[Federal Register Volume 64, Number 229 (Tuesday, November 30, 1999)]
[Proposed Rules]
[Pages 66821-66822]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-31061]
[[Page 66821]]
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DEPARTMENT OF COMMERCE
Bureau of Export Administration
15 CFR Ch. VII
[Docket No. 991122312-9312-01]
RIN 0694-XX12
Effects of Foreign Policy-Based Export Controls
AGENCY: Bureau of Export Administration, Commerce.
ACTION: Request for comments on foreign policy-based export controls.
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SUMMARY: The Bureau of Export Administration (BXA) is reviewing the
foreign policy-based export controls in the Export Administration
Regulations to determine whether they should be modified, rescinded or
extended. To help make these determinations, BXA is seeking comments on
how existing foreign policy-based export controls have affected
exporters and the general public.
Under the provisions of section 6 of the Export Administration Act
of 1979, as amended (EAA), foreign policy controls expire one year
after imposition unless they are extended. The EAA requires a report to
Congress whenever foreign policy-based export controls are extended.
Although the Export Administration Act (EAA) expired on August 20,
1994, the President invoked the International Emergency Economic Powers
Act and continued in effect the EAR, and, to the extent permitted by
law, the provisions of the EAA in Executive Order 12924 of August 19,
1994, as extended by the President's notices of August 15, 1995 (60 FR
42767), August 14, 1996 (61 FR 42527), August 13, 1997 (62 FR 43629),
August 13, 1998 (63 FR 44121), and August 10, 1999 (64 FR 44101, August
13, 1999). The Department of Commerce, insofar as appropriate, is
following the provisions of section 6 in reviewing foreign policy-based
export controls and requesting comments on such controls. Foreign
Policy controls need to be extended in January 2000.
DATES: Comments must be received by December 30, 1999.
ADDRESSES: Written comments (three copies) should be sent to Frank
Ruggiero, Regulatory Policy Division (Room 2096), Office of Exporter
Services, Bureau of Export Administration, Department of Commerce, P.O.
Box 273, Washington, DC 20044.
FOR FURTHER INFORMATION CONTACT: James Lewis, Director, Office of
Strategic Trade and Foreign Policy Controls, Bureau of Export
Administration, Telephone: (202) 482-4196. Copies of the current Annual
Foreign Policy Report to the Congress are available at our website:
www.bxa.doc.gov and copies may also be requested by calling the Office
of Strategic Trade.
SUPPLEMENTARY INFORMATION: The current foreign policy controls
maintained by the Bureau of Export Administration (BXA) are set forth
in the Export Administration Regulations (EAR), parts 742 (CCL Based
Controls), 744 (End-User and End-Use Based Controls) and 746 (Embargoes
and Special Country Controls). These controls apply to: high
performance computers (Sec. 742.12); significant items (SI): hot
section technology for the development, production, or overhaul of
commercial aircraft engines, components, and systems (Sec. 742.14);
encryption items (Sec. 742.15 and Sec. 744.9); crime control and
detection commodities (Sec. 742.7); specially designed implements of
torture (Sec. 742.11); regional stability commodities and equipment
(Sec. 742.6); equipment and related technical data used in the design,
development, production, or use of missiles (Sec. 742.5 and
Sec. 744.3); chemical precursors and biological agents, associated
equipment, technical data, and software related to the production of
chemical and biological agents (Sec. 742.2 and Sec. 744.4); activities
of U.S. persons in transactions related to missile technology or
chemical or biological weapons proliferation in named countries
(Sec. 744.6); nuclear propulsion (Sec. 744.5); aircraft and vessels
(Sec. 744.7); embargoed countries (part 746); countries designated as
supporters of acts of international terrorism (Secs. 742.8, 742.9,
742.10, 746.2, 746.3, 746.5, and 746.7); and, Libya (Secs. 744.8 and
746.4). Attention is also given in this context to the controls on
nuclear-related commodities and technology (Sec. 744.2 and Sec. 744.2),
which are, in part, implemented under section 309(c) of the Nuclear Non
Proliferation Act.
In January 1999, the Secretary of Commerce, on the recommendation
of the Secretary of State, extended for one year all foreign policy
controls then in effect.
To assure maximum public participation in the review process,
comments are solicited on the extension or revision of the existing
foreign policy controls for another year. Among the criteria considered
in determining whether to continue or revise U.S. foreign policy
controls are the following:
1. The likelihood that such controls will achieve the intended
foreign policy purpose, in light of other factors, including the
availability from other countries of the goods or technology proposed
for such controls;
2. Whether the foreign policy purpose of such controls can be
achieved through negotiations or other alternative means;
3. The compatibility of the controls with the foreign policy
objectives of the United States and with overall United States policy
toward the country subject to the controls;
4. The reaction of other countries to the extension of such
controls by the United States is not likely to render the controls
ineffective in achieving the intended foreign policy purpose or be
counterproductive to United States foreign policy interests;
5. The comparative benefits to U.S. foreign policy objectives
versus the effect of the controls on the export performance of the
United States, the competitive position of the United States in the
international economy, the international reputation of the United
States as a supplier of goods and technology; and
6. The ability of the United States to enforce the controls
effectively.
BXA is particularly interested in the experience of individual
exporters in complying with the proliferation controls, with emphasis
on economic impact and specific instances of business lost to foreign
competitors. BXA is also interested in industry information relating to
the following:
1. Information on the effect of foreign policy controls on sales of
U.S. products to third countries (i.e., those countries not targeted by
sanctions), including the views of foreign purchasers or prospective
customers regarding U.S. foreign policy controls.
2. Information on controls maintained by U.S. trade partners (i.e.,
to what extent do they have similar controls on goods and technology on
a worldwide basis or to specific destinations)?
3. Information on licensing policies or practices by our foreign
trade partners which are similar to U.S. foreign policy controls,
including license review criteria, use of conditions, requirements for
pre and post shipment verifications (preferably supported by examples
of approvals, denials and foreign regulations).
4. Suggestions for revisions to foreign policy controls that would
(if there are any differences) bring them more into line with
multilateral practice.
5. Comments or suggestions as to actions that would make
multilateral controls more effective.
[[Page 66822]]
6. Information that illustrates the effect of foreign policy
controls on the trade or acquisitions by intended targets of the
controls.
7. Data or other information as to the effect of foreign policy
controls on overall trade, either for individual firms or for
individual industrial sectors.
8. Suggestions as to how to measure the effect of foreign policy
controls on trade.
9. Information on the use of foreign policy controls on targeted
countries, entities, or individuals.
BXA is also interested in comments relating generally to the
extension or revision of existing foreign policy controls.
Parties submitting comments are asked to be as specific as
possible. All comments received before the close of the comment period
will be considered by BXA in reviewing the controls and developing the
report to Congress.
All information relating to the notice will be a matter of public
record and will be available for public inspection and copying. In the
interest of accuracy and completeness, BXA requires written comments.
Oral comments must be followed by written memoranda, which will also be
a matter of public record and will be available for public review and
copying.
The public record concerning these comments will be maintained in
the Freedom of Information Records Inspection Facility, Room 6883, U.S.
Department of Commerce, 14th Street and Pennsylvania Avenue, NW,
Washington, DC 20230. Records in this facility, including written
public comments and memoranda summarizing the substance of oral
communications, may be inspected and copied in accordance with
regulations published in Part 4 of Title 15 of the Code of Federal
Regulations. Information about inspection and copying of records at
this facility may be obtained from the BXA Freedom of Information
Officer at the above address or by calling (202) 482-0500.
Dated: November 23, 1999.
R. Roger Majak,
Assistant Secretary for Export Administration.
[FR Doc. 99-31061 Filed 11-29-99; 8:45 am]
BILLING CODE 3510-33-P
