![\"ITAR](\"https:\/\/www.metafab.com\/wp-content\/uploads\/2019\/05\/ITAR-Registration.jpg\" "\\"International")
ITAR Registration – By Aimee Sukol, JD. MA, MS Ed., Meta Fab Outreach Specialist<\/p>\nITAR Registration – By Aimee Sukol, JD. MA, MS Ed., Meta Fab Outreach Specialist<\/p>\n
\u00a0<\/strong><\/p>\n Many businesses don\u2019t begin operations with US Defense applications in mind; however, others find growth opportunities that place them in the defense & international supply chain. Whenever a business engages the international supply chain, it must take into consideration federal rules that regulate trade.\u00a0 To avoid penalties, ITAR registration shows that companies fundamentally understand their product\/service and end-use customer.\u00a0 This simple premise can guide growing manufacturers (or service providers) who pursue opportunities involving defense, exports, imports or related projects. In short, it doesn\u2019t matter if you are a metal fabrication or steel manufacturer<\/a> that produces thousands of parts \u2013 if even only 10 of those items are intended for a military tank, weapon or defense software, you must be ITAR registered.<\/p>\n A customer may want those in its supply chain to complete ITAR registration as a general practice even if the government doesn\u2019t require it. Therefore, smaller companies should conduct a cost\/benefit analysis to determine the relative value of these contracts with the cost of training and ITAR registration. Long term relationships and opportunities present compelling reasons to satisfy a customer\u2019s requirements, but the process is an investment.<\/p>\n In the following, this article will explore basic terminology, provide a summary of how these terms are used, and offer resources for local ITAR training and assistance.<\/p>\n ITAR:<\/strong> International Traffic In Arms Regulation (administered by DDTC) State Department<\/strong> maintains an AECA Debarred List The above prohibit exports to specific countries.\u00a0 You can review the Consolidated Screening List,<\/strong> but it may not reflect the most updated information.\u00a0 Companies are held responsible for obtaining updated information.<\/em><\/p>\n ITAR <\/strong>(International Traffic In Arms Regulation) regulates defense products, technical data, and services. Under federal rule 22 CFR \u00a7122.1, anyone who manufactures, exports, or imports defense products or services is required to register with the Directorate of Defense Trade Controls<\/strong> (DDTC) in the State Department.\u00a0 <\/strong>It doesn\u2019t matter if you don\u2019t export or import, nor does it matter if you only produce one small item that is applied to defense, if your company produces anything (or provides a service, such as freight forwarding) intended for a military purpose, you must register.<\/em><\/p>\n Registration is accomplished by completing a statement of registration (DS-2032). Once registration is complete, the organization will receive a registrant code. Registrations are valid for 12 months from the date of issuance. Registration states that an organization is acknowledging and attesting that it is aware of what ITAR Registration requires of them and they are in compliance with these requirements.<\/p>\n ITAR Registration is administered by the DDTC<\/strong> at the State Department and the most controlled items are SME<\/strong>\u2019s (Significant Military Equipment). As noted below, services (TAA) <\/strong>can be regulated by ITAR so if your business provides technical assistance or teaches others to repair an SME<\/strong>, then you must be ITAR registered.\u00a0 Arrangements that call for a foreign company to manufacture an SME also require an MLA<\/strong> (Manufacturing License Agreement).<\/p>\n There are 21 categories covered on the USML<\/strong> (US Munitions List), which include, but not limited to companies that produce components, parts, software, or services used in defense applications. Examples include:<\/p>\n ITAR <\/strong>is more stringent than EAR <\/strong>because ITAR<\/strong> covers articles that have DIRECT defense-related applications. \u00a0EAR <\/strong>refers to other items that may not be on the USML<\/strong> but CAN be applied to civilian or military use, also known as \u201cdual-use<\/strong>\u201d.\u00a0 As noted, ITAR <\/strong>is administered by the DDTC<\/strong> and EAR<\/strong> is administered by the BIS<\/strong> at the DoC.\u00a0 <\/strong>The CCL<\/strong> specifically covers (for example) chemical & biological weapons, missile technology or crime control products.\u00a0 The level of control depends on where the product is exported, destination party, end-use and the Export Control Classification Number (ECCN<\/strong>). 600 and 500 Series<\/strong> items fall under EAR,<\/strong> and while more strictly controlled on the CCL<\/strong>, these items will not be found on the USML<\/strong>.<\/p>\n Note:<\/em> There is no such thing as \u201cITAR certification\u201d.\u00a0 Companies SHOULD obtain ITAR training to better understand and articulate rules and responsibilities to employees through the assistance of an attorney or consultant, but ITAR certification doesn\u2019t exist.\u00a0 ITAR is a matter of registration.<\/p>\n In Conclusion, ITAR Registration itself may not be as complicated as understanding whether a company must register. Following registration, a company must track products, customers, uses, destinations, and revenue derived from contracts covered by ITAR Registration and EAR rules. Consequently, a cost-benefit analysis of contracts that require ITAR Registration is necessary.<\/p>\n Consequently, companies that are ready to register under ITAR should seek assistance to understand the process, costs, and rules.\u00a0 Additionally, local business associations (examples listed above) and economic development agencies can provide affordable training and assistance. Operating a business can be overwhelming enough, so rather than become your own import\/export\/defense expert, seek help from those who specialize in these areas.<\/p>\n Citations:<\/strong><\/p>\n Bureau of Industry & Security: The Balance: GovernmentRelations.com: Directorate of Defense:ITAR Registration – An Introduction:<\/strong><\/h2>\n
Terminology:<\/strong>\u00a0<\/strong><\/h3>\n
\n<\/em>EAR:<\/strong> Export Administration Regulations (administered by BIS at DoC)
\n<\/em>USML<\/strong>: United States Munitions List (ITAR list of \u201cDefense Articles)
\n<\/em>SME<\/strong>: Significant Military Equipment
\nMLA:<\/strong> Manufacturing License Agreement
\nBIS:<\/strong> Bureau of Industry and Security
\nDoC:<\/strong> Department of Commerce
\nCCL:<\/strong> Commerce Control List (EAR list of regulated items, equivalent to USML)
\n<\/em>ECCN:<\/strong> Export Control Classification Number
\nDDTC:<\/strong> Directorate of Defense Trade Controls (ITAR registration & CJ determinations)
\n<\/em>TAA:<\/strong> Technical Assistance Agreement
\nEMS:<\/strong> Export Management System
\nAECA:<\/strong> Arms Export Control Act
\nAECA Debarred List:<\/strong> Maintained by State Department
\nDenied Persons List, Unverified List, and Entity List<\/strong>: Maintained by the DoC
\nSpecifically Designated Nationals List<\/strong>: Maintained by the Treasury Dept
\nMTCR:<\/strong> Military Technology Control Regime
\nDual Use:<\/strong> Items capable for either civilian or military purposes
\nDefense Article:<\/strong> An item (products\/services) regulated by ITAR
\nConsolidated Screening List:<\/strong> Maintained by the US government that includes lists of the regulated bodies below.\u00a0 Note that the Consolidated List may not reflect the most updated information.
\n600 Series and 500 Series<\/strong>: items more<\/em> strictly controlled than others on the CCL, <\/strong>but less<\/em> strictly controlled than items on the USML<\/strong>.
\nCJ:<\/strong> Commodity Jurisdiction
\nDS-4076:<\/strong>\u00a0 The form a company completes and submits to the DDTC to determine which jurisdiction covers its product\/service (ITAR or EAR).
\nDS-2032<\/strong>: ITAR registration form.
\nDSP-5:<\/strong> Export licenses for ITAR controlled articles.
\nEnd-Use Controls:<\/strong> Prohibit exports to certain countries<\/p>\nRegulatory Bodies<\/strong><\/h3>\n
\nCommerce Department<\/strong> maintains a Denied Persons List, Unverified List and Entity List
\nTreasury Department<\/strong> maintains a Specifically Designated Nationals List<\/p>\nExplaining ITAR<\/strong><\/h2>\n
What is a Defense Article?<\/strong><\/h2>\n
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ITAR Registration vs. EAR (Export Administration Regulations)<\/strong><\/h2>\n
Steps for ITAR Registration:<\/strong><\/h3>\n
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Resources:<\/strong><\/h4>\n
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Conclusion:<\/strong><\/h2>\n
\nhttps:\/\/www.bis.doc.gov\/index.php\/compliance-a-training\/current-seminar-schedule<\/a><\/span><\/p>\n
\nhttps:\/\/www.thebalancesmb.com\/are-you-itar-compliant-1953582<\/a><\/u><\/span><\/p>\n
\nhttps:\/\/gov-relations.com\/itar\/<\/a><\/u><\/span><\/p>\n
\nhttps:\/\/www.pmddtc.state.gov\/?id=ddtc_kb_article_page&sys_id=249f7c0adb6cf7007ede365e7c9619fd<\/a><\/span><\/p>\n