Classification of Items on the Commerce Control List

Why are classifications so important? Proper classifications prevent: Delays in exporting Potential violations of the Export Administration Regulations (EAR)

Commerce Control List (CCL) Part 774, Supplement No. 1 Contains items subject to the licensing authority of Bureau of Industry & Security (BIS) Each entry is called an Export Control Classification Number (ECCN) Most items are described in terms of their technical parameters Classification determines the ECCN

What does the Export Control Classification Number (ECCN) tell us? What items are controlled? Why does BIS control the item? Which destinations will require a license? Country Chart in Supp. 1 to part 738 What (if any) list-based license exceptions may apply?

How can you obtain the ECCN of your item? Ask the manufacturer… and verify Self-classify Work with company engineer or colleague familiar with the design & function of the item Follow the CCL Order of Review Submit a formal classification request to BIS

Performing a classification Make sure the item is “subject to the EAR” Index − key words from the CCL Order of Review Use Category, Product Group & Series to focus search Identify the entry that accurately describes the item based on its technical specifications If not specifically identified on the CCL, the item is EAR99

3 A 01 Structure of the ECCN 3 Category A Product Group 01 3 Category A Product Group Series (Reason for Control) 01 Sequential Numbering of Items

Categories of the CCL 3 A 01 Nuclear Materials, Facilities, Equipment & Misc. 1 Materials, Chemicals, Microorganisms, and Toxins 2 Materials Processing 3 Electronics 4 Computers 5 Part 1 – Telecommunication Part 2 – Information Security 6 Sensors & Lasers 7 Navigation & Avionics 8 Marine 9 Aerospace & Propulsion

Product Groups of the CCL 3 A 01 A End items, Equipment, Accessories, Attachments, Parts, Components, and Systems B Test, Inspection & Production Equipment C Materials D Software E Technology

Related items are often grouped in a series 3 X 01 End items, Equipment, Accessories, Attachments, Parts, Components, and Systems 3A001 Test, inspection and production equipment 3B001 Materials 3C001 Software 3D001 Technology 3E001

3 A 01 Series of the CCL 0 – National Security 1 – Missile Technology 2 – Nuclear Nonproliferation 3 – Chemical and Biological 5 – National Security or Foreign Policy 6 – Wassenaar Arrangement Munitions List (WAML) or former US Munitions List (USML) 9 – Anti-terrorism, Crime Control, Regional Stability, Short Supply, UN Sanctions, etc. 3 A 01

Reasons for Control NP = Nuclear Nonproliferation AT = Anti-Terrorism NS = National Security RS = Regional Stability SI = Significant Item SL = Surreptitious Listening SS = Short Supply UN = United Nations Embargo AT = Anti-Terrorism CB = Chemical & Biological Weapons CC = Crime Control CW = Chemical Weapons Convention EI = Encryption Item FC = Firearms Control MT = Missile Technology

Series of the CCL- Munitions 0 – National Security 1 – Missile Technology 2 – Nuclear Nonproliferation 3 – Chemical and Biological 5 – National Security or Foreign Policy 6 – Wassenaar Arrangement Munitions List (WAML) or former US Munitions List (USML) 9 – Anti-terrorism, Crime Control, Regional Stability, Short Supply, UN Sanctions, etc. 3 A 6 11

Export Control Reform (ECR) impact on the CCL

Sequential Numbering of Items 3 B 01 ECCNs contain: Sub-paragraphs with detailed descriptions of items License requirements Reasons for control License exceptions (list-based) Related Controls Related Definitions

“Specially Designed” Definition of “specially designed” is based on a catch- and-release construct Requires answering a series of yes/no questions that lead to an objective determination whether an item is “specially designed” Definition is found in Part 772 and is described in an online decision tree tool BIS has published

EAR99 Items Items that are not specifically listed on the CCL yet subject to the EAR, use the designation EAR99 in place of an ECCN. This designation may be found at the end of every category of the CCL: “EAR99 Items subject to the EAR that are not elsewhere specified in this CCL Category or in any other category in the CCL are designated by the number EAR99.”

Requirements for submitting a classification request to BIS Submit request online and provide contact information Include a “best guess” ECCN Include item pedigree & general use information Manufacturer Model/Part number General description Applications Include detailed technical specifications Item characteristics Performance parameters Pictorial illustrations, sales brochures

Thank you for your attention.