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The U.S. Export Administration Act (EAA) is the statutory authority for the Export Administration Regulations (EAR). EAR of the Department of Commerce covers dual use equipment, materials, and other technologies with both commercial and military application, or that are controlled for other reasons of national policy. These controlled items are found on the U.S. Munitions List published by the U.S. Government. Depending on the technology’s nature, a license from the U.S. Departments of State, Commerce or treasure may be required before such activities as physically transporting a controlled instrument outside of the United States can be granted. Additional activities that require such license includes: sharing technical data or technology about a controlled item with a non-U.S. person, electronically submitting controlled technical data or technology outside the U.S. via email or uploading software code onto a public website, training non-U.S. persons on controlled items or technology, and activity in a sanctioned country, such as Cuba, Syria, Sudan (North), North Korea, and Iran. Export regulations apply whether or not the research is funded by a federal or non-federal grant, contract, or other agreement, and whether or not the EAR or ITAR is cited in the award document.

EAA specifically provides legal authority to the President to control U.S. exports for reasons of national security, foreign policy, and short supply. The Bureau of Industry Security (BIS) administers EAR’s, which is located in the Department of Commerce. Exports are restricted by item, country, and recipient entity. The EAA, which was written and amended during the Cold War, focuses on the regulation of exports of civilian goods and technology that have military applications. Export controls under the EAA are based on strategic relationships, threats to U.S. national security, international business practices, and commercial technologies. The EAA and the EAR govern the export of dual-use goods and technology (items and technical information that have both commercial and military purposes). The AECA and ITAR control the export of products and technology that are primarily constructed for military, intelligence or defense-oriented purposes.

Although the EAA expired in August 2001, the President through Executive Order 1322 of August 17, 2001 has maintained EAR’s validity under the International Emergency Economic Powers Act. BIS continues to carry out provisions of the EAA as appropriate to the extent permitted by law, pursuant to Executive Order 13222. The Administration has stated since the beginning of the Export Control Reform Initiative that the reforms are consistent with U.S. obligations to the multilateral export control regimes. Accordingly, the Administration will, in this and subsequent proposed rules, exercise its national discretion to implement, clarify, and to the extent feasible align its controls with those regimes. This proposed rule would align controls on the items that it adds to the CCL by placing specialized equipment for military training’ or for simulating military scenarios, simulators specially designed for training in the use of any firearm or weapon into the new 600 series on the Wassenaar Arrangement Munitions List.

Congress has consistently found that the ability of U.S. citizens to engage in international commerce is a fundamental concern of U.S. policy. As such it is the policy of the United States to use export controls only after full consideration of the impact on the economy of the United States and only to the extent necessary to restrict the export of goods and technology which would make a significant contribution to the military potential of any other country or combination of countries which would prove detrimental to the national security of the United States. Although Congress had declared that exports contribute to the national well-being of the U.S., some exports such as firearms might be detrimental to national security by contributing to the military potential of unfriendly countries. Hence export controls are imposed to restrict such exports, but only to the extent necessary to prevent drain of scarce materials, to discourage restrictions imposed by foreign countries, or to encourage other countries to act against terrorism. United States v. Gregg, 829 F.2d 1430, 1437 (8th Cir. 1987).

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