Export Control Reform Update; Two New Web-Based Decision Tools

Export Control Reform Update; Two New Web-Based Decision Tools

The U.S. government is currently in the midst of a long-overdue reformation of its export control policy, an effort SEMI fully supports.  Conventional semiconductor production equipment and materials (“SEM”) have long been subject to restrictive, Cold War-era export rules that are obsolete and lack statutory authority.  While some progress has been made in recent years in reducing the scope of SEM subject to onerous controls, the adverse impact of anachronistic regulations on U.S. SEM companies continues to put them at a competitive disadvantage in this global industry.

With this in mind, SEMI has been working with U.S. officials to develop more appropriate and effective export controls to ensure that the U.S. remains a global leader in SEM development and innovation while protecting genuinely sensitive military technologies.  Much of this work has been in association with the Bureau of Industry and Security (BIS) at the Department of Commerce.  BIS has been engaged in a series of outreach activities in order to streamline the transition to the new system for companies whose products fall under the “dual-use” category.

As part of these efforts, BIS has developed two new web-based decision tools to assist companies in understanding and applying the Commerce Control List (CCL) Order of Review and "Specially Designed" Definition. The goal of these decision tools is to systematically ascertain the jurisdiction of one’s exports through a series of “yes” or “no” questions.  The tools first determine whether an item is classified under the U.S. Munitions List (USML) or the CLL, and then provides information about the respective guidelines.

On May 29, SEMI took part in a BIS tutorial and webinar demonstrating the new tools.  In concert with the roll out, Assistant Secretary for Export Administration Kevin Wolf also provided an overview of the issues faced by exporters of U.S.-origin items. 

For interested parties, SEMI is happy to provide information and assistance on the utilization of these tools, as well as the broad implications of the system, which will become effective October 15, 2013 in accordance with the Initial Implementation of Export Control Reform final rule. 

These tools are posted on the BIS website and are available for your use:

Commerce Control List (CCL) Order of Review Decision Tool —
http://beta-www.bis.doc.gov/index.php/export-control-classification-interactive-tool

"Specially Designed" Decision Tool —
http://beta-www.bis.doc.gov/index.php/specially-designed-tool

For more information about these and additional resources, please contact Taylor Sholler, manager, Public Policy at Tsholler@semi.org.

July 1, 2013