ITAR Requirements

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ITAR Requirements
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Summary

• ITAR - What is ITAR?
• Most of EBs Parts and Components fall under USML
  Category VI
• ITAR Sec. 121.1, Cat. VI
• Special Care and Handling Required (NNPI)
• Does ITAR Apply to Me?
• Common ITAR Violations
• Penalties for ITAR Violations
• Qualifying to Do Business With EB
• Dont Get Lost Trying to Go It Alone

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ITAR International Traffic in Arms Regulations

• The ITAR is a set of US government regulations
  that control the export and import of
  defense-related articles and services and
  technical data on the United States Munitions
  List (USML). http//www.pmddtc.state.gov/docs/itar
  /2007/itar_part_121.doc
• These regulations implement the provisions of
  the Arms Export Control Act, and are published in
  in Title 22 (Foreign Relations), Chapter I,
  Subchapter M of the Code of Federal Regulations.
  
• The Department of State interprets and enforces
  ITAR. Its goal is to advance national strategic
  objectives and U.S. foreign policy via the trade
  controls.

http//www.pmddtc.state.gov/consolidated_itar.htm
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Cat. VI of the USML (U.S. Munitions List)

• Cat. VI includes Vessels of War and Special Naval
  Equipment and applies to most EB Components
• If you provide, manufacture or repair a
  specifically designed or modified component,
  part, accessory, attachment and/or associated
  equipment for EBs submarines, you are
  handling an ITAR-controlled defense article.
• The article and all corresponding documentation
  (written instructions, specifications, drawings
  in any format) or technology (information
  pertaining to design, production or manufacture)
  is export controlled.

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Special Care and Handling Required .

• What is NNPI ?
• Naval Nuclear Propulsion Information
• ITAR Part 122 Category VIVessels of War and
  Special Naval Equipment.
• (e) Naval nuclear propulsion plants, their land
  prototypes, and special facilities for their
  construction, support, and maintenance. This
  includes any machinery, device, component, or
  equipment specifically developed, designed or
  modified for use in such plants or facilities.

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Does ITAR apply to me?

• Are you a manufacturer or exporter of a defense
  article?
• Do you provide, manufacture or repair a
  specifically designed or modified component,
  part, accessory, attachment and/or associated
  equipment for EBs submarines?

If you answered Yes, you must be aware of ITAR
requirements!
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When Does ITAR Become an Issue?

• Do you have foreign national employees working at
  your company?
• Do you have a technology control plan?
• Do you utilize foreign companies for parts,
  components or services in relation to articles or
  services provided to EB?
• Do you have a FOCI (foreign ownership, control or
  influence) issue?

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Common Examples of ITAR Violations

• A manufacturer of a defense article is not
  registered with DDTC (Directorate of Defense
  Trade Controls)
• An EB supplier permits a non-US national employee
  to handle a defense article or view information
  concerning a defense article
• Placement of pictures or technical information
  about a defense article on your company website
• Emailing technical specification changes to an EB
  engineer via the internet
• Shipping an article in whole or in part to a
  foreign subcontractor for repair or replacement
  without obtaining an export license
• Calling a foreign subcontractor for design,
  manufacturing or other technical assistance
  regarding a defense article without obtaining an
  export license

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Penalties for ITAR Violations

• Criminal penalty for willful violation Up to
  1M per violation for corporations, Up to 1M per
  violation for individuals and up to 10 yrs in
  jail
• Civil penalty for any violation up to 500k per
  violation for individuals and/or corporations
• Seizure or forfeiture of goods
• Debarment from licensing and/or government
  contracting
• EB cannot do business with a debarred party!!

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Qualifying to Do Business with EB
EB uses these forms to ensure that recipients of
our technical data are qualified to receive it.

• EB FOCI (Foreign Ownership, Control or Influence)
  Certification - Tells us about your company and
  whether we can do business together
• DDTC (Directorate of Defense Trade Controls)
  Registration Is your company eligible to
  manufacture and export defense articles?
• http//www.pmddtc.state.gov/registration.htm
• DLIS-JCP (Defense Logistics Information Service
  Joint Certification Program) Certification (DoD
  Form 2345) -Is your company a qualified US
  contractor or subcontractor ?
• http//www.dlis.dla.mil/jcp/faq.asp
• TCP/ACP (Technology Control Plan/Access Control
  Plan)- Does your company have a robust technology
  control plan to protect our sensitive
  information?
• http//www.dss.mil/isp/foci/sample_tech_con_plan.h
  tml
• Is your company foreign owned or managed?
• http//www.dss.mil/isp/foci/foci_mitagation.html

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Dont get lost trying to go it alone

• SIA (Society for International Affairs)
  Conferences
• Training of in-house staff in import/export
  compliance
• http//www.siaed.org/
• Export Consultants
• For companies that lack sufficient in-house
  resources

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Questions

• If you or your company have any questions
  regarding requirements of ITAR
• Seek help from your companys Legal
  Representation

Dont take chances with ITAR
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