U.S. Commercial Service

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U.S. Commercial Service

• Track II ITAR and Export Compliance
• APTAC National Conference
• March 31, 2009
• Reno, NV
• Special Thanks to the Nevada District Export
  Council

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Moderator Bill Cline, USCS Director, Reno,
NV Your Presenters Paul Litton, International
Corporate Compliance Jerry Gamroth, Infrared
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A quick word about theU.S. Commercial
Service--more later--
The U.S. Commercial Service is part of the U.S.
Department of Commerce, an agency of the United
States government.

• Our mission
• To promote the export of goods services from
  the United States, particularly by small- and
  medium-sized businesses
• To represent U.S. business interests
  internationally
• To help U.S. businesses find qualified
  international partners

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Our Global Network

• Trade specialists in over 100 U.S. cities
• 160 offices in US Embassies and Consulates in 75
  countries worldwide
• Sector-specific teams
• Regional teams
• Local advising councils, District Export
  CouncilsDECs

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Goals for Today

• Basic understanding of export compliance
• Overview of the various players involved
• Essential nomenclature
• Basic references/websites for follow-up
• Where to go for help

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Lets Jump Right In !!
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Congratulations!.....

• By accepting this contract, youve just agreed
  to comply with a whole bunch of stuff you have no
  idea what it is, what it means and how it will or
  wont impact your business.
• NO WORRIES!!
• Were here to remove the blue smoke and mirrors.

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Getting Startedhttp//pmddtc.state.gov/documents/
ddtc_getting_started.pdf
Rationale for Regulating Defense Exports The
U.S. Government views the sale, export, and
re-transfer of defense articles and defense
services as an integral part of safeguarding U.S.
national security and furthering U.S. foreign
policy objectives. Authorizations to transfer
defense articles and provide defense services, if
applied judiciously, can help meet the legitimate
needs of friendly countries, deter aggression,
foster regional stability, and promote the
peaceful resolution of disputes. The U.S.,
however, is cognizant of the potentially adverse
consequences of indiscriminate arms transfers
and, therefore, strictly regulates exports and
re-exports of defense items and technologies to
protect its national interests and those
interests in peace and security of the broader
international community.
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Legal Basis22CFR122
122.1 Registration requirements. (a) Any
person who engages in the United States in the
business of either manufacturing or exporting
defense articles or furnishing defense services
is required to register with the Directorate of
Defense Trade Controls. For the purpose of this
subchapter, engaging in the business of
manufacturing or exporting defense articles or
furnishing defense services requires only one
occasion of manufacturing or exporting a defense
article or furnishing a defense service.
Manufacturers who do not engage in exporting must
nevertheless register.
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Whether or not you actually export, ITAR requires
that U.S. personsengaged in the manufacturing
and / or exporting of defense goods and services
MUST register with the DDTC.
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So, how do you that register, that is?

• Whats the process?
• Whats the cost?
• How much time does it takes?
• How long is the registration valid?
• What files and record keeping are required?
• And, if I want to exportwhat do I do next?

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But, More than ITAR . . .

• Are you surprised to hear theres more than the
  State Departments DDTC and ITAR?
• Dual-Use Items are controlled by the US
  Department of Commerces Bureau of Industry and
  Security BIS

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4 things determine if an item is export controlled

• What you sell (EAR, CCL, ECCN, USML)
• Where it is going (Commerce Country Chart)
• Who will receive your item (lists)
• What its end use will be

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How determine which agency controls what?

• This may well be your AHA! moment for today

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Todays Speakers

• Mr. Jerry Gamroth Infrared
• Mr. Paul Litton International Corporate
  Compliance

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What Our Network Can Do for You

• Five Main Areas of Assistance
• Trade Counseling
• Market Research
• Customer Location/Qualification
• Business Programs
• Advocacy and Compliance

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1) Trade Counseling

• Our trade specialists in the U.S. work directly
  with our team of experts overseas in getting you
  all the information and advice that you need.
• We can help you

• Determine the best markets for your products
  services
• Evaluate international competitors
• Identify and help you comply with legal and
  regulatory issues
• Learn about cultural issues and business protocol

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2) Market Researchwww.export.gov

• Country Commercial Guides (CCGs)
• - Prepared annually by US Embassy Staff, CCGs
  contain information on the business and economic
  situation of foreign countries and the political
  climate as it affects U.S. business and foreign
  investments.
• Industry Reports
• - In-depth analysis of specific industry
  sectors and sub-sectors within a given market.
• - Brief updates within a foreign country
  highlighting specific market opportunities, trade
  events, or changes in market conditions.
• On-line Market Research
• - http//www.export.gov/mrktresearch/index.asp
• Customized Market Research
• Negotiated fee service

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3) Finding/Qualifying Business Partners

• Gold Key Service
• Platinum Key
• Customized Contact List
• International Partner Search
• International Company Profile
• Single Company Promotions
• Commercial News USA
• FUSE

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4) Business Programs

• Trade Shows Domestic and Overseas
• Trade Missions
• Catalog Shows
• Local Seminars
• Video Conferences
• Webinars

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5) Advocacy-Market Access(trade complaints)

• Advocacy
• Bid Tenders
• Unfair Competition

• Market Access Compliance
• Used in Cases of Violation of Trade Agreements

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Call on Your Local CS Office for Assistance
http//www.buyusa.gov/home/us.html Enter
location or zip code
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Got It ?!
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Youve Just Heard About

• BIS
• EAR
• CCL
• ECCN
• ITAR
• USML
• PMDDTC

• Compliance Plans / Manuals
• CJ Commodity Jurisdiction
• SEDs and AES
• OFAC
• SNAP-R
• D-Trade

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THANK YOU
Bill Cline U.S. Commercial Service 1 E 1st St,
16th Fl Reno, NV 89509 Tel [phone] Fax
775.784.5343 Bill.cline_at_mail.doc.gov http//www.bu
yusa.gov/nevada