[Federal Register Volume 81, Number 227 (Friday, November 25, 2016)]
[Rules and Regulations]
[Pages 85138-85147]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-28039]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Parts 738, 742, 744, 748, and 774

[Docket No. 160718621-6621-01]
RIN 0694-AH04


Commerce Control List: Removal of Certain Nuclear 
Nonproliferation (NP) Column 2 Controls

AGENCY: Bureau of Industry and Security, Commerce.

ACTION: Final rule.

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SUMMARY: The Bureau of Industry and Security (BIS) publishes this final 
rule to amend the Export Administration Regulations (EAR) to remove 
nuclear nonproliferation (NP) Column 2 license requirements from 
certain pressure tubes, pipes, fittings, pipe valves, pumps, 
numerically controlled machine tools, oscilloscopes, and transient 
recorders on the Commerce Control List (CCL). These changes are 
intended to revise the EAR controls on these items by making them more 
consistent with the export controls of other countries that manufacture 
these items and that, together with the United States, are 
participating countries in the Nuclear Suppliers Group (NSG). As a 
result of the changes made by this rule, some of these items are no 
longer listed under an Export Control Classification Number (ECCN) on 
the CCL. However, such items remain subject to the EAR under the 
designation EAR99. This rule also creates four new ECCNs to maintain 
anti-terrorism (AT) controls on certain affected commodities and 
related ``software'' and ``technology.'' All items subject to the EAR, 
regardless of whether they are listed on the CCL, may require a license 
for reasons described elsewhere in the EAR (e.g., license requirements 
based on end-user/end-use

[[Page 85139]]

controls, embargoes, or other special controls).

DATES: This rule is effective November 25, 2016. However, ``software'' 
``specially designed'' for the ``development,'' ``production,'' or 
``use'' of items previously controlled under ECCN 3A292 will continue 
to be classified and licensed by BIS under the designation EAR99 
through January 31, 2017. As of February 1, 2017, such ``software'' 
will be classified and licensed by BIS under ECCN 3D991.

FOR FURTHER INFORMATION CONTACT: Steven Clagett, Director, Nuclear and 
Missile Technology Controls Division, Office of Nonproliferation and 
Treaty Compliance, Bureau of Industry and Security, Telephone: (202) 
482-1641.

SUPPLEMENTARY INFORMATION: The Bureau of Industry and Security (BIS) is 
amending the Export Administration Regulations (EAR) to make the 
controls that apply to certain pressure tubes, pipes, fittings, pipe 
valves, pumps, numerically controlled machine tools, oscilloscopes, and 
transient recorders on the Commerce Control List (CCL) (Supplement No. 
1 to part 774 of the EAR) more consistent with the export controls of 
other supplier countries that, together with the United States, are 
participating countries in the Nuclear Suppliers Group (NSG). The NSG 
is a multilateral export control forum that currently consists of 48 
participating countries. The NSG maintains a list of dual-use items 
that could be used for nuclear proliferation activities. The list is 
maintained in the Annex to the NSG's ``Guidelines for Transfers of 
Nuclear Related Dual-Use Equipment, Materials, Software, and Related 
Technology'' (hereinafter the ``NSG Annex''). NSG participating 
countries share a commitment to prevent nuclear proliferation and the 
development of nuclear-related weapons of mass destruction. In 
furtherance of that commitment, they have agreed to impose export 
controls on listed items. The NSG Guidelines and the Annex thereto are 
designed to ensure that nuclear trade for peaceful purposes does not 
contribute to the proliferation of nuclear weapons or related 
proliferation activities.
    The amendments made by this final rule are based on a review by BIS 
of items controlled for nuclear nonproliferation (NP) reasons to 
destinations indicated under NP Column 2 on the Commerce Country Chart 
(Supplement No. 1 to part 738 of the EAR). These amendments are 
designed to revise the NP controls in the EAR to be more consistent 
with the controls maintained by other NSG participating countries, in 
accordance with the NSG Guidelines and the Annex thereto. As a result 
of the amendments made by this rule, exports, reexports, or transfers 
(in-country) of the following items no longer require a license for NP 
reasons to destinations indicated under NP Column 2 on the Commerce 
Country Chart: (1) Pressure tubes, pipes, fittings, and pipe valves 
previously controlled under ECCN 2A292; (2) pumps previously controlled 
under ECCN 2A293; (3) numerically controlled machine tools previously 
controlled under ECCN 2B290; and (4) oscilloscopes and transient 
recorders previously controlled under ECCN 3A292. The removal of NP 
controls from these items by BIS is consistent with the nuclear 
nonproliferation requirements of other NSG participating countries, 
none of which currently require a license for such items (for nuclear 
nonproliferation reasons), because the items are not listed in the NSG 
Annex.
    Certain items continue to require a license for NP reasons to 
destinations indicated under NP Column 2 on the Commerce Country Chart 
(e.g., items controlled under ECCN 1A290, 1C298, 2A290 and 2A291, 
including related ``software'' and ``technology'' controls described 
elsewhere on the CCL). BIS believes that retaining NP Column 2 controls 
on these items is helpful in maintaining our commitments with respect 
to NSG Trigger List items and in clarifying questions of licensing 
jurisdiction with respect to the export controls administered by the 
Nuclear Regulatory Commission (NRC). Furthermore, BIS intends to 
periodically review the controls on these items to ensure that, to the 
extent practicable (i.e., within the limitations of U.S. foreign policy 
and nonproliferation objectives), they are consistent with the controls 
maintained by other NSG participating countries.

Removal of ECCNs 2A292, 2A293, 2B290, and 3A292 From the CCL

    This final rule amends the EAR to reflect the controls currently 
described in the NSG Annex by removing ECCNs 2A292, 2A293, 2B290, and 
3A292 from the CCL. Certain items previously controlled under ECCN 
2B290 are no longer listed on the CCL and are designated as EAR99 
(i.e., subject to the EAR, as described in Section 734.3(a), but not 
listed on the CCL). However, most of the items previously controlled by 
these ECCNs continue to be listed on the CCL under ECCNs that require a 
license for anti-terrorism (AT) reasons and, in one instance, for 
chemical/biological (CB) reasons, as well. Specifically, valves 
previously controlled under ECCN 2A292.b that meet or exceed the 
technical parameters described in ECCN 2B350.g are now controlled under 
ECCN 2B350. These valves continue to require a license for CB reasons 
to destinations indicated under CB Column 2 on the Commerce Country 
Chart and for AT reasons to destinations indicated under AT Column 1 on 
the Commerce Country Chart. All other items previously controlled under 
ECCN 2A292 and all items previously controlled under ECCN 2A293 are now 
controlled under new ECCN 2A992 or 2A993, respectively, for AT reasons 
and continue to require a license to destinations indicated under AT 
Column 1 on the Commerce Country Chart.
    Turning machines or combination turning/milling machines previously 
controlled under ECCN 2B290 that meet or exceed the technical 
parameters described in ECCN 2B991.d.1 are now controlled under ECCN 
2B991 and continue to require a license for AT reasons to destinations 
indicated under AT Column 1 on the Commerce Country Chart. All other 
items previously controlled under ECCN 2B290 are now designated as 
EAR99 and, as such, no longer require a license for NP or AT reasons. 
However, any item that is subject to the EAR, whether or not it is 
listed on the CCL, may require a license for reasons described 
elsewhere in the EAR (e.g., the end-user/end-use controls described in 
part 744 of the EAR or the embargoes and other special controls 
described in part 746 of the EAR).
    Oscilloscopes and transient recorders previously controlled under 
ECCN 3A292 are now controlled under new paragraphs .d through .g in 
ECCN 3A992. Although these items no longer require a license for NP 
reasons, they continue to require a license for AT reasons to 
destinations indicated under AT Column 1 on the Commerce Country Chart.
    Prior to the removal of ECCNs 2A292, 2A293, 2B290 and 3A292 from 
the CCL, the items controlled thereunder required a license for NP and/
or AT reasons to nine countries (i.e., Cuba, Iran, Iraq, Israel, Libya, 
North Korea, Pakistan, Sudan, and Syria). Currently, in addition to the 
license requirements that apply to most of these items under ECCN 
2A992, 2A993, 2B350.g, 2B991.d.1, or 3A992 (as described above), a 
license from BIS continues to be required for exports, reexports, or 
transfers (in-country) involving any of these items to Cuba, North 
Korea, or Syria (see the embargoes and other special controls in part 
746 of the EAR; also see Section 742.9 of the EAR with respect to AT 
controls on Syria). A

[[Page 85140]]

license from BIS also continues to be required for exports, reexports, 
or transfers (in-country) involving any of these items that are not 
designated as EAR99 to Iran (see Sections 742.8 and 746.7 of the EAR) 
or Sudan (see Section 742.10 of the EAR with respect to AT controls on 
Sudan). In addition, the Treasury Department's Office of Foreign Assets 
Control (OFAC) administers comprehensive trade and investment embargoes 
against Iran, Sudan, and Syria that include prohibitions on exports and 
certain reexport transactions involving these countries. Therefore, as 
a practical matter, the amendments made by this rule are likely to have 
a significant impact on license requirements only with respect to 
exports, reexports, or transfers (in-country) of items previously 
controlled under ECCN 2B290 and now classified as EAR99, or items now 
controlled on the CCL under new ECCN 2A992, new ECCN 2A993, ECCN 2B991, 
or ECCN 3A992 for AT reasons only, that involve the following 
destinations: Iraq, Israel, Libya, or Pakistan. In this regard, note 
that the EAR require a license to export or reexport to Iraq, or to 
transfer within Iraq, any item subject to the EAR if, at the time of 
the export, reexport or transfer, you know, have reason to know, or 
have been informed by BIS that the item will be, or is intended to be, 
used for a ``military end-use'' or by a ``military end-user'' (see 
Section 746.3(a)(4) of the EAR). Furthermore, as indicated above, a 
license is required under the EAR whenever a transaction is subject to 
any of the end-user/end-use controls described in part 744 of the EAR.

Conforming Amendments to the CCL

    This final rule also amends the EAR to make several conforming 
changes to the CCL consistent with the removal of ECCNs 2A292, 2A293, 
2B290 and 3A292, as described above. Specifically, this rule revises 
the Related Controls paragraph in ECCN 2A226 to reflect the removal of 
ECCN 2A292 from the CCL. This rule also revises the Technical Notes 
heading under CCL Category 2 subheading B (``Test,'' ``Inspection'' and 
``Production Equipment'') and the Related Controls paragraphs in ECCNs 
2B001, 2B201, and 2B991 to reflect the removal of ECCN 2B290 from the 
CCL. In addition, ECCN 2B350 is amended by revising the ECCN heading to 
reflect the removal of ECCN 2A292 from the CCL and by revising the 
Related Controls paragraph in ECCN 2B350 to reflect the removal of 
ECCNs 2A292 and 2A293 from the CCL (i.e., by removing the references to 
ECCN 2A292 and 2A293 and referencing new ECCNs 2A992 and 2A993, 
respectively). As indicated above, the effect of removing the reference 
to ECCN 2A292 from the heading of ECCN 2B350, in conjunction with the 
removal of ECCN 2A292 from the CCL, is that valves previously 
controlled under ECCN 2A292.b that meet or exceed the technical 
parameters described in ECCN 2B350.g are now controlled under ECCN 
2B350 and are subject to the license requirements described therein 
(i.e., although NP controls no longer apply, a license continues to be 
required for these valves to destinations indicated under CB Column 2 
and/or AT Column 1 on the Commerce Country Chart). Consistent with 
these changes, new ECCN 2A992 controls all items previously controlled 
by ECCN 2A292, except for valves that meet or exceed the technical 
parameters described in ECCN 2B350.g, which are specifically excluded 
from control under ECCN 2A992.b.
    This rule also revises the heading of ECCN 2D290 by removing the 
references to ECCNs 2A292, 2A293 and 2B290 to reflect the removal of 
these ECCNs from the CCL. However, ECCN 2D290 continues to control 
``software'' for the ``development,'' ``production,'' or ``use'' of 
items controlled by ECCN 2A290 or 2A291. As result of these changes, 
new ECCN 2D993 controls ``software'' for the ``development,'' 
``production,'' or ``use'' of items that were previously controlled by 
ECCN 2A292 (except for valves that meet or exceed the technical 
parameters described in ECCN 2B350.g) or by ECCN 2A293 (these items are 
now controlled by new ECCNs 2A992 and 2A993, respectively). New ECCN 
2D993 requires a license for AT reasons, only, to destinations 
indicated under AT Column 1 on the Commerce Country Chart. ``Software'' 
for the ``development,'' ``production,'' or ``use'' of valves 
previously controlled under ECCN 2A292.b, but now controlled under ECCN 
2B350.g, is designated as EAR99. In addition, ``software'' ``specially 
designed'' or modified for the ``development,'' ``production,'' or 
``use'' of items previously controlled by ECCN 2B290 is now designated 
as EAR99, except for ``software'' ``specially designed'' for the 
``development,'' ``production,'' or ``use'' of turning machines or 
combination turning/milling machines previously controlled under ECCN 
2B290.a that meet or exceed the technical parameters in 2B991.d.1. The 
latter is now controlled under ECCN 2D991 and continues to require a 
license to destinations indicated under AT Column 1 on the Commerce 
Country Chart.
    This rule also revises the NP Column 2 and CB Column 2 controls 
paragraphs in the License Requirements sections of ECCNs 2E001 and 
2E002 by removing the references to ECCNs 2A292, 2A293, and 2B290 from 
the NP Column 2 controls paragraph and the reference to ECCN 2A292 from 
the CB Column 2 controls paragraph, to reflect the removal of ECCNs 
2A292, 2A293, and 2B290 from the CCL. The effect of these changes, 
coupled with the addition of new ECCNs 2A992 and 2A993 to control items 
previously controlled under ECCN 2A292 or 2A293, respectively (except 
for valves previously controlled under ECCN 2A292.b that are now 
controlled under ECCN 2B350.g), is that ``technology'' for the 
``development'' (ECCN 2E001) or ``production'' (ECCN 2E002) of 
equipment previously controlled under ECCN 2A292 or 2A293 continues to 
be controlled under ECCN 2E001 or 2E002, but for AT reasons only (i.e., 
NP reasons for control no longer apply to this ``technology''). 
``Technology'' for the ``development'' or ``production'' of valves 
previously controlled under ECCN 2A292.b that meet or exceed the 
technical parameters described in ECCN 2B350.g continues to be 
controlled under ECCNs 2E001 and 2E002, respectively, for CB and AT 
reasons, but NP reasons for control no longer apply. In addition, 
``technology'' for the ``development'' of ``software'' previously 
controlled by ECCN 2D290 that is ``specially designed'' or modified for 
the ``development,'' ``production,'' or ``use'' of items previously 
controlled by ECCN 2A292 or 2A293 (and now controlled by new ECCN 2A992 
or 2A993, except for certain valves, as specified above) continues to 
be controlled under ECCN 2E001, but for AT reasons only (i.e., NP 
reasons for control no longer apply to this ``technology'').
    As a result of the aforementioned amendments to ECCNs 2E001 and 
2E002, ``technology'' for the ``development'' (ECCN 2E001) or 
``production'' (ECCN 2E002) of equipment previously controlled under 
ECCN 2B290 is now designated as EAR99. In addition, ``technology'' for 
the ``development'' of ``software'' previously controlled by ECCN 2D290 
that is ``specially designed'' or modified for the ``development,'' 
``production,'' or ``use'' of items previously controlled by ECCN 2B290 
is now designated as EAR99.
    ECCN 2E001 continues to control ``technology'' for the 
``development'' of ECCN 2D290 ``software'' that is ``specially 
designed'' or modified for the ``development,'' ``production,'' or 
``use'' of items controlled by ECCN 2A290 or 2A291, as well as 
``technology'' for the ``development'' of equipment controlled

[[Page 85141]]

by ECCN 2A290 or 2A291. In addition, ECCN 2E002 continues to control 
``technology'' for the ``production'' of equipment controlled by ECCN 
2A290 or 2A291. This ECCN 2E001 and 2E002 ``technology'' continues to 
require a license to destinations indicated under NP Column 2 and/or AT 
Column 1 on the Commerce Country Chart.
    This rule amends ECCN 2E290 by revising the heading of the ECCN to 
remove the references to ECCNs 2A292, 2A293 and 2B290 to reflect the 
removal of these ECCNs from the CCL and by revising the License 
Requirements section of the ECCN to remove the CB Column 2 controls 
paragraph that applied to valves controlled under former ECCN 2A292 
that met or exceeded the technical parameters in ECCN 2B350.g. The 
effect of these changes, coupled with the addition of new ECCNs 2A992 
and 2A993 to control items previously controlled under ECCN 2A292 or 
2A293, respectively (except for valves previously controlled under ECCN 
2A292.b that are now controlled under ECCN 2B350.g), is that 
``technology'' for the ``use'' of equipment previously controlled under 
ECCN 2A292 or 2A293 is now controlled under new ECCN 2E993 for AT 
reasons only (i.e., NP reasons for control no longer apply to this 
``technology''). ``Technology'' for the ``use'' of valves previously 
controlled under ECCN 2A292.b that meet or exceed the technical 
parameters described in ECCN 2B350.g is now controlled under ECCN 2E301 
and requires a license to destinations indicated under CB Column 2 or 
AT Column 1 on the Commerce Country Chart.
    As a result of the aforementioned amendments to ECCN 2E290, 
``technology'' for the ``use'' of equipment previously controlled by 
ECCN 2B290 is now designated as EAR99, except for ``technology'' for 
the ``use'' of turning machines or combination turning/milling machines 
previously controlled under ECCN 2B290.a that meet or exceed the 
parameters in ECCN 2B991.d.1, which is now controlled under ECCN 2E991 
and requires a license to destinations indicated under AT Column 1 on 
the Commerce Country Chart.
    ECCN 2E290 continues to control ``technology'' for the ``use'' of 
equipment controlled by ECCN 2A290 or 2A291. This ECCN 2E290 
``technology'' continues to require a license to destinations indicated 
under NP Column 2 and/or AT Column 1 on the Commerce Country Chart.
    This rule also makes certain conforming changes in CCL Category 3 
(Electronics) to reflect the removal from the CCL of ECCN 3A292 
(oscilloscopes and transient recorders other than those controlled by 
ECCN 3A002.a.7 or .h), as described above. Specifically, this rule 
revises the Related Controls paragraph in ECCN 3A002 by removing the 
reference to ECCN 3A292 to reflect the removal of this ECCN from the 
CCL. The Related Controls paragraph in ECCN 3A002 continues to 
reference ECCN 3A992, which is amended by this rule to add new 
paragraphs .d through .g to control oscilloscopes and transient 
recorders previously controlled under ECCN 3A292.a through .d, 
respectively.
    This rule also amends the heading of ECCN 3E001 by removing the 
reference to ECCN 3A292 (which is removed from the CCL by this rule) 
from the parenthetical list of CCL Category 3A ECCNs that are excluded 
from the scope of the ``technology'' controls described in ECCN 3E001. 
This change does not affect the scope of the controls described in ECCN 
3E001, because ECCN 3A992, which is amended by adding new paragraphs .d 
through .g to control the oscilloscopes and transient recorders 
previously controlled under ECCN 3A292, continues to be excluded from 
the scope of ECCN 3E001 (CCL Category 3A ECCNs that are excluded from 
the ``technology'' controls in ECCN 3E001 are identified in the 
parenthetical immediately following the reference to Category 3A in the 
heading of ECCN 3E001).
    Prior to the publication of this rule, ``technology'' for the 
``development,'' ``production,'' or ``use'' of equipment controlled by 
ECCN 3A292 was controlled under ECCN 3E292. This rule removes ECCN 
3E292 from the CCL, thereby eliminating the NP Column 2 license 
requirements that previously applied to the ``technology'' controlled 
under this ECCN. However, because this rule amends ECCN 3A992 by adding 
the oscilloscopes and transient recorders previously controlled under 
ECCN 3A292 in new paragraphs 3A992.d through .g (as described above), 
``technology'' for the ``development,'' ``production,'' or ``use'' of 
the items described in new 3A992.d through .g is now controlled under 
ECCN 3E991. Therefore, although NP Column 2 license requirements no 
longer apply to such ``technology,'' it continues to require a license 
for AT Column 1 reasons under ECCN 3E991.
    Another consequence of the amendment of ECCN 3A992 to add certain 
oscilloscopes and transient recorders under new paragraphs 3A992.d 
through .g, is that ECCN 3D991, which includes certain ``software'' for 
general purpose electronic equipment described in ECCN 3A992, will also 
control ``software'' for the ``development,'' ``production,'' or 
``use'' of oscilloscopes and transient recorders described in new 
3A992.d through .g. However, such ``software'' will continue to be 
classified and licensed by BIS under the designation EAR99 through 
January 31, 2017. Effective February 1, 2017, such ``software'' will be 
classified and licensed by BIS under ECCN 3D991 and will require a 
license to destinations indicated under AT Column 1 on the Commerce 
Country Chart. This pending modification in the application of foreign 
policy controls under the EAR will be addressed in BIS's ``2017 Report 
on Foreign Policy-Based Export Controls,'' which will be submitted to 
the Congress in January 2017.
    The following table identifies the items (i.e., commodities, 
``software,'' and ``technology'') and the corresponding ECCNs on the 
CCL (where applicable) that were affected by the amendments contained 
in this final rule, as described above. The removal of several ECCNs by 
this rule resulted in the designation of certain items as EAR99 (i.e., 
subject to the EAR, but not listed on the CCL). In addition, other 
items were moved from ECCNs having both NP and AT controls to ECCNs 
controlled for AT reasons only. Items that previously were subject to 
both CB and AT controls, as well as NP controls, continue to be 
controlled on the CCL for both CB and AT reasons, but are no longer 
subject to NP controls. In one instance noted above, and in the table 
below, certain ``software'' previously designated as EAR99 will become 
subject to AT controls.

------------------------------------------------------------------------
                                     Previous EAR        Current EAR
   Items affected by this Rule       designation         designation
------------------------------------------------------------------------
Pressure tube, pipe, and               ECCN 2A292.a  ECCN 2A992.
 fittings of 200 mm or more
 inside diameter suitable for
 operation at pressures of 3.4
 MPa or greater.

[[Page 85142]]

 
Pipe valves: (1) Having a pipe         ECCN 2A292.b  ECCN 2B350.g--
 size connection of 200 mm or                         Valves previously
 more inside diameter; and (2)                        controlled under
 rated at 10.3 MPa.                                   ECCN 2A292.b that
                                                      meet or exceed the
                                                      technical
                                                      parameters
                                                      described in ECCN
                                                      2B350.g.
                                  .................  ECCN 2A992--Valves
                                                      previously
                                                      controlled under
                                                      ECCN 2A292.b that
                                                      do not meet or
                                                      exceed the
                                                      parameters in
                                                      2B350.g.
Pumps designed to move molten            ECCN 2A293  ECCN 2A993.
 metals by electromagnetic
 forces.
Turning machines or combination        ECCN 2B290.a  ECCN 2B991.d.1--
 turning/milling machines, not                        Turning machines
 controlled by 2B001 or 2B201,                        or combination
 capable of machining diameters                       turning/milling
 greater than 2.5 meters.                             machines
                                                      previously
                                                      controlled under
                                                      ECCN 2B290.a that
                                                      meet or exceed the
                                                      parameters in ECCN
                                                      2B991.d.1.
                                  .................  EAR99--Turning
                                                      machines or
                                                      combination
                                                      turning/milling
                                                      machines
                                                      previously
                                                      controlled under
                                                      ECCN 2B290.a that
                                                      do not meet or
                                                      exceed the
                                                      parameters in
                                                      2B991.d.1.
``Software'' ``specially                 ECCN 2D290  ECCN 2D290--
 designed'' or modified for                           ``Software''
 ``development,''                                     ``specially
 ``production,'' or ``use'' of                        designed'' or
 items controlled by 2A292,                           modified for
 2A293, or 2B290.                                     ``development,''
                                                      ``production,'' or
                                                      ``use'' of items
                                                      controlled by
                                                      2A290 or 2A291
                                                      continues to be
                                                      controlled under
                                                      this ECCN.
                                  .................  ECCN 2D991--
                                                      ``Software''
                                                      ``specially
                                                      designed'' for the
                                                      ``development,''
                                                      ``production,'' or
                                                      ``use'' of turning
                                                      machines or
                                                      combination
                                                      turning/milling
                                                      machines
                                                      previously
                                                      controlled under
                                                      ECCN 2B290.a that
                                                      meet or exceed the
                                                      parameters in ECCN
                                                      2B991.d.1.
                                  .................  ECCN 2D993--
                                                      ``Software''
                                                      ``specially
                                                      designed'' or
                                                      modified for
                                                      ``development,''
                                                      ``production,'' or
                                                      ``use'' of items
                                                      previously
                                                      controlled by
                                                      2A292 or 2A293
                                                      (now controlled by
                                                      2A992 and 2A993,
                                                      respectively),
                                                      except
                                                      ``software'' for
                                                      valves previously
                                                      controlled under
                                                      ECCN 2A292.b that
                                                      meet or exceed the
                                                      technical
                                                      parameters
                                                      described in ECCN
                                                      2B350.g, as
                                                      indicated below.
                                  .................  EAR99--``Software''
                                                      ``specially
                                                      designed'' or
                                                      modified for
                                                      ``development,''
                                                      ``production,'' or
                                                      ``use'' of the
                                                      following:
                                  .................  (1) Valves
                                                      previously
                                                      controlled under
                                                      ECCN 2A292.b, and
                                                      now controlled
                                                      under ECCN 2B350,
                                                      that meet or
                                                      exceed the
                                                      technical
                                                      parameters
                                                      described in ECCN
                                                      2B350.g;
                                  .................  (2) Items
                                                      previously
                                                      controlled by
                                                      2B290 (except as
                                                      specified above
                                                      for former 2B290.a
                                                      machines that meet
                                                      or exceed the
                                                      parameters in ECCN
                                                      2B991.d.1).
``Technology'' for the                   ECCN 2E001  ECCN 2E001--
 ``development'' of equipment                         ``Technology'' for
 controlled by 2A292, 2A293, or                       the
 2B290 or ``software''                                ``development'' of
 controlled by 2D290.                                 the following:
                                  .................  (1) Valves
                                                      previously
                                                      controlled under
                                                      ECCN 2A292.b that
                                                      meet or exceed the
                                                      technical
                                                      parameters
                                                      described in ECCN
                                                      2B350.g;
                                  .................  (2) Other equipment
                                                      previously
                                                      controlled by
                                                      2A292 or 2A293
                                                      (now controlled by
                                                      2A992 or 2A993,
                                                      respectively);
                                  .................  (3) Equipment
                                                      controlled by
                                                      2A290 or 2A291;
                                  .................  (4) 2D290
                                                      ``software''
                                                      ``specially
                                                      designed'' or
                                                      modified for the
                                                      ``development,''
                                                      ``production,'' or
                                                      ``use'' of items
                                                      controlled by
                                                      2A290 or 2A291;
                                  .................  (5) 2D993
                                                      ``software''
                                                      ``specially
                                                      designed'' or
                                                      modified for the
                                                      ``development,''
                                                      ``production,'' or
                                                      ``use'' of items
                                                      previously
                                                      controlled by
                                                      2A292 or 2A293
                                                      (now controlled by
                                                      2A992 or 2A993,
                                                      respectively).
                                  .................  EAR99--``Technology
                                                      '' for the
                                                      ``development'' of
                                                      the following:
                                  .................  (1) Equipment
                                                      previously
                                                      controlled by
                                                      2B290;
                                  .................  (2) ``Software''
                                                      previously
                                                      controlled by
                                                      2D290 ``specially
                                                      designed'' or
                                                      modified for the
                                                      ``development,''
                                                      ``production,'' or
                                                      ``use'' of items
                                                      controlled by
                                                      2B290.
``Technology'' for the                   ECCN 2E002  ECCN 2E002--
 ``production'' of equipment                          ``Technology'' for
 controlled by 2A292, 2A293, or                       the ``production''
 2B290.                                               of the following:
                                  .................  (1) Valves
                                                      previously
                                                      controlled under
                                                      ECCN 2A292.b that
                                                      meet or exceed the
                                                      technical
                                                      parameters
                                                      described in ECCN
                                                      2B350.g;
                                  .................  (2) Other equipment
                                                      previously
                                                      controlled by
                                                      2A292 or 2A293
                                                      (now controlled by
                                                      2A992 or 2A993,
                                                      respectively).
                                  .................  EAR99--``Technology
                                                      '' for the
                                                      ``production'' of
                                                      equipment
                                                      previously
                                                      controlled by
                                                      2B290.
``Technology'' for the ``use''           ECCN 2E290  ECCN 2E290--
 of equipment controlled by                           ``Technology'' for
 2A292, 2A293, or 2B290.                              the ``use'' of
                                                      items controlled
                                                      by 2A290 or 2A291
                                                      continues to be
                                                      controlled under
                                                      this ECCN.
                                  .................  ECCN 2E301--
                                                      ``Technology'' for
                                                      the ``use'' of
                                                      valves previously
                                                      controlled under
                                                      ECCN 2A292.b that
                                                      meet or exceed the
                                                      technical
                                                      parameters
                                                      described in ECCN
                                                      2B350.g.
                                  .................  ECCN 2E991--
                                                      ``Technology'' for
                                                      the ``use'' of
                                                      turning machines
                                                      or combination
                                                      turning/milling
                                                      machines
                                                      previously
                                                      controlled under
                                                      ECCN 2B290.a that
                                                      meet or exceed the
                                                      parameters in ECCN
                                                      2B991.d.1.
                                  .................  ECCN 2E993--
                                                      ``Technology'' for
                                                      the ``use'' of
                                                      equipment
                                                      previously
                                                      controlled by
                                                      2A292 or 2A293 and
                                                      now controlled by
                                                      2A992 or 2A993,
                                                      respectively
                                                      (except as
                                                      specified above
                                                      for certain former
                                                      2A292.b valves).

[[Page 85143]]

 
                                  .................  EAR99--``Technology
                                                      '' for the ``use''
                                                      of equipment
                                                      previously
                                                      controlled by
                                                      2B290 (except as
                                                      specified above
                                                      for certain former
                                                      2B290.a turning
                                                      machines or
                                                      combination
                                                      turning/milling
                                                      machines).
Oscilloscopes and transient              ECCN 3A292  3A992.d through .g--
 recorders other than those                           Equipment
 controlled by 3A002.a.7 or                           previously
 3A002.h.                                             controlled by
                                                      3A292.
``Software'' for the                          EAR99  ECCN 3D991--
 ``development,''                                     ``Software'' for
 ``production,'' or ``use'' of                        the
 equipment previously controlled                      ``development,''
 under ECCN 3A292.                                    ``production,'' or
                                                      ``use'' of
                                                      equipment
                                                      previously
                                                      controlled under
                                                      3A292 (now
                                                      controlled under
                                                      3A992.d through
                                                      .g, as described
                                                      above).
``Technology'' for the                   ECCN 3E292  3E991--``Technology
 ``development,''                                     '' for the
 ``production,'' or ``use'' of                        ``development,''
 equipment controlled by 3A292.                       ``production,'' or
                                                      ``use'' of
                                                      equipment
                                                      previously
                                                      controlled under
                                                      3A292 (now
                                                      controlled under
                                                      3A992.d through
                                                      .g, as described
                                                      above).
------------------------------------------------------------------------

Conforming Amendments Elsewhere in the EAR

    In addition to the conforming amendments to the CCL described 
above, this rule makes conforming amendments to other EAR provisions to 
reflect the removal of ECCNs 2A292, 2A293, 2B290, and 3A292. In Section 
738.2 (Commerce Control List Structure), this rule amends the 
parenthetical in the third sentence of paragraph (d)(1)(ii) by removing 
the reference to ECCN 2A292 and replacing it with a reference to ECCN 
2A290. This rule also amends Section 738.2 by removing the reference to 
ECCN 3A292 from the fourth sentence of paragraph (d)(2)(iv)(C)(3). In 
Section 742.2 (Chemical/Biological License Requirements), this rule 
removes references to ECCN 2A292 from paragraphs (a)(2)(vi), 
(a)(2)(x)(B), and (a)(2)(xi). This rule amends Supplement No. 2 to part 
744 (List of Items Subject to the Military End-Use Requirement in Sec.  
744.17) by removing the references to ECCN 3A292.d from paragraphs 
(3)(i) and (3)(iii) and replacing them with references to ECCN 3A992.g. 
In addition, the reference to ECCN 3E292 in paragraph (3)(iii) of the 
Supplement is replaced with a reference to ECCN 3E991. These changes 
maintain the continuity of the EAR military end-use controls on the 
digital oscilloscopes and transient recorders affected by the 
amendments contained in this rule.
    Finally, this rule amends Supplement No. 7 to part 748 (Validated 
End-User List) by removing two references to ECCN 2A292 from the 
People's Republic of China entry for Intel Semiconductor (Dalian) Ltd.

Effect of This Rule on the Scope of Certain EAR Controls

    The changes made by this rule only marginally affect the scope of 
the EAR controls on the items previously controlled under ECCN 2A292, 
2A293, 2B290, or 3A292 (and any related ``software'' and ``technology'' 
therefor), as described above. Prior to the publication of this rule, 
these items required a license for NP and/or AT reasons to nine 
countries (i.e., Cuba, Iran, Iraq, Israel, Libya, North Korea, 
Pakistan, Sudan, and Syria). However, as indicated above, license 
requirements continue to apply to most of these items under ECCN 2A992 
or 2A993 (AT Column 1 destinations), ECCN 2B350.g (CB Column 1 and AT 
Column 1 destinations) or under ECCN 2B991.d.1 or 3A992.d through .g 
(AT Column 1 destinations). Also, a license from BIS continues to be 
required for exports, reexports, or transfers (in-country) involving 
any of these items to Cuba, North Korea, or Syria or any of these items 
that are not classified as EAR99 to Iran or Sudan. In addition to these 
EAR license requirements, the Treasury Department's Office of Foreign 
Assets Control (OFAC) administers comprehensive trade and investment 
embargoes against Iran, Sudan, and Syria that include prohibitions on 
exports and certain reexport transactions involving these countries.
    Therefore, as a result of the controls described above, the 
amendments made by this rule are likely to have a noticeable impact on 
license requirements only with respect to exports, reexports, or 
transfers (in-country) of those items previously controlled under ECCN 
2A292, 2A293, 2B290 or 3A292 (and any related ``software'' and 
``technology'' therefor) that are now classified as EAR99, or are 
currently controlled on the CCL for AT reasons only (i.e., under ECCN 
2A992, 2A993, 2B991, 2D991, 2D993, 2E991, 2E993, 3A992, 3D991, or 
3E991), and involve the following destinations: Iraq, Israel, Libya, or 
Pakistan. In this regard, note that the EAR maintain license 
requirements on exports or reexports to Iraq, or transfers within Iraq, 
of items subject to the EAR (including EAR99 items, as well as items 
listed on the CCL) that are destined for a military end-user and/or a 
military end-use. In addition, a license is required under the EAR if a 
transaction is subject to any of the end-user/end-use controls 
described in part 744 of the EAR.
    In light of the above, this rule is expected to have the most 
significant impact with respect to exports, reexports, or transfers 
(in-country) of certain digital oscilloscopes to Israel. The effect of 
this rule on exports, reexports, or transfers (in-country) of any of 
these items to other destinations is expected to be insignificant.

Export Administration Act

    Although the Export Administration Act expired on August 20, 2001, 
the President, through Executive Order 13222 of August 17, 2001, 3 CFR, 
2001 Comp., p. 783 (2002), as amended by Executive Order 13637 of March 
8, 2013, 78 FR 16129 (March 13, 2013), and as extended by the Notice of 
August 4, 2016 (81 FR 52587 (Aug. 8, 2016)), has continued the Export 
Administration Regulations in effect under the International Emergency 
Economic Powers Act (50 U.S.C. 1701 et seq.). BIS continues to carry 
out the provisions of the Export Administration Act, as appropriate and 
to the extent permitted by law, pursuant to Executive Order 13222 as 
amended by Executive Order 13637.

Rulemaking Requirements

    1. Executive Orders 13563 and 12866 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, of reducing costs, of harmonizing rules, and of promoting 
flexibility. This rule has been designated a ``significant regulatory 
action,'' although not economically significant, consistent with 
Executive Order 12866. Accordingly, the rule has been reviewed

[[Page 85144]]

by the Office of Management and Budget.
    2. Notwithstanding any other provision of law, no person is 
required to respond to, nor shall any person be subject to a penalty 
for failure to comply with, a collection of information subject to the 
requirements of the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et 
seq.) (PRA), unless that collection of information displays a currently 
valid Office of Management and Budget (OMB) Control Number. This rule 
contains a collection of information subject to the requirements of the 
PRA. This collection has been approved by OMB under Control Number 
0694-0088 (Multi-Purpose Application), which carries a burden hour 
estimate of 58 minutes to prepare and submit form BIS-748. Send 
comments regarding this burden estimate or any other aspect of this 
collection of information, including suggestions for reducing the 
burden, to Jasmeet Seehra, Office of Management and Budget, by email to 
[email protected], or by fax to (202) 395-7285; and to the 
Regulatory Policy Division, Bureau of Industry and Security, Department 
of Commerce, 14th Street & Pennsylvania Avenue NW., Room 2705, 
Washington, DC 20230 or by email to [email protected].
    3. This rule does not contain policies with Federalism implications 
as that term is defined in Executive Order 13132.
    4. The provisions of the Administrative Procedure Act (5 U.S.C. 
553) requiring notice of proposed rulemaking, the opportunity for 
public participation, and a delay in effective date, are inapplicable 
because this regulation involves a military and foreign affairs 
function of the United States (See 5 U.S.C. 553(a)(1)). Immediate 
implementation of these amendments is non-discretionary and fulfills 
the United States' international obligation to administer controls on 
specified items consistent with the Guidelines, and the Annex thereto, 
maintained by the Nuclear Suppliers Group (NSG). The NSG contributes to 
international security and regional stability through the harmonization 
of export controls and seeks to ensure that exports do not contribute 
to the development of nuclear weapons. The NSG consists of 48 member 
countries that act on a consensus basis and the amendments set forth in 
this rule revise the scope of nuclear nonproliferation controls in the 
EAR to more fully reflect the controls implemented by other NSG 
participating countries, in accordance with the NSG Guidelines and the 
Annex thereto. Because the United States is a significant exporter of 
the items addressed in this rule, immediate implementation of these 
regulatory provisions is necessary in order for the NSG to continue to 
meet its objectives. Any delay in implementation will create a 
disruption in the movement of affected items globally because of 
disharmony between the export controls maintained by the United States 
and the export control measures implemented by other NSG members, 
resulting in tension between member countries. Export controls work 
best when all countries implement the same export controls in a timely 
and coordinated manner.
    Further, no other law requires that a notice of proposed rulemaking 
and an opportunity for public comment be given for this final rule. 
Because a notice of proposed rulemaking and an opportunity for public 
comment are not required to be given for this rule under the 
Administrative Procedure Act or by any other law, the analytical 
requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) 
are not applicable. Therefore, this regulation is issued in final form.

List of Subjects

15 CFR Part 738

    Exports.

15 CFR Part 742

    Administrative practice and procedure, Chemicals, Exports, Foreign 
trade, Reporting and recordkeeping requirements.

15 CFR Part 744

    Exports, Reporting and recordkeeping requirements, Terrorism.

15 CFR Part 748

    Administrative practice and procedure, Exports, Reporting and 
recordkeeping requirements.

15 CFR Part 774

    Exports, Reporting and recordkeeping requirements.

    For the reasons stated in the preamble, parts 738, 742, 744, 748, 
and 774 of the Export Administration Regulations (15 CFR parts 730-774) 
are amended as follows:

PART 738--[AMENDED]

0
1. The authority citation for 15 CFR part 738 continues to read as 
follows:

    Authority:  50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; 10 
U.S.C. 7420; 10 U.S.C. 7430(e); 22 U.S.C. 287c; 22 U.S.C. 3201 et 
seq.; 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u); 42 U.S.C. 2139a; 43 
U.S.C. 1354; 15 U.S.C. 1824a; 50 U.S.C. 4305; 22 U.S.C. 7201 et 
seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 
228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of 
August 4, 2016, 81 FR 52587 (August 8, 2016).


Sec.  738.2   [Amended]

0
2. Section 738.2 is amended:
0
a. By removing ``2A292'' from the parenthetical in the third sentence 
of paragraph (d)(1)(ii) and adding ``2A290'' in its place; and
0
b. By removing ``3A292,'' from the fourth sentence of paragraph 
(d)(2)(iv)(C)(3).

PART 742--[AMENDED]

0
3. The authority citation for 15 CFR part 742 continues to read as 
follows:

    Authority:  50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; 22 
U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22 
U.S.C. 7210; Sec. 1503, Pub. L. 108-11, 117 Stat. 559; E.O. 12058, 
43 FR 20947, 3 CFR, 1978 Comp., p. 179; E.O. 12851, 58 FR 33181, 3 
CFR, 1993 Comp., p. 608; E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp., 
p. 950; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 
13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Presidential 
Determination 2003-23, 68 FR 26459, 3 CFR, 2004 Comp., p. 320; 
Notice of November 12, 2015, 80 FR 70667 (November 13, 2015); Notice 
of August 4, 2016, 81 FR 52587 (August 8, 2016).


Sec.  742.2   [Amended]

0
4. Section 742.2 is amended:
0
a. By removing the phrase ``or ECCN 2A292'' from paragraph (a)(2)(vi);
0
b. By removing the phrase ``or 2A292'' from paragraph (a)(2)(x)(B); and
0
c. By removing the phrase ``or 2A292'' from paragraph (a)(2)(xi).

PART 744--[AMENDED]

0
5. The authority citation for 15 CFR part 744 continues to read as 
follows:

    Authority: 50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; 22 
U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22 
U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR, 1978 Comp., p. 179; 
E.O. 12851, 58 FR 33181, 3 CFR, 1993 Comp., p. 608; E.O. 12938, 59 
FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 12947, 60 FR 5079, 3 CFR, 
1995 Comp., p. 356; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 
228; E.O. 13099, 63 FR 45167, 3 CFR, 1998 Comp., p. 208; E.O. 13222, 
66 FR 44025, 3 CFR, 2001 Comp., p. 783; E.O. 13224, 66 FR 49079, 3 
CFR, 2001 Comp., p. 786; Notice of September 18, 2015, 80 FR 57281 
(September 22, 2015); Notice of November 12, 2015, 80 FR 70667 
(November 13, 2015); Notice of January 20, 2016, 81 FR 3937 (January 
22, 2016); Notice of August 4, 2016, 81 FR 52587 (August 8, 2016).

Supplement No. 2 to Part 744--[Amended]

0
6. Supplement No. 2 to part 744 is amended:

[[Page 85145]]

0
a. By removing ``3A292.d'' from paragraph (3)(i) and paragraph (3)(iii) 
and adding ``3A992.g'' in its place; and
0
b. By removing ``3E292'' from paragraph (3)(iii) and adding ``3E991'' 
in its place.

PART 748--[AMENDED]

0
7. The authority citation for 15 CFR part 748 continues to read as 
follows:

    Authority:  50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; E.O. 
13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13222, 66 FR 
44025, 3 CFR, 2001 Comp., p. 783; Notice of August 4, 2016, 81 FR 
52587 (August 8, 2016).

Supplement No. 7 to Part 748--[Amended]

0
8. Supplement No. 7 to part 748 is amended under the China (People's 
Republic of) Validated End-User entry for Intel Semiconductor (Dalian) 
Ltd.:
0
a. By removing ``2A292,'' wherever it appears; and
0
c. By adding ``81 FR [INSERT Federal Register PAGE NUMBER], November 
25, 2016'' in chronological order, under the column heading ``Federal 
Register citation'', for this Validated End-User entry.

PART 774--[AMENDED]

0
9. The authority citation for 15 CFR part 774 continues to read as 
follows:

    Authority:  50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; 10 
U.S.C. 7420; 10 U.S.C. 7430(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et 
seq.; 22 U.S.C. 6004; 30 U.S.C. 185(s), 185(u); 42 U.S.C. 2139a; 43 
U.S.C. 1354; 15 U.S.C. 1824a; 50 U.S.C. 4305; 22 U.S.C. 7201 et 
seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 
228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of 
August 4, 2016, 81 FR 52587 (August 8, 2016).

Supplement No. 1 to Part 774--[Amended]

0
10. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2A226 is amended, under the 
``List of Items Controlled'' section, by removing ``2A292,'' from the 
second entry of the ``Related Controls'' paragraph and adding 
``2A992,'' in its place.

0
11. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCNs 2A292 and 2A293 are removed.

0
12. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, add ECCNs 2A992 and 2A993 between 
ECCNs 2A991 and 2A994 to read as follows:

2A992 Piping, fittings and valves made of, or lined with stainless, 
copper-nickel alloy or other alloy steel containing 10% or more 
nickel and/or chromium.

License Requirements

Reason for Control: AT

 
                                              Country chart  (see supp.
                Control(s)                       No. 1 to part 738)
 
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: (1) See ECCN 2D993 for software for items 
controlled under this entry. (2) See ECCNs 2E001 (``development''), 
2E002 (``production''), and 2E993 (``use'') for technology for items 
controlled under this entry. (3) Also see ECCNs 2A226, 2B350 and 
2B999.
Related Definitions: N/A
Items:

    a. Pressure tube, pipe, and fittings of 200 mm (8 in.) or more 
inside diameter, and suitable for operation at pressures of 3.4 MPa 
(500 psi) or greater;
    b. Pipe valves having all of the following characteristics that 
are not controlled by ECCN 2B350.g:
    b.1. A pipe size connection of 200 mm (8 in.) or more inside 
diameter; and
    b.2. Rated at 10.3 MPa (1,500 psi) or more.

2A993 Pumps designed to move molten metals by electromagnetic 
forces.

License Requirements

Reason for Control: AT

 
                                              Country chart  (see supp.
                Control(s)                       No. 1 to part 738)
 
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See part 740 for a description of all 
license exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: (1) See ECCN 2D993 for software for items 
controlled under this entry. (2) See ECCNs 2E001 (``development''), 
2E002 (``production''), and 2E993 (``use'') for technology for items 
controlled under this entry. (3) Pumps for use in liquid-metal-
cooled reactors are subject to the export licensing authority of the 
Nuclear Regulatory Commission (see 10 CFR part 110).
Related Definitions: N/A
Items: The list of items controlled is contained in the ECCN 
heading.

0
13. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, immediately following the Category 2 
subheading B that applies to ``Test,'' ``Inspection'' and ``Production 
Equipment,'' revise the ``Technical Notes'' heading to read as follows:

B. ``Test,'' ``Inspection'' and ``Production Equipment''

Technical Notes for 2B001 to 2B009, 2B201, and 2B991 to 2B999: * * *

* * * * *

0
14. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2B001 is amended, under the 
``List of Items Controlled'' section, by removing the phrase ``2B201, 
2B290, and 2B991'' from the fourth entry of the ``Related Controls'' 
paragraph and adding the phrase ``2B201 and 2B991'' in its place.

0
15. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2B201 is amended, under the 
``List of Items Controlled'' section, by removing the phrase ``2B001, 
2B290, and 2B991'' from the third entry of the ``Related Controls'' 
paragraph and adding the phrase ``2B001 and 2B991'' in its place.

0
16. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2B290 is removed.

0
17. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2B350 is amended by revising the 
ECCN heading and by revising the ``Related Controls'' paragraph, under 
the ``List of Items Controlled'' section, to read as follows:

2B350 Chemical manufacturing facilities and equipment, except valves 
controlled by 2A226, as follows (see List of Items Controlled).
* * * * *

List of Items Controlled

Related Controls: See also ECCNs 2A226, 2A992, 2A993, 2B231, and 
2B999.
* * * * *

0
18. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2B991 is amended by revising the 
``Related Controls'' paragraph, under the ``List of Items Controlled'' 
section, to read as follows:

2B991 Numerical control units for machine tools and ``numerically 
controlled'' machine tools, n.e.s. (see List of Items Controlled).
* * * * *

List of Items Controlled

Related Controls: See also ECCNs 2B001 and 2B201.
* * * * *

0
19. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category

[[Page 85146]]

2--Materials Processing, ECCN 2B999 is amended, under the ``List of 
Items Controlled'' section, by removing ``2A293,'' from the first entry 
of the ``Related Controls'' paragraph and adding ``2A992, 2A993,'' in 
its place.

0
20. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2D290 is amended by revising the 
ECCN heading to read as follows:

2D290 ``Software'' ``specially designed'' or modified for the 
``development,'' ``production,'' or ``use'' of items controlled by 
2A290 or 2A291.
* * * * *

0
21. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, add ECCN 2D993 between ECCNs 2D992 
and 2D994 to read as follows:

2D993 ``Software'' ``specially designed'' or modified for the 
``development,'' ``production,'' or ``use'' of items controlled by 
2A992 or 2A993.

License Requirements

Reason for Control: AT

 
                                              Country chart  (see supp.
                Control(s)                       No. 1 to part 738)
 
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See part 740 for a Description of All 
License Exceptions)

CIV: N/A
TSR: N/A

List of Items Controlled

Related Controls: See ECCN 2E001 (``development'') for 
``technology'' for ``software'' controlled under this entry.
Related Definitions: N/A
Items: The list of items controlled is contained in the ECCN 
heading.


0
22. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2E001 is amended by revising, in 
the License Requirements section, the fourth and fifth entries in the 
table (which contain the Control(s) language for Country Chart NP 
Column 2 and Country Chart CB Column 2, respectively) to read as 
follows:

2E001 ``Technology'' according to the General Technology Note for 
the ``development'' of equipment or ``software'' controlled by 2A 
(except 2A983, 2A984, 2A991, or 2A994), 2B (except 2B991, 2B993, 
2B996, 2B997, 2B998, or 2B999), or 2D (except 2D983, 2D984, 2D991, 
2D992, or 2D994).

License Requirements

Reason for Control: * * *

 
                                              Country chart  (see supp.
                Control(s)                       No. 1 to part 738)
 
 
                                * * * * *
NP applies to ``technology'' for items      NP Column 2
 controlled by 2A290, 2A291, or 2D290 for
 NP reasons.
CB applies to ``technology'' for equipment  CB Column 2
 controlled by 2B350 to 2B352, valves
 controlled by 2A226 having the
 characteristics of those controlled by
 2B350.g, and software controlled by 2D351.
 
                                * * * * *
 

* * * * *


0
23. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2E002 is amended by revising, in 
the License Requirements section, the fourth and fifth entries in the 
table (which contain the Control(s) language for Country Chart NP 
Column 2 and Country Chart CB Column 2, respectively), to read as 
follows:

2E002 ``Technology'' according to the General Technology Note for 
the ``production'' of equipment controlled by 2A (except 2A983, 
2A984, 2A991, or 2A994) or 2B (except 2B991, 2B993, 2B996, 2B997, 
2B998, or 2B999).

License Requirements

Reason for Control: * * *

 
                                              Country chart  (see supp.
                Control(s)                       No. 1 to part 738)
 
 
                                * * * * *
NP applies to ``technology'' for equipment  NP Column 2
 controlled by 2A290 or 2A291 for NP
 reasons.
CB applies to ``technology'' for equipment  CB Column 2
 controlled by 2B350 to 2B352 and for
 valves controlled by 2A226 having the
 characteristics of those controlled by
 2B350.g.
 
                                * * * * *
 

* * * * *


0
24. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 2E290 is amended by revising the 
ECCN heading and by revising the License Requirements section to read 
as follows:

2E290 ``Technology'' according to the General Technology Note for 
the ``use'' of equipment controlled by 2A290 or 2A291.

License Requirements

Reason for Control: NP, AT

 
                                              Country chart  (see supp.
                Control(s)                       No. 1 to part 738)
 
NP applies to entire entry................  NP Column 2
AT applies to entire entry................  AT Column 1
 

* * * * *


0
25. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, add ECCN 2E993 between ECCNs 2E991 
and 2E994 to read as follows:

2E993 ``Technology'' according to the General Technology Note for 
the ``use'' of equipment controlled by 2A992 or 2A993.

License Requirements

Reason for Control: AT

 
                                              Country chart  (see supp.
                Control(s)                       No. 1 to part 738)
 
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See part 740 for a Description of All 
License Exceptions)

CIV: N/A
TSR: N/A

List of Items Controlled

Related Controls: N/A
Related Definitions: N/A
Items: The list of items controlled is contained in the ECCN 
heading.


0
26. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 3--Electronics, ECCN 3A002 is amended by revising the 
``Related Controls'' paragraph, under the ``List of Items Controlled'' 
section, to read as follows:

3A002 General purpose ``electronic assemblies,'' modules and 
equipment, as follows (see List of Items Controlled).
* * * * *

List of Items Controlled

Related Controls: See Category XV(e)(9) of the USML for certain 
``space-qualified'' atomic frequency standards ``subject to the 
ITAR'' (see 22 CFR parts 120 through 130). See also 3A101, 3A992 and 
9A515.x.
* * * * *

0
27. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category

[[Page 85147]]

3--Electronics, ECCN 3A292 is removed.

0
28. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 3--Electronics, ECCN 3A992 is amended in the ``Items'' 
paragraph, under the ``List of Items Controlled'' section, by adding 
paragraphs .d through .g and by adding a Note at the end of ECCN to 
read as follows:

3A992 General purpose electronic equipment not controlled by 3A002.
* * * * *

List of Items Controlled

* * * * *
Items:
* * * * *
    d. Non-modular analog oscilloscopes having a bandwidth of 1 GHz 
or greater;
    e. Modular analog oscilloscope systems having either of the 
following characteristics:
    e.1. A mainframe with a bandwidth of 1 GHz or greater; or
    e.2. Plug-in modules with an individual bandwidth of 4 GHz or 
greater;
    f. Analog sampling oscilloscopes for the analysis of recurring 
phenomena with an effective bandwidth greater than 4 GHz;
    g. Digital oscilloscopes and transient recorders, using analog-
to-digital conversion techniques, capable of storing transients by 
sequentially sampling single-shot inputs at successive intervals of 
less than 1 ns (greater than 1 giga-sample per second), digitizing 
to 8 bits or greater resolution and storing 256 or more samples.

    Note:  This ECCN controls the following ``specially designed'' 
``parts'' and ``components'' for analog oscilloscopes:
    1. Plug-in units;
    2. External amplifiers;
    3. Pre-amplifiers;
    4. Sampling devices;
    5. Cathode ray tubes.



0
29. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 2--Materials Processing, ECCN 3E001 is amended by revising the 
ECCN heading to read as follows:

3E001 ``Technology'' according to the General Technology Note for 
the ``development'' or ``production'' of equipment or materials 
controlled by 3A (except 3A980, 3A981, 3A991 3A992, or 3A999), 3B 
(except 3B991 or 3B992) or 3C (except 3C992).

* * * * *

0
30. In Supplement No. 1 to part 774 (the Commerce Control List), 
Category 3--Electronics, ECCN 3E292 is removed.

    Dated: November 15, 2016.
Kevin J. Wolf,
Assistant Secretary for Export Administration.
[FR Doc. 2016-28039 Filed 11-23-16; 8:45 am]
 BILLING CODE 3510-33-P