[Federal Register Volume 80, Number 196 (Friday, October 9, 2015)]
[Proposed Rules]
[Pages 61137-61138]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-25752]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Part 774

[Docket No. 150820757-5757-01]


Commerce Control List: Request for Comments Regarding Controls on 
Military Vehicles, Vessels of War, Submersible Vessels, Oceanographic 
Equipment, and Auxiliary and Miscellaneous Military Equipment

AGENCY: Bureau of Industry and Security, Commerce.

ACTION: Notice of inquiry.

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SUMMARY: The Bureau of Industry and Security (BIS), Department of 
Commerce, maintains the Export Administration Regulations, including 
the Commerce Control List (CCL). The Export Control Reform Initiative, 
a fundamental reform of the U.S. export control system, has resulted in 
transfer to the CCL of items that the President has determined do not 
warrant control on the United States Munitions List (USML), including 
certain military vehicles, vessels of war, submersible vessels, 
oceanographic equipment, auxiliary and miscellaneous military 
equipment, and related items therefor. The USML is part of the 
International Traffic in Arms Regulations maintained by the Department 
of State. Through this notice, BIS is seeking public comments to 
perform a complementary review of the aforementioned items on the CCL, 
concurrent with the Department of State's review of the controls 
implemented in its recent revisions to Categories VI, VII, XIII, and XX 
of the USML (which control surface vessels of war and special naval 
equipment, military ground vehicles, miscellaneous military articles 
and materials, submersible vessels, and related items therefor), to 
ensure that the descriptions of these items on the CCL are clear, do 
not inadvertently control items in normal commercial use, account for 
technological developments, and properly implement the national 
security and foreign policy objectives of the reform effort. This 
notice also furthers the retrospective regulatory review directed by 
the President in Executive Order 13563.

DATES: Comments must be received by BIS no later than December 8, 2015.

ADDRESSES: Comments may be submitted to the Federal rulemaking portal 
(http://www.regulations.gov). You can find this notice by searching on 
its regulations.gov docket number, which is BIS-2015-0039. Comments may 
also be submitted via email to [email protected] or on paper 
to Regulatory Policy Division, Bureau of Industry and Security, Room 
2099B, U.S. Department of Commerce, Washington, DC 20230. Please refer 
to RIN 0694-XC025 in all comments and in the subject line of email 
comments. All comments (including any personally identifying 
information) will be made available for public inspection and copying. 
Commerce's full plan for retrospective regulatory review can be 
accessed at: http://open.commerce.gov/news/2011/08/23/commerce-plan-retrospective-analysis-existing-rules.

FOR FURTHER INFORMATION CONTACT: For questions regarding ground 
vehicles and related items (ECCNs 0A606, 0B606, 0C606, 0D606 and 
0E606), contact Gene Christiansen, Office of National Security and 
Technology Transfer Controls, at 202-482-2984 or 
[email protected]. For questions regarding surface vessels 
and related items (ECCNs 8A609, 8B609, 8C609, 8D609 and 8E609) or 
submersible vessels and related items (ECCNs 8A620, 8B620, 8D620, and 
8E620), contact Alexander Lopes, Office of Nonproliferation and Treaty 
Compliance, at 202-482-4875 or [email protected]. For 
questions regarding miscellaneous equipment, materials, and related 
items (ECCNs 0A617, 0B617, 0C617, 0D617, and 0E617), contact Michael 
Rithmire, Office of National Security and Technology Transfer Controls, 
at 202-482-6105 or [email protected]. For questions 
regarding license applications for any of the items specified above, 
contact Elena Love, Thomas DeFee or Jeffery Leitz of the Office of 
Strategic Industries and Economic Security, by phone, at 202-482-4506, 
or by email, at [email protected], [email protected], or 
[email protected].

SUPPLEMENTARY INFORMATION:

Background

    The Bureau of Industry and Security (BIS), Department of Commerce 
maintains the Export Administration Regulations, including the Commerce 
Control List (CCL). The Export Control Reform Initiative, a fundamental 
reform of the U.S. export control system, has resulted in transfer to 
the CCL of items that the President has determined do not warrant 
control on the United States Munitions List (USML), including certain 
military vehicles, vessels of war, submersible vessels, oceanographic 
equipment, auxiliary and miscellaneous military equipment, and related 
items therefor. The USML is part of the International Traffic in Arms 
Regulations maintained by the Department of State. Through this notice, 
BIS is seeking comments to perform a complementary review of military 
vehicles, vessels of war, submersible vessels, oceanographic equipment, 
auxiliary and miscellaneous military equipment, and related items on 
the CCL, concurrent with the Department of State's review of the 
controls implemented in its recent revisions to Categories VI, VII, 
XIII, and XX of the USML (which control surface vessels of war and 
special naval equipment, military ground vehicles, miscellaneous 
military articles and materials, submersible vessels, and related items 
therefor), to ensure that the descriptions of these items on the CCL 
are clear, do not inadvertently control items in normal commercial use, 
account for technological developments, and properly implement the 
national security and foreign policy objectives of the reform effort.
    Specifically, BIS is soliciting comments on the clarity, usability 
and any other matters related to implementation of the ``600 series'' 
Export Control Classification Numbers (ECCNs) that control the 
following items, as well as certain items related thereto: military 
vehicles (ECCNs 0A606, 0B606, 0C606, 0D606, and 0E606); vessels of war 
(ECCNs 8A609, 8B609, 8C609, 8D609, and 8E609); submersible vessels and 
oceanographic equipment (ECCNs 8A620, 8B620, 8D620, and 8E620); and 
auxiliary and miscellaneous military equipment (ECCNs 0A617, 0B617, 
0C617, 0D617, and 0E617).

The Export Control Reform Initiative: USML Review and the CCL

    A core element of the Export Control Reform (ECR) Initiative has 
been the streamlining of categories on the USML and the control on the 
CCL of those items that the President determines do

[[Page 61138]]

not warrant USML control. On December 10, 2010, the Department of State 
provided notice to the public of its intent, pursuant to the ECR 
Initiative, to revise the USML to create a more ``positive list'' that 
describes controlled items using, to the extent possible, objective 
criteria rather than broad, open-ended, subjective, or design intent-
based criteria (see 75 FR 76935). As a practical matter, this meant 
revising USML categories so that, with some exceptions, the 
descriptions of defense articles that continued to warrant control 
under the USML did not use catch-all phrases, such as ``specially 
designed'' or ``specifically designed or modified,'' to control 
unspecified items. With limited exceptions, the defense articles that 
continued to warrant control under the USML were those that provided 
the United States with a critical military or intelligence advantage. 
Items that no longer warranted control under the USML were to become 
subject to the jurisdiction of the Department of Commerce under the 
Export Administration Regulations (EAR). Since that time, the 
Departments of State and Commerce have jointly published final rules in 
which, collectively, the Department of State has made revisions to 
fifteen of the USML categories (each of which has been restructured to 
provide a uniform and more ``positive list'' of controlled items) and 
the Department of Commerce has made corresponding revisions to the CCL.
    The advantage of revising the USML into a more positive list is 
that its controls can be tailored to satisfy the national security and 
foreign policy objectives of the ITAR by maintaining control over those 
defense articles that provide a critical military or intelligence 
advantage, or otherwise warrant control under the ITAR, without 
inadvertently controlling items in normal commercial use. This 
approach, however, requires that both the USML and the CCL be regularly 
revised and updated to address technological developments, practical 
application issues identified by exporters and reexporters, and changes 
in the military and commercial applications of items affected by the 
USML and the ``600 series'' ECCNs on the CCL.
    Consistent with the approach described above, this notice of 
inquiry requests public comments as part of a complementary review of 
changes to the EAR and the ITAR based on the ECR Initiative and 
implemented by a set of rules, published by the Departments of State 
and Commerce, that became effective on January 6, 2014. These rules 
implemented revisions to Category VI (surface vessels of war and 
special naval equipment), Category VII (ground vehicles), Category XIII 
(materials and miscellaneous articles), and Category XX (submersible 
vessels and related articles) on the USML (see 78 FR 40922) and added 
the following ``600 series'' ECCNs to the CCL (see 78 FR 40892): ECCNs 
0A606, 0B606, 0C606, 0D606, and 0E606 (military vehicles and related 
items); ECCNs 8A609, 8B609, 8C609, 8D609, and 8E609 (vessels of war and 
related items); ECCNs 8A620, 8B620, 8D620, and 8E620 (submersible 
vessels, oceanographic equipment and related items); and ECCNs 0A617, 
0B617, 0C617, 0D617, and 0E617 (auxiliary and miscellaneous military 
equipment). The Department of State is seeking comments from the public 
on the condition and efficacy of the revised Categories VI, VII, XIII, 
and XX and whether they are meeting the ECR objectives for the list 
revisions. BIS will make any changes to the CCL that it determines are 
necessary to complement revisions to the USML by the Department of 
State. In addition, through this notice of inquiry, BIS is 
independently seeking comments on how to improve the implementation of 
the aforementioned ``600 series'' ECCNs on the CCL.

Executive Order 13563

    On January 18, 2011, President Barack Obama issued Executive Order 
13563, affirming general principles of regulation and directing 
government agencies to improve regulation and regulatory review. Among 
other things, the President stressed the need for the regulatory system 
to allow for public participation and an open exchange of ideas, as 
well as promote predictability and reduce uncertainty. The President 
also emphasized that regulations must be accessible, consistent, 
written in plain language, and easy to understand. As part of its 
ongoing effort to ensure that its regulations are clear, effective, and 
up-to-date, BIS is issuing this notice soliciting public comments.

    Dated: October 5, 2015.
Matthew S. Borman,
Deputy Assistant Secretary for Export Administration.
[FR Doc. 2015-25752 Filed 10-8-15; 8:45 am]
 BILLING CODE 3510-33-P