Military electronics, technology moved from USML to CCL 

June 30: The Bureau of Industry and Security (BIS) of the U.S. Commerce Department today released for publication in the Federal Register a final rule that amends the Export Administration Regulations by adding to the Commerce Control List (CCL) military electronics, technology, and software for certain wing-folding systems; certain superconducting and cryogenic equipment; and related items that the president determines no longer warrant control under the United States Munitions List (USML).

According to a related BIS release, today’s rules are intended to streamline U.S. export controls on certain military electronics by shifting less sensitive equipment, parts, and components from Category XI of the USML to the Commerce Control List (CCL), maintained by the Commerce Department. These changes are part of the administration’s export control reform initiative and reduce incentives for purchasers to deliberately avoid U.S.-origin parts and components.

Read text of the 125-page BIS final rule [PDF 373 KB] of which certain provisions are effective December 30, 2014, but the rules for certain software and technology items for wing-folding systems being effective July 1, 2014.

The BIS rule is being published simultaneously with a State Department, Directorate of Defense Trade Controls (DDTC) rule that amends the list of articles controlled by USML Category XI to control only those articles that the president has determined warrant control in that category of the USML.

Read text of the 42-page DDTC final rule [PDF 217 KB]

For more information, contact a professional with KPMG’s Trade & Customs practice:

Douglas Zuvich

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Andrew Siciliano

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John L. McLoughlin

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Todd R. Smith

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Luis A. Abad

(212) 954-3094

Amie Ahanchian

(202) 533-3247

Or your local KPMG Trade & Customs professional.

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