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DDTC Posts Comments on Proposed Final Rule To Update EAR, ITAR Definitions

The State Department’s Directorate of Defense Trade Controls (DDTC) should clarify that country of birth is no longer a factor in determining nationality for licensing purposes, and that employers should be solely responsible for signing non-disclosure agreements for any dual…

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and third country national to access defense articles covered by a license, the United Kingdom’s Export Group for Aerospace, Defence and Dual-Use (EGADD) said in comments to DDTC (here). DDTC accepted industry comments in connection with its June announcement of a final rule to update definitions in the Export Administration Regulations (EAR) and International Traffic in Arms Regulations (ITAR), respectively, to enhance clarity and consistency of terms between both export regimes (see 1606020004). Unless there's "convincing evidence that the previous provision," which placed the responsibility for signing the NDA on the employer, "has resulted in identifiable damage to the security of the United States, we urge that it is retained, or, better still, dropped altogether, as of negligible utility.” DDTC posted those comments along with others, including from Boeing, Akin Gump and the Semiconductor Industry Association, on July 21. A State Department official said DDTC will respond to industry comments in its final rule expected Sept. 1.