.
(k) UNFAIR IMPACT ON UNITED STATES EXPORTER.—
(1) POLICY.—It is the policy of the United
States that no United States exporter should be af-
fected unfairly by export control policies or practices
unless relief from such controls would create a signifi-
cant risk to the foreign policy, nonproliferation, or
national security interests of the United States.
(2) RELIEF FROM EXPORT CONTROLS.—(A) A
person may petition the Secretary for relief from cur-
rent export control requirements (other than control
requirements specifically imposed by this title or
other provisions of law) on the basis of foreign avail-
ability. A person may also petition the Secretary for
approval of an export license application on other
grounds which the Secretary, with the concurrence of
155
the Secretary of Defense, shall establish by regulation.
The Secretary shall, upon receipt of such petitions,
and may, on his or her initiative, conduct assess-
ments for providing relief based upon these grounds.
(B) For purposes of this subsection, foreign
availability exists when the controlled item is avail-
able in fact, under terms and conditions established
by the Secretary with the concurrence of the Secretary
of Defense, to controlled countries or end users from
sources outside the United States so that the require-
ment for a license is or would be ineffective in achiev-
ing the purpose of the control.
(3) PROVISIONS FOR RELIEF.—The Secretary, in
consultation with appropriate departments and agen-
cies, shall make determinations of facts under para-
graph (2), addressing, in the case of a petition filed
under paragraph (2), each ground for relief asserted
in the petition, and, subject to paragraph (4), shall
provide at least one of the following forms of relief to
persons that meet the criteria in paragraph (2):
(A) Change the control status of, or licens-
ing requirements on, all or some of the items in
question so as to eliminate the unfair impact.
(B) Selectively approve the sale of controlled
items so as to eliminate the unfair impact.
156
(C) Seek multilateral support to eliminate
the source of unfair impact. If relief under this
subparagraph is chosen and if such efforts fail to
achieve multilateral support, then the Secretary,
not later than 330 days from the date of the Sec-
retary’s initiation of the assessment under para-
graph (2), shall provide other relief pursuant to
subparagraph (A) or (B) or conclude pursuant to
paragraph (4) that the granting of such relief
would create a significant risk to United States
nonproliferation, foreign policy, or national se-
curity interests.
A determination that a petitioner qualifies for relief
under paragraph (2) shall not compel the United
States to remove controls from an item that remains
subject to control by a multilateral regime.
(4) EXCEPTIONS FROM RELIEF.—The Secretary
shall provide relief under paragraph (3) to a peti-
tioner who qualifies for relief under paragraph (2)
unless the Secretary concludes that the granting of
such relief would create a significant risk to United
States nonproliferation, foreign policy, or national se-
curity interests. In the event the Secretary determines
to grant such relief, he or she may do so unless the
President determines that such relief would create a
157
significant risk to the foreign policy, nonproliferation,
or national security interests of the United States.
(5) PROCEDURES.—
(A) PUBLICATION.—In any case in which
the President or the Secretary determines that
relief under paragraph (3) will not be granted,
notwithstanding the existence of facts that con-
stitute a basis for granting relief, the Secretary
shall publish that determination, together with a
concise statement of its basis and the estimated
economic impact of the decision.
(B) NOTICE
OF
ASSESSMENTS.—Whenever
the Secretary undertakes an assessment under
paragraph (2), the Secretary shall publish in the
Federal Register notice of the initiation of such
assessment.
(C) PROCEDURES FOR MAKING DETERMINA-
TIONS.—During the conduct of an assessment
under this subsection, the Secretary shall consult
with other appropriate departments and agencies
concerning the assessment. The Secretary shall
make a determination as to whether relief is re-
quired under paragraph (2) within 120 days
after the date of the Secretary’s receipt of the pe-
tition requesting relief or the date of the Sec-
158
retary’s initiation of the assessment (as the case
may be) and shall so notify the applicant. If the
Secretary has determined that relief is appro-
priate, the Secretary shall, upon making such a
determination, submit the determination for re-
view to the Department of Defense and other ap-
propriate departments and agencies for consulta-
tions regarding the findings and the relief se-
lected. If the Secretary of Defense or other de-
partment or agency head disagrees with the Sec-
retary’s determination, he or she may appeal the
determination to the President in writing, but
only on the basis of the criteria set forth in
paragraph (4). The President shall resolve any
such disagreement so that, in all cases, not later
than 150 days after the date of the Secretary’s
receipt of the petition requesting relief or the
date of the Secretary’s initiation of the assess-
ment (as the case may be), the Secretary re-
sponds in writing to the petitioner and submits
for publication in the Federal Register, that—
(i) unfair impact exists and—
(I) the requirement of a license
has been removed;
159
(II) the control status of all or
some of the items in question has been
changed so as to eliminate the unfair
impact;
(III) the sale of controlled items
has been approved so as to eliminate
the unfair impact;
(IV) export controls under this
title are to be maintained notwith-
standing the finding under paragraph
(2); or
(V) 
the 
United 
States 
rec-
ommendation to remove the license re-
quirement or change the control status
will be submitted to a relevant multi-
lateral regime for consideration for a
period of not more than 180 days be-
ginning on the date of the publication;
or
(ii) a right to relief under paragraph
(2) does not exist.
The reasons for maintaining export controls
under clause (i)(IV) shall be included in the sub-
mission to the petitioner and the publication. In
any case in which the submission for publication
160
is not made within the 150-day period required
by this subparagraph, the Secretary may not
thereafter require a license for the export of items
that are the subject of the allegation under para-
graph (2).
(D) NEGOTIATIONS TO ELIMINATE UNFAIR
IMPACT.—(i) In any case in which export con-
trols are maintained under this section pursuant
to paragraph (4) despite a determination of un-
fair impact, the Secretary of State shall actively
pursue negotiations with the governments of the
appropriate foreign countries for the purpose of
eliminating the unfair impact. No later than the
commencement of such negotiations, the Sec-
retary of State shall notify the Congress in writ-
ing that the Secretary of State has begun such
negotiations and why it is important that export
controls on the items involved be maintained to
avoid a significant risk to the foreign policy,
nonproliferation, or national security interests of
the United States.
(ii) Whenever the Secretary of State has
reason to believe that items subject to export con-
trols by the United States may become available
in fact from other countries to controlled coun-
161
tries and that such availability can be prevented
or eliminated by means of negotiations with such
other countries, the Secretary of State shall
promptly initiate negotiations with the govern-
ments of such other countries to prevent such for-
eign availability.
(6) SHARING OF INFORMATION.—Each depart-
ment or agency of the United States, including any
intelligence agency, and all contractors with any such
department or agency, shall, upon the request of the
Secretary and consistent with the protection of intel-
ligence sources and methods, furnish information to
the Department of Commerce concerning foreign
availability of items subject to export controls under
this title. Consistent with the protection of intelligence
sources and methods and classification restrictions,
each such department or agency shall allow the De-
partment of Commerce access to such information
from a laboratory or other facility within such de-
partment or agency.
(7) CONGRESSIONAL NOTIFICATION AND REPORT-
ING REQUIREMENTS.—The Secretary shall each year
notify the Congress of all petitions for relief under
this subsection and the status of all such petitions.
162
(l) EXCEPTIONS FOR MEDICAL AND HUMANITARIAN
PURPOSES.—This title does not authorize controls on—
(1) medicine or medical supplies; or
(2) donations of items that are intended to meet
basic human needs, including food, educational mate-
rials, seeds, hand tools, water resources equipment,
clothing and shelter materials, and basic household
supplies.
(m) SANCTITY
OF EXISTING CONTRACTS
AND LI-
CENSES.—
(1) IN GENERAL.—In the case of a control im-
posed under section 106 on the export of any items,
the President may not prohibit the export of those
items—
(A) in performance of a contract, agree-
ment, or other contractual commitment entered
into before the date on which the control is ini-
tially imposed, or the date on which the Presi-
dent reports to the Congress the President’s in-
tention to impose the control, whichever date oc-
curs first, or
(B) under a license or other authorization
issued under this title before the date on which
the control is initially imposed, or the date on
which the President reports to the Congress the
163
President’s intention to impose the control,
whichever date occurs first.
(2) EXCEPTION.—The prohibition in paragraph
(1) shall not apply if the President determines and
certifies to the Congress that—
(A) a breach of the peace poses a serious
and direct threat to the strategic interest of the
United States;
(B) the prohibition of exports under each
such contract, agreement, commitment, license,
or authorization will be directly instrumental in
remedying the situation posing the direct threat;
and
(C) the export controls will continue only so
long as the direct threat persists.
The authority of the President to make determina-
tions under this paragraph may not be delegated.
(n) PUBLICATION OF DECISIONS AND ACTIONS OF THE
SECRETARY.—
(1) IN GENERAL.—The Secretary shall publish in
the Federal Register, to the greatest extent practicable,
actions, procedures, and decisions of the Secretary
under this title, taking into account restrictions on
disclosure of classified or confidential information.
The Secretary shall publish in the Federal Register
164
calculations by the Secretary of commonly-used con-
trol index parameters for commodities and tech-
nologies, including all officially accepted composite
theoretical performance calculations for computers
and microprocessors, except in a case in which a pri-
vate party requested the calculation and asked that it
not be published.
(2) NOTICE OF REVISIONS.—Whenever the Sec-
retary makes any revision in the control index with
respect to any commodity or technology, or with re-
spect to any country or destination affected by con-
trols imposed under section 105 or section 106, the
Secretary shall publish in the Federal Register a no-
tice of such revision and shall specify in such notice
under which authority the revision is being made.
(o) NOTIFICATION OF THE PUBLIC; CONSULTATION
WITH INDUSTRY; RECORDKEEPING.—
(1) NOTIFICATION
OF
THE
PUBLIC.—The Sec-
retary shall keep the public fully apprised of changes
in export control policy and procedures instituted
under this title with a view to encouraging trade.
(2) CONSULTATION WITH INDUSTRY.—The Sec-
retary shall meet regularly with export advisory com-
mittees appointed under section 104(f) in order to ob-
tain their views on United States export control pol-
165
icy and the foreign availability of commodities and
technology.
(p) EXPORT CONTROL DUTIES.—
(1) ASSIGNMENT.—The Secretary shall ensure
that at least one full-time representative of the De-
partment of Commerce stationed in the People’s Re-
public of China has duties related to the implementa-
tion of export controls under this title. These duties
shall 
include 
giving 
priority 
to 
conducting
postshipment verifications and prelicense checks, and
to using other means to ensure that United States ex-
ports from the United States of dual use items are not
diverted to unauthorized end uses or end users.
(2) OTHER
RESOURCES.—The Secretary shall
ensure that appropriate resources are made available
and, if necessary, new procedures established to assist
the representative or representatives of the Depart-
ment of Commerce referred to in paragraph (1) in
carrying out their duties and to ensure that sensitive
items are not diverted to inappropriate end uses or
end users in the People’s Republic of China. Efforts
to carry out this paragraph shall include appropriate
coordination with United States officials in Hong
Kong to ensure that sensitive items exported to Hong
Kong are protected from diversion.
166
(3) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated such sums as
may be necessary to carry out paragraph (1).
(q) AUTHORIZATION FOR TECHNICAL DATA.—A li-
cense authorizing the export of any commodities or tech-
nology under this title shall also authorize the export of op-
eration technical data related to such commodities or tech-
nology, if the technical level of the data does not exceed the
minimum necessary to install, repair, maintain, inspect,
operate, or use the commodities or technology.
(r) LICENSES FOR SPARE PARTS NOT REQUIRED.—
A license shall not be required under this title for replace-
ment parts which are exported to replace on a one-for-one
basis parts that were in a commodity that was lawfully
exported from the United States, unless the President deter-
mines that such a license should be required for such parts.
SEC. 115. ANNUAL REPORT.
(a) CONTENTS.—Not later than March 1 of each year,
the Secretary shall submit to the Congress a report on the
administration of this title during the preceding calendar
year. All agencies shall cooperate fully with the Secretary
in providing information for such report. Such report shall
include detailed information on the following:
(1) The implementation of the policies set forth
in section 103, including delegations of authority by
167
the President under section 104(d), consultations with
the export advisory committees established under sec-
tion 104(f), and any changes in the exercise of the au-
thorities contained in sections 105(a), 106(a), 107(a),
and 108(a).
(2) With respect to multilateral export controls
imposed or maintained under section 105, the follow-
ing:
(A) Adjustments to multilateral export con-
trols.
(B) The exercise of the Secretary’s authority
under section 105(e).
(3) Determinations made under section 114(k),
the criteria used to make such determinations, the re-
moval of any export controls under such section, and
any evidence demonstrating a need to maintain ex-
port controls notwithstanding determinations made
under paragraph (2) of section 114(k).
(4) Short supply controls and monitoring under
section 107.
(5) Organizational and procedural changes un-
dertaken in furtherance of the policies set forth in this
title, including changes to increase the efficiency of
the export licensing process and to fulfill the require-
ments of section 109, including an accounting of ap-
168
peals received, and actions taken pursuant thereto,
under section 109(g).
(6) Violations under section 110 and enforcement
activities under section 113.
(7) The issuance of regulations under this title.
(8) The results, in as much detail as may be in-
cluded consistent with the strategic and political in-
terests of the United States and the need to maintain
the confidentiality of proprietary information, of the
reviews of the multilateral control list, and any revi-
sions to the list resulting from such reviews, required
by section 105.
(b) COMPARATIVE REPORT ON EXPORT CONTROL SYS-
TEMS AMONG COUNTRIES.—The Secretary shall include, in
each annual report under subsection (a), a description of
significant differences between the export control laws and
regulations of the United States and its major trade com-
petitors, particularly as these differences relate to the imple-
mentation of multilateral export control regimes. The Sec-
retary shall include—
(1) an assessment of the impact of these dif-
ferences on important interests of the United States;
(2) a description of the extent to which the execu-
tive branch intends to address these differences; and
169
(3) a listing of unilateral controls and embargoes
imposed by the United States that are in effect, with
a quantification of their economic impact, including
the effect of such controls and embargoes on employ-
ment in the United States.
(c) GAO REPORT.—The Comptroller General shall
prepare and submit to the Congress, not later than 120 days
after each report under subsection (b) is submitted, an anal-
ysis of such report.
SEC. 116. DEFINITIONS.
As used in this title:
(1) AFFILIATE.—The term ‘‘affiliate’’ includes
both governmental entities and commercial entities
that are controlled in fact by a country.
(2) ADHERENT.—An ‘‘adherent’’ to a multilat-
eral regime is a country that is a member of that re-
gime or that, pursuant to an international under-
standing to which the United States is a party, con-
trols exports in accordance with the criteria and
standards of that regime.
(3) AUSTRALIA
GROUP.—The term ‘‘Australia
Group’’ means the multilateral regime in which the
United States participates that seeks to prevent the
proliferation of chemical and biological weapons.
170
(4) 
CHEMICAL
WEAPONS
CONVENTION.—The
term ‘‘Chemical Weapons Convention’’ refers to the
Convention on the Prohibition of the Development,
Production, Stockpiling and Use of Chemical Weap-
ons and on Their Destruction of 1992.
(5) COMMODITY.—The term ‘‘commodity’’ means
any article, natural or manmade substance, material,
software, source code, supply, or manufactured prod-
uct, including inspection and test equipment, and ex-
cluding technical data.
(6) CONTROL OR CONTROLLED.—The terms ‘‘con-
trol’’ and ‘‘controlled’’ refer to a licensing require-
ment, a written reexport authorization requirement,
or a prohibition on an export.
(7) CONTROL INDEX.—The term ‘‘control index’’
means the United States Commodity Control Index
established under section 104(b)(1).
(8) CONTROLLED
COUNTRY.—The term ‘‘con-
trolled country’’ means a country to which exports
are controlled under section 105 or 106.
(9) EXPORT.—(A) The term ‘‘export’’—
(i) means—
(I) an actual shipment, transfer, or
transmission of items out of the United
States; and
171
(II) a transfer to any person of items
either within the United States or outside of
the United States with the knowledge or in-
tent that the items will be shipped, trans-
ferred, or transmitted outside the United
States; and
(ii) includes the term ‘‘reexport’’.
(B) The Secretary may further define the term
export by regulation to include, among other concepts,
that—
(i) a transfer of items in the United States
to an embassy or affiliate of a country is an ex-
port to the country,
(ii) disclosure of technology to a foreign per-
son is deemed to be an export to the country of
which he or she is a national, and
(iii) transfer of effective control from one
country to another over a satellite above the
earth is an export from one country to another.
(C) As used in this paragraph, the term ‘‘foreign
person’’ means—
(i) an individual who is not a United
States citizen or an alien lawfully admitted for
permanent residence to the United States;
172
(ii) any corporation, partnership, business
association, society, trust, organization, or other
nongovernmental entity created or organized
under the laws of a foreign country or that has
its principal place of business outside the United
States; and
(iii) any governmental entity of a foreign
country that is operating as a business enter-
prise.
(10) EXPORT CONTROL REGIME, MULTILATERAL
EXPORT CONTROL REGIME, MULTILATERAL REGIME,
AND
REGIME.—The terms ‘‘export control regime’’,
‘‘multilateral export control regime’’, ‘‘multilateral re-
gime’’, and ‘‘regime’’ each means an international
agreement or an arrangement among two or more
countries, including the United States, a purpose of
which is to coordinate national export control policies
of participating countries regarding certain items.
Such terms include the Australia Group, the
Wassenaar Arrangement, the MTCR, and the Nuclear
Supplies Group.
(11) FOREIGN AVAILABILITY, AVAILABLE IN FACT
TO
CONTROLLED
COUNTRIES.—The terms ‘‘foreign
availability’’ and ‘‘available in fact to controlled
173
countries’’ each include production or availability of
any item from any country—
(A) in which the item is not restricted for
export to any controlled country; or
(B) in which such export restrictions are
determined by the Secretary to be ineffective.
For purposes of subparagraph (B), the mere inclusion
of items on a list of items subject to export controls
imposed pursuant to a multilateral export control re-
gime shall not alone constitute credible evidence that
the government of a country provides an effective
means of controlling the export of such items to con-
trolled countries.
(12) ITEM.—The term ‘‘item’’ means any com-
modity, technology, or other information.
(13) LICENSING REQUIREMENT.—The term ‘‘li-
censing requirement’’ includes any restriction or con-
dition, including recordkeeping and reporting, im-
posed by the Secretary under this title in licensing
the export of a commodity, technology, or other infor-
mation.
(14) MEMBER
OF
AN
EXPORT
CONTROL
RE-
GIME.—A ‘‘member’’ of an export control regime,
multilateral export control regime, multilateral re-
174
gime, or regime is a country that participates in that
regime.
(15) MISSILE.—The term ‘‘missile’’ means any
missile system or component listed in category I of
the MTCR Annex, and any other unmanned delivery
system or component of similar capability, as well as
the specially designed production facilities for these
systems.
(16) MISSILE
TECHNOLOGY
CONTROL
REGIME;
MTCR.—The term ‘‘Missile Technology Control Re-
gime’’ or ‘‘MTCR’’ means the policy statement and
guidelines between the United States, the United
Kingdom, the Federal Republic of Germany, France,
Italy, Canada, and Japan, announced on April 16,
1987, to restrict sensitive missile-related transfers
based on the MTCR Annex, and any amendments
thereto.
(17) MTCR ANNEX.—The term ‘‘MTCR Annex’’
means the Equipment and Technology Annex of the
MTCR, and any amendments thereto.
(18) NUCLEAR
EXPLOSIVE
DEVICE.—The term
‘‘nuclear explosive device’’ means any device, whether
assembled or disassembled, that is designed to produce
an instantaneous release of an amount of nuclear en-
ergy from special nuclear material that is greater
175
than the amount of energy that would be released
from the detonation of one pound of trinitrotoluene
(TNT).
(19) NUCLEAR
SUPPLIERS’ GROUP.—The term
‘‘Nuclear Suppliers’ Group’’ means the multilateral
arrangement in which the United States participates
whose purpose is to restrict the transfers of items with
relevance to the nuclear fuel cycle or nuclear explosive
applications.
(20) PERSON.—Except as provided in section
111, the term ‘‘person’’ includes—
(A) the singular and the plural and any in-
dividual, partnership, corporation, business asso-
ciation, society, trust, organization, or any other
group created or organized under the laws of a
country; and
(B) any government, or any governmental
body, corporation, trust, agency, department, or
group, operating as a business enterprise.
(21) REEXPORT.—The term ‘‘reexport’’ means
the shipment, transfer, transshipment, or diversion of
items from one foreign country to another.
(22) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Commerce or any successor officer
176
performing functions of the Secretary of Commerce
under this title.
(23) 
TECHNOLOGY.—The 
term 
‘‘technology’’
means specific information that is necessary for the
development, production, or use of a commodity, in-
cluding source code, and that takes the form of tech-
nical data or technical assistance.
(24) UNILATERAL
AND
UNILATERALLY.—The
terms ‘‘unilateral’’ and ‘‘unilaterally’’, with respect to
an export control on a commodity or technology, refer
to a control that is not similarly imposed in similar
circumstances by any country other than the United
States, and that materially restricts the export of the
commodity or technology.
(25) 
UNITED
STATES.—The 
term 
‘‘United
States’’ means the States of the United States, the
District of Columbia, and any commonwealth, terri-
tory, dependency, or possession of the United States,
and includes the Outer Continental Shelf, as defined
in section 2(a) of the Outer Continental Shelf Lands
Act (43 U.S.C. 1331(a)).
(26) UNITED STATES PERSON.—The term ‘‘Unit-
ed States person’’ means any United States citizen,
resident, or national (other than an individual resi-
dent outside the United States and employed by other
177
than a United States person), any domestic concern
(including any permanent domestic establishment of
any foreign concern) and any foreign subsidiary or
affiliate (including any permanent foreign establish-
ment) of any domestic concern which is controlled in
fact by such domestic concern, as determined under
regulations of the President.
(27) WASSENAAR
ARRANGEMENT.—The term
‘‘Wassenaar Arrangement’’ means the multilateral re-
gime in which the United States participates that
seeks to promote transparency and responsibility with
regard to the transfers of conventional armaments
and sensitive dual-use goods and technologies.
(28) WEAPON OF MASS DESTRUCTION.—The term
‘‘weapon of mass destruction’’ means any chemical,
biological, or nuclear weapon, including a nuclear ex-
plosive device.
SEC. 117. EFFECTS ON OTHER ACTS.
(a) COMMODITY JURISDICTION.—
(1) COORDINATION OF CONTROLS.—The author-
ity granted under this title and under section 38 of
the Arms Export Control Act (22 U.S.C. 2778) shall
be exercised in such a manner as to achieve effective
coordination between the licensing systems under this
178
title and such section 38 and to share information re-
garding the trustworthiness of parties.
(2) ELIMINATION OF OVERLAPPING CONTROLS.—
Notwithstanding any other provision of law, no item
may be included on both the control index and the
United States Munitions List after the date of the en-
actment of this Act.
(3) COMMODITY JURISDICTION DISPUTE RESOLU-
TION.—The President shall establish procedures for
the resolution of commodity jurisdiction disputes
among departments and agencies of the United
States. Such disputes shall normally be resolved with-
in 60 days, and the procedures shall allow disputes
to be referred to the President normally within 90
days. These procedures shall also—
(A) require the Secretary and the Secretary
of State to refer matters to each other in accord-
ance with their respective jurisdictions;
(B) require transparency, among the Sec-
retary, the Secretary of State, and the Secretary
of Defense, in commodity jurisdiction cases and
commodity classification requests and deter-
minations;
179
(C) provide for interagency meetings and
consultations to permit the free exchange of views
regarding significant jurisdictional issues; and
(D) provide deadlines for action and stand-
ards for decision, and ensure that disputes that
cannot be resolved may be referred to the Presi-
dent by the Secretary of State, the Secretary of
Defense, or the Secretary.
(b) IN GENERAL.—Except as otherwise provided in
this title, nothing in this title shall be construed to modify,
repeal, supersede, or otherwise affect the provisions of any
other laws authorizing control over exports of any commod-
ities, technology, or other information.
(c) LICENSING PROCESS.—The provisions of section
109 shall supersede the procedures published pursuant to
section 309(c) of the Nuclear Non-Proliferation Act of 1978
(42 U.S.C. 2139a(c)) to the extent such procedures are in-
consistent with the provisions of section 109.
(d) AMENDMENTS
TO
THE INTERNATIONAL EMER-
GENCY ECONOMIC POWERS ACT.—
(1) EXERCISE OF PRESIDENTIAL AUTHORITY.—
(A) Section 204(b) of the International Emergency
Economic Powers Act (50 U.S.C. 1703(b)) is amend-
ed—
180
(i) by striking ‘‘and’’ at the end of para-
graph (4);
(ii) by striking the period at the end of
paragraph (5) and inserting ‘‘; and’’; and
(iii) by adding at the end the following:
‘‘(6) if the action is being taken unilaterally—
‘‘(A) why the President believes the action is
necessary to meet the unusual and extraordinary
threat referred to in paragraph (2); and
‘‘(B) what steps the President is taking to
gain multilateral support for the action.’’.
(B) Section 204(c) of that Act (50 U.S.C.
1703(c)) is amended—
(i) by striking ‘‘(5)’’ and inserting ‘‘(6)’’;
and
(ii) by striking the period and inserting ‘‘,
and, in the case of controls referred to in para-
graph (6) of subsection (b), the President shall
report to the Congress on the economic losses that
have occurred as a result of the unilateral ac-
tion’’.
(2) CONFIDENTIALITY
OF
INFORMATION.—The
International Emergency Economic Powers Act is
amended—
181
(A) by redesignating section 208 as section
209; and
(B) by inserting after section 207 the fol-
lowing:
‘‘SEC. 208. CONFIDENTIALITY OF INFORMATION.
‘‘(a) EXEMPTIONS FROM DISCLOSURE.—Information
obtained under this title before or after the enactment of
this section may be withheld only to the extent permitted
by statute, except that information submitted, obtained, or
considered in connection with any transaction that would
otherwise be prohibited under this title, including—
‘‘(1) the license or other authorization itself,
‘‘(2) classification requests or other inquiries on
the applicability of export license requirements to a
proposed transaction or series of transactions,
‘‘(3) information or evidence obtained in the
course of any investigation, and
‘‘(4) information obtained or furnished under
this title in connection with international agreements,
treaties, or obligations,
shall be withheld from public disclosure, and shall not be
subject to disclosure under section 552 of title 5, United
States Code, unless the release of such information is deter-
mined by the Secretary of Commerce or the Secretary of
the Treasury to be in the national interest. In the case of
182
information obtained or furnished under this title in con-
nection with international agreements, treaties, or obliga-
tions, such a determination may be made only after con-
sultation with the Secretary of State.
‘‘(b) INFORMATION TO CONGRESS AND GAO.—
‘‘(1) IN GENERAL.—Nothing in this title shall be
construed as authorizing the withholding of informa-
tion from the Congress or from the General Account-
ing Office.
‘‘(2) AVAILABILITY TO THE CONGRESS.—
‘‘(A) IN
GENERAL.—All information ob-
tained at any time under this title regarding the
control of exports, including any report or li-
cense application required under this title, shall
be made available to any committee or sub-
committee of Congress of appropriate jurisdic-
tion upon the request of the chairman or ranking
minority member of such committee or sub-
committee.
‘‘(B) PROHIBITION
ON
FURTHER
DISCLO-
SURE.—No committee, subcommittee, or Member
of Congress shall disclose any information ob-
tained under this title or previous Acts regarding
the control of exports which is submitted on a
confidential basis to the Congress under subpara-
183
graph (A) unless the full committee to which the
information is made available determines that
the withholding of the information is contrary to
the national interest.
‘‘(3) AVAILABILITY TO THE GAO.—
‘‘(A) IN GENERAL.—Notwithstanding para-
graph (1), information referred to in paragraph
(2) shall, consistent with the protection of intel-
ligence, counterintelligence, and law enforcement
sources, methods, and activities, as determined
by the agency that originally obtained the infor-
mation, and consistent with the provisions of
section 716 of title 31, United States Code, be
made available only by the agency, upon request,
to the Comptroller General of the United States
or to any officer or employee of the General Ac-
counting Office authorized by the Comptroller
General to have access to such information.
‘‘(B) PROHIBITION
ON
FURTHER
DISCLO-
SURES.—No officer or employee of the General
Accounting Office shall disclose, except to the
Congress in accordance with this subsection, any
such information which is submitted on a con-
fidential basis and from which any individual
can be identified.
184
‘‘(c) PENALTIES FOR DISCLOSURE OF CONFIDENTIAL
INFORMATION.—Any officer or employee of the United
States, or any department or agency thereof, who publishes,
divulges, discloses, or makes known in any manner or to
any extent not authorized by law any confidential informa-
tion that—
‘‘(1) he or she obtains in the course of his or her
employment or official duties or by reason of any ex-
amination or investigation made by, or report or
record made to or filed with, such department or
agency, or officer or employee thereof, and
‘‘(2) is exempt from disclosure under this section,
shall be fined not more than $10,000, or imprisoned not
more than 1 year, or both, shall be removed from office or
employment, and shall be subject to a civil penalty of not
more than $1,000.’’.
(3) PENALTIES.—Section 206 of the Inter-
national Emergency Economic Powers Act (50 U.S.C.
1705) is amended—
(A) in subsection (a) by inserting ‘‘, or at-
tempts to violate,’’ after ‘‘violates’’; and
(B) in subsection (b) by inserting ‘‘, or will-
fully attempts to violate,’’ after ‘‘violates’’.