“The Department of State is amending the International Traffic in Arms Regulations (ITAR) to update policies regarding replacement parts/components and incorporated articles …. The Department’s review of current ITAR treatment of replacement parts/components led to the proposed change to streamline the flow of parts and components and to eliminate redundancy in licensing. The current rule regarding parts and components imposes burdensome requirements for additional licenses for licensed end-users and end-uses for systems and components already vetted in earlier licenses. The proposed rule adds a new section (§123.28) that facilitates the expeditious repair of U.S. supplied end-items abroad, enabling more timely response to coalition forces, as well as other allies and friends, by eliminating the requirement for a license for parts and components for systems approved in a previous license …. The Department’s review of current ITAR treatment of incorporated articles led to the proposed change with a view to limit ITAR coverage to where diversion of the embedded defense article is a realistic and practical concern. To this end, the proposed new §126.19 sets out conditions under which a DDTC license is not required for the export or re-export of defense articles incorporated into an end-item that is ‘subject to the Export Administration Regulations (EAR).’ Those conditions include where the end-item would be ‘rendered inoperable’ by the removal of the defense article, where no technical data for development or production are transferred with the defense article, and where the incorporation of the defense article does not provide (or is not related to) a military application …. The proposed new §126.19 would not go into effect until the Department of Commerce amends its regulations such that the ITAR and CCL provide complimentary coverage of the articles in question.”

76 FR 13928-31
Published 03-15-2011