USC Title 22, Chapter 39

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

and disclosure criteria used by United States in determining whether sensitive weapons technology will be
transferred to other countries, and not later than Feb.
15, 1980 to transmit a report to Congress setting forth
the results of such review, together with such recommendations as are necessary to improve the current
disclosure system, prior to repeal by Pub. L. 97–113,
title VII, § 734(a)(11), Dec. 29, 1981, 95 Stat. 1560.

§ 2776a. Annual report on foreign sales of significant military equipment manufactured in the
United States
(a) Report required
Not later than March 31 of each year, the Secretary of Defense shall submit to the congressional defense committees a report on foreign
military sales and direct sales to foreign entities of significant military equipment manufactured in the United States during the preceding
calendar year.
(b) Contents
Each report required by subsection (a) shall
indicate, for each sale of significant military
equipment in excess of $2,000,000—
(1) the nature of the equipment and the dollar value of the sale;
(2) the country to which the equipment was
sold; and
(3) the manufacturer of the equipment and
the State in which the equipment was manufactured.
(c) Public availability
The Secretary of Defense shall make each report required by subsection (a) publicly available to the maximum extent practicable.
(d) Significant military equipment defined
In this section, the term ‘‘significant military
equipment’’ has the meaning given the term in
section 2794(9) of this title.
(Pub. L. 109–364, div. A, title XII, § 1231, Oct. 17,
2006, 120 Stat. 2430; Pub. L. 110–181, div. A, title
X, § 1063(c)(11), Jan. 28, 2008, 122 Stat. 323.)
CODIFICATION
Section was enacted as part of the John Warner National Defense Authorization Act for Fiscal Year 2007,
and not as part of the Arms Export Control Act which
comprises this chapter.
AMENDMENTS
2008—Subsec. (d). Pub. L. 110–181 made technical
amendment to reference in original act which appears
in text as reference to section 2794(9) of this title.
EFFECTIVE DATE OF 2008 AMENDMENT
Pub. L. 110–181, div. A, title X, § 1063(c), Jan. 28, 2008,
122 Stat. 322, provided that the amendment made by
section 1063(c)(11) of Pub. L. 110–181 is effective as of
Oct. 17, 2006, and as if included in Pub. L. 109–364 as enacted.
‘‘CONGRESSIONAL DEFENSE COMMITTEES’’ DEFINED
Congressional defense committees has the meaning
given that term in section 101(a)(16) of Title 10, Armed
Forces, see section 3 of Pub. L. 109–364, Oct. 17, 2006, 120
Stat. 2100. See note under section 101 of Title 10.

§ 2777. Fiscal provisions relating to foreign military sales credits
(a) Permissible uses of cash payments under sections 2761, 2762, 2763, and 2769
Cash payments received under sections 2761,
2762, and 2769 of this title and advances received

§ 2778

under section 2763 of this title shall be available
solely for payments to suppliers (including the
military departments) and refunds to purchasers
and shall not be available for financing credits
and guaranties.
(b) Transfer of funds to miscellaneous receipts of
Treasury
Amounts received from foreign governments
and international organizations as repayments
for credits extended pursuant to section 2763 of
this title, amounts received from the disposition
of instruments evidencing indebtedness under
section 2764(b) of this title (excluding such portion of the sales proceeds as may be required at
the time of disposition to be obligated as a reserve for payment of claims under guaranties issued pursuant to section 2764(b) of this title,
which sums are made available for such obligations), and other collections (including fees and
interest) shall be transferred to the miscellaneous receipts of the Treasury.
(c) Credit of funds to reserve under section
2764(c)
Notwithstanding the provisions of subsection
(b) of this section, to the extent that any of the
funds constituting the reserve under section
2764(c) of this title are paid out for a claim arising out of a loan guaranteed under section 2764
of this title, amounts received from a foreign
government or international organization after
the date of such payment, with respect to such
claim, shall be credited to such reserve, shall be
merged with the funds in such reserve, and shall
be available for any purpose for which funds in
such reserve are available.
(Pub. L. 90–629, ch. 3, § 37, Oct. 22, 1968, 82 Stat.
1326; Pub. L. 93–189, § 25(11), Dec. 17, 1973, 87 Stat.
731; Pub. L. 96–533, title I, §§ 104(b), 105(e)(1), Dec.
16, 1980, 94 Stat. 3133, 3135.)
AMENDMENTS
1980—Subsec. (a). Pub. L. 96–533, § 105(e)(1), inserted
reference to section 2769 of this title.
Subsec. (c). Pub. L. 96–533, § 104(b), added subsec. (c).
1973—Subsec. (b). Pub. L. 93–189 inserted provisions
relating to indebtedness under section 2764(b) of this
title and exclusions of portions of the sales proceeds required at the time of disposition as a reserve for payment of claims under guaranties issued under section
2764(b) of this title.

§ 2778. Control of arms exports and imports
(a) Presidential control of exports and imports of
defense articles and services, guidance of
policy, etc.; designation of United States Munitions List; issuance of export licenses; negotiations information
(1) In furtherance of world peace and the security and foreign policy of the United States, the
President is authorized to control the import
and the export of defense articles and defense
services and to provide foreign policy guidance
to persons of the United States involved in the
export and import of such articles and services.
The President is authorized to designate those
items which shall be considered as defense articles and defense services for the purposes of this
section and to promulgate regulations for the
import and export of such articles and services.
The items so designated shall constitute the
United States Munitions List.

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

(2) Decisions on issuing export licenses under
this section shall take into account whether the
export of an article would contribute to an arms
race, aid in the development of weapons of mass
destruction, support international terrorism, increase the possibility of outbreak or escalation
of conflict, or prejudice the development of bilateral or multilateral arms control or nonproliferation agreements or other arrangements.
(3) In exercising the authorities conferred by
this section, the President may require that any
defense article or defense service be sold under
this chapter as a condition of its eligibility for
export, and may require that persons engaged in
the negotiation for the export of defense articles
and services keep the President fully and currently informed of the progress and future prospects of such negotiations.
(b) Registration and licensing requirements for
manufacturers, exporters, or importers of
designated defense articles and defense services
(1)(A)(i) As prescribed in regulations issued
under this section, every person (other than an
officer or employee of the United States Government acting in an official capacity) who engages
in the business of manufacturing, exporting, or
importing any defense articles or defense services designated by the President under subsection (a)(1) of this section shall register with
the United States Government agency charged
with the administration of this section, and
shall pay a registration fee which shall be prescribed by such regulations. Such regulations
shall prohibit the return to the United States
for sale in the United States (other than for the
Armed Forces of the United States and its allies
or for any State or local law enforcement agency) of any military firearms or ammunition of
United States manufacture furnished to foreign
governments by the United States under this
chapter or any other foreign assistance or sales
program of the United States, whether or not
enhanced in value or improved in condition in a
foreign country. This prohibition shall not extend to similar firearms that have been so substantially transformed as to become, in effect,
articles of foreign manufacture.
(ii)(I) As prescribed in regulations issued
under this section, every person (other than an
officer or employee of the United States Government acting in official capacity) who engages in
the business of brokering activities with respect
to the manufacture, export, import, or transfer
of any defense article or defense service designated by the President under subsection (a)(1)
of this section, or in the business of brokering
activities with respect to the manufacture, export, import, or transfer of any foreign defense
article or defense service (as defined in subclause (IV)), shall register with the United
States Government agency charged with the administration of this section, and shall pay a registration fee which shall be prescribed by such
regulations.
(II) Such brokering activities shall include the
financing, transportation, freight forwarding, or
taking of any other action that facilitates the
manufacture, export, or import of a defense article or defense service.

Page 1018

(III) No person may engage in the business of
brokering activities described in subclause (I)
without a license, issued in accordance with this
chapter, except that no license shall be required
for such activities undertaken by or for an agency of the United States Government—
(aa) for use by an agency of the United
States Government; or
(bb) for carrying out any foreign assistance
or sales program authorized by law and subject to the control of the President by other
means.
(IV) For purposes of this clause, the term ‘‘foreign defense article or defense service’’ includes
any non-United States defense article or defense
service of a nature described on the United
States Munitions List regardless of whether
such article or service is of United States origin
or whether such article or service contains
United States origin components.
(B) 1 The prohibition under such regulations
required by the second sentence of subparagraph
(A) shall not extend to any military firearms (or
ammunition, components, parts, accessories,
and attachments for such firearms) of United
States manufacture furnished to any foreign
government by the United States under this
chapter or any other foreign assistance or sales
program of the United States if—
(i) such firearms are among those firearms
that the Secretary of the Treasury is, or was
at any time, required to authorize the importation of by reason of the provisions of section
925(e) of title 18 (including the requirement for
the listing of such firearms as curios or relics
under section 921(a)(13) of that title); and
(ii) such foreign government certifies to the
United States Government that such firearms
are owned by such foreign government.
(B) 1 A copy of each registration made under
this paragraph shall be transmitted to the Secretary of the Treasury for review regarding law
enforcement concerns. The Secretary shall report to the President regarding such concerns as
necessary.
(2) Except as otherwise specifically provided in
regulations issued under subsection (a)(1) of this
section, no defense articles or defense services
designated by the President under subsection
(a)(1) of this section may be exported or imported without a license for such export or import, issued in accordance with this chapter and
regulations issued under this chapter, except
that no license shall be required for exports or
imports made by or for an agency of the United
States Government (A) for official use by a department or agency of the United States Government, or (B) for carrying out any foreign assistance or sales program authorized by law and
subject to the control of the President by other
means.
(3)(A) For each of the fiscal years 1988 and 1989,
$250,000 of registration fees collected pursuant to
paragraph (1) shall be credited to a Department
of State account, to be available without fiscal
year limitation. Fees credited to that account
shall be available only for the payment of expenses incurred for—
1 So

in original. There are two subpars. designated ‘‘(B)’’.

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

(i) contract personnel to assist in the evaluation of munitions control license applications, reduce processing time for license applications, and improve monitoring of compliance with the terms of licenses; and
(ii) the automation of munitions control
functions and the processing of munitions control license applications, including the development, procurement, and utilization of computer equipment and related software.
(B) The authority of this paragraph may be exercised only to such extent or in such amounts
as are provided in advance in appropriation
Acts.
(c) Criminal violations; punishment
Any person who willfully violates any provision of this section, section 2779 of this title, a
treaty referred to in subsection (j)(1)(C)(i), or
any rule or regulation issued under this section
or section 2779 of this title, including any rule or
regulation issued to implement or enforce a
treaty referred to in subsection (j)(1)(C)(i) or an
implementing arrangement pursuant to such
treaty, or who willfully, in a registration or license application or required report, makes any
untrue statement of a material fact or omits to
state a material fact required to be stated therein or necessary to make the statements therein
not misleading, shall upon conviction be fined
for each violation not more than $1,000,000 or imprisoned not more than 20 years, or both.
(d) Repealed. Pub. L. 96–70, title III, § 3303(a)(4),
Sept. 27, 1979, 93 Stat. 499
(e) Enforcement powers of President
In carrying out functions under this section
with respect to the export of defense articles
and defense services, including defense articles
and defense services exported or imported pursuant to a treaty referred to in subsection
(j)(1)(C)(i), the President is authorized to exercise the same powers concerning violations and
enforcement which are conferred upon departments, agencies and officials by subsections (c),
(d), (e), and (g) of section 11 of the Export Administration Act of 1979 [50 U.S.C. App. 2410(c),
(d), (e), and (g)], and by subsections (a) and (c) of
section 12 of such Act [50 U.S.C. App. 2411(a) and
(c)], subject to the same terms and conditions as
are applicable to such powers under such Act [50
U.S.C. App. 2401 et seq.], except that section
11(c)(2)(B) of such Act shall not apply, and instead, as prescribed in regulations issued under
this section, the Secretary of State may assess
civil penalties for violations of this chapter and
regulations prescribed thereunder and further
may commence a civil action to recover such
civil penalties, and except further that the
names of the countries and the types and quantities of defense articles for which licenses are
issued under this section shall not be withheld
from public disclosure unless the President determines that the release of such information
would be contrary to the national interest.
Nothing in this subsection shall be construed as
authorizing the withholding of information from
the Congress. Notwithstanding section 11(c) of
the Export Administration Act of 1979, the civil
penalty for each violation involving controls im-

§ 2778

posed on the export of defense articles and defense services under this section may not exceed
$500,000.
(f) Periodic review of items on Munitions List;
exemptions
(1) The President shall periodically review the
items on the United States Munitions List to determine what items, if any, no longer warrant
export controls under this section. The results
of such reviews shall be reported to the Speaker
of the House of Representatives and to the Committee on Foreign Relations and the Committee
on Banking, Housing, and Urban Affairs of the
Senate. The President may not remove any item
from the Munitions List until 30 days after the
date on which the President has provided notice
of the proposed removal to the Committee on
International Relations of the House of Representatives and to the Committee on Foreign
Relations of the Senate in accordance with the
procedures applicable to reprogramming notifications under section 2394–1(a) of this title. Such
notice shall describe the nature of any controls
to be imposed on that item under any other provision of law.
(2) The President may not authorize an exemption for a foreign country from the licensing requirements of this chapter for the export of defense items under subsection (j) of this section
or any other provision of this chapter until 30
days after the date on which the President has
transmitted to the Committee on International
Relations of the House of Representatives and
the Committee on Foreign Relations of the Senate a notification that includes—
(A) a description of the scope of the exemption, including a detailed summary of the defense articles, defense services, and related
technical data covered by the exemption; and
(B) a determination by the Attorney General
that the bilateral agreement concluded under
subsection (j) of this section requires the compilation and maintenance of sufficient documentation relating to the export of United
States defense articles, defense services, and
related technical data to facilitate law enforcement efforts to detect, prevent, and prosecute criminal violations of any provision of
this chapter, including the efforts on the part
of countries and factions engaged in international terrorism to illicitly acquire sophisticated United States defense items.
(3) Paragraph (2) shall not apply with respect
to an exemption for Canada from the licensing
requirements of this chapter for the export of
defense items.
(4) Paragraph (2) shall not apply with respect
to an exemption under subsection (j)(1) to give
effect to a treaty referred to in subsection
(j)(1)(C)(i) (and any implementing arrangements
to such treaty), provided that the President promulgates regulations to implement and enforce
such treaty under this section and section 2779
of this title.
(g) Identification of persons convicted or subject
to indictment for violations of certain provisions
(1) The President shall develop appropriate
mechanisms to identify, in connection with the
export licensing process under this section—

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

(A) persons who are the subject of an indictment for, or have been convicted of, a violation under—
(i) this section,
(ii) section 11 of the Export Administration Act of 1979 (50 U.S.C. App. 2410),
(iii) section 793, 794, or 798 of title 18 (relating to espionage involving defense or classified information) or section 2339A of such
title (relating to providing material support
to terrorists),
(iv) section 16 of the Trading with the
Enemy Act (50 U.S.C. App. 16),
(v) section 206 of the International Emergency Economic Powers Act (relating to foreign assets controls; 50 U.S.C. App. 1705) [50
U.S.C. 1705],
(vi) section 30A of the Securities Exchange
Act of 1934 (15 U.S.C. 78dd–1) or section 104 of
the Foreign Corrupt Practices Act (15 U.S.C.
78dd–2),
(vii) chapter 105 of title 18 (relating to sabotage),
(viii) section 4(b) of the Internal Security
Act of 1950 (relating to communication of
classified information; 50 U.S.C. 783(b)),
(ix) section 57, 92, 101, 104, 222, 224, 225, or
226 of the Atomic Energy Act of 1954 (42
U.S.C. 2077, 2122, 2131, 2134, 2272, 2274, 2275,
and 2276),
(x) section 601 of the National Security Act
of 1947 (relating to intelligence identities
protection; 50 U.S.C. 421),
(xi) section 603(b) or (c) of the Comprehensive Anti-Apartheid Act of 1986 (22 U.S.C.
5113(b) and (c)); 2 or
(xii) section 3 3, 4, 5, and 6 of the Prevention of Terrorist Access to Destructive
Weapons Act of 2004, relating to missile systems designed to destroy aircraft (18 U.S.C.
2332g), prohibitions governing atomic weapons (42 U.S.C. 2122), radiological dispersal devices (18 U.S.C. 2332h), and variola virus (18
U.S.C. 175b 4);
(B) persons who are the subject of an indictment or have been convicted under section 371
of title 18 for conspiracy to violate any of the
statutes cited in subparagraph (A); and
(C) persons who are ineligible—
(i) to contract with,
(ii) to receive a license or other form of authorization to export from, or
(iii) to receive a license or other form of
authorization to import defense articles or
defense services from,
any agency of the United States Government.
(2) The President shall require that each applicant for a license to export an item on the
United States Munitions List identify in the application all consignees and freight forwarders
involved in the proposed export.
(3) If the President determines—
(A) that an applicant for a license to export
under this section is the subject of an indictment for a violation of any of the statutes
cited in paragraph (1),
2 So

in original. The semicolon probably should be a comma.
in original. Probably should be ‘‘sections’’.
4 So in original. Probably should be ‘‘175c’’.
3 So

Page 1020

(B) that there is reasonable cause to believe
that an applicant for a license to export under
this section has violated any of the statutes
cited in paragraph (1), or
(C) that an applicant for a license to export
under this section is ineligible to contract
with, or to receive a license or other form of
authorization to import defense articles or defense services from, any agency of the United
States Government,
the President may disapprove the application.
The President shall consider requests by the
Secretary of the Treasury to disapprove any export license application based on these criteria.
(4) A license to export an item on the United
States Munitions List may not be issued to a
person—
(A) if that person, or any party to the export, has been convicted of violating a statute
cited in paragraph (1), or
(B) if that person, or any party to the export, is at the time of the license review ineligible to receive export licenses (or other forms
of authorization to export) from any agency of
the United States Government,
except as may be determined on a case-by-case
basis by the President, after consultation with
the Secretary of the Treasury, after a thorough
review of the circumstances surrounding the
conviction or ineligibility to export and a finding by the President that appropriate steps have
been taken to mitigate any law enforcement
concerns.
(5) A license to export an item on the United
States Munitions List may not be issued to a
foreign person (other than a foreign government).
(6) The President may require a license (or
other form of authorization) before any item on
the United States Munitions List is sold or
otherwise transferred to the control or possession of a foreign person or a person acting on behalf of a foreign person.
(7) The President shall, in coordination with
law enforcement and national security agencies,
develop standards for identifying high-risk exports for regular end-use verification. These
standards shall be published in the Federal Register and the initial standards shall be published
not later than October 1, 1988.
(8) Upon request of the Secretary of State, the
Secretary of Defense and the Secretary of the
Treasury shall detail to the office primarily responsible for export licensing functions under
this section, on a nonreimbursable basis, personnel with appropriate expertise to assist in the
initial screening of applications for export licenses under this section in order to determine
the need for further review of those applications
for foreign policy, national security, and law enforcement concerns.
(9) For purposes of this subsection—
(A) the term ‘‘foreign corporation’’ means a
corporation that is not incorporated in the
United States;
(B) the term ‘‘foreign government’’ includes
any agency or subdivision of a foreign government, including an official mission of a foreign
government;
(C) the term ‘‘foreign person’’ means any
person who is not a citizen or national of the

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

United States or lawfully admitted to the
United States for permanent residence under
the Immigration and Nationality Act [8 U.S.C.
1101 et seq.], and includes foreign corporations,
international organizations, and foreign governments;
(D) the term ‘‘party to the export’’ means—
(i) the president, the chief executive officer, and other senior officers of the license
applicant;
(ii) the freight forwarders or designated
exporting agent of the license application;
and
(iii) any consignee or end user of any item
to be exported; and
(E) the term ‘‘person’’ means a natural person as well as a corporation, business association, partnership, society, trust, or any other
entity, organization, or group, including governmental entities.
(h) Judicial review of designation of items as defense articles or services
The designation by the President (or by an official to whom the President’s functions under
subsection (a) of this section have been duly delegated), in regulations issued under this section,
of items as defense articles or defense services
for purposes of this section shall not be subject
to judicial review.
(i) Report to Department of State
As prescribed in regulations issued under this
section, a United States person to whom a license has been granted to export an item on the
United States Munitions List shall, not later
than 15 days after the item is exported, submit
to the Department of State a report containing
all shipment information, including a description of the item and the quantity, value, port of
exit, and end-user and country of destination of
the item.
(j) Requirements relating to country exemptions
for licensing of defense items for export to
foreign countries
(1) Requirement for bilateral agreement
(A) In general
The President may utilize the regulatory
or other authority pursuant to this chapter
to exempt a foreign country from the licensing requirements of this chapter with respect to exports of defense items only if the
United States Government has concluded a
binding bilateral agreement with the foreign
country. Such agreement shall—
(i) meet the requirements set forth in
paragraph (2); and
(ii) be implemented by the United States
and the foreign country in a manner that
is legally-binding under their domestic
laws.
(B) Exception for Canada
The requirement to conclude a bilateral
agreement in accordance with subparagraph
(A) shall not apply with respect to an exemption for Canada from the licensing requirements of this chapter for the export of
defense items.

§ 2778

(C) Exception for defense trade cooperation
treaties
(i) In general
The requirement to conclude a bilateral
agreement in accordance with subparagraph (A) shall not apply with respect to
an exemption from the licensing requirements of this chapter for the export of defense items to give effect to any of the following defense trade cooperation treaties,
provided that the treaty has entered into
force pursuant to article II, section 2,
clause 2 of the Constitution of the United
States:
(I) The Treaty Between the Government of the United States of America
and the Government of the United Kingdom of Great Britain and Northern Ireland Concerning Defense Trade Cooperation, done at Washington and London on
June 21 and 26, 2007 (and any implementing arrangement thereto).
(II) The Treaty Between the Government of the United States of America
and the Government of Australia Concerning Defense Trade Cooperation, done
at Sydney September 5, 2007 (and any implementing arrangement thereto).
(ii) Limitation of scope
The United States shall exempt from the
scope of a treaty referred to in clause (i)—
(I) complete rocket systems (including
ballistic missile systems, space launch
vehicles, and sounding rockets) or complete unmanned aerial vehicle systems
(including cruise missile systems, target
drones, and reconnaissance drones) capable of delivering at least a 500 kilogram
payload to a range of 300 kilometers, and
associated production facilities, software, or technology for these systems, as
defined in the Missile Technology Control Regime Annex Category I, Item 1;
(II) individual rocket stages, re-entry
vehicles and equipment, solid or liquid
propellant motors or engines, guidance
sets, thrust vector control systems, and
associated production facilities, software, and technology, as defined in the
Missile Technology Control Regime
Annex Category I, Item 2;
(III) defense articles and defense services listed in the Missile Technology
Control Regime Annex Category II that
are for use in rocket systems, as that
term is used in such Annex, including associated production facilities, software,
or technology;
(IV) toxicological agents, biological
agents, and associated equipment, as
listed in the United States Munitions
List (part 121.1 of chapter I of title 22,
Code of Federal Regulations), Category
XIV, subcategories (a), (b), (f)(1), (i), (j)
as it pertains to (f)(1), (l) as it pertains to
(f)(1), and (m) as it pertains to all of the
subcategories cited in this paragraph;
(V) defense articles and defense services specific to the design and testing of
nuclear weapons which are controlled

§ 2778

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

under United States Munitions List Category XVI(a) and (b), along with associated defense articles in Category XVI(d)
and technology in Category XVI(e);
(VI) with regard to the treaty cited in
clause (i)(I), defense articles and defense
services that the United States controls
under the United States Munitions List
that are not controlled by the United
Kingdom, as defined in the United Kingdom Military List or Annex 4 to the
United Kingdom Dual Use List, or any
successor lists thereto; and
(VII) with regard to the treaty cited in
clause (i)(II), defense articles for which
Australian laws, regulations, or other
commitments would prevent Australia
from enforcing the control measures
specified in such treaty.
(2) Requirements of bilateral agreement
A bilateral agreement referred to 5 paragraph (1)—
(A) shall, at a minimum, require the foreign country, as necessary, to revise its policies and practices, and promulgate or enact
necessary modifications to its laws and regulations to establish an export control regime that is at least comparable to United
States law, regulation, and policy requiring—
(i) conditions on the handling of all
United States-origin defense items exported to the foreign country, including
prior written United States Government
approval for any reexports to third countries;
(ii) end-use and retransfer control commitments, including securing binding enduse and retransfer control commitments
from all end-users, including such documentation as is needed in order to ensure
compliance and enforcement, with respect
to such United States-origin defense
items;
(iii) establishment of a procedure comparable to a ‘‘watchlist’’ (if such a watchlist does not exist) and full cooperation
with United States Government law enforcement agencies to allow for sharing of
export and import documentation and
background information on foreign businesses and individuals employed by or
otherwise connected to those businesses;
and
(iv) establishment of a list of controlled
defense items to ensure coverage of those
items to be exported under the exemption;
and
(B) should, at a minimum, require the foreign country, as necessary, to revise its policies and practices, and promulgate or enact
necessary modifications to its laws and regulations to establish an export control regime that is at least comparable to United
States law, regulation, and policy regarding—
(i) controls on the export of tangible or
intangible technology, including via fax,
phone, and electronic media;
5 So

in original. Probably should be followed by ‘‘in’’.

Page 1022

(ii) appropriate controls on unclassified
information relating to defense items exported to foreign nationals;
(iii) controls on international arms trafficking and brokering;
(iv) cooperation with United States Government agencies, including intelligence
agencies, to combat efforts by third countries to acquire defense items, the export
of which to such countries would not be
authorized pursuant to the export control
regimes of the foreign country and the
United States; and
(v) violations of export control laws, and
penalties for such violations.
(3) Advance certification
Not less than 30 days before authorizing an
exemption for a foreign country from the licensing requirements of this chapter for the
export of defense items, the President shall
transmit to the Committee on International
Relations of the House of Representatives and
the Committee on Foreign Relations of the
Senate a certification that—
(A) the United States has entered into a
bilateral agreement with that foreign country satisfying all requirements set forth in
paragraph (2);
(B) the foreign country has promulgated or
enacted all necessary modifications to its
laws and regulations to comply with its obligations under the bilateral agreement with
the United States; and
(C) the appropriate congressional committees will continue to receive notifications
pursuant to the authorities, procedures, and
practices of section 2776 of this title for defense exports to a foreign country to which
that section would apply and without regard
to any form of defense export licensing exemption otherwise available for that country.
(4) Definitions
In this section:
(A) Defense items
The term ‘‘defense items’’ means defense
articles, defense services, and related technical data.
(B) Appropriate congressional committees
The term ‘‘appropriate congressional committees’’ means—
(i) the Committee on International Relations and the Committee on Appropriations of the House of Representatives; and
(ii) the Committee on Foreign Relations
and the Committee on Appropriations of
the Senate.
(Pub. L. 90–629, ch. 3, § 38, as added Pub. L. 94–329,
title II, § 212(a)(1), June 30, 1976, 90 Stat. 744;
amended Pub. L. 95–92, § 20, Aug. 4, 1977, 91 Stat.
623; Pub. L. 96–70, title III, § 3303(a)(4), Sept. 27,
1979, 93 Stat. 499; Pub. L. 96–72, § 22(a), Sept. 29,
1979, 93 Stat. 535; Pub. L. 96–92, § 21, Oct. 29, 1979,
93 Stat. 710; Pub. L. 96–533, title I, § 107(a), (c),
Dec. 16, 1980, 94 Stat. 3136; Pub. L. 97–113, title I,
§§ 106, 107, Dec. 29, 1981, 95 Stat. 1522; Pub. L.
99–64, title I, § 123(a), July 12, 1985, 99 Stat. 156;
Pub. L. 99–83, title I, § 119(a), (b), Aug. 8, 1985, 99

Page 1023

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

Stat. 203, 204; Pub. L. 100–202, § 101(b) [title VIII,
§ 8142(a)], Dec. 22, 1987, 101 Stat. 1329–43, 1329–88;
Pub. L. 100–204, title XII, § 1255, Dec. 22, 1987, 101
Stat. 1429; Pub. L. 101–222, §§ 3(a), 6, Dec. 12, 1989,
103 Stat. 1896, 1899; Pub. L. 103–236, title VII,
§ 714(a)(1), Apr. 30, 1994, 108 Stat. 497; Pub. L.
104–164, title I, §§ 151(a), 156, July 21, 1996, 110
Stat. 1437, 1440; Pub. L. 105–277, div. G, subdiv. A,
title XII, § 1225(a)(2), Oct. 21, 1998, 112 Stat.
2681–773; Pub. L. 106–113, div. B, § 1000(a)(7) [div.
B, title XIII, §§ 1302(a), 1303, 1304], Nov. 29, 1999,
113 Stat. 1536, 1501A–510, 1501A–511; Pub. L.
106–280, title I, § 102(a), (b), Oct. 6, 2000, 114 Stat.
846, 848; Pub. L. 107–228, div. B, title XIV, § 1406,
Sept. 30, 2002, 116 Stat. 1458; Pub. L. 108–458, title
VI, § 6910, Dec. 17, 2004, 118 Stat. 3774; Pub. L.
111–195, title I, § 107(a)(2), July 1, 2010, 124 Stat.
1337; Pub. L. 111–266, title I, §§ 102(b)–103(c), Oct.
8, 2010, 124 Stat. 2797, 2799.)
REFERENCES IN TEXT
This chapter, referred to in text, was in the original
‘‘this Act’’, meaning Pub. L. 90–629, Oct. 22, 1968, 82
Stat. 1321, which is classified principally to this chapter. For complete classification of this Act to the Code,
see Short Title note set out under section 2751 of this
title and Tables.
The Export Administration Act of 1979, referred to in
subsec. (e), is Pub. L. 96–72, Sept. 29, 1979, 93 Stat. 503,
as amended, which is classified principally to section
2401 et seq. of Title 50, Appendix, War and National Defense. For complete classification of this Act to the
Code, see Short Title note set out under section 2401 of
Title 50, Appendix, and Tables.
Section 104 of the Foreign Corrupt Practices Act (15
U.S.C. 78dd–2), referred to in subsec. (g)(1)(A)(vi), probably means section 104 of the Foreign Corrupt Practices
Act of 1977, which is classified to section 78dd–2 of Title
15, Commerce and Trade.
Sections 3, 4, 5, and 6 of the Prevention of Terrorist
Access to Destructive Weapons Act of 2004, referred to
in subsec. (g)(1)(A)(xii), probably means sections 6903,
6904, 6905, and 6906, respectively, of Pub. L. 108–458,
which enacted section 2332g of Title 18, Crimes and
Criminal Procedure, amended sections 2122 and 2272 of
Title 42, The Public Health and Welfare, and enacted
sections 2332h and 175c of Title 18.
The Immigration and Nationality Act, referred to in
subsec. (g)(9)(C), is act June 27, 1952, ch. 477, 66 Stat.
163, as amended, which is classified principally to chapter 12 (§ 1101 et seq.) of Title 8, Aliens and Nationality.
For complete classification of this Act to the Code, see
Short Title note set out under section 1101 of Title 8
and Tables.
REFERENCE TO SECTION 1934 OF THIS TITLE DEEMED
REFERENCE TO THIS SECTION
Section 212(b)(1) of Pub. L. 94–329 provided in part
that: ‘‘Any reference to such section [section 1934 of
this title] shall be deemed to be a reference to section
38 of the Arms Export Control Act [this section] and
any reference to licenses issued under section 38 of the
Arms Export Control Act [this section] shall be deemed
to include a reference to licenses issued under section
414 of the Mutual Security Act of 1954.’’
AMENDMENTS
2010—Subsec. (c). Pub. L. 111–266, § 103(a), substituted
‘‘this section, section 2779 of this title, a treaty referred
to in subsection (j)(1)(C)(i), or any rule or regulation issued under this section or section 2779 of this title, including any rule or regulation issued to implement or
enforce a treaty referred to in subsection (j)(1)(C)(i) or
an implementing arrangement pursuant to such treaty’’ for ‘‘this section or section 2779 of this title, or any
rule or regulation issued under either section’’.
Pub. L. 111–195 substituted ‘‘20 years’’ for ‘‘ten
years’’.

§ 2778

Subsec. (e). Pub. L. 111–266, § 103(b), substituted ‘‘defense services, including defense articles and defense
services exported or imported pursuant to a treaty referred to in subsection (j)(1)(C)(i),’’ for ‘‘defense services,’’.
Subsec. (f)(4). Pub. L. 111–266, § 103(c), added par. (4).
Subsec. (j)(1)(B). Pub. L. 111–266, § 102(b)(1), inserted
‘‘for Canada’’ after ‘‘Exception’’ in heading.
Subsec. (j)(1)(C). Pub. L. 111–266, § 102(b)(2), added subpar. (C).
2004—Subsec. (g)(1)(A)(xii). Pub. L. 108–458 added cl.
(xii).
2002—Subsec. (f)(1). Pub. L. 107–228 substituted ‘‘The
President may not remove any item from the Munitions List until 30 days after the date on which the
President has provided notice of the proposed removal
to the Committee on International Relations of the
House of Representatives and to the Committee on Foreign Relations of the Senate in accordance with the
procedures applicable to reprogramming notifications
under section 2394–1(a) of this title. Such notice shall
describe the nature of any controls to be imposed on
that item under any other provision of law.’’ for ‘‘Such
a report shall be submitted at least 30 days before any
item is removed from the Munitions List and shall describe the nature of any controls to be imposed on that
item under the Export Administration Act of 1979.’’
2000—Subsec. (f). Pub. L. 106–280, § 102(b), designated
existing provisions as par. (1) and added pars. (2) and
(3).
Subsec. (j). Pub. L. 106–280, § 102(a), added subsec. (j).
1999—Subsec. (e). Pub. L. 106–113, § 1000(a)(7) [title
XIII, § 1303], in first sentence, inserted ‘‘section
11(c)(2)(B) of such Act shall not apply, and instead, as
prescribed in regulations issued under this section, the
Secretary of State may assess civil penalties for violations of this chapter and regulations prescribed thereunder and further may commence a civil action to recover such civil penalties, and except further that’’
after ‘‘except that’’.
Subsec. (g)(1)(A)(iii). Pub. L. 106–113, § 1000(a)(7) [title
XIII, § 1304], inserted ‘‘or section 2339A of such title (relating to providing material support to terrorists)’’ before comma at end.
Subsec. (i). Pub. L. 106–113, § 1000(a)(7) [title XIII,
§ 1302(a)], added subsec. (i).
1998—Subsec. (a)(2). Pub. L. 105–277 substituted ‘‘take
into account’’ for ‘‘be made in coordination with the
Director of the United States Arms Control and Disarmament Agency, taking into account the Director’s
assessment as to’’ and struck out at end ‘‘The Director
of the Arms Control and Disarmament Agency is authorized, whenever the Director determines that the issuance of an export license under this section would be
detrimental to the national security of the United
States, to recommend to the President that such export license be disapproved.’’
1996—Subsec. (b)(1)(A). Pub. L. 104–164, § 151(a), designated existing provisions of subpar. (A) as cl. (i) and
added cl. (ii).
Subsec. (e). Pub. L. 104–164, § 156, inserted before period at end of first sentence ‘‘, except that the names
of the countries and the types and quantities of defense
articles for which licenses are issued under this section
shall not be withheld from public disclosure unless the
President determines that the release of such information would be contrary to the national interest’’.
1994—Subsec. (a)(2). Pub. L. 103–236 amended par. (2)
generally. Prior to amendment, par. (2) read as follows:
‘‘Decisions on issuing export licenses under this section
shall be made in coordination with the Director of the
United States Arms Control and Disarmament Agency
and shall take into account the Director’s opinion as to
whether the export of an article will contribute to an
arms race, support international terrorism, increase
the possibility of outbreak or escalation of conflict, or
prejudice the development of bilateral or multilateral
arms control arrangements.’’
1989—Subsec. (a)(2). Pub. L. 101–222, § 3(a), inserted
‘‘support international terrorism,’’ after ‘‘arms race,’’.

§ 2778

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

Subsec. (h). Pub. L. 101–222, § 6, added subsec. (h).
1987—Subsec. (b)(1). Pub. L. 100–204, § 1255(b), designated existing provisions as subpar. (A) and added
subpar. (B) relating to review by Secretary of the
Treasury of munitions control registrations.
Pub. L. 100–202 designated existing provisions as subpar. (A) and added subpar. (B) relating to allowance of
return to United States of certain military firearms,
etc., under certain circumstances.
Subsec. (b)(3). Pub. L. 100–204, § 1255(c), added par. (3).
Subsec. (g). Pub. L. 100–204, § 1255(a), added subsec. (g).
1985—Subsec. (c). Pub. L. 99–83, § 119(a), inserted ‘‘for
each violation’’ before ‘‘not more’’ and substituted
‘‘$1,000,000’’ for ‘‘$100,000’’ and ‘‘ten’’ for ‘‘two’’.
Subsec. (e). Pub. L. 99–83, § 119(b), inserted provisions
relating to civil penalty for each violation.
Pub. L. 99–64 substituted ‘‘(g)’’ for ‘‘(f)’’.
1981—Subsec. (b)(3). Pub. L. 97–113, § 106, struck out
par. (3) which placed a $100,000,000 ceiling on commercial arms exports of major defense equipment to all
countries other than NATO countries, Japan, Australia, and New Zealand.
Subsec. (f). Pub. L. 97–113, § 107, added subsec. (f).
1980—Subsec. (a)(3). Pub. L. 96–533, § 107(c), added par.
(3).
Subsec. (b)(3). Pub. L. 96–533, § 107(a), increased the
limitation in the sale of major defense equipment exports to $100,000,000 from $35,000,000.
1979—Subsec. (b)(3). Pub. L. 96–92 increased the limitation in the sale of major defense equipment exports
to $35,000,000 from $25,000,000.
Subsec. (d). Pub. L. 96–70 struck out subsec. (d) which
provided that this section applies to and within the
Canal Zone.
Subsec. (e). Pub. L. 96–72 substituted ‘‘subsections (c),
(d), (e), and (f) of section 11 of the Export Administration Act of 1979, and by subsections (a) and (c) of section 12 of such Act’’ for ‘‘sections 6(c), (d), (e), and (f)
and 7(a) and (c) of the Export Administration Act of
1969’’.
1977—Subsec. (b)(3). Pub. L. 95–92 inserted provisions
relating to exceptions to prohibitions against issuance
of licenses under this section and procedures applicable
for implementation of such exceptions.
CHANGE OF NAME
Committee on International Relations of House of
Representatives changed to Committee on Foreign Affairs of House of Representatives by House Resolution
No. 6, One Hundred Tenth Congress, Jan. 5, 2007.
EFFECTIVE DATE OF 1998 AMENDMENT
Amendment by Pub. L. 105–277 effective Apr. 1, 1999,
see section 1201 of Pub. L. 105–277, set out as an Effective Date note under section 6511 of this title.
EFFECTIVE DATE OF 1996 AMENDMENT
Section 151(b) of Pub. L. 104–164 provided that: ‘‘Section 38(b)(1)(A)(ii) of the Arms Export Control Act, as
added by subsection (a) [22 U.S.C. 2778(b)(1)(A)(ii)], shall
apply with respect to brokering activities engaged in
beginning on or after 120 days after the enactment of
this Act [July 21, 1996].’’
EFFECTIVE DATE OF 1987 AMENDMENT
Section 101(b) [title VIII, § 8142(b)] of Pub. L. 100–202
provided that:
‘‘(1) Except as provided in paragraphs (2) and (3), subparagraph (B) of section 38(b)(1) of the Arms Export
Control Act [subsec. (b)(1)(B) of this section], as added
by subsection (a), shall take effect at the end of the
ninety-day period beginning on the date of the enactment of this Act [Dec. 22, 1987].
‘‘(2)(A) Such subparagraph shall take effect on the
date of the enactment of this Act [Dec. 22, 1987] with respect to any military firearms or ammunition (or components, parts, accessories and attachments for such
firearms) with respect to which an import permit was
issued by the Secretary of the Treasury on or after

Page 1024

July 1, 1986, irrespective of whether such import permit
was subsequently suspended, revoked, or withdrawn by
the Secretary of the Treasury based on the application
of section 38(b)(1) of the Arms Export Control Act [subsec. (b)(1) of this section] as in effect on the day before
the date of the enactment of this Act.
‘‘(B) In the case of an import permit described in subparagraph (A) which was suspended, revoked, or withdrawn by the Secretary of the Treasury during the period beginning on July 1, 1986, and ending on the date
of the enactment of this Act [Dec. 22, 1987] under the
conditions described in such subparagraph, such import
permit shall be reinstated and reissued immediately
upon the enactment of this Act, and in any event not
later than ten days after the date of the enactment of
this Act.
‘‘(3) During the period preceding the revision of regulations issued under section 38(b)(1) of the Arms Export
Control Act [subsec. (b)(1) of this section] to reflect the
provisions of subparagraph (B) of such section, as added
by subsection (a), such regulations may not be applied
with respect to matters covered by paragraph (2) of this
subsection so as to prohibit or otherwise restrict the
importation of firearms described in that paragraph or
in any other manner inconsistent with that paragraph,
notwithstanding that such regulations have not yet
been so revised: Provided, That this section shall not
take effect if during the twenty day period beginning
on the date of enactment of this section [Dec. 22, 1987]
the Secretary of State, the Secretary of Defense, or the
Secretary of the Treasury notifies Congress that he has
an objection to the intent of this section: Provided further, That the Attorney General shall, within the period of time stated in the first proviso, submit a certification to Congress indicating whether the enactment of
this section will interfere with any ongoing criminal
investigation with respect to this section. If a certification of criminal investigative interference or an objection to the intent of this section is made, as herein
provided, no permit shall be issued to anyone.’’
EFFECTIVE DATE OF 1985 AMENDMENT
Section 119(c) of Pub. L. 99–83 provided that: ‘‘This
section [amending this section] shall take effect upon
the date of enactment of this Act [Aug. 8, 1985] or October 1, 1985, whichever is later. The amendments made
by this section apply with respect to violations occurring after the effective date of this section.’’
EFFECTIVE DATE OF 1979 AMENDMENTS
Amendment by Pub. L. 96–72 effective upon the expiration of the Export Administration Act of 1969, which
terminated on Sept. 30, 1979, or upon any prior date
which the Congress by concurrent resolution or the
President by proclamation designated, see section 2418
and Prior Provisions note set out under section 2413 of
Title 50, Appendix, War and National Defense.
Amendment by Pub. L. 96–70 effective Oct. 1, 1979, see
section 3304 of Pub. L. 96–70, set out as an Effective
Date note under section 3601 of this title.
REGULATIONS
Pub. L. 111–266, title I, § 106, Oct. 8, 2010, 124 Stat. 2802,
provided that: ‘‘The President is authorized to issue
regulations pursuant to the Arms Export Control Act
(22 U.S.C. 2751 et seq.) to implement and enforce the
Treaty Between the Government of the United States
of America and the Government of the United Kingdom
of Great Britain and Northern Ireland Concerning Defense Trade Cooperation, done at Washington and London on June 21 and 26, 2007 (and any implementing arrangement thereto) and the Treaty Between the Government of the United States of America and the Government of Australia Concerning Defense Trade Cooperation, done at Sydney, September 5, 2007 (and any
implementing arrangement thereto), consistent with
other applicable provisions of the Arms Export Control
Act, as amended by this Act [see Short Title of 2010
Amendment notes set out under section 2751 of this

Page 1025

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

title], and with the terms of any resolution of advice
and consent adopted by the Senate with respect to either treaty.’’
RULE OF CONSTRUCTION
Pub. L. 111–266, title I, § 107, Oct. 8, 2010, 124 Stat. 2802,
provided that: ‘‘Nothing in this title [see section 101 of
Pub. L. 111–266, set out as a Short Title of 2010 Amendment note under section 2751 of this title], the Treaty
Between the Government of the United States of America and the Government of the United Kingdom of
Great Britain and Northern Ireland Concerning Defense
Trade Cooperation, done at Washington and London on
June 21 and 26, 2007 (and any implementing arrangement thereto), the Treaty Between the Government of
the United States of America and the Government of
Australia Concerning Defense Trade Cooperation, done
at Sydney, September 5, 2007 (and any implementing
arrangement thereto), or in any regulation issued to
implement either treaty, shall be construed to modify
or supersede any provision of law or regulation other
than the Arms Export Control Act (22 U.S.C. 2751 et
seq.), as amended by this Act [see Short Title of 2010
Amendment notes set out under section 2751 of this
title], and the International Traffic in Arms Regulations (subchapter M of chapter I of title 22, Code of Federal Regulations).’’
DELEGATION OF FUNCTIONS
Functions of President under this section, with certain exceptions, delegated to Secretary of State, with
concurrence of Secretary of Defense required for designations of items or categories of items which are considered as defense articles or services subject to export
control under this section, by section 1(l)(1) of Ex. Ord.
No. 11958, Jan. 18, 1977, 42 F.R. 4311, as amended, set out
as a note under section 2751 of this title.
Functions of President under this section relating to
the control of import of defense articles and services
transferred to Attorney General, with certain requirements for considering the views of Secretary of State
and for receiving concurrence of Secretary of State and
Secretary of Defense for designations of items or categories of items which are considered as defense articles and services subject to import control under this
section, by section 1(l)(2) of Ex. Ord. No. 11958.
Functions of President which involve subsec. (e) of
this section and are agreed to by Secretary of State
and Secretary of Commerce delegated to Secretary of
Commerce to be carried out on behalf of Secretary of
State by section 1(l)(3) of Ex. Ord. No. 11958.
LIMITATION ON IMPLEMENTING ARRANGEMENTS
Pub. L. 111–266, title I, § 105, Oct. 8, 2010, 124 Stat. 2800,
provided that:
‘‘(a) IN GENERAL.—No amendment to an implementing arrangement concluded pursuant to a treaty referred to in section 38(j)(1)(C)(i) of the Arms Export
Control Act, as added by this Act [22 U.S.C.
2778(j)(1)(C)(i)], shall enter into effect for the United
States unless the Congress adopts, and there is enacted,
legislation approving the entry into effect of that
amendment for the United States.
‘‘(b) COVERED AMENDMENTS.—
‘‘(1) IN GENERAL.—The requirements specified in
subsection (a) shall apply to any amendment other
than an amendment that addresses an administrative
or technical matter. The requirements in subsection
(a) shall not apply to any amendment that solely addresses an administrative or technical matter.
‘‘(2) U.S.-UK IMPLEMENTING ARRANGEMENT.—In the
case of the Implementing Arrangement Pursuant to
the Treaty Between the Government of the United
States of America and the Government of the United
Kingdom of Great Britain and Northern Ireland Concerning Defense Trade Cooperation, signed at Washington February 14, 2008, amendments to which the
requirements specified in subsection (a) apply shall
include—

§ 2778

‘‘(A) any amendment to section 2, paragraphs (1),
(2), or (3) that modifies the criteria governing operations, programs, and projects to which the treaty
applies;
‘‘(B) any amendment to section 3, paragraphs (1)
or (2) that modifies the criteria governing end-use
requirements and the requirements for approved
community members responding to United States
Government solicitations;
‘‘(C) any amendment to section 4, paragraph (4)
that modifies the criteria for including items on
the list of defense articles exempt from the treaty;
‘‘(D) any amendment to section 4, paragraph (7)
that modifies licensing and other applicable requirements relating to items added to the list of defense articles exempt from the scope of the treaty;
‘‘(E) any amendment to section 7, paragraph (4)
that modifies the criteria for eligibility in the approved community under the treaty for nongovernmental United Kingdom entities and facilities;
‘‘(F) any amendment to section 7, paragraph (9)
that modifies the conditions for suspending or removing a United Kingdom entity from the approved
community under the treaty;
‘‘(G) any amendment to section 7, paragraphs (11)
or (12) that modifies the conditions under which individuals may be granted access to defense articles
exported under the treaty;
‘‘(H) any amendment to section 9, paragraphs (1),
(3), (7), (8), (9), (12), or (13) that modifies the circumstances under which United States Government approval is required for the re-transfer or re-export of
a defense article, or to exceptions to such requirement; and
‘‘(I) any amendment to section 11, paragraph
(4)(b) that modifies conditions of entry to the
United Kingdom community under the treaty.
‘‘(3) U.S.-AUSTRALIA IMPLEMENTING ARRANGEMENT.—
In the case of the Implementing Arrangement Pursuant to the Treaty Between the Government of the
United States of America and the Government of the
[sic] Australia Concerning Defense Trade Cooperation, signed at Washington March 14, 2008, amendments to which the requirements specified in subsection (a) apply shall include—
‘‘(A) any amendment to section 2, paragraphs (1),
(2), or (3) that modifies the criteria governing operations, programs, and projects to which the treaty
applies;
‘‘(B) any amendment to section 3, paragraphs (1)
or (2) that modifies the criteria governing end-use
requirements and the requirements for approved
community members responding to United States
Government solicitations;
‘‘(C) any amendment to section 4, paragraph (4)
that modifies criteria for including items on the
list of defense articles exempt from the scope of the
treaty;
‘‘(D) any amendment to section 4, paragraph (7)
that modifies licensing and other applicable requirements relating to items added to the list of defense articles exempt from the scope of the treaty;
‘‘(E) any amendment to section 6, paragraph (4)
that modifies the criteria for eligibility in the approved community under the treaty for nongovernmental Australian entities and facilities;
‘‘(F) any amendment to section 6, paragraph (9)
that modifies the conditions for suspending or removing an Australian entity from the Australia
community under the treaty;
‘‘(G) any amendment to section 6, paragraphs (11),
(12), (13), or (14) that modifies the conditions under
which individuals may be granted access to defense
articles exported under the treaty;
‘‘(H) any amendment to section 9, paragraphs (1),
(2), (4), (7), or (8) that modifies the circumstances
under which United States Government approval is
required for the re-transfer or re-export of a defense
article, or to exceptions to such requirement; and
‘‘(I) any amendment to section 11, paragraph (6)
that modifies conditions of entry to the Australian
community under the treaty.

§ 2778

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

‘‘(c) CONGRESSIONAL NOTIFICATION FOR OTHER AMENDTO IMPLEMENTING ARRANGEMENTS.—Not later
than 15 days before any amendment to an implementing arrangement to which subsection (a) does not apply
shall take effect, the President shall provide to the
Committee on Foreign Relations of the Senate and the
Committee on Foreign Affairs of the House of Representatives a report containing—
‘‘(1) the text of the amendment; and
‘‘(2) an analysis of the amendment’s effect, including an analysis regarding why subsection (a) does not
apply.’’

MENTS

INFORMATION MANAGEMENT PRIORITIES
Pub. L. 107–228, div. B, title XIV, § 1403, Sept. 30, 2002,
116 Stat. 1453, provided that:
‘‘(a) OBJECTIVE.—The Secretary shall establish a secure, Internet-based system for the filing and review of
applications for export of Munitions List items.
‘‘(b) ESTABLISHMENT OF AN ELECTRONIC SYSTEM.—Of
the amount made available pursuant to section 1402 of
this Act [116 Stat. 1453], $3,000,000 is authorized to be
available to fully automate the Defense Trade Application System, and to ensure that the system—
‘‘(1) is a secure, electronic system for the filing and
review of Munitions List license applications;
‘‘(2) is accessible by United States companies
through the Internet for the purpose of filing and
tracking their Munitions List license applications;
and
‘‘(3) is capable of exchanging data with—
‘‘(A) the Export Control Automated Support System of the Department of Commerce;
‘‘(B) the Foreign Disclosure and Technology Information System and the USXPORTS systems of
the Department of Defense;
‘‘(C) the Export Control System of the Central Intelligence Agency; and
‘‘(D) the Proliferation Information Network System of the Department of Energy.
‘‘(c) MUNITIONS LIST DEFINED.—In this section, the
term ‘Munitions List’ means the United States Munitions List of defense articles and defense services controlled under section 38 of the Arms Export Control Act
(22 U.S.C. 2778).’’
[For definition of ‘‘Secretary’’ as used in section 1403
of Pub. L. 107–228, set out above, see section 3 of Pub.
L. 107–228, set out as a note under section 2651 of this
title.]
EFFECTIVE REGULATION OF SATELLITE EXPORT
ACTIVITIES
Pub. L. 106–113, div. B, § 1000(a)(7) [div. B, title XIII,
§ 1309], Nov. 29, 1999, 113 Stat. 1536, 1501A–513, provided
that:
‘‘(a) LICENSING REGIME.—
‘‘(1) ESTABLISHMENT.—The Secretary of State shall
establish a regulatory regime for the licensing for export of commercial satellites, satellite technologies,
their components, and systems which shall include
expedited approval, as appropriate, of the licensing
for export by United States companies of commercial
satellites, satellite technologies, their components,
and systems, to NATO allies and major non-NATO allies (as used within the meaning of section 644(q) of
the Foreign Assistance Act of 1961 [22 U.S.C. 2403(q)]).
‘‘(2) REQUIREMENTS.—For proposed exports to those
nations which meet the requirements of paragraph
(1), the regime should include expedited processing of
requests for export authorizations that—
‘‘(A) are time-critical, including a transfer or exchange of information relating to a satellite failure
or anomaly in-flight or on-orbit;
‘‘(B) are required to submit bids to procurements
offered by foreign persons;
‘‘(C) relate to the re-export of unimproved materials, products, or data; or
‘‘(D) are required to obtain launch and on-orbit
insurance.

Page 1026

‘‘(3) ADDITIONAL REQUIREMENTS.—In establishing the
regulatory regime under paragraph (1), the Secretary
of State shall ensure that—
‘‘(A) United States national security considerations and United States obligations under the Missile Technology Control Regime are given priority
in the evaluation of any license; and
‘‘(B) such time is afforded as is necessary for the
Department of Defense, the Department of State,
and the United States intelligence community to
conduct a review of any license.
‘‘(b) FINANCIAL AND PERSONNEL RESOURCES.—Of the
funds authorized to be appropriated in section 101(1)(A)
[113 Stat. 1501A–410], $9,000,000 is authorized to be appropriated for the Office of Defense Trade Controls of
the Department of State for each of the fiscal years
2000 and 2001, to enable that office to carry out its responsibilities.
‘‘(c) IMPROVEMENT AND ASSESSMENT.—The Secretary
of State should, not later than 6 months after the date
of the enactment of this Act [Nov. 29, 1999], submit to
the Congress a plan for—
‘‘(1) continuously gathering industry and public
suggestions for potential improvements in the Department of State’s export control regime for commercial satellites; and
‘‘(2) arranging for the conduct and submission to
Congress, not later than 15 months after the date of
the enactment of this Act, of an independent review
of the export control regime for commercial satellites as to its effectiveness at promoting national
security and economic competitiveness.’’
PROLIFERATION AND EXPORT CONTROLS
Pub. L. 106–65, div. A, title XIV, §§ 1402–1405, 1408–1412,
Oct. 5, 1999, 113 Stat. 798–804, as amended by Pub. L.
106–398, § 1 [[div. A], title XII, § 1204], Oct. 30, 2000, 114
Stat. 1654, 1654A–325; Pub. L. 107–107, div. A, title X,
§ 1048(g)(8), Dec. 28, 2001, 115 Stat. 1228, provided that:
‘‘SEC. 1402. ANNUAL REPORT ON TRANSFERS OF
MILITARILY SENSITIVE TECHNOLOGY TO
COUNTRIES AND ENTITIES OF CONCERN
‘‘(a) ANNUAL REPORT.—Not later than March 30 of
each year beginning in the year 2000 and ending in the
year 2007, the President shall transmit to Congress a
report on transfers to countries and entities of concern
during the preceding calendar year of the most significant categories of United States technologies and technical information with potential military applications.
‘‘(b) CONTENTS OF REPORT.—The report required by
subsection (a) shall include, at a minimum, the following:
‘‘(1) An assessment by the Director of Central Intelligence of efforts by countries and entities of concern
to acquire technologies and technical information referred to in subsection (a) during the preceding calendar year.
‘‘(2) An assessment by the Secretary of Defense, in
consultation with the Joint Chiefs of Staff and the
Director of Central Intelligence, of the cumulative
impact of licenses granted by the United States for
exports of technologies and technical information referred to in subsection (a) to countries and entities of
concern during the preceding 5-calendar year period
on—
‘‘(A) the military capabilities of such countries
and entities; and
‘‘(B) countermeasures that may be necessary to
overcome the use of such technologies and technical information.
‘‘(3) An audit by the Inspectors General of the Departments of Defense, State, Commerce, and Energy,
in consultation with the Director of Central Intelligence and the Director of the Federal Bureau of Investigation, of the policies and procedures of the
United States Government with respect to the export
of technologies and technical information referred to
in subsection (a) to countries and entities of concern.
‘‘(4) The status of the implementation or other disposition of recommendations included in reports of

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

audits by Inspectors General that have been set forth
in a previous annual report under this section pursuant to paragraph (3).
‘‘(c) ADDITIONAL REQUIREMENT FOR FIRST REPORT.—
The first annual report required by subsection (a) shall
include an assessment by the Inspectors General of the
Departments of State, Defense, Commerce, and the
Treasury and the Inspector General of the Central Intelligence Agency of the adequacy of current export
controls and counterintelligence measures to protect
against the acquisition by countries and entities of
concern of United States technology and technical information referred to in subsection (a).
‘‘(d) SUPPORT OF OTHER AGENCIES.—Upon the request
of the officials responsible for preparing the assessments required by subsection (b), the heads of other departments and agencies shall make available to those
officials all information necessary to carry out the requirements of this section.
‘‘(e) CLASSIFIED AND UNCLASSIFIED REPORTS.—Each
report required by this section shall be submitted in
classified form and unclassified form.
‘‘(f) DEFINITION.—As used in this section, the term
‘countries and entities of concern’ means—
‘‘(1) any country the government of which the Secretary of State has determined, for purposes of section 6(j) of the Export Administration Act of 1979 [50
U.S.C. App. 2405(j)] or other applicable law, to have
repeatedly provided support for acts of international
terrorism;
‘‘(2) any country that—
‘‘(A) has detonated a nuclear explosive device (as
defined in section 830(4) of the Nuclear Proliferation Prevention Act of 1994 (22 U.S.C. 6305(4))); and
‘‘(B) is not a member of the North Atlantic Treaty Organization; and
‘‘(3) any entity that—
‘‘(A) is engaged in international terrorism or activities in preparation thereof; or
‘‘(B) is directed or controlled by the government
of a country described in paragraph (1) or (2).
‘‘SEC. 1403. RESOURCES FOR EXPORT LICENSE
FUNCTIONS
‘‘(a) OFFICE OF DEFENSE TRADE CONTROLS.—
‘‘(1) IN GENERAL.—The Secretary of State shall take
the necessary steps to ensure that, in any fiscal year,
adequate resources are allocated to the functions of
the Office of Defense Trade Controls of the Department of State relating to the review and processing
of export license applications so as to ensure that
those functions are performed in a thorough and
timely manner.
‘‘(2) AVAILABILITY OF EXISTING APPROPRIATIONS.—
The Secretary of State shall take the necessary steps
to ensure that those funds made available under the
heading ‘Administration of Foreign Affairs, Diplomatic and Consular Programs’ in title IV of the Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 1999,
as contained in the Omnibus Consolidated and Emergency Supplemental Appropriations Act, 1999 (Public
Law 105–277) [112 Stat. 2681–92] are made available,
upon the enactment of this Act, to the Office of Defense Trade Controls of the Department of State to
carry out the purposes of the Office.
‘‘(b) DEFENSE THREAT REDUCTION AGENCY.—The Secretary of Defense shall take the necessary steps to ensure that, in any fiscal year, adequate resources are allocated to the functions of the Defense Threat Reduction Agency of the Department of Defense relating to
the review of export license applications so as to ensure
that those functions are performed in a thorough and
timely manner.
‘‘(c) UPDATING OF STATE DEPARTMENT REPORT.—Not
later than March 1, 2000, the Secretary of State, in consultation with the Secretary of Defense and the Secretary of Commerce, shall transmit to Congress a report updating the information reported to Congress
under section 1513(d)(3) of the Strom Thurmond Na-

§ 2778

tional Defense Authorization Act for Fiscal Year 1999
[Pub. L. 105–261] (22 U.S.C. 2778 note).
‘‘SEC. 1404. SECURITY IN CONNECTION WITH SATELLITE EXPORT LICENSING
‘‘As a condition of the export license for any satellite
to be launched in a country subject to section 1514 of
the Strom Thurmond National Defense Authorization
Act for Fiscal Year 1999 [Pub. L. 105–261] (22 U.S.C. 2778
note), the Secretary of State shall require the following:
‘‘(1) That the technology transfer control plan required by section 1514(a)(1) of the Strom Thurmond
National Defense Authorization Act for Fiscal Year
1999 (22 U.S.C. 2778 note) be prepared by the Department of Defense and the licensee, and that the plan
set forth enhanced security arrangements for the
launch of the satellite, both before and during launch
operations.
‘‘(2) That each person providing security for the
launch of that satellite—
‘‘(A) report directly to the launch monitor with
regard to issues relevant to the technology transfer
control plan;
‘‘(B) have received appropriate training in the
International Trafficking in Arms Regulations
(hereafter in this title [enacting this note and
amending provisions set out as a note under section
2404 of Title 50, Appendix, War and National Defense] referred to as ‘ITAR’).
‘‘(C) have significant experience and expertise
with satellite launches; and
‘‘(D) have been investigated in a manner at least
as comprehensive as the investigation required for
the issuance of a security clearance at the level
designated as ‘Secret’.
‘‘(3) That the number of such persons providing security for the launch of the satellite shall be sufficient to maintain 24-hour security of the satellite and
related launch vehicle and other sensitive technology.
‘‘(4) That the licensee agree to reimburse the Department of Defense for all costs associated with the
provision of security for the launch of the satellite.
‘‘SEC. 1405. REPORTING OF TECHNOLOGY TRANSMITTED TO PEOPLE’S REPUBLIC OF CHINA
AND OF FOREIGN LAUNCH SECURITY VIOLATIONS
‘‘(a) MONITORING OF INFORMATION.—The Secretary of
Defense shall require that space launch monitors of the
Department of Defense assigned to monitor launches in
the People’s Republic of China maintain records of all
information authorized to be transmitted to the People’s Republic of China with regard to each space
launch that the monitors are responsible for monitoring, including copies of any documents authorized for
such transmission, and reports on launch-related activities.
‘‘(b) TRANSMISSION TO OTHER AGENCIES.—The Secretary of Defense shall ensure that records under subsection (a) are transmitted on a current basis to appropriate elements of the Department of Defense and to
the Department of State, the Department of Commerce, and the Central Intelligence Agency.
‘‘(c) RETENTION OF RECORDS.—Records described in
subsection (a) shall be retained for at least the period
of the statute of limitations for violations of the Arms
Export Control Act [22 U.S.C. 2751 et seq.].
‘‘(d) GUIDELINES.—The Secretary of Defense shall prescribe guidelines providing space launch monitors of
the Department of Defense with the responsibility and
the ability to report serious security violations, problems, or other issues at an overseas launch site directly
to the headquarters office of the responsible Department of Defense component.
‘‘SEC. 1408. ENHANCED MULTILATERAL EXPORT
CONTROLS
‘‘(a) NEW INTERNATIONAL CONTROLS.—The President
shall seek to establish new enhanced international con-

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

trols on technology transfers that threaten international peace and United States national security.
‘‘(b) IMPROVED SHARING OF INFORMATION.—The President shall take appropriate actions to improve the
sharing of information by nations that are major exporters of technology so that the United States can
track movements of technology covered by the
Wassenaar Arrangement and enforce technology controls and re-export requirements for such technology.
‘‘(c) DEFINITION.—As used in this section, the term
‘Wassenaar Arrangement’ means the multilateral export control regime covering conventional armaments
and sensitive dual-use goods and technologies that was
agreed to by 33 co-founding countries in July 1996 and
began operation in September 1996.
‘‘SEC. 1409. ENHANCEMENT OF ACTIVITIES OF DEFENSE THREAT REDUCTION AGENCY
‘‘(a) IN GENERAL.—Not later than 180 days after the
date of the enactment of this Act [Oct. 5, 1999], the Secretary of Defense shall prescribe regulations to—
‘‘(1) authorize the personnel of the Defense Threat
Reduction Agency (DTRA) who monitor satellite
launch campaigns overseas to suspend such campaigns at any time if the suspension is required for
purposes of the national security of the United
States;
‘‘(2) ensure that persons assigned as space launch
campaign monitors are provided sufficient training
and have adequate experience in the regulations prescribed by the Secretary of State known as the ITAR
and have significant experience and expertise with
satellite technology, launch vehicle technology, and
launch operations technology;
‘‘(3) ensure that adequate numbers of such monitors
are assigned to space launch campaigns so that 24hour, 7-day per week coverage is provided;
‘‘(4) take steps to ensure, to the maximum extent
possible, the continuity of service by monitors for the
entire space launch campaign period (from satellite
marketing to launch and, if necessary, completion of
a launch failure analysis);
‘‘(5) adopt measures designed to make service as a
space launch campaign monitor an attractive career
opportunity;
‘‘(6) allocate funds and other resources to the Agency at levels sufficient to prevent any shortfalls in the
number of such personnel;
‘‘(7) establish mechanisms in accordance with the
provisions of section 1514(a)(2)(A) of the Strom Thurmond National Defense Authorization Act for Fiscal
Year 1999 (Public Law 105–261; 112 Stat. 2175; 22 U.S.C.
2778 note) that provide for—
‘‘(A) the payment to the Department of Defense
by the person or entity receiving the launch monitoring services concerned, before the beginning of
a fiscal year, of an amount equal to the amount estimated to be required by the Department to monitor the launch campaigns during that fiscal year;
‘‘(B) the reimbursement of the Department of Defense, at the end of each fiscal year, for amounts
expended by the Department in monitoring the
launch campaigns in excess of the amount provided
under subparagraph (A); and
‘‘(C) the reimbursement of the person or entity
receiving the launch monitoring services if the
amount provided under subparagraph (A) exceeds
the amount actually expended by the Department
of Defense in monitoring the launch campaigns;
‘‘(8) review and improve guidelines on the scope of
permissible discussions with foreign persons regarding technology and technical information, including
the technology and technical information that should
not be included in such discussions;
‘‘(9) provide, in conjunction with other Federal
agencies, on at least an annual basis, briefings to the
officers and employees of United States commercial
satellite entities on United States export license
standards, guidelines, and restrictions, and encourage
such officers and employees to participate in such
briefings;

Page 1028

‘‘(10) establish a system for—
‘‘(A) the preparation and filing by personnel of
the Agency who monitor satellite launch campaigns overseas of detailed reports of all relevant
activities observed by such personnel in the course
of monitoring such campaigns;
‘‘(B) the systematic archiving of reports filed
under subparagraph (A); and
‘‘(C) the preservation of such reports in accordance with applicable laws; and
‘‘(11) establish a counterintelligence program within the Agency as part of its satellite launch monitoring program.
‘‘(b) ANNUAL REPORT ON IMPLEMENTATION OF SATELLITE TECHNOLOGY SAFEGUARDS.—(1) The Secretary of
Defense and the Secretary of State shall each submit to
Congress each year, as part of the annual report for
that year under section 1514(a)(8) of the Strom Thurmond National Defense Authorization Act for Fiscal
Year 1999 [Pub. L. 105–261, 22 U.S.C. 2778 note], the following:
‘‘(A) A summary of the satellite launch campaigns
and related activities monitored by the Defense
Threat Reduction Agency during the preceding fiscal
year.
‘‘(B) A description of any license infractions or violations that may have occurred during such campaigns and activities.
‘‘(C) A description of the personnel, funds, and
other resources dedicated to the satellite launch
monitoring program of the Agency during that fiscal
year.
‘‘(D) An assessment of the record of United States
satellite makers in cooperating with Agency monitors, and in complying with United States export
control laws, during that fiscal year.
‘‘(2) Each report under paragraph (1) shall be submitted in classified form and unclassified form.
‘‘SEC. 1410. TIMELY NOTIFICATION OF LICENSING
DECISIONS BY THE DEPARTMENT OF STATE
‘‘Not later than 180 days after the date of the enactment of this Act [Oct. 5, 1999], the Secretary of State
shall prescribe regulations to provide timely notice to
the manufacturer of a commercial satellite of United
States origin of the final determination of the decision
on the application for a license involving the overseas
launch of such satellite.
‘‘SEC. 1411. ENHANCED INTELLIGENCE CONSULTATION ON SATELLITE LICENSE APPLICATIONS
‘‘(a) CONSULTATION DURING REVIEW OF APPLICATIONS.—The Secretary of State and Secretary of Defense, as appropriate, shall consult with the Director of
Central Intelligence during the review of any application for a license involving the overseas launch of a
commercial satellite of United States origin. The purpose of the consultation is to assure that the launch of
the satellite, if the license is approved, will meet the
requirements necessary to protect the national security interests of the United States.
‘‘(b) ADVISORY GROUP.—(1) The Director of Central Intelligence shall establish within the intelligence community an advisory group to provide information and
analysis to Congress, and to appropriate departments
and agencies of the Federal Government, on the national security implications of granting licenses involving the overseas launch of commercial satellites of
United States origin.
‘‘(2) The advisory group shall include technicallyqualified representatives of the Central Intelligence
Agency, the Defense Intelligence Agency, the National
Security Agency, the National Air Intelligence Center,
and the Department of State Bureau of Intelligence and
Research and representatives of other elements of the
intelligence community with appropriate expertise.
‘‘(3) In addition to the duties under paragraph (1), the
advisory group shall—
‘‘(A) review, on a continuing basis, information relating to transfers of satellite, launch vehicle, or
other technology or knowledge with respect to the

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

course of the overseas launch of commercial satellites of United States origin; and
‘‘(B) analyze the potential impact of such transfers
on the space and military systems, programs, or activities of foreign countries.
‘‘(4) The Director of the Nonproliferation Center of
the Central Intelligence Agency shall serve as chairman of the advisory group.
‘‘(5)(A) The advisory group shall, upon request (but
not less often than annually), submit reports on the
matters referred to in paragraphs (1) and (3) to the appropriate committees of Congress and to appropriate
departments and agencies of the Federal Government.
‘‘(B) The first annual report under subparagraph (A)
shall be submitted not later than one year after the
date of the enactment of this Act [Oct. 5, 1999].
‘‘(c) INTELLIGENCE COMMUNITY DEFINED.—In this section, the term ‘intelligence community’ has the meaning given that term in section 3(4) of the National Security Act of 1947 (50 U.S.C. 401a(4)).
‘‘SEC. 1412. INVESTIGATIONS OF VIOLATIONS OF
EXPORT CONTROLS BY UNITED STATES SATELLITE MANUFACTURERS
‘‘(a) NOTICE TO CONGRESS OF INVESTIGATIONS.—The
President shall promptly notify the appropriate committees of Congress whenever an investigation is
undertaken by the Department of Justice of—
‘‘(1) an alleged violation of United States export
control laws in connection with a commercial satellite of United States origin; or
‘‘(2) an alleged violation of United States export
control laws in connection with an item controlled
under section 38 of the Arms Export Control Act (22
U.S.C. 2778) that is likely to cause significant harm
or damage to the national security interests of the
United States.
‘‘(b) NOTICE TO CONGRESS OF CERTAIN EXPORT WAIVERS.—The President shall promptly notify the appropriate committees of Congress whenever an export
waiver pursuant to section 902 of the Foreign Relations
Authorization Act, Fiscal Years 1990 and 1991 [Pub. L.
101–246] (22 U.S.C. 2151 note) is granted on behalf of any
United States person that is the subject of an investigation described in subsection (a). The notice shall
include a justification for the waiver.
‘‘(c) EXCEPTION.—The requirements in subsections (a)
and (b) shall not apply if the President determines that
notification of the appropriate committees of Congress
under such subsections would jeopardize an on-going
criminal investigation. If the President makes such a
determination, the President shall provide written notification of such determination to the Speaker of the
House of Representatives, the majority leader of the
Senate, the minority leader of the House of Representatives, and the minority leader of the Senate. The notification shall include a justification for the determination.
‘‘(d) IDENTIFICATION OF PERSONS SUBJECT TO INVESTIGATION.—The Secretary of State and the Attorney
General shall develop appropriate mechanisms to identify, for the purposes of processing export licenses for
commercial satellites, persons who are the subject of
an investigation described in subsection (a).
‘‘(e) PROTECTION OF CLASSIFIED AND OTHER SENSITIVE
INFORMATION.—The appropriate committees of Congress
shall ensure that appropriate procedures are in place to
protect from unauthorized disclosure classified information, information relating to intelligence sources
and methods, and sensitive law enforcement information that is furnished to those committees pursuant to
this section.
‘‘(f) STATUTORY CONSTRUCTION.—Nothing in this section shall be construed to modify or supersede any
other requirement to report information on intelligence activities to Congress, including the requirement under section 501 of the National Security Act of
1947 (50 U.S.C. 413).
‘‘(g) DEFINITIONS.—As used in this section:
‘‘(1) The term ‘appropriate committees of Congress’
means the following:

§ 2778

‘‘(A) The Committee on Armed Services, the Committee on Foreign Relations, and the Select Committee on Intelligence of the Senate.
‘‘(B) The Committee on Armed Services, the Committee on International Relations [now Committee
on Foreign Affairs], and the Permanent Select
Committee on Intelligence of the House of Representatives.
‘‘(2) The term ‘United States person’ means any
United States resident or national (other than an individual resident outside the United States and employed by other than a United States person), any domestic concern (including any permanent domestic
establishment of any foreign concern), and any foreign subsidiary or affiliate (including any permanent
foreign establishment) of any domestic concern
which is controlled in fact by such domestic concern,
as determined under regulations of the President.’’
[Memorandum of President of the United States, Jan.
5, 2000, 65 F.R. 2279, delegated to Secretary of Defense
the duties and responsibilities of the President under
section 1402 of Public Law 106–65 and directed Department of Defense to prepare the report required by section 1402 with the assistance of Department of State,
Department of Commerce, Department of Energy, Department of the Treasury, Director of Central Intelligence, and Federal Bureau of Investigation and to obtain concurrence on the report from Department of
State, Department of Commerce, Director of Central
Intelligence on behalf of Intelligence Community, Department of the Treasury, and Federal Bureau of Investigation prior to submission to Congress.]
[Reference to the Director of Central Intelligence or
the Director of the Central Intelligence Agency in the
Director’s capacity as the head of the intelligence community deemed to be a reference to the Director of National Intelligence. Reference to the Director of Central Intelligence or the Director of the Central Intelligence Agency in the Director’s capacity as the head of
the Central Intelligence Agency deemed to be a reference to the Director of the Central Intelligence Agency. See section 1081(a), (b) of Pub. L. 108–458, set out as
a note under section 401 of Title 50, War and National
Defense.]
SATELLITE EXPORT CONTROLS
Pub. L. 105–261, div. A, title XV, subtitle B, Oct. 17,
1998, 112 Stat. 2173, as amended by Pub. L. 105–277, div.
C, title I, § 146(a), Oct. 21, 1998, 112 Stat. 2681–610, provided that:
‘‘SEC. 1511. SENSE OF CONGRESS.
‘‘It is the sense of Congress that—
‘‘(1) United States business interests must not be
placed above United States national security interests;
‘‘(2) United States foreign policy and the policies of
the United States regarding commercial relations
with other countries should affirm the importance of
observing and adhering to the Missile Technology
Control Regime (MTCR);
‘‘(3) the United States should encourage universal
observance of the Guidelines to the Missile Technology Control Regime;
‘‘(4) the exportation or transfer of advanced communication satellites and related technologies from
United States sources to foreign recipients should not
increase the risks to the national security of the
United States;
‘‘(5) due to the military sensitivity of the technologies involved, it is in the national security interests of the United States that United States satellites and related items be subject to the same export controls that apply under United States law and
practices to munitions;
‘‘(6) the United States should not issue any blanket
waiver of the suspensions contained in section 902 of
the Foreign Relations Authorization Act, Fiscal
Years 1990 and 1991 (Public Law 101–246) [22 U.S.C. 2151
note], regarding the export of satellites of United

§ 2778

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

States origin intended for launch from a launch vehicle owned by the People’s Republic of China;
‘‘(7) the United States should pursue policies that
protect and enhance the United States space launch
industry; and
‘‘(8) the United States should not export to the People’s Republic of China missile equipment or technology that would improve the missile or space
launch capabilities of the People’s Republic of China.
‘‘SEC. 1512. CERTIFICATION OF EXPORTS OF MISSILE EQUIPMENT OR TECHNOLOGY TO CHINA.
‘‘(a) CERTIFICATION.—The President shall certify to
the Congress at least 15 days in advance of any export
to the People’s Republic of China of missile equipment
or technology (as defined in section 74 of the Arms Export Control Act (22 U.S.C. 2797c)) that—
‘‘(1) such export is not detrimental to the United
States space launch industry; and
‘‘(2) the missile equipment or technology, including
any indirect technical benefit that could be derived
from such export, will not measurably improve the
missile or space launch capabilities of the People’s
Republic of China.
‘‘(b) EXCEPTION.—The certification requirement contained in subsection (a) shall not apply to the export of
inertial reference units and components in manned civilian aircraft or supplied as spare or replacement
parts for such aircraft.
‘‘SEC. 1513. SATELLITE CONTROLS UNDER THE
UNITED STATES MUNITIONS LIST.
‘‘(a) CONTROL OF SATELLITES ON THE UNITED STATES
MUNITIONS LIST.—Notwithstanding any other provision
of law, all satellites and related items that are on the
Commerce Control List of dual-use items in the Export
Administration Regulations (15 CFR part 730 et seq.) on
the date of the enactment of this Act [Oct. 17, 1998]
shall be transferred to the United States Munitions
List and controlled under section 38 of the Arms Export
Control Act (22 U.S.C. 2778).
‘‘(b) DEFENSE TRADE CONTROLS REGISTRATION FEES.—
[Amended section 2717 of this title.]
‘‘(c) EFFECTIVE DATE.—(1) Subsection (a) shall take
effect on March 15, 1999, and shall not apply to any export license issued before such effective date or to any
export license application made under the Export Administration Regulations before such effective date.
‘‘(2) The amendments made by subsection (b) [amending section 2717 of this title] shall be effective as of October 1, 1998.
‘‘(d) REPORT.—Not later than January 1, 1999, the Secretary of State, in consultation with the Secretary of
Defense and the Secretary of Commerce, shall submit
to Congress a report containing—
‘‘(1) a detailed description of the plans of the Department of State to implement the requirements of
this section, including any organizational changes
that are required and any Executive orders or regulations that may be required;
‘‘(2) an identification and explanation of any steps
that should be taken to improve the license review
process for exports of the satellites and related items
described in subsection (a), including measures to
shorten the timelines for license application reviews,
and any measures relating to the transparency of the
license review process and dispute resolution procedures;
‘‘(3) an evaluation of the adequacy of resources
available to the Department of State, including fiscal
and personnel resources, to carry out the additional
activities required by this section; and
‘‘(4) any recommendations for additional actions,
including possible legislation, to improve the export
licensing process under the Arms Export Control Act
[22 U.S.C. 2751 et seq.] for the satellites and related
items described in subsection (a).
‘‘SEC. 1514. NATIONAL SECURITY CONTROLS ON
SATELLITE EXPORT LICENSING.
‘‘(a) ACTIONS BY THE PRESIDENT.—Notwithstanding
any other provision of law, the President shall take

Page 1030

such actions as are necessary to implement the following requirements for improving national security controls in the export licensing of satellites and related
items:
‘‘(1) MANDATORY TECHNOLOGY CONTROL PLANS.—All
export licenses shall require a technology transfer
control plan approved by the Secretary of Defense
and an encryption technology transfer control plan
approved by the Director of the National Security
Agency.
‘‘(2) MANDATORY MONITORS AND REIMBURSEMENT.—
‘‘(A) MONITORING OF PROPOSED FOREIGN LAUNCH OF
SATELLITES.—In any case in which a license is approved for the export of a satellite or related items
for launch in a foreign country, the Secretary of
Defense shall monitor all aspects of the launch in
order to ensure that no unauthorized transfer of
technology occurs, including technical assistance
and technical data. The costs of such monitoring
services shall be fully reimbursed to the Department of Defense by the person or entity receiving
such services. All reimbursements received under
this subparagraph shall be credited to current appropriations available for the payment of the costs
incurred in providing such services.
‘‘(B) CONTENTS OF MONITORING.—The monitoring
under subparagraph (A) shall cover, but not be limited to—
‘‘(i) technical discussions and activities, including the design, development, operation, maintenance, modification, and repair of satellites, satellite components, missiles, other equipment,
launch facilities, and launch vehicles;
‘‘(ii) satellite processing and launch activities,
including launch preparation, satellite transportation, integration of the satellite with the
launch vehicle, testing and checkout prior to
launch, satellite launch, and return of equipment
to the United States;
‘‘(iii) activities relating to launch failure,
delay, or cancellation, including post-launch failure investigations; and
‘‘(iv) all other aspects of the launch.
‘‘(3) MANDATORY LICENSES FOR CRASH-INVESTIGATIONS.—In the event of the failure of a launch from a
foreign country of a satellite of United States origin—
‘‘(A) the activities of United States persons or entities in connection with any subsequent investigation of the failure are subject to the controls established under section 38 of the Arms Export Control
Act [22 U.S.C. 2778], including requirements for licenses issued by the Secretary of State for participation in that investigation;
‘‘(B) officials of the Department of Defense shall
monitor all activities associated with the investigation to insure against unauthorized transfer of
technical data or services; and
‘‘(C) the Secretary of Defense shall establish and
implement a technology transfer control plan for
the conduct of the investigation to prevent the
transfer of information that could be used by the
foreign country to improve its missile or space
launch capabilities.
‘‘(4) MANDATORY NOTIFICATION AND CERTIFICATION.—
All technology transfer control plans for satellites or
related items shall require any United States person
or entity involved in the export of a satellite of
United States origin or related items to notify the
Department of Defense in advance of all meetings and
interactions with any foreign person or entity providing launch services and require the United States person or entity to certify after the launch that it has
complied with this notification requirement.
‘‘(5) MANDATORY INTELLIGENCE COMMUNITY REVIEW.—
The Secretary of Commerce and the Secretary of
State shall provide to the Secretary of Defense and
the Director of Central Intelligence copies of all export license applications and technical assistance
agreements submitted for approval in connection

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

with launches in foreign countries of satellites to verify the legitimacy of the stated end-user or end-users.
‘‘(6) MANDATORY SHARING OF APPROVED LICENSES AND
AGREEMENTS.—The Secretary of State shall provide
copies of all approved export licenses and technical
assistance agreements associated with launches in
foreign countries of satellites to the Secretaries of
Defense and Energy, the Director of Central Intelligence, and the Director of the Arms Control and
Disarmament Agency.
‘‘(7) MANDATORY NOTIFICATION TO CONGRESS ON LICENSES.—Upon issuing a license for the export of a
satellite or related items for launch in a foreign
country, the head of the department or agency issuing the license shall so notify Congress.
‘‘(8) MANDATORY REPORTING ON MONITORING ACTIVITIES.—The Secretary of Defense shall provide to Congress an annual report on the monitoring of all
launches in foreign countries of satellites of United
States origin.
‘‘(9) ESTABLISHING SAFEGUARDS PROGRAM.—The Secretary of Defense shall establish a program for recruiting, training, and maintaining a staff dedicated
to monitoring launches in foreign countries of satellites and related items of United States origin.
‘‘(b) EXCEPTION.—This section shall not apply to the
export of a satellite or related items for launch in, or
by nationals of, a country that is a member of the
North Atlantic Treaty Organization or that is a major
non-NATO ally of the United States.
‘‘(c) EFFECTIVE DATE.—The President shall take the
actions required by subsection (a) not later than 45
days after the date of the enactment of this Act [Oct.
17, 1998].
‘‘SEC. 1515. REPORT ON EXPORT OF SATELLITES
FOR LAUNCH BY PEOPLE’S REPUBLIC OF
CHINA.
‘‘(a) REQUIREMENT FOR REPORT.—Each report to Congress submitted pursuant to subsection (b) of section
902 of the Foreign Relations Authorization Act, Fiscal
Years 1990 and 1991 (22 U.S.C. 2151 note; Public Law
101–246) to waive the restrictions contained in subsection (a) of that section on the export to the People’s
Republic of China of any satellite of United States origin or related items shall be accompanied by a detailed
justification setting forth the following:
‘‘(1) A detailed description of all militarily sensitive characteristics integrated within, or associated
with, the satellite.
‘‘(2) An estimate of the number of United States civilian contract personnel expected to be needed in
country to carry out the proposed satellite launch.
‘‘(3)(A) A detailed description of the United States
Government’s plan to monitor the proposed satellite
launch to ensure that no unauthorized transfer of
technology occurs, together with an estimate of the
number of officers and employees of the United
States that are expected to be needed in country to
carry out monitoring of the proposed satellite
launch; and
‘‘(B) the estimated cost to the Department of Defense of monitoring the proposed satellite launch and
the amount of such cost that is to be reimbursed to
the department.
‘‘(4) The reasons why the proposed satellite launch
is in the national security interest of the United
States.
‘‘(5) The impact of the proposed export on employment in the United States, including the number of
new jobs created in the United States, on a State-byState basis, as a direct result of the proposed export.
‘‘(6) The number of existing jobs in the United
States that would be lost, on a State-by-State basis,
as a direct result of the proposed export not being licensed.
‘‘(7) The impact of the proposed export on the balance of trade between the United States and the People’s Republic of China and on reducing the current
United States trade deficit with the People’s Republic of China.

§ 2778

‘‘(8) The impact of the proposed export on the transition of the People’s Republic of China from a nonmarket economy to a market economy and the longterm economic benefit to the United States.
‘‘(9) The impact of the proposed export on opening
new markets to United States-made products through
the purchase by the People’s Republic of China of
United States-made goods and services not directly
related to the proposed export.
‘‘(10) The impact of the proposed export on reducing
acts, policies, and practices that constitute significant trade barriers to United States exports or foreign direct investment in the People’s Republic of
China by United States nationals.
‘‘(11) The increase that will result from the proposed export in the overall market share of the
United States for goods and services in comparison to
Japan, France, Germany, the United Kingdom, and
Russia.
‘‘(12) The impact of the proposed export on the willingness of the People’s Republic of China to modify
its commercial and trade laws, practices, and regulations to make United States-made goods and services
more accessible to that market.
‘‘(13) The impact of the proposed export on the willingness of the People’s Republic of China to reduce
formal and informal trade barriers and tariffs, duties,
and other fees on United States-made goods and services entering that country.
‘‘(b) MILITARILY SENSITIVE CHARACTERISTICS DEFINED.—In this section, the term ‘militarily sensitive
characteristics’ includes antijamming capability, antennas, crosslinks, baseband processing, encryption devices, radiation-hardened devices, propulsion systems,
pointing accuracy, kick motors, and other such characteristics as are specified by the Secretary of Defense.
‘‘SEC. 1516. RELATED ITEMS DEFINED.
‘‘In this subtitle, the term ‘related items’ means the
satellite fuel, ground support equipment, test equipment, payload adapter or interface hardware, replacement parts, and non-embedded solid propellant orbit
transfer engines described in the report submitted to
Congress by the Department of State on February 6,
1998, pursuant to section 38(f) of the Arms Export Control Act (22 U.S.C. 2778(f)).’’
[Pub. L. 105–277, div. C, title I, § 146(b), Oct. 21, 1998,
112 Stat. 2681–610, provided that: ‘‘The amendments
made by this section [amending Pub. L. 105–261, § 1512,
set out above] shall take effect on the later of—
[‘‘(1) the enactment of this Act [Oct. 21, 1998]; or
[‘‘(2) the enactment of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999
[Pub. L. 105–261; Oct. 17, 1998].’’]
[Reference to the Director of Central Intelligence or
the Director of the Central Intelligence Agency in the
Director’s capacity as the head of the intelligence community deemed to be a reference to the Director of National Intelligence. Reference to the Director of Central Intelligence or the Director of the Central Intelligence Agency in the Director’s capacity as the head of
the Central Intelligence Agency deemed to be a reference to the Director of the Central Intelligence Agency. See section 1081(a), (b) of Pub. L. 108–458, set out as
a note under section 401 of Title 50, War and National
Defense.]
[For abolition, transfer of functions, and treatment
of references to United States Arms Control and Disarmament Agency, see section 6511 et seq. of this title.]
DELEGATION OF CERTIFICATIONS UNDER SECTION 1512 OF
PUBLIC LAW 105–261
Determination of the President of the United States,
No. 2009–31, Sept. 29, 2009, 74 F.R. 50913, provided:
Memorandum for the Secretary of Commerce
By virtue of the authority vested in me as President
by the Constitution and the laws of the United States
of America, including section 301 of Title 3, United
States Code, I hereby delegate to you the functions of
the President under section 1512 of the National Defense Authorization Act for Fiscal Year 1999 (NDAA).

§ 2778

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

In the performance of your responsibility under this
memorandum, you shall consult, as appropriate, the
heads of other executive departments and agencies.
You are authorized and directed to publish this determination in the Federal Register.
BARACK OBAMA.
LANDMINE EXPORT MORATORIUM
Pub. L. 102–484, div. A, title XIII, § 1365, Oct. 23, 1992,
106 Stat. 2561, as amended by Pub. L. 103–160, div. A,
title XI, § 1182(c)(3), title XIV, § 1423(c), Nov. 30, 1993, 107
Stat. 1772, 1832; Pub. L. 104–107, title V, § 558, Feb. 12,
1996, 110 Stat. 743; Pub. L. 104–208, div. A, title I, § 101(c)
[title V, § 556], Sept. 30, 1996, 110 Stat. 3009–121, 3009–161;
Pub. L. 106–113, div. B, § 1000(a)(2) [title V, § 553], Nov. 29,
1999, 113 Stat. 1535, 1501A–99; Pub. L. 107–115, title V,
§ 548, Jan. 10, 2002, 115 Stat. 2156; Pub. L. 110–161, div. J,
title VI, § 634(j), Dec. 26, 2007, 121 Stat. 2329, provided
that:
‘‘(a) FINDINGS.—The Congress makes the following
findings:
‘‘(1) Anti-personnel landmines, which are specifically designed to maim and kill people, have been
used indiscriminately in dramatically increasing
numbers, primarily in insurgencies in poor developing countries. Noncombatant civilians, including tens
of thousands of children, have been the primary victims.
‘‘(2) Unlike other military weapons, landmines
often remain implanted and undiscovered after conflict has ended, causing untold suffering to civilian
populations. In Afghanistan, Cambodia, Laos, Vietnam, and Angola, tens of millions of unexploded landmines have rendered whole areas uninhabitable. In
Afghanistan, an estimated hundreds of thousands of
people have been maimed and killed by landmines
during the 14-year civil war. In Cambodia, more than
20,000 civilians have lost limbs and another 60 are
being maimed each month from landmines.
‘‘(3) Over 35 countries are known to manufacture
landmines, including the United States. However, the
United States is not a major exporter of landmines.
During the past ten years the Department of State
has approved ten licenses for the commercial export
of anti-personnel landmines valued at $980,000, and
during the past five years the Department of Defense
has approved the sale of 13,156 anti-personnel landmines valued at $841,145.
‘‘(4) The United States signed, but has not ratified,
the 1981 Convention on Prohibitions or Restrictions
on the Use of Certain Conventional Weapons Which
May Be Deemed To Be Excessively Injurious or To
Have Indiscriminate Effects. The Convention prohibits the indiscriminate use of landmines.
‘‘(5) When it signed the Convention, the United
States stated: ‘We believe that the Convention represents a positive step forward in efforts to minimize
injury or damage to the civilian population in time of
armed conflict. Our signature of the Convention reflects the general willingness of the United States to
adopt practical and reasonable provisions concerning
the conduct of military operations, for the purpose of
protecting noncombatants.’.
‘‘(6) The President should submit the Convention to
the Senate for its advice and consent to ratification,
and the President should actively negotiate under
United Nations auspices or other auspices an international agreement, or a modification of the Convention, to prohibit the sale, transfer or export of antipersonnel landmines. Such an agreement or modification would be an appropriate response to the end of
the Cold War and the promotion of arms control
agreements to reduce the indiscriminate killing and
maiming of civilians.
‘‘(7) The United States should set an example for
other countries in such negotiations, by implementing a one-year moratorium on the sale, transfer or
export of anti-personnel landmines.
‘‘(b) STATEMENT OF POLICY.—(1) It shall be the policy
of the United States to seek verifiable international

Page 1032

agreements prohibiting the sale, transfer, or export,
and further limiting the use, production, possession,
and deployment of anti-personnel landmines.
‘‘(2) It is the sense of the Congress that the President
should actively seek to negotiate under United Nations
auspices or other auspices an international agreement,
or a modification of the Convention, to prohibit the
sale, transfer, or export of anti-personnel landmines.
‘‘(c) MORATORIUM ON TRANSFERS OF ANTI-PERSONNEL
LANDMINES ABROAD.—During the 22 year period beginning on October 23, 1992—
‘‘(1) no sale may be made or financed, no transfer
may be made, and no license for export may be issued, under the Arms Export Control Act [22 U.S.C.
2751 et seq.], with respect to any anti-personnel landmine; and
‘‘(2) no assistance may be provided under the Foreign Assistance Act of 1961 [22 U.S.C. 2151 et seq.],
with respect to the provision of any anti-personnel
landmine.
‘‘(d) DEFINITION.—For purposes of this section, the
term ‘anti-personnel landmine’ means—
‘‘(1) any munition placed under, on, or near the
ground or other surface area, or delivered by artillery, rocket, mortar, or similar means or dropped
from an aircraft and which is designed to be detonated or exploded by the presence, proximity, or contact of a person;
‘‘(2) any device or material which is designed, constructed, or adapted to kill or injure and which functions unexpectedly when a person disturbs or approaches an apparently harmless object or performs
an apparently safe act;
‘‘(3) any manually-emplaced munition or device designed to kill, injure, or damage and which is actuated by remote control or automatically after a lapse
of time.’’
[Section 634(j) of title VI of div. J of Pub. L. 110–161,
which directed the amendment of section 1365(c) of Pub.
L. 102–484, set out above, by substituting ‘‘During the 22
year period beginning on October 23, 1992’’ for ‘‘During
the 16 year period beginning on October 23, 1992’’ before
the period at the end, was executed by making the substitution in the introductory provisions, to reflect the
probable intent of Congress.]
[Section 1000(a)(2) [title V, § 553] of div. B of Pub. L.
106–113, which directed the amendment of section
1365(c) of Pub. L. 102–484, set out above, by substituting
‘‘During the 11-year’’ for ‘‘During the five-year’’, was
executed by making the substitution for ‘‘During the
eight-year’’.]
ARMS TRANSFERS RESTRAINT POLICY FOR MIDDLE EAST
AND PERSIAN GULF REGION
Pub. L. 102–138, title IV, Oct. 28, 1991, 105 Stat. 718,
provided that:
‘‘SEC. 401. FINDINGS.
‘‘The Congress finds that—
‘‘(1) nations in the Middle East and Persian Gulf region, which accounted for over 40 percent of the
international trade in weapons and related equipment
and services during the decade of the 1980’s, are the
principal market for the worldwide arms trade;
‘‘(2) regional instability, large financial resources,
and the desire of arms-supplying governments to gain
influence in the Middle East and Persian Gulf region,
contribute to a regional arms race;
‘‘(3) the continued proliferation of weapons and related equipment and services contribute further to a
regional arms race in the Middle East and Persian
Gulf region that is politically, economically, and
militarily destabilizing;
‘‘(4) the continued proliferation of unconventional
weapons, including nuclear, biological, and chemical
weapons, as well as delivery systems associated with
those weapons, poses an urgent threat to security and
stability in the Middle East and Persian Gulf region;
‘‘(5) the continued proliferation of ballistic missile
technologies and ballistic missile systems that are

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TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

capable of delivering conventional, nuclear, biological, or chemical warheads undermines security and
stability in the Middle East and Persian Gulf region;
‘‘(6) future security and stability in the Middle East
and Persian Gulf region would be enhanced by establishing a stable military balance among regional
powers by restraining and reducing both conventional
and unconventional weapons;
‘‘(7) security, stability, peace, and prosperity in the
Middle East and Persian Gulf region are important to
the welfare of the international economy and to the
national security interests of the United States;
‘‘(8) future security and stability in the Middle East
and Persian Gulf region would be enhanced through
the development of a multilateral arms transfer and
control regime similar to those of the Nuclear Suppliers’ Group, the Missile Technology Control Regime, and the Australia Chemical Weapons Suppliers
Group;
‘‘(9) such a regime should be developed, implemented, and agreed to through multilateral negotiations, including under the auspices of the 5 permanent members of the United Nations Security Council;
‘‘(10) confidence-building arms control measures
such as the establishment of a centralized arms trade
registry at the United Nations, greater multinational
transparency on the transfer of defense articles and
services prior to agreement or transfer, cooperative
verification measures, advanced notification of military exercises, information exchanges, on-site inspections, and creation of a Middle East and Persian Gulf
Conflict Prevention Center, are important to implement an effective multilateral arms transfer and control regime;
‘‘(11) as an interim step, the United States should
consider introducing, during the ongoing negotiations on confidence security-building measures at the
Conference on Security and Cooperation in Europe
(CSCE) [now the Organization for Security and Cooperation in Europe], a proposal regarding the international exchange of information, on an annual basis,
on the sale and transfer of major military equipment,
particularly to the Middle East and Persian Gulf region; and
‘‘(12) such a regime should be applied to other regions with the ultimate objective of achieving an effective global arms transfer and control regime, implemented and enforced through the United Nations
Security Council, that—
‘‘(A) includes a linkage of humanitarian and developmental objectives with security objectives in
Third World countries, particularly the poorest of
the poor countries; and
‘‘(B) encourages countries selling military equipment and services to consider the following factors
before making conventional arms sales: the security needs of the purchasing countries, the level of
defense expenditures by the purchasing countries,
and the level of indigenous production of the purchasing countries.
‘‘SEC. 402. MULTILATERAL ARMS TRANSFER AND
CONTROL REGIME.
‘‘(a) IMPLEMENTATION OF THE REGIME.—
‘‘(1) CONTINUING NEGOTIATIONS.—The President shall
continue negotiations among the 5 permanent members of the United Nations Security Council and commit the United States to a multilateral arms transfer
and control regime for the Middle East and Persian
Gulf region.
‘‘(2) PROPOSING A TEMPORARY MORATORIUM DURING
NEGOTIATIONS.—In the context of these negotiations,
the President should propose to the 5 permanent
members of the United Nations Security Council a
temporary moratorium on the sale and transfer of
major military equipment to nations in the Middle
East and Persian Gulf region until such time as the
5 permanent members agree to a multilateral arms
transfer and control regime.

§ 2778

‘‘(b) PURPOSE OF THE REGIME.—The purpose of the
multilateral arms transfer and control regime should
be—
‘‘(1) to slow and limit the proliferation of conventional weapons in the Middle East and Persian Gulf
region with the aim of preventing destabilizing transfers by—
‘‘(A) controlling the transfer of conventional
major military equipment;
‘‘(B) achieving transparency among arms suppliers nations through advanced notification of agreement to, or transfer of, conventional major military equipment; and
‘‘(C) developing and adopting common and comprehensive control guidelines on the sale and transfer of conventional major military equipment to
the region;
‘‘(2) to halt the proliferation of unconventional
weapons, including nuclear, biological, and chemical
weapons, as well as delivery systems associated with
those weapons and the technologies necessary to
produce or assemble such weapons;
‘‘(3) to limit and halt the proliferation of ballistic
missile technologies and ballistic missile systems
that are capable of delivering conventional, nuclear,
biological, or chemical warheads;
‘‘(4) to maintain the military balance in the Middle
East and Persian Gulf region through reductions of
conventional weapons and the elimination of unconventional weapons; and
‘‘(5) to promote regional arms control in the Middle
East and Persian Gulf region.
‘‘(c) ACHIEVING THE PURPOSES OF THE REGIME.—
‘‘(1) CONTROLLING PROLIFERATION OF CONVENTIONAL
WEAPONS.—In order to achieve the purposes described
in subsection (b)(1), the United States should pursue
the development of a multilateral arms transfer and
control regime which includes—
‘‘(A) greater information-sharing practices among
supplier nations regarding potential arms sales to
all nations of the Middle East and Persian Gulf region;
‘‘(B) applying, for the control of conventional
major military equipment, procedures already developed by the International Atomic Energy Agency, the Multilateral Coordinating Committee on
Export Controls (COCOM), and the Missile Technology Control Regime (MTCR); and
‘‘(C) other strict controls on the proliferation of
conventional major military equipment to the Middle East and Persian Gulf region.
‘‘(2) HALTING PROLIFERATION OF UNCONVENTIONAL
WEAPONS.—In order to achieve the purposes described
in subsections (b)(2) and (3), the United States should
build on existing and future agreements among supplier nations by pursuing the development of a multilateral arms transfer and control regime which includes—
‘‘(A) limitations and controls contained in the
Enhanced Proliferation Control Initiative;
‘‘(B) limitations and controls contained in the
Missile Technology Control Regime (MTCR);
‘‘(C) guidelines followed by the Australia Group
on chemical and biological arms proliferation;
‘‘(D) guidelines adopted by the Nuclear Suppliers
Group (the London Group); and
‘‘(E) other appropriate controls that serve to halt
the flow of unconditional [unconventional] weapons
to the Middle East and Persian Gulf region.
‘‘(3) PROMOTION OF REGIONAL ARMS CONTROL AGREEMENTS.—In order to achieve the purposes described in
subsections (b)(4) and (5), the United States should
pursue with nations in the Middle East and Persian
Gulf region—
‘‘(A) the maintenance of the military balance
within the region, while eliminating nuclear, biological, and chemical weapons and associated delivery systems, and ballistic missiles;
‘‘(B) the implementation of confidence-building
and security-building measures, including advance

§ 2778

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

notification of certain ground and aerial military
exercises in the Middle East and the Persian Gulf;
and
‘‘(C) other useful arms control measures.
‘‘(d) MAJOR MILITARY EQUIPMENT.—As used in this
title, the term ‘major military equipment’ means—
‘‘(1) air-to-air, air-to-surface, and surface-to-surface
missiles and rockets;
‘‘(2) turbine-powered military aircraft;
‘‘(3) attack helicopters;
‘‘(4) main battle tanks;
‘‘(5) submarines and major naval surface combatants;
‘‘(6) nuclear, biological, and chemical weapons; and
‘‘(7) such other defense articles and defense services
as the President may determine.
‘‘SEC. 403. LIMITATION ON UNITED STATES ARMS
SALES TO THE REGION.
‘‘Beginning 60 days after the date of enactment of the
International Cooperation Act of 1991 [probably means
H.R. 2508, which had not been enacted into law by the
end of the first session of the 102d Congress] or the Foreign Relations Authorization Act, Fiscal Years 1992 and
1993 [Oct. 28, 1991], whichever is enacted first, no sale of
any defense article or defense service may be made to
any nation in the Middle East and Persian Gulf region,
and no license may be issued for the export of any defense article or defense service to any nation in the
Middle East and Persian Gulf region, unless the President—
‘‘(1) certifies in writing to the relevant congressional committees that the President has undertaken
good faith efforts to convene a conference for the establishment of an arms suppliers regime having elements described in section 402; and
‘‘(2) submits to the relevant congressional committees a report setting forth a United States plan for
leading the world community in establishing such a
multilateral regime to restrict transfers of advanced
conventional and unconventional arms to the Middle
East and Persian Gulf region.
‘‘SEC. 404. REPORTS TO THE CONGRESS.
‘‘(a) QUARTERLY REPORTS.—Beginning on January 15,
1992, and quarterly thereafter through October 15, 1993,
the President shall submit to the relevant congressional committees a report—
‘‘(1) describing the progress in implementing the
purposes of the multilateral arms transfer and control regime as described in section 402(b); and
‘‘(2) describing efforts by the United States and
progress made to induce other countries to curtail
significantly the volume of their arms sales to the
Middle East and Persian Gulf region, and if such efforts were not made, the justification for not making
such efforts.
‘‘(b) INITIAL REPORT ON TRANSFERS AND REGIONAL
MILITARY BALANCE.—Not later than 60 days after the
date of enactment of the International Cooperation Act
of 1991 or the Foreign Relations Authorization Act, Fiscal Years 1992 and 1993, whichever is enacted first, the
President shall submit to the relevant congressional
committee a report—
‘‘(1) documenting all transfers of conventional and
unconventional arms by any nation to the Middle
East and Persian Gulf region over the previous calendar year and the previous 5 calendar years, including sources, types, and recipient nations of weapons;
‘‘(2) analyzing the current military balance in the
region, including the effect on the balance of transfers documented under paragraph (1);
‘‘(3) describing the progress in implementing the
purposes of the multilateral arms transfer and control regime as described in section 402(b);
‘‘(4) describing any agreements establishing such a
regime; and
‘‘(5) identifying supplier nations that have refused
to participate in such a regime or that have engaged
in conduct that violates or undermines such a regime.

Page 1034

‘‘(c) ANNUAL REPORTS ON TRANSFERS AND REGIONAL
MILITARY BALANCE.—Beginning July 15, 1992, and every
12 months thereafter, the President shall submit to the
relevant congressional committees a report—
‘‘(1) documenting all transfers of conventional and
unconventional arms by any nation to the Middle
East and Persian Gulf region over the previous calendar year, including sources, types, and recipient
nations of weapons;
‘‘(2) analyzing the current military balance in the
region, including the effect on the balance of transfer
documented under paragraph (1);
‘‘(3) describing the progress in implementing the
purposes of the multilateral arms transfer and control regime as described in section 402(b); and
‘‘(4) identifying supplier nations that have refused
to participate in such a regime or that have engaged
in conduct that violates or undermines such a regime.
‘‘SEC. 405. RELEVANT CONGRESSIONAL COMMITTEES DEFINED.
‘‘As used in this title, the term ‘relevant congressional committees’ means the Committee on Foreign
Affairs of the House of Representatives and the Committee on Foreign Relations of the Senate.’’
[Ex. Ord. No. 12851, § 3, June 11, 1993, 58 F.R. 33181, set
out as a note under section 2797 of this title, delegated
to Secretary of State, in consultation with Secretary of
Defense and other agencies, certification and reporting
functions of the President under sections 403 and 404 of
the Foreign Relations Authorization Act, Fiscal Years
1992 and 1993, Public Law 102–138, set out above.]
[Memorandum of President of the United States, Dec.
27, 1991, 56 F.R. 1069, delegated to Secretary of State, in
consultation with heads of other executive agencies
and departments, certification and reporting obligations of the President under sections 403 and 404 of the
Foreign Relations Authorization Act, Fiscal Years 1992
and 1993, Public Law 102–138, set out above.]
CONTINUATION OF EXPORT CONTROL REGULATIONS
Section 3 of Ex. Ord. No. 13222, Aug. 17, 2001, 66 F.R.
44025, listed in a table under section 1701 of Title 50,
War and National Defense, provided that: ‘‘Provisions
for administration of section 38(e) of the Arms Export
Control Act (22 U.S.C. 2778(e)) may be made and shall
continue in full force and effect until amended or revoked under the authority of section 203 of the Act (50
U.S.C. 1702). To the extent permitted by law, this order
also shall constitute authority for the issuance and
continuation in full force and effect of all rules and
regulations by the President or his delegate, and all orders, licenses, and other forms of administrative actions issued, taken, or continued in effect pursuant
thereto, relating to the administration of section
38(e).’’
Prior provisions relating to issuance and continued
effect of rules, regulations, orders, licenses, and other
forms of administrative action relating to administration of subsec. (e) of this section were contained in the
following:
Ex. Ord. No. 12924, § 3, Aug. 19, 1994, 59 F.R. 43437, listed in a table under section 1701 of Title 50, prior to revocation by Ex. Ord. No. 13206, § 1, Apr. 4, 2001, 66 F.R.
18397.
Ex. Ord. No. 12923, § 3, June 30, 1994, 59 F.R. 34551, listed in a table under section 1701 of Title 50, prior to revocation by Ex. Ord. No. 12924, § 4, Aug. 19, 1994, 59 F.R.
43438.
Ex. Ord. No. 12867, § 3, Sept. 30, 1993, 58 F.R. 51747, listed in a table under section 1701 of Title 50.
Ex. Ord. No. 12730, § 3, Sept. 30, 1990, 55 F.R. 40373, listed in a table under section 1701 of Title 50, prior to revocation by Ex. Ord. No. 12867, Sept. 30, 1993, 58 F.R.
51747.
Ex. Ord. No. 12525, § 3, July 12, 1985, 50 F.R. 28757, listed in a table under section 1701 of Title 50.
Ex. Ord. No. 12470, § 3, Mar. 30, 1984, 49 F.R. 13099, listed in a table under section 1701 of Title 50, prior to rev-

Page 1035

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

ocation by Ex. Ord. No. 12525, July 12, 1985, 50 F.R.
28757.
Ex. Ord. No. 12451, § 3, Dec. 20, 1983, 48 F.R. 56563, listed in a table under section 1701 of Title 50.
Ex. Ord. No. 12444, § 3, Oct. 14, 1983, 48 F.R. 48215, listed
in a table under section 1701 of Title 50, prior to revocation by Ex. Ord. No. 12451, Dec. 20, 1983, 48 F.R. 56563.

§ 2778a. Exportation of uranium depleted in the
isotope 235
Upon a finding that an export of uranium depleted in the isotope 235 is incorporated in defense articles or commodities solely to take advantage of high density or pyrophoric characteristics unrelated to its radioactivity, such exports shall be exempt from the provisions of the
Atomic Energy Act of 1954 [42 U.S.C. 2011 et seq.]
and of the Nuclear Non-Proliferation Act of 1978
[22 U.S.C. 3201 et seq.] when such exports are
subject to the controls established under the
Arms Export Control Act [22 U.S.C. 2751 et seq.]
or the Export Administration Act of 1979 [50
U.S.C. App. 2401 et seq.].
(Pub. L. 96–533, title I, § 110, Dec. 16, 1980, 94 Stat.
3138.)
REFERENCES IN TEXT
The Atomic Energy Act of 1954, referred to in text, is
act Aug. 1, 1946, ch. 724, as added by act Aug. 30, 1954,
ch. 1073, § 1, 68 Stat. 921, and amended, which is classified generally to chapter 23 (§ 2011 et seq.) of Title 42,
The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note
set out under section 2011 of Title 42 and Tables.
The Nuclear Non-Proliferation Act of 1978, referred to
in text, is Pub. L. 95–242, Mar. 10, 1978, 92 Stat. 120, as
amended, which is classified principally to chapter 47
(§ 3201 et seq.) of this title. For complete classification
of this Act to the Code, see Short Title note set out
under section 3201 of this title and Tables.
The Arms Export Control Act, referred to in text, is
Pub. L. 90–629, Oct. 22, 1968, 82 Stat. 1320, as amended,
which is classified principally to this chapter (§ 2751 et
seq.). For complete classification of this Act to the
Code, see Short Title note set out under section 2751 of
this title and Tables.
The Export Administration Act of 1979, referred to in
text, is Pub. L. 96–72, Sept. 29, 1979, 93 Stat. 503, as
amended, which is classified principally to sections 2401
et seq. of Title 50, Appendix, War and National Defense.
For complete classification of this Act to the Code, see
Short Title note set out under section 2401 of Title 50,
Appendix, and Tables.
CODIFICATION
Section was enacted as part of the International Security and Development Cooperation Act of 1980, and
not as part of the Arms Export Control Act which comprises this chapter.

§ 2779. Fees of military sales agents
(a) Adequate and timely reports to Secretary of
State; maintenance of records
In accordance with such regulations as he may
prescribe, the Secretary of State shall require
adequate and timely reporting on political contributions, gifts, commissions and fees paid, or
offered or agreed to be paid, by any person in
connection with—
(1) sales of defense articles or defense services under section 2762 of this title, or of design and construction services under section
2769 of this title;
(2) commercial sales of defense articles or
defense services licensed or approved under
section 2778 of this title; or

§ 2779

(3) exports of defense articles or defense
services pursuant to a treaty referenced in
section 2778(j)(1)(C)(i) of this title;
to or for the armed forces of a foreign country
or international organization in order to solicit,
promote, or otherwise to secure the conclusion
of such sales. Such regulations shall specify the
amounts and the kinds of payments, offers, and
agreements to be reported, and the form and
timing of reports, and shall require reports on
the names of sales agents and other persons receiving such payments. The Secretary of State
shall by regulation require such recordkeeping
as he determines is necessary.
(b) Presidential regulation
The President may, by regulation, prohibit,
limit, or prescribe conditions with respect to
such contributions, gifts, commissions, and fees
as he determines will be in furtherance of the
purposes of this chapter.
(c) Allocation to contract; improper influence
No such contribution, gift, commission, or fee
may be included, in whole or in part, in the
amount paid under any procurement contract
entered into under section 2762 or section 2769 of
this title, unless the amount thereof is reasonable, allocable to such contract, and not made
to a person who has solicited, promoted, or
otherwise secured such sale, or has held himself
out as being able to do so, through improper influence. For the purposes of this section, ‘‘improper influence’’ means influence, direct or indirect, which induces or attempts to induce consideration or action by any employee or officer
of a purchasing foreign government or international organization with respect to such purchase on any basis other than such consideration of merit as are involved in comparable
United States procurements.
(d) Availability of records to Congress and Federal agencies
(1) All information reported to the Secretary
of State and all records maintained by any person pursuant to regulations prescribed under
this section shall be available, upon request, to
any standing committee of the Congress or any
subcommittee thereof and to any agency of the
United States Government authorized by law to
have access to the books and records of the person required to submit reports or to maintain
records under this section.
(2) Access by an agency of the United States
Government to records maintained under this
section shall be on the same terms and conditions which govern the access by such agency to
the books and records of the person concerned.
(Pub. L. 90–629, ch. 3, § 39, as added Pub. L. 94–329,
title VI, § 604(b), June 30, 1976, 90 Stat. 767;
amended Pub. L. 96–533, title I, § 105(e)(2), Dec.
16, 1980, 94 Stat. 3135; Pub. L. 111–266, title I,
§ 104(e), Oct. 8, 2010, 124 Stat. 2800.)
REFERENCES IN TEXT
This chapter, referred to in subsec. (b), was in the
original ‘‘this Act’’, meaning Pub. L. 90–629, Oct. 22,
1968, 82 Stat. 1321, which is classified principally to this
chapter. For complete classification of this Act to the
Code, see Short Title note set out under section 2751 of
this title and Tables.