Deemed Export Advisory Committee Issues Report, Offers Recommendations on Deemed Export Policy
The Bureau of Industry and Security's Deemed Export Advisory Committee (DEAC) has submitted a report to the Secretary of Commerce entitled, "The Deemed Export Rule in the Era of Globalization," which reviews the current deemed export policy and recommends changes.
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(The DEAC consists of no more than 12 representatives from industry, academia, and other experts in the field appointed by the Secretary of Commerce for a term of not more than one year.
The DEAC defines a "deemed export" as the release of technology or source code having both military and civilian applications to a foreign national within the U.S.)
DEAC Concludes Current Regime is Ineffective and Should be Replaced
The DEAC concludes that the existing deemed export regulatory regime no longer effectively serves its intended purpose and should be replaced with an approach that better reflects the realities of today's national security needs and global economy brought about by developments in science and technology, the free-flow of information, the change in the character of threats to U.S. security, etc.
DEAC Recommends Simplified New Process, Extension of Educational Program
The DEAC offers two recommendations: (1) Replace the current deemed export licensing process with a simplified new process that will both enhance national/homeland security and strengthen U.S. economic competitiveness; and (2) extend the educational outreach program currently conducted by BIS to help assure that all parties potentially subject to licensing with the deemed export rules are familiar with those rules.
The DEAC states that implementation of these recommendations will require, among other things (partial list):
systematic review of the Commerce Control List to eliminate items and technologies that have little or no consequence;
establishment of a category of "trusted entities" that volunteer to qualify for special, streamlined treatment in the processing of deemed export license applications by meeting certain specified criteria;
expansion of the determination of the national affiliation of potential licensees;
involvement of a panel of outside experts in the fields of science and engineering to conduct an annual "sunset" review of the CCL; and
increase of the use of interactive, web-based self-teaching programs.
(See report for complete recommendations.)
(See ITT's Online Archives or 01/03/08 news, 08010399 6, for previous BP summary of a Commerce Department press release announcing this report.)
DEAC report (dated 12/20/07) available at http://tac.bis.doc.gov/2007/deacreport.pdf