The principal statutory authority for the Export Administration Regulations (EAR) is the Export Administration Act of 1979 (currently in effect under the International Emergency Economic Powers Act and awaiting the forthcoming ratification of the EAA of 2001).
It is administered by the Department of Commerce Bureau of Industry and Security (BIS), formerly the Bureau of Export Administration (BXA).
The EAA is "An Act to provide authority to regulate exports, to improve the efficiency of export regulation ..." Section 2 of the Act contains a number of policy statements:
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- Exports of goods or technology without regard to whether they make a significant contribution to the military potential of individual countries or combinations of countries may adversely affect the national security of the United States.
- It is important that the administration of export controls imposed for national security purposes give special emphasis to the need to control exports of technology (and goods which contribute significantly to the transfer of such technology) which could make a significant contribution to the military potential of any country or combination of countries which would be detrimental to the national security of the United States.
- It is important that the administration of export controls imposed for foreign policy purposes give special emphasis to the need to control exports of goods and substances hazardous to the public health and the environment which are banned or severely restricted for use in the United States, and which, if exported,
could affect the international reputation of the United States as a responsible trading partner.
- Availability to controlled countries of goods and technology from foreign sources is a fundamental concern of the United States and should be eliminated through negotiations and other appropriate means whenever possible.
In addition to the EAA, export controls are put into effect through regulations, sanctions and embargoes, Executive Orders, and Federal Register notices. These regulations and orders spell out your rights and your responsibilities as an exporter. In short, what you must do,
what you must not do, and what will happen if you fail to comply.
Classification of exports under Schedule B
To comply with the EAR concerning exports in general, companies need to accurately determine the classification of their exports under U.S. Schedule B for completion of mandatory Electronic Export Information (EEI) electronically filed through the government Automated Export System (AES).
Classification of exports under the Commerce Control List (CCL)
To comply with EAR export controls and license requirements, exemptions and exceptions for military goods, companies also need to determine the classification of the same goods under the BIS Commerce Control List (CCL) to arrive at the appropriate export control classification number (ECCN). With the anticipated transfer of items from the USML to the CCL, ensuring "higher fences" than other ECCNs, some companies face significant re-classification exercises.
Dual-Use Goods and the BIS entities list
When goods are controlled under the Commerce Control List (CCL) companies need to be concerned with ensuring their goods are not being sourced from, sold to, or do not come into contact with parties on numerous government watch lists including the BIS denied persons, unverified and entity lists. These lists consist of foreign persons (businesses, research institutions, government and private organizations,
and individuals) subject to specific license requirements for the export, re-export and/or transfer (in-country) of CCL-controlled goods.
How does Visual Compliance Help?
Visual Compliance solutions integrate EAR regulatory processes into your current business processes to help you achieve compliance and stay up-to-date with changes.
- Classifying exports under Schedule B and the CCL
- Screening suppliers against government watch lists
- Managing knowledge, documentation and access across business units or geographical locations
- Screening products and destinations for restricted, sanctioned or embargoed countries
- Managing licenses, exceptions and exemptions under BIS and other government agencies
- Restricting access to controlled goods
- Targeted communication, education and resolution resources
For more Information
For more information, call toll-free 1-877-328-7866 and talk to one of our ITAR compliance consultants.
They'll help you analyze your requirements, evaluate your options, and provide focused demonstrations.
Or send an email.
Visual Compliance provides robust, cost-effective automation solutions and regulatory content to manage all of aspects of foreign trade compliance. With over 30 years of experience helping companies easily gain control and visibility over their compliance issues and processes,
our solutions are relied on by more than 4,000 companies at home, and abroad.
