15 CFR Part 774 - THE COMMERCE CONTROL LIST

The Bureau of Industry and Security (BIS) is amending the microprocessor military end-use and end-user control in the Export Administration Regulations by expanding the scope of microprocessors subject to the restriction to harmonize with technological advances to microprocessor chips and expand the scope to include related software and technology for the development and production of these chips. In addition, this rule adds a prohibition on the use of license exceptions (including License Exception ENC) and otherwise expands license requirements for exports, reexports, or transfers (in-country) of microprocessors subject to the military end-use and end-user restriction. This expansion is consistent with the foreign policy objectives of the United States of preventing U.S. exports that might contribute to destabilizing military capabilities against the United States and its citizens. The foreign policy report explaining the expansion was sent to Congress on December 1, 2014. This rule also expands the scope of controls to cover in-country transfers, in order to control in-country transfers to prohibited military end users or end uses. BIS is also making editorial and format revisions to this section to improve clarity.

This final rule makes clarifications and corrections to an interim final rule that was published on May 13, 2014. The May 13 rule added controls to the Export Administration Regulations (EAR) for spacecraft and related items that the President has determined no longer warrant control under United States Munitions List (USML) Category XV—spacecraft and related items. New Export Control Classification Numbers (ECCNs) 9A515, 9B515, 9D515, and 9E515 created by the May 13 rule and existing ECCNs on the Commerce Control List (CCL) will control such items. The May 13 rule also revised various sections of the EAR to provide the proper level of control for the new ECCNs. The vast majority of the changes included in the May 13 rule have been implemented as published in the interim final rule, so those change are not republished in this final rule. A full description of those changes can be found in the Background section and the regulatory text of the May 13 rule. The changes included in this final rule are limited to corrections and clarifications to what was included in the interim final rule. These corrections and clarifications were also informed by comments received in response to the May 13 rule that included a request for comments.

In this rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) to impose foreign policy controls on read-out integrated circuits and related “software” and “technology,” radar for helicopter autonomous landing systems, seismic intrusion detection systems and related “software” and “technology”, and “technology” “required” for the “development” or “production” of specified infrared up-conversion devices. The read-out integrated circuits and related “technology” are controlled under new Export Control Classification Numbers (ECCNs) on the Commerce Control List. An existing ECCN has been amended to control the related “software” for those items. New paragraphs have been added to certain existing ECCNs to control radar for helicopter autonomous landing systems, seismic intrusion detection systems, and the “technology,” as mentioned, for specified infrared up-conversion devices. Specified existing “software” and “technology” ECCNs have been amended to apply to helicopter autonomous landing systems and seismic intrusion detection systems. The items are controlled for regional stability reasons Column 1 (RS Column 1) and Column 2 (RS Column 2), and antiterrorism reasons Column 1 (AT Column 1). The Departments of Commerce, State and Defense have determined that imposition of these license requirements protects U.S. national security and foreign policy interests. Specifically, those agencies have determined that the items described in this rule have civilian applications but also warrant immediate controls under the EAR because of their potential military applications.

The Bureau of Industry and Security (BIS) published a final rule in the Federal Register on Thursday, August 7, 2014 (79 FR 46316), that amended the Export Administration Regulations (EAR) to implement the understandings reached at the 2005, 2012, and 2013 Nuclear Suppliers Group (NSG) Plenary meetings. That final rule also amended the EAR to implement a decision adopted under the NSG intersessional silent approval procedures, in December 2009, and to reflect the status of Croatia, Estonia, Iceland, Lithuania, Malta, Mexico, and Serbia as participating countries in the NSG. In that final rule, the amendatory instruction for the EAR supplement that lists “Country Groups” contained an error with respect to Mexico. In addition, the amendments to Export Control Classification Number (ECCN) 6A203 in theAugust 7, 2014, final rule inadvertently omitted the controls that apply to certain radiation-hardened TV cameras and lenses therefor. This document amends the EAR to correct these errors. Finally, the contact information in the preamble of the August 7, 2014, NSG Plenary rule contained an incorrect telephone number and the saving clause in the preamble omitted specific instructions concerning certain items newly controlled under ECCN 3A225. This document amends the preamble of the August 7, 2014, NSG Plenary rule to correct these errors.

This rule updates the Code of Federal Regulations (CFR) legal authority paragraphs in the Export Administration Regulations (EAR) to cite the most recent Presidential notice extending an emergency declared pursuant to the International Emergency Economic Powers Act. This is a procedural rule that only updates authority paragraphs of the EAR. It does not alter any right, obligation or prohibition that applies to any person under the EAR.

The Bureau of Industry and Security (BIS) is publishing this final rule to amend the Export Administration Regulations (EAR) to implement the understandings reached at the 2005 Nuclear Suppliers Group (NSG) Plenary meeting held in Oslo, Norway; the 2012 NSG Plenary meeting held in Seattle, Washington; and the 2013 NSG Plenary meeting held in Prague, Czech Republic. This rule also implements a decision adopted under the NSG intersessional silent approval procedures in December 2009. Accordingly, this rule amends certain entries in Category 1 (“Special Materials and Related Equipment”), Category 2 (“Materials Processing”), Category 3 (“Electronics”), and Category 6 (“Sensors and Lasers”) of the Commerce Control List (CCL) to reflect changes in the Annex to the NSG “Guidelines for the Transfer of Nuclear-Related Dual-Use Equipment, Materials, Software and Related Technology” (the NSG Annex) based on the understandings reached at the 2005, 2012, and 2013 NSG Plenary meetings and the aforementioned 2009 NSG intersessional decision. Consistent with the 2005 NSG understandings, this rule also amends the export licensing policies in the EAR that apply to items that require a license for nuclear nonproliferation (NP) reasons, or as a result of certain nuclear end-users or end-uses, by adding an additional factor that must be considered by BIS when it reviews license applications involving such items, end-users, and/or end-uses. The 2012 and 2013 NSG Plenary understandings are a continuation of the fundamental review of the NSG control lists that was launched at the 2010 NSG Plenary meeting in Christchurch, New Zealand. Finally, this rule amends the EAR to reflect the status of Croatia, Estonia, Iceland, Lithuania, Malta, Mexico, and Serbia as participating countries in the NSG, first, by adding these countries to the list of participating countries in the definition of “Nuclear Suppliers Group” and to Country Group A:4 (Nuclear Suppliers Group countries) and, second, by removing the license requirements for exports and reexports to these countries of certain items controlled for nuclear nonproliferation (NP) reasons.

In this rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) by adding one person to the Entity List. The person who is added to the Entity List is located in Russia and has been determined by the U.S. Government to be acting contrary to the national security or foreign policy interests of the United States. This person will be listed on the Entity List under the destination of Russia. This rule also imposes controls on certain items for use in Russia's energy sector intended for energy exploration or production from deepwater (greater than 500 feet), Arctic offshore, or shale projects.

This final rule adds to the Commerce Control List military electronics, technology and software for certain wing folding systems, certain superconducting and cryogenic equipment, and related items the President determines no longer warrant control under the United States Munitions List (USML). This also amends ECCNs 7A006 and 7A106 to apply the “missile technology” reason for control only to items in those ECCNs on the Missile Technology Control Regime (MTCR) Annex. This rule is being published simultaneously with a Department of State rule that amends the list of articles controlled by USML Category XI to control only those articles the President has determined warrant control in that category of the USML. Both rules are part of the President's Export Control Reform Initiative. The revisions in this rule also are part of the Department of Commerce's retrospective plan under EO 13563 completed in August 2011.

The Bureau of Industry and Security (BIS) publishes this final rule to amend two supplements in the Export Administration Regulations (EAR), which contain lists of controlled crude oil and petroleum products (produced or derived from the Naval Petroleum Reserve (NPR)) and unprocessed western red cedar, respectively. These lists provide relevant Census Bureau Schedule B commodity numbers and associated commodity descriptions of these short supply commodities. Many of the Schedule B commodity numbers and associated commodity descriptions listed prior to publication of this rule in the two supplements are now obsolete. This rule updates the lists in the two supplements to remove obsolete descriptions and Schedule B commodity numbers, and to add relevant descriptions and Schedule B commodity numbers for these short supply commodities. This rule also clarifies the description of petroleum products in other sections of the EAR to ensure those references are current. This rule will not alter or otherwise affect BIS's current enforcement practice with respect to the EAR's controls on unprocessed western red cedar or crude oil and petroleum products.

This final rule makes corrections and clarifications to the Export Administration Regulations (EAR) for six final rules published in 2013 and early 2014. This final rule also makes other needed technical corrections and clarifications to the EAR identified by BIS. In addition, this final rule makes two conforming changes to the EAR as a result of a final rule published by the Department of State on April 17, 2014.

The Bureau of Industry and Security (BIS) is amending the Export Administration Regulations (EAR) to reflect changes to the Missile Technology Control Regime (MTCR) Annex that were agreed to by MTCR member countries at the October 2013 Plenary in Rome, Italy, and at the 2013 Technical Experts Meeting in Bonn, Germany. This final rule revises eight Export Control Classification Numbers (ECCNs), adds one new ECCN and lastly revises two defined terms (the definition of “payload” and “repeatability”) to implement the changes that were agreed to at the meetings.

This interim final rule adds controls to the Export Administration Regulations (EAR) for spacecraft and related items that the President has determined no longer warrant control under United States Munitions List (USML) Category XV—spacecraft and related items. New Export Control Classification Numbers (ECCNs) 9A515, 9B515, 9D515, and 9E515 created by this rule and existing ECCNs on the Commerce Control List (CCL) will control such items. This rule also revises various sections of the EAR to provide the proper level of control for the new ECCNs. This rule is being published in conjunction with the publication of a Department of State, Directorate of Defense Trade Controls rule revising USML Category XV to control those articles the President has determined warrant control on the USML. Both rules are part of the President's Export Control Reform Initiative. The revisions in this final rule are also part of Commerce's retrospective regulatory review plan under Executive Order (EO) 13563 (see the SUPPLEMENTARY INFORMATION for availability of the plan). This rule is being published as an interim final rule because the Departments of Commerce and State acknowledge that additional internal analysis of and industry input regarding the control threshold for various aspects of the amendments is warranted, particularly with respect to civil and commercial remote sensing satellites and civil and commercial space flight-related items. The Departments did not want to wait until this review is done to publish this rule in final form because of the substantial national and economic security benefits that will flow from the various amendments to the controls on satellites and related items.

The Bureau of Industry and Security (BIS) publishes this final rule to amend the Export Administration Regulations (EAR) to implement the understandings reached at the June 2013 plenary meeting of the Australia Group (AG) and the December 2012 AG intersessional decisions. Specifically, this rule amends the Commerce Control List (CCL) entry in the EAR that controls equipment capable of handling biological materials to reflect the 2013 AG Plenary understanding that clarifies controls on fermenters, and certain components thereof, in the AG “Control List of Dual-Use Biological Equipment and Related Technology and Software.” This rule also amends the CCL entry that controls certain animal pathogens to reflect a recommendation made at the 2013 AG Plenary meeting, which was later adopted pursuant to the AG silent approval procedure, to revise the AG “List of Animal Pathogens for Export Control” to clarify the controls on the Lyssavirus genus. In addition, this rule amends the EAR to reflect the addition of Mexico as a participating country in the AG following the 2013 AG Plenary meeting. The recommendations agreed to through the silent approval procedure included changes to the controls on Clostridium perfringens in the AG “List of Biological Agents for Export Control” and changes to the description of “genetic elements,” which are included in three of the AG common control lists. This rule also amends the CCL entry that controls chemical manufacturing facilities and equipment to reflect the AG intersessional decision to clarify the controls that apply to certain agitators for use in reaction vessels or reactors described in the CCL entry and to impellers, blades or shafts designed for such agitators. This rule also adds a License Exception STA paragraph to the CCL entry that controls human and zoonotic pathogens and toxins to clarify the scope of eligible items. Finally, this rule amends the EAR to reflect the addition of Somalia and Syria as States Parties to the Chemical Weapons Convention (CWC).

The Bureau of Industry and Security (BIS) is amending the microprocessor military end-use and end-user control in the Export Administration Regulations by expanding the scope of microprocessors subject to the restriction to harmonize with technological advances to microprocessor chips and expand the scope to include related software and technology for the development and production of these chips. In addition, this rule adds a prohibition on the use of license exceptions (including License Exception ENC) and otherwise expands license requirements for exports, reexports, or transfers (in-country) of microprocessors subject to the military end-use and end-user restriction. This expansion is consistent with the foreign policy objectives of the United States of preventing U.S. exports that might contribute to destabilizing military capabilities against the United States and its citizens. The foreign policy report explaining the expansion was sent to Congress on December 1, 2014. This rule also expands the scope of controls to cover in-country transfers, in order to control in-country transfers to prohibited military end users or end uses. BIS is also making editorial and format revisions to this section to improve clarity.

This final rule makes clarifications and corrections to an interim final rule that was published on May 13, 2014. The May 13 rule added controls to the Export Administration Regulations (EAR) for spacecraft and related items that the President has determined no longer warrant control under United States Munitions List (USML) Category XV—spacecraft and related items. New Export Control Classification Numbers (ECCNs) 9A515, 9B515, 9D515, and 9E515 created by the May 13 rule and existing ECCNs on the Commerce Control List (CCL) will control such items. The May 13 rule also revised various sections of the EAR to provide the proper level of control for the new ECCNs. The vast majority of the changes included in the May 13 rule have been implemented as published in the interim final rule, so those change are not republished in this final rule. A full description of those changes can be found in the Background section and the regulatory text of the May 13 rule. The changes included in this final rule are limited to corrections and clarifications to what was included in the interim final rule. These corrections and clarifications were also informed by comments received in response to the May 13 rule that included a request for comments.

In this rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) to impose foreign policy controls on read-out integrated circuits and related “software” and “technology,” radar for helicopter autonomous landing systems, seismic intrusion detection systems and related “software” and “technology”, and “technology” “required” for the “development” or “production” of specified infrared up-conversion devices. The read-out integrated circuits and related “technology” are controlled under new Export Control Classification Numbers (ECCNs) on the Commerce Control List. An existing ECCN has been amended to control the related “software” for those items. New paragraphs have been added to certain existing ECCNs to control radar for helicopter autonomous landing systems, seismic intrusion detection systems, and the “technology,” as mentioned, for specified infrared up-conversion devices. Specified existing “software” and “technology” ECCNs have been amended to apply to helicopter autonomous landing systems and seismic intrusion detection systems. The items are controlled for regional stability reasons Column 1 (RS Column 1) and Column 2 (RS Column 2), and antiterrorism reasons Column 1 (AT Column 1). The Departments of Commerce, State and Defense have determined that imposition of these license requirements protects U.S. national security and foreign policy interests. Specifically, those agencies have determined that the items described in this rule have civilian applications but also warrant immediate controls under the EAR because of their potential military applications.

In this rule, the Bureau of Industry and Security (BIS) proposes to continue updating export controls under the Export Administration Regulations (EAR) consistent with the Retrospective Regulatory Review Initiative that directs BIS and other Federal Government Agencies to streamline regulations and reduce unnecessary regulatory burdens on the public. Specifically, in this rule, BIS proposes to amend the EAR by removing the Special Comprehensive License authorization. This rule also proposes conforming amendments.

The Bureau of Industry and Security (BIS) published a final rule in the Federal Register on Thursday, August 7, 2014 (79 FR 46316), that amended the Export Administration Regulations (EAR) to implement the understandings reached at the 2005, 2012, and 2013 Nuclear Suppliers Group (NSG) Plenary meetings. That final rule also amended the EAR to implement a decision adopted under the NSG intersessional silent approval procedures, in December 2009, and to reflect the status of Croatia, Estonia, Iceland, Lithuania, Malta, Mexico, and Serbia as participating countries in the NSG. In that final rule, the amendatory instruction for the EAR supplement that lists “Country Groups” contained an error with respect to Mexico. In addition, the amendments to Export Control Classification Number (ECCN) 6A203 in theAugust 7, 2014, final rule inadvertently omitted the controls that apply to certain radiation-hardened TV cameras and lenses therefor. This document amends the EAR to correct these errors. Finally, the contact information in the preamble of the August 7, 2014, NSG Plenary rule contained an incorrect telephone number and the saving clause in the preamble omitted specific instructions concerning certain items newly controlled under ECCN 3A225. This document amends the preamble of the August 7, 2014, NSG Plenary rule to correct these errors.

This rule updates the Code of Federal Regulations (CFR) legal authority paragraphs in the Export Administration Regulations (EAR) to cite the most recent Presidential notice extending an emergency declared pursuant to the International Emergency Economic Powers Act. This is a procedural rule that only updates authority paragraphs of the EAR. It does not alter any right, obligation or prohibition that applies to any person under the EAR.

The Bureau of Industry and Security (BIS) is publishing this final rule to amend the Export Administration Regulations (EAR) to implement the understandings reached at the 2005 Nuclear Suppliers Group (NSG) Plenary meeting held in Oslo, Norway; the 2012 NSG Plenary meeting held in Seattle, Washington; and the 2013 NSG Plenary meeting held in Prague, Czech Republic. This rule also implements a decision adopted under the NSG intersessional silent approval procedures in December 2009. Accordingly, this rule amends certain entries in Category 1 (“Special Materials and Related Equipment”), Category 2 (“Materials Processing”), Category 3 (“Electronics”), and Category 6 (“Sensors and Lasers”) of the Commerce Control List (CCL) to reflect changes in the Annex to the NSG “Guidelines for the Transfer of Nuclear-Related Dual-Use Equipment, Materials, Software and Related Technology” (the NSG Annex) based on the understandings reached at the 2005, 2012, and 2013 NSG Plenary meetings and the aforementioned 2009 NSG intersessional decision. Consistent with the 2005 NSG understandings, this rule also amends the export licensing policies in the EAR that apply to items that require a license for nuclear nonproliferation (NP) reasons, or as a result of certain nuclear end-users or end-uses, by adding an additional factor that must be considered by BIS when it reviews license applications involving such items, end-users, and/or end-uses. The 2012 and 2013 NSG Plenary understandings are a continuation of the fundamental review of the NSG control lists that was launched at the 2010 NSG Plenary meeting in Christchurch, New Zealand. Finally, this rule amends the EAR to reflect the status of Croatia, Estonia, Iceland, Lithuania, Malta, Mexico, and Serbia as participating countries in the NSG, first, by adding these countries to the list of participating countries in the definition of “Nuclear Suppliers Group” and to Country Group A:4 (Nuclear Suppliers Group countries) and, second, by removing the license requirements for exports and reexports to these countries of certain items controlled for nuclear nonproliferation (NP) reasons.

In this rule, the Bureau of Industry and Security (BIS) amends the Export Administration Regulations (EAR) by adding one person to the Entity List. The person who is added to the Entity List is located in Russia and has been determined by the U.S. Government to be acting contrary to the national security or foreign policy interests of the United States. This person will be listed on the Entity List under the destination of Russia. This rule also imposes controls on certain items for use in Russia's energy sector intended for energy exploration or production from deepwater (greater than 500 feet), Arctic offshore, or shale projects.

The Bureau of Industry and Security (BIS) publishes this final rule to amend two supplements in the Export Administration Regulations (EAR), which contain lists of controlled crude oil and petroleum products (produced or derived from the Naval Petroleum Reserve (NPR)) and unprocessed western red cedar, respectively. These lists provide relevant Census Bureau Schedule B commodity numbers and associated commodity descriptions of these short supply commodities. Many of the Schedule B commodity numbers and associated commodity descriptions listed prior to publication of this rule in the two supplements are now obsolete. This rule updates the lists in the two supplements to remove obsolete descriptions and Schedule B commodity numbers, and to add relevant descriptions and Schedule B commodity numbers for these short supply commodities. This rule also clarifies the description of petroleum products in other sections of the EAR to ensure those references are current. This rule will not alter or otherwise affect BIS's current enforcement practice with respect to the EAR's controls on unprocessed western red cedar or crude oil and petroleum products.

This final rule makes corrections and clarifications to the Export Administration Regulations (EAR) for six final rules published in 2013 and early 2014. This final rule also makes other needed technical corrections and clarifications to the EAR identified by BIS. In addition, this final rule makes two conforming changes to the EAR as a result of a final rule published by the Department of State on April 17, 2014.

The Bureau of Industry and Security (BIS) is amending the Export Administration Regulations (EAR) to reflect changes to the Missile Technology Control Regime (MTCR) Annex that were agreed to by MTCR member countries at the October 2013 Plenary in Rome, Italy, and at the 2013 Technical Experts Meeting in Bonn, Germany. This final rule revises eight Export Control Classification Numbers (ECCNs), adds one new ECCN and lastly revises two defined terms (the definition of “payload” and “repeatability”) to implement the changes that were agreed to at the meetings.

This interim final rule adds controls to the Export Administration Regulations (EAR) for spacecraft and related items that the President has determined no longer warrant control under United States Munitions List (USML) Category XV—spacecraft and related items. New Export Control Classification Numbers (ECCNs) 9A515, 9B515, 9D515, and 9E515 created by this rule and existing ECCNs on the Commerce Control List (CCL) will control such items. This rule also revises various sections of the EAR to provide the proper level of control for the new ECCNs. This rule is being published in conjunction with the publication of a Department of State, Directorate of Defense Trade Controls rule revising USML Category XV to control those articles the President has determined warrant control on the USML. Both rules are part of the President's Export Control Reform Initiative. The revisions in this final rule are also part of Commerce's retrospective regulatory review plan under Executive Order (EO) 13563 (see the SUPPLEMENTARY INFORMATION for availability of the plan). This rule is being published as an interim final rule because the Departments of Commerce and State acknowledge that additional internal analysis of and industry input regarding the control threshold for various aspects of the amendments is warranted, particularly with respect to civil and commercial remote sensing satellites and civil and commercial space flight-related items. The Departments did not want to wait until this review is done to publish this rule in final form because of the substantial national and economic security benefits that will flow from the various amendments to the controls on satellites and related items.

The Bureau of Industry and Security (BIS) publishes this final rule to amend the Export Administration Regulations (EAR) to implement the understandings reached at the June 2013 plenary meeting of the Australia Group (AG) and the December 2012 AG intersessional decisions. Specifically, this rule amends the Commerce Control List (CCL) entry in the EAR that controls equipment capable of handling biological materials to reflect the 2013 AG Plenary understanding that clarifies controls on fermenters, and certain components thereof, in the AG “Control List of Dual-Use Biological Equipment and Related Technology and Software.” This rule also amends the CCL entry that controls certain animal pathogens to reflect a recommendation made at the 2013 AG Plenary meeting, which was later adopted pursuant to the AG silent approval procedure, to revise the AG “List of Animal Pathogens for Export Control” to clarify the controls on the Lyssavirus genus. In addition, this rule amends the EAR to reflect the addition of Mexico as a participating country in the AG following the 2013 AG Plenary meeting. The recommendations agreed to through the silent approval procedure included changes to the controls on Clostridium perfringens in the AG “List of Biological Agents for Export Control” and changes to the description of “genetic elements,” which are included in three of the AG common control lists. This rule also amends the CCL entry that controls chemical manufacturing facilities and equipment to reflect the AG intersessional decision to clarify the controls that apply to certain agitators for use in reaction vessels or reactors described in the CCL entry and to impellers, blades or shafts designed for such agitators. This rule also adds a License Exception STA paragraph to the CCL entry that controls human and zoonotic pathogens and toxins to clarify the scope of eligible items. Finally, this rule amends the EAR to reflect the addition of Somalia and Syria as States Parties to the Chemical Weapons Convention (CWC).