CBP has removed a State Department license exemption from the Automated Export System that has been revised by the Directorate of Defense Trade Controls, according to a May 19 CSMS message. The exemption, which was revised last year (see 2005120027), was removed from the AES Trade Interface Requirements appendix for International Traffic in Arms Regulations exemption codes after an April 19, 2020, end date for the exemption, CBP said. The exemption is no longer accepted in Electronic Export Information submissions. Exporters that need to update previously accepted shipments should refer to the exemptions section of the DDTC’s frequently asked questions site or contact the DDTC response team, CBP said.

The State Department rescinded a policy of denial for a subsidiary of BAE Systems located in Saudi Arabia, according to a notice. The policy no longer applies to BAE Systems Saudi Arabia Limited (BAES SAL), which was one of several BAES subsidiaries convicted of violating the Arms Export Control Act and the International Traffic in Arms Regulations in 2010. The State Department rescinded the denial policy after receiving a request from BAES SAL and determining the action was “in the national security and foreign policy interests” of the U.S.

The State Department issued statutory debarment for 23 people for violations of the Arms Export Control Act, the agency said in a notice. The State Department stressed that they are blocked from participating in activities regulated by the International Traffic in Arms Regulations, including brokering activities, exports and temporary imports. The debarment period will last for three years, at which time the people can apply for reinstatement of export privileges, the agency said. If their export privileges are not reinstated, they remain debarred.

The Directorate of Defense Trade Controls issued a series of frequently asked questions on May 11 to clarify an International Traffic in Arms Regulations exemption that authorizes exports and other activities made by or for a U.S. government agency.

The Commerce and State Department should improve export control guidance for universities, which sometimes struggle to comply with U.S. export regulations because of unclear guidance that is usually tailored toward industry, the Government Accountability Office said May 12. The GAO also said Defense Department officials should better familiarize themselves with export control regulations in order to not hamper university research efforts.

Plans to finalize a reorganization of the International Traffic in Arms Regulations have been put on hold due to the COVID-19 pandemic, said Mike Miller, the State Department’s deputy assistant secretary for defense trade. The reorganization -- which involves moving definitions and consolidating exemptions within the ITAR (see 1907120011) -- has been “de-emphasized as a priority,” Miller said during a May 8 conference call hosted by the Society for International Affairs. “In the current environment, with all the disruption and the difficulties everyone is facing, a rollout of that at this time would not be timely.”

Export Compliance Daily is providing readers with some of the top stories for April 27 - May 1 in case you missed them.

The Directorate of Defense Trade Controls is reducing registration fees for certain DDTC registrants to help industry mitigate impacts of the COVID-19 pandemic, the agency said in a May 1 notice. DDTC will temporarily reduce registration fees for “DDTC registrants in Tier I and Tier II” to $500 “for registrations whose original expiration date is between May 31, 2020 and April 30, 2021,” the agency said. DDTC will also reduce registration fees to $500 for new applicants who submit their registration application between May 1 and April 30, 2021. DDTC said this reduction in fees “will save regulated industry over $20 million over the course of the coming year.” The temporary fee reduction will apply only though April 30, 2021. The agency added that the fee structure for “Tier III entities remains unchanged at this time.”

The State Department issued a notice to inform industry of a series of compliance, licensing and management measures to mitigate the impact of the COVID-19 pandemic. The notice includes measures announced by the Directorate of Defense Trade Controls on April 23 (see 2004240017). The measures allow for temporary “suspensions, modifications, and exceptions” of certain International Traffic in Arms Regulations requirements, including registration renewals, time limits on licenses and agreements, and remote working measures.

The Directorate of Defense Trade Controls scheduled an April 30 update of its Defense Export Control and Compliance System to allow license drafters to select the empowered official to sign and submit a license, the DDTC said April 29. The update will return all licenses in “awaiting signature” status to “draft” status. License drafters should open the license and select empowered official “to return the license to the 'Awaiting Signature' status,” the DDTC said. Due to the update, the agency said it expected DECCS to be unavailable to industry from 6 a.m. to 8 a.m. EDT April 30.