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U.S. Department of Commerce Export Assistance Services Southern Tier Opportunity Coalition September 20, 2010
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Organization Chart for USDOC
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Mission: Commercial Service "The Commercial Service shall place primary emphasis on the promotion of exports of goods and services from the United States, particularly by small businesses and medium-sized businesses, and on the protection of United States business interests abroad.“
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CS Background Worldwide network of 1800 employees 105 U.S. Export Assistance Centers throughout the U.S. 160 international offices in 82 countries, which together represent more than 96% of the world market for exports Provide comprehensive solutions to international trade challenges Help U.S. firms realize their export potential Advocate on behalf of U.S. businesses abroad
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Three Ways… 1.Determine if your company and product/service are Export Ready. 2.Determine the best markets for your products & services 3.Find ways to penetrate the market
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Is My Company Ready to Export? Established domestic business Top management commitment What is my competition doing? Can I promptly fill export orders
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Can I export my product? Standards (i.e. CE Marking, CCC Marking, WEEE/RoHS compliance, etc…) Modifications Export Compliance – Export Administration Regulations
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Bureau of Industry and Security Office of Exporter Services (OExS) –Counsel Exporters –Conduct Export Control Seminars –Draft and publish changes to the Export Administration Regulations (EAR) –Administer the processing of license applications and commodity classifications Three locations: Eastern Regional Office in Washington DC, Western Regional Office in Newport Beach, CA Northern California Branch in San Jose, CA
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Export Administration Regulations (EAR) Have a hardcopy in your office or EAR website bookmarked (http://www.access.gpo.gov/bis/index.html)http://www.access.gpo.gov/bis/index.html Includes: FAQs, detailed step-by-step instructions for determining if a transaction is subject to the regulations, how to request a commodity classification or advisory opinion, how to apply for a license. Part 732 provides a good introduction
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How to Determine if you need a Commerce Export License Small percentage of U.S. exports require a license from BIS What are you Exporting? Where are you Exporting? Who are you exporting to? What is the end-use?
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What are you exporting? Know your Export Control Classification Number (ECCN) All ECCNs are listed in the Commerce Control List (CCL) in Part 774, Supplement No. 1 of the EAR 10 Broad Categories and 5 product groups
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What are you exporting? (cont.) 3 ways to classify you products: –On your own, using the EAR –Check with the Manufacturer –Submit a classification request to BIS Hardcopy BIS 748-P Multipurpose form Electronic Submission using the Simplified Network Application Process Redesign (SNAP-R) If your products are designated EAR-99 then a license is not required in many situations (but there are some cases where it will!!)
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Where are you exporting? Embargoed Countries: updated list on the Office of Foreign Assets Control (OFAC) website: http://www.treas.gov/offices/enforcement/ofac/ http://www.treas.gov/offices/enforcement/ofac/ Commerce Country Chart: Supplement No. 1 to Part 738
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Where are you exporting? (cont) “Reason for Control” and “Country Chart” designation in ECCN entry Cross-reference against the Commerce Country Chart If there is an “X” in the box, then a license is required (unless a License Exemption is available) If there is NOT an “X” in the box, then no license is required (unless the end user or end use is questionable).
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Who are you exporting to? Lists to Check: http://www.bis.doc.gov/complianceandenforcement/lists tocheck.htm –Entity List –Specially Designated Nationals and Blocked Persons List –The Unverified List –Denied Persons List –Debarred List –Nonproliferation Sanctions Red Flags
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What is the end-use? Prohibited end uses Part 744 of the EAR
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Who to call for assistance BIS DC office – 202-482-4811 BIS Western Regional Office – 949-660-0144 Local International Trade Specialist – 716-551-4191 (can offer guidance only)
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Where Should I Go? Provide market research to determine where to concentrate efforts –Export Statistics –Country Commercial Guides –General Market Research –Flexible Market Research –e-Market Express
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e-Market Express Electronic newsletter with the latest market research, trade events, trade leads for your industry Automatic monthly email alerts http://www.buyusa.gov/eme
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Finding the Right Partners Why is it important? –They will know the industry, culture, language, business environment of the country –They can provide after-sales support & service
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Finding the Right Partners International Company Profile International Partner Search Gold Key Service
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International Company Profile Background Report on foreign firm that includes: –Bank references –Size and structure –Financial data –Market outlook –Trade references, etc…
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International Partner Search You provide: – information on your company – goals for the market – specs of your ideal partner We: – contact and interview potential partners – provide you with a list of pre-qualified contacts
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Gold Key Service You provide: – information on your company – goals for the market – specs of your ideal partner – dates of travel We: – contact and interview potential partners – arrange meetings with pre-screened contacts – also provide logistical support for your travel
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Trade Event Support Certified Trade Shows –Catalog Exhibitions (Product Literature Centers) International Buyer Program Showtime Meetings
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www.export.gov U.S. Government export portal –Links to all trade promotion agencies –Trade statistics –Export Regulations –Advocacy Services
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Strategy Targeting Organized Piracy (STOP!) – secretarial initiative to eliminate piracy and counterfeiting worldwide. http://www.stopfakes.gov IPR Toolkits for: BrazilMexico ChinaPeru KoreaRussia Malaysia Taiwan IPR Issues
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Your Global Business Partner John Tracy International Trade Specialist U.S. Department of Commerce john.tracy@trade.gov Tel: 315-453-4070
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