FR Notice

This document is scheduled to be published in the
Federal Register on 07/20/2022 and available online at
Billing
federalregister.gov/d/2022-15433, and on govinfo.gov

Code 4710-25

DEPARTMENT OF STATE
[Public Notice: 11792]
International Traffic in Arms Regulations: Issuance of Open General Licenses 1
and 2
ACTION: Publication of general licenses available on the Directorate of Defense Trade
Controls website.
SUMMARY: The Department of State, Directorate of Defense Trade Controls is
publishing two open general licenses, permitting certain reexports and retransfers as
provided therein, in the Federal Register: Open General License No. 1 and Open General
License No. 2, each of which was previously issued on DDTC’s website.
FOR FURTHER INFORMATION CONTACT:

Robert Hart, Office of Defense

Trade Controls Policy, U.S. Department of State, telephone (202) 663-1282, or email
[email protected]. ATTN: Open General Licenses 1 and 2.
SUPPLEMENTARY INFORMATION: On July 13, 2022, pursuant to the authority of
section 38(a) of the Arms Export Control Act (22 U.S.C. 2778(a)), as delegated to the
Secretary of State by E.O. 13637, 78 FR 16129, and as further delegated by the Secretary
of State, the Deputy Assistant Secretary of State for Defense Trade Controls issued two
open general licenses as part of a pilot program described in the International Traffic in
Arms Regulations (ITAR), 22 CFR parts 120 through 130, § 126.9(b). This pilot program
involves open general licenses that may be used by certain persons in Australia, Canada,
and the United Kingdom to retransfer certain defense articles within each of the three
countries and to reexport certain defense articles between and among the three countries.
These open general licenses are valid for one year, effective August 1, 2022, through July
31, 2023.

The Office of Management and Budget has approved the information collection
revision (OMB Control 1405-0173) described in each open general license via
emergency processing under 5 CFR 1320.13 for six months. In the coming weeks, the
Directorate of Defense Trade Controls will begin the process for a standard associated
clearance.
Open General License No. 1 permits the retransfer (as defined in ITAR § 120.51)
of unclassified defense articles to the Governments of Australia, Canada, or the United
Kingdom, and to members of the Australian and United Kingdom communities (as
defined in ITAR §§ 126.16(d) and 126.17(d)) and Canadian-registered persons (as
defined in ITAR § 126.5(b)). Open General License No. 2 permits the reexport (as
defined in ITAR § 120.19) of unclassified defense articles between or among the
Governments of Australia, Canada, or the United Kingdom, and to members of the
Australian and United Kingdom communities (as defined in ITAR §§ 126.16(d) and
126.17(d)) and Canadian-registered persons (as defined in ITAR § 126.5(b)). Both
licenses are subject to requirements, limitations, and provisos as described in each open
general license.
The text of Open General License No. 1 and Open General License No. 2 are provided
below.

Open General License No. 1
Qualifying Retransfers within Australia, Canada, and the United Kingdom
(a) The Directorate of Defense Trade Controls (DDTC), pursuant to the International
Traffic in Arms Regulations (ITAR) § 126.9(b), hereby provides the following Open
General License No. 1. Open General License No. 1 licenses the retransfer (as defined in
ITAR § 120.51) of unclassified defense articles to:
(1) the Government of Australia, the Government of Canada, or the Government of the
United Kingdom;
(2) members of the Australian Community as defined in ITAR § 126.16(d), at all
locations in Australia;
(3) members of the United Kingdom Community as defined in ITAR § 126.17(d), at all
locations in the United Kingdom; or

(4) Canadian-registered persons as defined in ITAR § 126.5(b).
(b) The retransfer of any unclassified defense article to any of the parties listed in section
(a) is subject to all the following requirements, limitations, and provisos:
(1) Requirements. The transferor shall:
(i) comply with the requirements of ITAR § 123.9(b);
(ii) maintain the following records of each retransfer: a description of the defense article,
including technical data; the name and address of the recipient and the end-user, and
other available contact information (e.g., telephone number and electronic mail address);
the name of the natural person responsible for the transaction; the stated end use of the
defense article; the date of the transaction; and the method of transfer;
(iii) ensure that such records are made available to DDTC upon request; and
(iv) utilize Open General License No. 1 as the license or other approval number or
exemption citation.
(2) Limitations and provisos:
(i) the defense articles to be retransferred were originally exported pursuant to a license
or other approval issued by DDTC pursuant to section 38 of the Arms Export Control Act
(AECA), the Defense Trade Cooperation Treaty between the United States and Australia
(ITAR § 126.16), or the Defense Trade Cooperation Treaty between the United States
and the United Kingdom, (ITAR § 126.17);
(ii) a defense article originally exported pursuant to ITAR § 126.6(c) may not be
retransferred under this license;
(iii) defense articles described in ITAR § 126.16(a)(5) or § 126.17(a)(5) may not be
retransferred under this license;
(iv) defense articles may not be retransferred under this license if they are listed on the
Missile Technology Control Regime (MTCR) Annex or identified as Missile Technology
(MT) on the United States Munitions List (USML) in ITAR part 121;
(v) defense articles may not be retransferred under this license if they will be used to
support the design, development, engineering, manufacture, production, assembly,
testing, repair, maintenance, modification, operation, demilitarization, destruction, or
processing of a missile, UAV, space-launch vehicle, item listed on the MTCR Annex, or
item listed as MT on the USML in ITAR part 121;
(vi) technical data may only be retransferred under this license for the purpose of
organizational-level, intermediate-level, or depot-level maintenance, repair, or storage of
a defense article;
(vii) any major defense equipment (as defined in ITAR § 120.8) valued (in terms of its
original acquisition cost) at $25,000,000 or more and any defense article or related
training or other defense service valued (in terms of its original acquisition cost) at
$100,000,000 or more, may only be retransferred under this license for the purpose of:
i. maintenance, repair, or overhaul defense services, including the repair of defense
articles used in furnishing such services, if the retransfer will not result in any increase in

the military capability of the defense articles and services to be maintained, repaired, or
overhauled; or
ii. a temporary retransfer of defense articles for the sole purpose of receiving
maintenance, repair, or overhaul;
(viii) the retransfer must take place wholly within the physical territory of Australia,
Canada, or the United Kingdom;
(ix) any retransfer of a defense article other than technical data is for end use by, or
operation on behalf of, the Government of Australia, the Government of Canada, or the
Government of the United Kingdom; and
(x) Open General License No. 1 may not be utilized by persons to whom a presumption
of denial is applied by DDTC pursuant to ITAR §§ 120.1(c) or 127.11(a), including,
among other reasons, for past convictions of certain U.S. criminal statutes or because
they are otherwise ineligible to contract with or receive an export or import license from
an agency of the U.S. Government.
(c) Open General License No. 1 is a license or other approval as defined in ITAR
§ 120.20, including for purposes of ITAR part 127. Any retransfer that satisfies the
requirements specified herein may be undertaken pursuant to Open General License No.
1.
(d) No liability will be incurred by or attributed to the U.S. Government in connection
with any possible infringement of privately owned patent or proprietary rights, either
domestic or foreign, by reason of any retransfer conducted pursuant to Open General
License No. 1.

Entry into Force
Open General License No. 1 is valid for one year, effective August 1, 2022 through July
31, 2023. The Department may later consider reissuing Open General License No. 1 prior
to July 31, 2023 and extend the period of validity, or otherwise amend the license.
Open General License No. 1 is limited to transactions described herein, all other
transactions subject to the ITAR require a separate license or approval as described in the
ITAR.
The Department of State approves Open General License No. 1 pursuant to ITAR
§ 126.9(b) and subject to the enumerated limitations, provisos, and requirements as well
as the requirements contained elsewhere in the ITAR. Open General License No. 1 may
not be utilized unless and until these limitations, provisos, and requirements have been
satisfied.
Please direct any questions regarding Open General License No. 1 to the Office of
Defense Trade Controls Policy at telephone (202) 663-1282, or email
[email protected].
Michael F. Miller
Deputy Assistant Secretary for Defense Trade Controls

Dated: July 13, 2022

Open General License No. 2
Qualifying Reexports Between or Among Australia, Canada, and the United
Kingdom
(a) The Directorate of Defense Trade Controls (DDTC), pursuant to the International
Traffic in Arms Regulations (ITAR) § 126.9(b), hereby provides the following Open
General License No. 2. Open General License No. 2 licenses the reexport (as defined in
ITAR § 120.19) of unclassified defense articles between or among:
(1) the Government of Australia;
(2) the Government of Canada;
(3) the Government of the United Kingdom;
(4) members of the Australian Community as defined in ITAR § 126.16(d), at all
locations in Australia;
(5) members of the United Kingdom Community as defined in ITAR § 126.17(d), at all
locations in the United Kingdom; and
(6) Canadian-registered persons as defined in ITAR § 126.5(b).
(b) The reexport of any unclassified defense article to any of the parties listed in section
(a) is subject to all the following requirements, limitations, and provisos:
(1) Requirements. The transferor shall:
(i) comply with the requirements of ITAR § 123.9(b);
(ii) maintain the following records of each reexport: a description of the defense article,
including technical data; the name and address of the recipient and the end-user, and
other available contract information (e.g., telephone number and electronic mail address);
the name of the natural person responsible for the transaction; the stated end use of the
defense article; the date of the transaction; and the method of transfer;
(iii) ensure that such records are made available to DDTC upon request; and
(iv) utilize Open General License No. 2 as the license or other approval number or
exemption citation.
(2) Limitations and provisos:
(i) the defense articles were originally exported pursuant to a license or other approval
issued by DDTC pursuant to section 38 of the Arms Export Control Act (AECA), the
Defense Trade Cooperation Treaty between the United States and Australia (ITAR
§ 126.16), or the Defense Trade Cooperation Treaty between the United States and the
United Kingdom, (ITAR § 126.17);
(ii) a defense article originally exported pursuant to ITAR § 126.6(c) may not be
reexported under this license;

(iii) defense articles described in ITAR § 126.16(a)(5) or § 126.17(a)(5) may not be
reexported under this license;
(iv) defense articles may not be reexported under this license if they are listed on the
Missile Technology Control Regime (MTCR) Annex or identified as Missile Technology
(MT) on the United States Munitions List (USML) in ITAR part 121;
(v) defense articles may not be reexported under this license if they will be used to
support the design, development, engineering, manufacture, production, assembly,
testing, repair, maintenance, modification, operation, demilitarization, destruction, or
processing of a missile, UAV, space-launch vehicle, item listed on the MTCR Annex, or
item listed as MT on the USML in ITAR part 121;
(vi) technical data may only be reexported under this license for the purpose of
organizational-level, intermediate-level, or depot-level maintenance, repair, or storage of
a defense article;
(vii) any major defense equipment (as defined in ITAR § 120.8) valued (in terms of its
original acquisition cost) at $25,000,000 or more and any defense article or related
training or other defense service valued (in terms of its original acquisition cost) at
$100,000,000 or more, may only be reexported under this license for the purpose of:
i. maintenance, repair, or overhaul defense services, including the repair of defense
articles used in furnishing such services, if the reexport will not result in any increase in
the military capability of the defense articles and services to be maintained, repaired, or
overhauled; or
ii. a temporary reexport of defense articles for the sole purpose of receiving maintenance,
repair, or overhaul;
(viii) the reexport must take place wholly within or between the physical territory of
Australia, Canada, or the United Kingdom;
(ix) any reexport of a defense article other than technical data is for end use by, or
operation on behalf of, the Government of Australia, the Government of Canada, the
Government of the United Kingdom, or the Government of the United States; and
(x) Open General License No. 2 may not be utilized by persons to whom a presumption
of denial is applied by DDTC pursuant to ITAR §§ 120.1(c) or 127.11(a), including,
among other reasons, for past convictions of certain U.S. criminal statutes or because
they are otherwise ineligible to contract with or receive an export or import license from
an agency of the U.S. Government.
(c) Open General License No. 2 is a license or other approval as defined in ITAR
§ 120.20, including for purposes of ITAR part 127. Any reexport that satisfies the
requirements specified herein may be undertaken pursuant to Open General License No.
2.
(d) No liability will be incurred by or attributed to the U.S. Government in connection
with any possible infringement of privately owned patent or proprietary rights, either
domestic or foreign, by reason of any reexport conducted pursuant to Open General
License No. 2.

Entry into Force
Open General License No. 2 is valid for one year, effective August 1, 2022 through July
31, 2023. The Department may later consider reissuing Open General License No. 2 prior
to July 31, 2023 and extend the period of validity, or otherwise amend the license.
Open General License No. 2 is limited to transactions described herein, all other
transactions subject to the ITAR require a separate license or approval as described in the
ITAR.
The Department of State approves Open General License No. 2 pursuant to ITAR
§ 126.9(b) and subject to the enumerated limitations, provisos, and requirements as well
as the requirements contained elsewhere in the ITAR. Open General License No. 2 may
not be utilized unless and until these limitations, provisos, and requirements have been
satisfied.
Please direct any questions regarding Open General License No. 2 to the Office of
Defense Trade Controls Policy at telephone (202) 663-1282, or email
[email protected].

Michael F. Miller
Deputy Assistant Secretary for Defense Trade Controls
Dated: July 13, 2022

Michael F. Miller,
Deputy Assistant Secretary for Defense Trade Controls,
Department of State.

[FR Doc. 2022-15433 Filed: 7/19/2022 8:45 am; Publication Date: 7/20/2022]