E2u—U.S. Exports Subject to Controls; Export Licensing Procedures for Exporters

Subscriber price: $220.00, Non-subscriber price: $300.00
Estimated total study time: 17 hours 42 minutes

This course, designed for exporters, covers:

Reasons for control and types of controls applicable to certain U.S. exports;
How to determine, by commodity, value, destination and transaction parties, if a particular export will be subject to one or more controls, and if so, which U.S. agency administers such controls;
How to apply for the most frequently required types of export licenses, namely those issued by the Department of Commerce, Bureau of Industry and Security (BIS), and by the Department of State, Directorate of Defense Trade Controls (DDTC);
Types of license exceptions for exports which would otherwise require an export license;
Procedures for items subject to export authorization and/or permits from the Department of the Interior, Drug Enforcement Agency (DEA), Bureau of Alcohol, Tobacco and Firearms (BATF), and U.S. Customs;
Additional issues when a freight forwarder or other agent undertakes to apply for an export license on behalf of another party, especially a foreign party.

This course is designed for exporters, freight forwarders and others who are:

Responsible for determining export requirements for particular shipments;
Responsible for export compliance and/or training on behalf of their organization;
Interested in learning about the U.S. export control policies and procedures.

Note: Though not a strict prerequisite, we strongly recommend taking E1u—Introduction to U.S. Export Regulation as preparation for this course.

Individuals wishing to learn more basics about U.S. Export processes should also consider completing the following GISTnet courses:

Recognizing Shipments Subject to U.S. Export Controls

This first lesson covers:

Course objectives,
Challenges faced by those who must make determinations as to U.S. export requirements (i.e., the exporter, perhaps with the help of an agent or forwarder),
Where to get assistance with export questions and determinations,
The overall framework of U.S. export policy as set forth in the DOC General Prohibitions, and
Certain categories of "exports" which are not controlled.

(Estimated study time: 1 hour 22 minutes)

Introduction
About our Coverage of U.S. Export Controls
Recognizing Export Shipments that Are or May Be Controlled
- Introduction
  - Will a Particular Export Require an Export License or Other Pre-authorization?
  - Challenges Faced by Agents Acting as Exporters on Behalf of Others
  - Challenges Faced by Freight Forwarders
- General Prohibitions
- Non-Controlled Exports
  - U.S. Territories and Possessions
  - Canada
  - Publicly Available Information/Technology

Applicability and Communication of Export Controls; Controls Based on Destination Country

This lesson begins coverage of U.S. export restrictions based on requirements and restrictions as communicated in the EAR. After a general introduction, we proceed to controls based on destination country.

(Estimated study time: 49 minutes)

Introduction
General—Applicability of U.S. Export Controls
- Objectives of This Segment
General—How Export Requirements Are Communicated
DOC (BIS) Export Controls Based on Destination Country
- General
- Unilateral Restrictions
- U.N. & Multilateral Based Restrictions
- Shipments in Support of Pre-Embargo Exports

Commodity Based Restrictions - National Security, Foreign Policy and Short Supply Controls

In this lesson we address commodities subject to export controls for various reasons:

National security controls
Foreign policy controls
Weapons non-proliferation (CB and CW)
Anti-terrorism (AT)
Crime control (CC)
Prevention of exports of certain goods to countries the U.S. wishes to sanction; and,
A few commodities of which the U.S. has a supply shortage ("short supply controls").

(Estimated study time: 46 minutes)

Introduction
Product-Based National Security Controls
- Defense Articles (U.S. Munitions List)
- Sophisticated Technology
- Technical Data
Unilateral Restrictions
Short Supply Controls

Commodity Based Restrictions - Controlled Substances (DEA Regulated Exports)

This lesson is an overview of requirements and is designed as information and operational support for freight forwarders, customs brokers and other transportation intermediaries who may, in their course of business, facilitate the import or export of controlled substances and/or DEA-regulated items on behalf of clients.

(Estimated study time: 51 minutes)

Introduction
Controlled Substances—General
U.S. Drug Enforcement Administration (DEA)
Export Clearance of Goods Subject to a DEA Export Permit

Commodity Based Restrictions - BATF Regulation of Alcohol and Tobacco

In this lesson, we address how the U.S. Bureau of Alcohol, Tobacco and Firearms (BATF) regulatory requirements extend to the import and export of such products and generally involve the registration and/or permitting of parties who engage in such commerce. We also discuss the collection and/or remission of domestic taxes on such articles, various record keeping and reporting regimes and, for some items, such as firearms and explosives, the actual control of such commerce through the permitting of specific transactions.

(Estimated study time: 51 minutes)

Introduction
General
Taxable Alcohol (Alcohol, Alcoholic Beverages, Perfume)
- Taxation is Primary BATF Mission
- Importers, Exporters and Others Require BATF Permit
- Freight Forwarders and Customs Brokers Do Not Require a BATF Permit
- BATF Export Requirements/Procedures for Taxable Alcohol
- State Agency Regulation of Alcohol; California Example
Tobacco and Related Products

Commodity Based Restrictions - Additional Commodities & Regulating Agencies

In this lesson we discuss a number of other USG agencies with jurisdiction over certain exports in addition to the BIS. The DOC, DDTC (DOS) and DEA controls we cover are typically based on the exported commodity. However, these agencies may exercise export controls by commodity, quantity, destination country, transaction party, or a combination of these particulars. Each agency may also mandate certain procedures for the exports under their regulation.

(Estimated study time: 1 hour 10 minutes)

Introduction
Additional U.S. Agencies with Export Jurisdictions—General
Endangered Species (U.S. Department of the Interior)
Precursor Chemicals (BIS vs. DEA)
Drugs and Biogenics
- Regulated or Prohibited Exports under the Controlled Substance Act (DEA)
- Controlled Exports, Reason for Control AT, CB or CW (BIS)
- Exceptions for Medical Items to Country-Based Sanctions (OFAC)
- Certificates Needed for Importation into Destination Country (FDA)
Used Propelled Vehicles (U.S. CBP)
Other Commodities/Items
Enforcement of Other USG Agency Export Requirements

Commodity Based Restrictions - BATF Regulation of Firearms & Explosives

In this lesson we address the U.S. Bureau of Alcohol, Tobacco and Firearms (BATF) responsibilities with respect to firearms and ammunition, including military weapons and equipment of all types as they appear in the U.S. Munitions Import List with a primary focus on access to, use of and federal taxation of firearms within the United States.

(Estimated study time: 1 hour 13 minutes)

Introduction
Firearms & Ammunition
- BATF Firearms Responsibilities
- BATF vs. Directorate of Defense Trade Controls (DDTC) Export Controls
- BATF Business License Requirement
- NFA Firearms: Transfer Tax & Export Permits
- Transportation Carrier Requirements
Explosives
- Scope of BATF Requirements with Respect to "Explosives"
- BATF License Required for Shipment and/or Export of "Explosives"
- Overlapping U.S. Export Regulations
- Export/Shipping Concerns

Export Restrictions Based on Transaction Parties and Circumstances

In this lesson we present an overview of the U.S. restrictions based on transaction parties and/or shipment circumstances, including restrictive trade practices and boycotts.

(Estimated study time: 1 hour 40 minutes)

Introduction
Restrictions Based on Transaction Parties/Circumstances
- General—Party-based Restrictions Applicable to All U.S. Exports
- Restrictive Trade Practices
- Denied/Restricted Parties
  - Why Denied/Restricted Parties?
  - DOC-BIS Denied Persons List
    - Overview of the Denied Persons List
    - Pervasive Effect of a Denial Order
    - Accessing BIS Denied Persons List and Details of the Violation
  - BIS "Entity List"
  - BIS Unverified Parties List
  - Debarment by U.S. Directorate of Defense Trade Controls
  - OFAC Administered Export Sanctions
    - General-OFAC Targets Financial Assets
    - OFAC Operates Multiple Sanction Programs
    - Country-Based OFAC Sanctions
    - OFAC Sanctions Against Individuals and Organizations
    - How a U.S. Exporter and Forwarders Can Avoid Violating Sanctions
  - Export Compliance Screening for Denied/Sanctioned Parties
    - The Challenge—Too Many Places and Lists to Check
    - Help from the U.S. International Trade Administration (ITA)
    - Commercial Export Screening Services
- Other Illegal Exports Based on Criminal Acts

Determining Specific Export Requirements; Is a License Required?

This lesson offers an excellent step-by-step explanation of the overall EAR process, which should be understood before attempting to make any particular shipment determination.

(Estimated study time: 1 hour 33 minutes)

Introduction
Determining Specific Export Requirements; Export Licenses
- General—Using the Export Administration Regulations ("EAR")
  - Process Steps
- The Ten General Prohibitions
  - Decision Tree (EAR Chart)
Using the Commerce Control List (CCL)
- Product-Based Export Controls are Found in the Commerce Control List
- Key EAR Sections for Use in the CCL
- Locating an Applicable ECCN
  - Determining the CCL Category
  - Determining the Group within the Category
- ECCN Numbers Following the Group Letter
- Reason(s) for Control
- Numbers Following Third Digit
- Understanding Information under Each ECCN (Training Aid)
- Step-by-Step ECCN Determination—An Example
- Using the Commerce Country Chart
- CCL Not Always Conclusive
- CCL Interpretation Requires Technical Expertise

Export License Exceptions

Our coverage in this lesson focuses on the more commonly used license exceptions which may be used as export authorization in lieu of an export license which might otherwise be required under the EAR. We also cover certain license exceptions which apply to shipments of items subject to short supply controls (SS).

(Estimated study time: 1 hour 28 minutes)

Introduction
EAR License Exceptions & Symbols
- What are License Exceptions?
- Frequently Used License Exceptions
  - GBS
  - LVS
  - Additional Frequently Used License Exceptions
- Specialized License Exceptions
- Effect of Wassenaar Arrangement
- Restrictions on Use of All License Exceptions
No License Required (NLR)

Export License Responsibilities and Concerns

The purpose of this lesson is to address the typical responsibilities for determining export requirements and applying for a needed export license or export permit. Although specific procedures, forms, support documents, license or permit disposition and record keeping requirements vary by the USG agency that regulates a particular type of export, responsibilities of the transaction parties and compliance issues are similar. Our coverage is not intended to be a thorough step-by-step instruction on exact procedures and we do not address all possible issues or concerns.

(Estimated study time: 49 minutes)

Introduction
Export License Responsibilities and Concerns
- General—Our Focus Herein
- Moving from Theory to Practice
- Applicant Responsibility and Qualifications
  - Responsibility for Determining and Fulfilling U.S. Export Requirements
  - Applicant Required to Be Subject to Jurisdiction of United States
    - Application by U.S. Exporter
    - Application by U.S. Agent of Foreign Consignee
    - Application for Re-export of Licensable Items
  - License Application by an Agent/Freight Forwarder
  - Agencies that Require Export License Applicants to be Pre-Registered or Licensed
- Support Documents

Export Licensing Requirements --- BIS, U.S. Dept. of Commerce

In this lesson, we address how the shipper/exporter must determine what sort of export authorization is required before applying for any such and to which agency the exporter must apply.

(Estimated study time: 39 minutes)

Introduction
Export Licensing Requirements—Commerce Department/BIS
- Preliminary Requirements, Procedures
  - Determining Requirements and Licensing Agency
  - License Applications Must Be for Actual Transactions
  - Obtaining Assistance and Advice from the BIS
    - General
    - Classification Requests
    - Advisory Opinions and EAR Applicability Determinations
  - Dual Use Items

DOC/BIS Export License Application - Support Documents

In this section of our library, we address specific license application requirements, how the application process proceeds with the gathering of necessary information and support documents, and then the application itself.

(Estimated study time: 49 minutes)

Introduction
General
Support Documents—DOC Export License Application
- Support Document Requirement
- Types of Support Documents
- Support Document Steps
- Import Certificate—Delivery Verification Procedure
  - Import Certificate (End-User Certificate)
  - Delivery Verification Procedure

DOC (BIS) License Application Procedures, Record Keeping and Reexports

In this lesson, we discuss ways to prepare and apply for a DOC export license or an advisory Commerce Control List (CCL) (Export Control Classification Numbers (ECCNs)) classification).

(Estimated study time: 1 hour 8 minutes)

Introduction
DOC License Application Preparation and Submission
- Internet Application Procedure (SNAP-R)
- Paper Form Application Procedure (BIS-748P)
BIS License Application Processing
- General—Processing Time & BIS Steps
- Other Agency Input to DOC License Decisions
- Application Tracking and Status
- Emergency Procedures
- DOC License Validity Period
DOC Export License Record-Keeping Requirements
- Requirements
- Accounting for Shipments Against an Export License
DOC License Disposition
Re-Exports—A Challenging Responsibility
- EAR/Other Regulatory Requirements
- Fulfilling Responsibility as a U.S. Exporter

Export Licensing of Defense Articles (U.S. State Department)

In this portion of our library, we discuss the reason for control of defense articles and dual-use items, as well as the procedures for determining their export license requirements and the procedures involved in their licensing by the DOS, U.S. Directorate of Defense Trade Controls (DDTC).

(Estimated study time: 1 hour 27 minutes)

Introduction
General
Defense Articles (U.S. Munitions List)
Export Licensing of Defense Articles
- Export Control Reform Initiative (ECRI)
- Determining ITAR/USML License Requirement
  - The U.S. Munitions List
  - When in Doubt about Whether an Item is a Defense Article; Dual-Use Items
  - When in Doubt about Whether a DOS License will be Granted—Advisory Opinion
- Exporter Registration
- Export Control Reform Initiative (ECRI)
- Determining ITAR/USML License Requirement
  - The U.S. Munitions List
  - When in Doubt about Whether an Item is a Defense Article; Dual-Use Items
  - When in Doubt about Whether a DOS License will be Granted—Advisory Opinion
- Exporter Registration
License Application Must be Based on a Real Transaction
Transaction Information

Export Licensing of Defense Articles (cont.)

In this final lesson, we discuss various supporting documents required for submission with a DOS export license application, the required nomination of the export license's designated forwarder(s) and DOS license application processing and issuance.

(Estimated study time: 1 hour 7 minutes)

Introduction
Support Documents—DOS Export License Application
- Purchase Order
- Non-Transfer and Use Certificate
- Import Certificate/Delivery Verification Procedure
Designated Forwarder
DOS License Application Processing and Issuance
- General
- Application Forms
- Electronic Licensing System—D-Trade
- Application Processing Time
Export Clearance & Disposition of DOS License
- Automated DOS License Authentication via AES
- Reporting Exports under a DOS License Covering Technical Data, Manufacturing and Technical Assistance
DOS License Disposition & Record Keeping