BRIEFING PAMPHLET ON UNITED STATES EXPORT CONTROLS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP64-00014A000100120002-7
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 26
• Document Creation Date: December 12, 2016
• Document Release Date: July 11, 2000
• Sequence Number: 2
• Publication Date: June 1, 1955
• Content Type: REPORT

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LE ING PAMPHLET
ON
UNITED STATES WORT conTricts
STATI NTL
THX11 PAMPHLET HAS BEEN PREPARED FOR THE EDAC FOR
USE Ell FOREIGN 'WORT COITROL MISSIONS vlsrato
THE UNITED SUM UNDER THE TERM OF TITLE III
OF THE BATTLE ACT. IT IS INTENDED TO PROVIDE A
BRIEF SMEARY OF THE WORT CONTROL SYS= IN
THE UNITED STATES.
*DOC Exempt Letter On File*
Prepared byl
Strategic Controls I/vision
Office of Export SupTay
/brass of Foreign CODITh3r00
Department of Commerce
Jane 12 1955
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TABLE OF CONTENTS
I.
II.
III.
INTRODUCTION i
LAWS RELATING TO UNITED STATES EXPORT CONTROLS
BASIC PROGRAMS IN UNITED STATES EXPORT CONTROLS
?
1
1
2
A. Short-Supply Controls
2
B. Security Controls
4
IV.
THE ADMINISTRATIVE ORGANIZATION FOR EXERCISE OF EXPORT CONTROLS
5
A. Agencies Concerned with United States Export Contra . .
5
B. Basic Authorities
5
C. The Advisory-Committee on Export Polday
D. Bureau of Foreign Commerce
7
E. United States Customs Service -Treasary Department
8
V.
BASIC PROVISIONS OF UNITED STATES EXPORT CONTROL REGULATIONS .
8
A. PUblished Regulations
8
B. axoeptions to Export Controls Administered by the Bureau
of Foreign Commerce
C. General Prohibition Against Exportations . . . ? ? ?
?
9
D. Country Groups
9
E. Positive List of Commodities
10
F. General License
G. Validated Licenses
13
H. Validated License - Individual Type
13
I. Validated Licenses - Project Type
15
J. Exportation of Technical Data
16
VI.
CLEARANCE OF EXPORTATIONS BY THE COLLECTOR OF CUSTOMS. ? ? ? .
17
VII.
SPECIAL AIDS TO THE LICENSING OFFICER
3.8
VIII,
INVESTIGATION AND ENFORZEKENT ACTIVITY
20
IX.
DESTINATION CONTROL
22
APPENDIX--WORKLOAD AND STAFF 24
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I. g mycnow
Th a pamphlet sets farth, in summary form the nature and scope of United
States export controls. The pamphlet has been especially prepared to assist
officials oftriendly foreign countries to achieve an understanding of the
basic elements of the United States System for controlling exports. It should
be regarded as an outline of genera/ information which can serve as a founda-
tion for more inteasive study of the various aspects of United States export
controls. SOcifically, the pamphlet is intended as an introduction to United
States export controls for officials of foreign technical delegations expecte'
ing to make a study of the United States export control system.
Since the United States export control program really comprises eeveral
different programs administered jointly, it has been necessary to break the
program down into a number of major components for discussion in this pamphlet,
The title headings in the table of contents indicate-major subjects covered
by the panpkbite The presentation of material in the pamphlet is as follows;
First: Basic legal and organic authorities.
Seconds Administrative organization for export contract
administered by the Bureau of Foreign Commerce.
Thirds' Regulations, methods and procedures in export
controls administered by the Bureau of Foreign
amerce.
The order inwhich the various segments of the export control program are
presentedlaisno significance as to any order of importance of the various
proexame.e.akotnelly, all of these programs are considered as equal in importance
and in prepticeseevery effort Is made to fashion from all of these related
programs a Single instrument of United States national policy in the field
of export controls.
II. 1441.441414Q-REURAT4IPs EXPaRT POTBM2
The basic United Staten law relating to export control is the ',Export
Control AOtaaf:1949P. Virtually all of the controls over usual commercial
exportatiope are exercised under this law. If the Export Control Act of
1949 did noteexiet, there would be no specific authority to control exports
of commodities except atomic energy equipment and materiale, gold and
narootiot,Hend arms, ammunition and implements of war. The Export Control
Act of 1949acontinuod similar legislation which had been in force continually
since Jely2,1911).
In administering the Export Control Act there are, of course a great
number of other Federal 'wets which must be taken into account. Two laws
which are of specific interest are the administrative Procedures Act and the
Federal Reports Act. The Administrative Procedures Act requires that regu-
lations issued under the Export Control Act (as well as all other regula-
tory laws) must be formally announced and promulgated for the entire public
to see and may not be changed except through official public notice. The
Federal Reports Act provides that all regulations reouir infer tionor
/Well areacieitteseerniamioebbimemago lgogg red
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eleortete in coeuectiee rith export licenaesf, must be reviewed and
approved by the Uereatl a the Budget. In thie connection the. Bureau of
tee Budget: which Is n thn Evecutive Office of tne President* is conoerned
to see thet all requests for. information from busineee are reasonabl and
that there is no duplication of. information which business is requiredto
furnieh various departmeete of the Federal Government.
III. D4SIC PROGRAMS -IN WITED STALES EXPORT CONTROLS
rff ...10.11.6,1184 :111MIPA glo,.311.1,12.24kW.0.1.44,11,1.110,}
The basic pregrame edministered in connection with the bated States
export controls stem from the language of the Eeport Control Apt.iteelf. It
is of interest here to quote the language of Section 2 of the Export Control
Act of 29491
rho gongrees hereby declares that it is the policy of the
United States to use export controls to the extent necessary
:ee) to protect the domestic economy from the excessive drain
scarce materials and to reduce the inflationary impact of
ebnormal foreign demand; (b) to further the foreign policy
et' the United States and to aid in fulfilling its international
neepoesibilities; and (e) to exercise the necessary vigilanoe
ever exPorte from the standpoint of their significance to the
aetional security".
There have :evolved from this expression of policy by Congress three pri0011141
Programs whiCh ere parried forward in administration of United States expert:
confrolseeThese programs can be described briefle in the following terms:
3, TO conserve the supply of materials which are scarce in the
United States ("Short Supply Controls"). '
2,.To restrict the exportation of strategic materials from the
United-Stetes to Soviet Bloc nations, either directly or
through a third country ("Security Controls")0
TO enlist the aid of friendly foreign governments in
withholding strategic materials of whatever origin from
SeViet Bloc nations (Parallel Action").
A0 010trellURRILSOURM
In carrying forward the program of "Shortesupply controls" the
United States acknowledges that requirements of friendly foreign
?-ountries represent an important claim on U.S. materials which
are in short supply. Therefore, in the determination of short
supply export quotas, such factors as the essentiality of foreign
requirements, traditional dependence upon the ILS, for supplies,
and U.S, foreign policy considerations are taken into account and
weighed against the impact of a given level of exports upon the
domestic economy,
The importance of fulfilling foreign requirements sus well illus.-
treAd during the Korean mobilisation period. At that time, when
several hundred commodities - both finished jorqdupts
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eeterials, includiree such basic materiale as aluninum, coppers
steel e wee setremeete scarce. The S. was comPollee to
laetitute a eyetem dceestic distribetion eoetrole to enable
0,a, proaecers of defense' defeeseesuanorting, and esseatel
eevilian endensa /tome to obtain adequate supplies of needed
eaterials. The U.S. export program was closely tied in with
teis domestic allocation system. Export quotas, consonant
eeth the overeaIl supply-demand situation, were established
sul such quartitiec were (reeerved for export) ithin the
delostic allacation feamesork. Thee friendly foreign countriec
TATTO assured that tha pre-determined quantities would in fact
ts available. Export orders were accorded priority 'atin
tithin the quota reserved for export, an the same basis ae
aemestia.ordars. and essential foreign requirements were thus
Liven prefer:fence over lees eseential domestic U.S. uses...
after the conclusion of the Korean emergency, the domestie dise
eibution eantrole were gradually discontinued as the individuel
eenmodity.eituations permitted. Shortesupply export controls
T-ere abandoaed almort as quickly for it was the general objective
? thcilJeS. Government to retain export coutrole for reaioas of
eaort.eUgly only where eeeded as a counterpart of domestic
e[Ostribution eontrols or in unusual cense. The result of this
eetiolawee that within a very short time after the end of lemma'
eacalietribut:,on control only a handgrl oT comeedities remained
reubjeet te-exeert quotas,, The typee of expoat quotas establiehed
a" A6efollows3
e:e
qepeadAuota2: Ho regular exports areeallowed. Such quotes arc
eltablished.for commodities in criticRAly short-supply in the
re?and for which essential nseds of friendly foreign counteles
alr U.S. eupplies are judged not aufficientle- important in terms
? Imoad.national ietewest to ontwagh the aeitical supple'
eltuation. Az a general rule, no exports are approved. However,
elea justified hy extraordinary or specie' considerations
aelividual exceptions may be granted. Even at the height of
the Korean wer emereoneyf, closed quotas were established for
ally about a half do sea special items.
AvvadjadjarALonwp A quantitative qeota is a specific quarterly
celantity,- publicly announced, which is distribeted between special
eeelects and normal exports. It ie established for commodities
which are clearly in short supply In the U.S., (b) for which
friendly, foreeign ccentries are dependent on the U,S. for assene
ttal supplies, and (o) for which adeqeate data on supply and
eequirements are available so as to permit a stand determinae
tic a of tha specific quantities which may be approved for expert,
a quantitative quota any in some instances be accompanied by
aepplemental limitations with respect to distribution, endeuees
etc a
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Aepteeleatel,yeeeeeetea &Torte are authaeazed under a reserictive
enota only erhere CO i,taistl Spectia3 conditicns relating to sod...
.eee 7 destinatigli.if, eoneurrence or tiliOt age.:tcyt ete, 9:Le0 Vat
axaaArictivo evoe'es al,!(J U0 SCi tr, a) wheo iseeee le a ee:eifees shark-
teee of essential supplies in the US e arie (b) friendly aoreign
countries are dependent upon the 1J.Sa, foe essential ge;pplkesi
id (c) where the foreign demand Lev not be stable enough to:
,2 arrant other types of quotas.
eat.eeelelesateea41 Na quantitativelimitetieee on neports are
psadunder t ea-end quota procedure:, Eetablished.fw
:ammo:lit/es whach are, or 'potentielle are in short'. anaplY
,..#1 tate U.Sua or (b) for which lacense conteol is consIdered
?-.,Jevasery to guard egainet unneual areatetsetogeevent
..leeitable distribution:, to avoid diversion to noneeesential
specnaatiee end 1:11178 etc. ,:kdinarily experts ere freel:e
ef:.censed under openaead quotas. Under this oonteolp appllOae
one are: ueual:ly approved as receivedp and review le
:eeimarilze, for secur1.ty reascriss, while at the Rae tire ign.vide
:-.tr; in. opticrt,ure.ty o aesess the nature and jeectable magn1.tude
.feiture. aeeign, demand.
clf.":StekE,S;9n-traViA
The United Statee provereintr seetrel.ty ecKport controls has been
forceacceitlavouely mince March 11, 1948, 'The eeeurity trade
eontrol.e ars designed to help prevent agg?eseion and nes, and
o. helia !take cartaan ehet I:La.-origin goods do not contrileate
aaterieelly 'to, the war potentaal of unfriend3.7 countries. The
itia1action takon la 1943 had as its narrow) the 902tb1
1.1 exports to &stern Europe of industrial supplies or'equip-
eent? having any potortiel military value, Msteriale were
,elassified, in order cf their strategic importance. It then
a-m/1mi? the policy of tho U.S. to embergo the shipment to the
;oviat Bloc of items of exategic importance There is tie
aojections, couraev to trade with the European Soviet Bice in
.elak-strategio items. There is:, hover, a mbergo o the
31z1pmdat; of strategic and non-strategic goods of U.S. etc/gin
ea.ther .directiy or indireotly to Gommettel.st China.
additions Vie United Statee since 1949 ba e increasiney
. aenseilted eith a nueaar ca friendly ceuntries for the pureese .
.obtelning their cooperation in restricting the growth of the
a,oviete war potential throagh sixoller PiXpOrt 43ontro3.09Ir
fa:eproiching these governments; it was rocogaieod that each had
ao face this problem in the light of its own trade and political
eelations Ilith the Soviet Bloc as vrell 14,3 its interest in the
7,3111,110/0.. SPOU'ityr, Agreemeat aubeequently reached on interatical. control over the flow of strategic gooes to the Soviet
aloe. However:, the United States Government hav always taken.
the posl.tione along with other member governments, that inter-.,
nationally agreed controla on trade with the Soviet Bloc are
to be regarded as a minima level of control and that indivee
dual countries might wish to exercise a. higher degree of 01112"
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be the United States Government polioy to exercise controls
on certain commoditree which have not been aexeed for embargo
zentrol internationaliy and rn approleiete cases the United
States may wish to request aseurances from other friendly
countries that such items not be exported by such countries
to the SovietBloc. In general, such requests for assuranoes
would be limited to items for which the United States consti-
tutes an important source of supply of the item for the
friendly country in question. Assurances saint shipment of
such items to the Soviet Bloo are tho only meant, by which the-
United States may satisfy itself that United States-origin
eoods of a, strategic character are not in fact making posaible
ohipment of significant quantities of like items to the Soviet
Dice by friendly countriee, The responsibility of obtaining
"parallel action from foreign governments rests with the
O(52rector of the Foreign Operations Administration and the Depart-
ment of State, However, under the export control authority,
is necessary that this and other programs operate in a con-
eistent coordinated effort to carry forward the principles of
eational security.
Ivo NIEAPMIET,EiiatllUtignVgM.KZ.E.BPSTLaL,N:CaiLaZMk.
Ae Aeg,PAeftn-C.CSAPZPiaetOV--gIai2JZMElelqBSr.R,1
As indicated above, there are three principal programs carried
eat in administering the Export Control Act of 1949. Adminise
trative reoponsibility for all mattere rOated to United 3tatea
export controls is lodged with the Bureau of Fereign Commerce
In the Departmsat of Commerce. Howevee, international trade is
a complex business and the export control progeems are a matter
of official concern to several departmente end agencies of the
United States federal government. While the Bureau of Foreign
Commerce has administrative responsibility for all operational
matters under the Export Control programa, other executive de-
partments and independent agencies conceened with our foreign
and domestic exeort control probaems may e however, recommend
changes in the policies undee which the Bureau of Foreign Sommaroa
eperates,
B. Ata,PetettletkcInkia
The Paport Control Act of 1949 authorisee the lEggiftpl of the
Thlited States to control United State-is eeeorts. By Executive
Order the rEesiMerk has delegated thie authority to the gjece.tea
ee,:.....cseepeesitre In turn, the Seeretery of Oommerce has delegated
to the Zrestrzeetetleeeper....emeereigedgejlemzel authority and
responsibility for administrative opeeations related to export
control subject to policy direction from the Advisory Committee
Expert Policy,
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co Si1941aritey,S0 Atte,fe9nAll9rt PoitSt
Th3 Export Control Aet of 1949 directs that the official respone
sitle for administering export control shall seek leormation
and advice from the several executive departments and independent
agencies concerned with aspects of our domestic and foreign
policies and operations having an important bearing on exports",
The Secretary of Commerce has established an "Advisory Committee
on Export Policy" as the fermi channel for obtaining the "infor-
mation and advice which by law he is obligated to seek in
administering export control,
The Advisory Committee on Export Policy is the central body in
the United States Government for developing and recommending to
the Secretary of Commerce the operating policies which govern the
administration of export controls. The results of committee
considerations are embodied in "Program Determinations", issued
oa behalf of the Secretary of Commerce, which are binding as
directives to the Bureau of Foreign Commerce in the administration
of export controls. The Advisory Committee on Export Policy
comprises representatives from all government departments with a
continuing interest in the international trade and foreign policy
of the United States. The following agencies are regularly
represented on this committees
Atomic Energy Commission
Department of Agriculture
Department of Defense
Foreign Operations Administration
Department of Interior
Iglitual Defense Assistance Control Administration
(Battle Act Administrator)
Department of State
Bureau of Foreign Commerce
Office of Defense Mobilisation
Treasury Department
Business and Defense Services Administration
In addition, any department may be represented on a special basis
upon invitation, or on the department's own initiative, for any
subject in which such department may have a special interest,
The Advisory Committee on Export Policy is comprised of department
representatives at the sub-cabinet level, This committee, which
is concerned with major changes or new departures in basic operate
ing policies, normOly meets about once a month. The continuing
work of the Advisory Committee is carried forward in the field of
short supply by its Operating Committee., The Bureau of Foreign
Commerce is responsible for recommending to the Operating Committee
such short supply controls as appear necessary, Subject to
final appeal to the President, the Secretary of Commerce exercises
ultimate responsibility for short supply determinations for exports
under the Export Control Act,
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The review and establishment of policies roleting to security eon'
tie, however, are tha interrelated responsibility of both the
-Amatory of Commerce, due te nis export control responsibilities
enesuant to the Expert Control Act, and the Director of the Foreign
Operations Administratiore? pursuant to his responsibilities under
the Mutual Defense Assistance Control Act of 1951 (the soecolled
Battle Act). The review of the United States -strategic commodity
lists, as well as other security problems, are, therefore, carried
Mii'. jointly through the Joint Operating Commatte rhich makes recom-
mendations to the Secretary of Coemerce and Director of FCA with
reeeect to United States controle and controls which might be
advocated by the United States in internatieneldievussiona, .
Do AMMW,SLEMAtaB-90PMX",0!
Me Bureau of Foreign Commerce is that part or the Department of
Oemeeroe, which is responsitae for administrative matters connected
,74-11i% export control such as publication of regulations, review of
line applications and iseuance of validated licenses. It is
also responsible for technioal direction to the Customs Service of
the Treadury Department export contras whnen funotion in conneo-
tion with export controls is to make certain that shipments cf
goods .from the United States are made under proper licenses and
iron physical inspections, that the goods chipped are those antho-
rizod by the licenses.
There are three main parts of the Bureau of Foreign Commerce concerned
.with export -controls (a) Economic Affairs; (b) intelligenoe and
Service; (o) Export Suppler.
The Export Control function, centered in eight divisione under the
Director of the Office of Exposit Supply, comprise (a) four
divisions concerned with liceneing of commodities for export; (b)
OE , division concerned nith the licensing of projects and technical
data; (c) an Investigations Staff dealing with matters relating to
violations or suspected violations of Export Ccntrol Regulation;
(d) a Strategic Controls Division concerned exclusively with
erobleme of security controls, and efforts to secure parallel actions
on the part of foreign governments, and (e) an Operations Division
performing a number of service ftnotions incieding developments of
nagulations? infereation and servioe to exportets, a program e ree
Ilew of action on license applications and clerical work incident
to handling license applications.
The Commercial Intelligence Division of the Office of Intelligence
am :A Services maintains a complete file of commercial infarmation
regarding foreign firms, and the various Economic Affairs Divisions
are concerned with economic develoements in specific foreign coun-
tsies or areas?
The legal staff of the Bureau of Foreign Commerce is concerned -with
(a) the legal sufficiency of export regulations, procedures and
interpretations; and (b) the prosecution of administrative cases
against alleged violators for denial of export privileges and liaison
with the Justice Department in connection with criminal etrosecue
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The United States Customs Service in its surveillance over exports ?
is responsible for enforcing export control regulations far the
Bureau of Foreign Commerce at the point of exportation. Personnel
in the Bureau of Customs must see that each exportation is lawful
under the export control regulations and that exportations made
under a license issued by the Bureau of ForsignCOmmerce comply
strictly with the authorization in the licensee itself. The respon-
sibility and work of the Bureau of Customs covers examination and
inspection of cargo, as well as inspection and clearance of doeuments
relating to each exportation.
V* ,LtELC-AQ.IEP...?T,EE.,E.EMSPLZZ..1MELIALTM
A. bliglabILBMILAWAreq
United States export control regulation are published by the Bureau
of Foreign Commerce and are set down in the "Comprehensive Expert
Schedule", whech is a loose leaf volume containing all current
regulations issued under the authority of the Export Control Act.
This publication is kept current by "Current Export Bulletins"
isrued one or two times a month to incorporate changes. About
one-fourth of the Comprehensive Export Schedule is devoted to
1tet of specific commodities (the Positive List) subject to "
export eontrol regulations. The changes announced in Current
Export Bulletins relate to ohanges in this hat of commodities as
well as procedural changes initiated feom time to time.
B. qe.O.PettflaPe.........AESidtoecedrej,..0:84Legadied.92.71FelekZetekkliur.2ELS1
eeZtalFolitae9,2P3?TheeUlt
Oeited States export control regulations aa set forth in the Com-
prehensive Export Schedule do not apply to the following types of
shipments:
a) Exportations for coneumption in exportations feom the
U.S. through Canada to other countries are subject to
both U.S. and Canadian export control regulations.
b) Exportations for the direct use of United States armed
forces abroad,
o) Exportations subject to licensing by another United
States agency such ass (1) arms, ammunition, and ime
plements of war and technical data related thereto;
helium; licensed by the Department of State; (2)
commodities and data subject to the Atomic Energy Aot
licensed by the Atomic Energy Commiesion; (3) gold
and narcotics licensed by the Treasuyy Department;
(4) vessels, other than vessels of war licensed by
the U.S. Maritime Commission, which is also a part
of the Department of Commerce.
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c.
d) Shipments to territories, possessions and dependencies
o the United States,
0) Mipments moving in transit through the United Statee
without unloading, CA number of limitations and
special conditions must be met on such shipments),
GemeRLEEMMIlen_AmbaLanatkatAgag
The United States export control regulatious provide, except under
tha foregoing conditions, that exportation "from the United States
of all commodities and all technical data .e.. is hereby prohibited
00 unless the Bureau of Foreign Commerce has authorized the
exportation by either issuing a *validated license" or establish-
ing a "general license" permitting such exportations.
A validated license is a a1 lic issued to the
experter by the Bureau of Foreign Commerce and La based upon a
signed application submitted kr_alLeaceee A "general license"
is an authority granted by the Bureau of Foreign Commerce which
permits exportation of some commodities under specified conditions
without a validated license from the Bartere of Foreign Commerce.
1,4it,..14.139-elltnei.,0911322.telaatLitteceonl.-22geMill
ligeeet". The authority to export in such an instance is contained
in the published regulations of the Bureau. of Foreign Commerce
which specify the conditions under which each general license may
be used,.
The remaining paragraphs in this motion relate to the various
types of "general licenses" established by the Bureau of Foreign
Commerce.. At a precedent to an understanding of general licenses,
it is neoessary to explain the terms "coentry groups" and "poe-
tics commodities" as they are used in the United States
export control regulations,
D, geaasutia4tema
There are two main groups of countries defined in United States
export control regulations identified as Group NI" and Group "0".
(Within Group la" there is a grouped' countries identified as
Sub-Group "A" countries), The letter symbols themselves have
flo significance and are simply random letters used as brief codes
to identify the group of countries in each category. The country
groups can be deecribed as follows:
Group
Group 11R"
All countries in the Western Hemisphere
(except the United States and Canada),
All countries in Europe, Asia, Australia,
and Africa, and islands in the Eastern
Hemisphere, including those listed under
Sub-Group "A",
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Sub-Croup "A" Al]. countries in the Soviet Bloc of nations
including Communist China, North Korea and
ehe Communist controlled areas of IndoeChina
CEeng Kong and Macao ars not defined as within
Sub-Group A. However, because of the tree.
ditional role of theca areas as entrepct ports
for trade moving into Chiefs, limitations are
eleced on many general licenses to these areas.)
Ee &!AlIageLIA-$4-9PAn94#4.1
The Positive List of commodities 13 a current list published in
the Comprehensive Export Schedule showing the commodities which
Aey require a validated license from the Bureau of Foreign
eemmerem. The Positive List ?lonely follows commodity descripe
-ions ueed ia "Schedule B" Statistical Classification of
Cosmetic and Foreign commodities exported from the United Statee"
erhich is the commodity classification system used in gathering
axport statistics in the United States. The system of claspie
tication set up in Schedule B has been Used for many years in
olassifyingl United. States exports and although not originally
designed asa densification system for use .in connection with
export -control ha e been adopted to that use. In the adminis-
tration.of-United States export controls, the commodity
classifications used have always been directly related to
Schedule B classifications, since this is the commodity clasele
fication'ayelem with which the exporter mutt be familiar at
all times regardless of whether export controls are in force.
Mare is attached as Appendix Ap a sample page from the
eositive List of commodities).
The entries on the Positive List of eommodities are set forth
under the following headings:
1, 221MEIMMA-2t-POPMESE-E00147.9 1,114mber
This is the code number assigned to a commodity in
"Schedule B Statistical Classificatioa of Domestic
and Fcmeign Commodities Exported from the United
States".
2, 22113.241,E
This is a description of eacivcommodity subject to
United States export controls. The term used in
these descriptions follow, to the maximum extent
possible, commodity descriptions in "Schedule B
Statistical Classification of Domestic and Foreign
Commodities Exported from the United States".
3, BO
This is the unit of measure designated for the
particular commodity, euch as pound, ton, square
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Proc9sainfle]t941 and Ra1.00-211221W.S.W2211211112tt
This column shows the "Processing Code" assigned to each ?
commodity. In some instances this code bears a numerical
suffix. This processing code is a device which permits
ready identification of commodities on license applications
for routing within BFC. For example, item coded "TEXT"
can readily be identified and immediately routed to the Bureau
of Foreign Commerce licensing division concerned with controls
of textiles. The related commedity group number suffix in
this column is a device ',emitting exporters to list related
commodities on a single license application, a practice not
otherwise permitted.
5. GLV Dolleka_bimit
This entry sets for each commodity a dealer limit level below
which exportations maybe made under a general license.
4. ..alita_a_Ljzw_VIteas..4.td -
In this column a symbol is used to indicate whether a license
in required only for wR" countries or for "R" and "0" countries,
as indicated in Section D above. (A, validated license is
required for all cormarcial shipnents to Hong Kong, Macao and
Sub-(roup A countries unless exportable under a particular
applicable general license).
7. Conmodi.k.i,_ista
This column IA used to signal for each commodity certain special
requirements of the export control regulations as, for example,
whether an Import Certificate is required In connection with a
license application for a certain commodity,
F. General License
There are a. number of different kinds of "general licenees" estAblished
ender the export control regulations in the Comprehensiee Export Schedule.
The following paragraphs in this section contain brief explanations of
some of the general licensee most frequently used in export trade.
1. General License GRO
This general license permits exportations to any country in the
world, except Hong Kong, Macao and Sub-Group Al of any commodity
Which is not listed on the Positive List,
2. General License GO
This general license permits shipment to anyliestern HemisOhere
country of any =meaty shown on the PceitiveList Where the
"validated license recruited"..(Necet page is page 12)
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column on the Positive List indicates that a license is
required only to 'IR" destinations,
3. iiPagraLUMERATE
This genarel license permits exportation of most commodities
eoving through the United States to any third country* except
ang Kong, Macao er a Sub-Group A coentry, Crhere are a
eaeker of speoiZic oommodities to which this general license
IT not applicable, In addition, there are several detailed
Jleitatione on tte use).
ninALLIAW48I-GM:
general licence permits shipment of commodities to any
?testination? exceet Hong Kong, Macao or a Sub-Group A
'ouatry, small value shipments of commodfties in the
,ositive Lint, The Positive List Indicates the limited
?enleo for eaah comeodity. Some commodities have a rZero"
ThErrit whica means that general licence GLV cannot be used
:or any sueh commedity. Other GLV limits are set variably
tzom $5,00 to $2,500, depending on the natnee of the
,oemmdity. (There aru a number of limitations on the use
e' this general licenne which are deeised to prohibit its
kbeee).
eelMNAlfeiglanglegae-
This general license authorizes the export to Hong Kong of
e specified group AC eonrodities. Unless specifically
'Afeeted in the Comerehensive Export Schedule, or authorized
eneee the genallicense, all commodities whether on the
eovitive.List or not :require a validated license for export
to Hong. Kong,
Alips-MNAJ4191WIR
-veal Licenses a0* GRO* and, to some teetent, GIN are used
ely in commercial exportations. In addition, there have
eI7 pat up a number of special purpose general licenses
'Zee exportations; personal baggage; gift shipments to Sub-
amp A destinations; certain publications; tools of trade;
ateres? supplies* equipment and crews effects for ships and
plenes; trade sae:pies to Hong Kong; shipments to United
States representatives abroad; commodities for exhibit at
ereee fates.
ME: These general licenses are not unlimited. The
Collector of Customs is authorized to restrict most
of those licensee to "usual and reasonable kinds of
quantWes3 of materials moving under those general
licensee.
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G. viAldattLitaiegam
There are two major types of validated licenses issued by the Bureau
ce7 Foreign Commerce, namely nindividual' anA nerojects" licenses.
Individual licenses relate to exportatons moving through the normal
channels of international trade from an exporter in the United
States to a consignee abroad, Project licenses are issued to cover
all requirements in connection with a specifid,project abroad. The
handling of applications and issuance of individual and project
type licenses are discussed separatelybelow. -
ielieelseteel elAceneteeejeeneltdeeellyeeel
Samples of the various forms used to apply for an export license
are attached.
1. goiglajimeg
There are five steps through which all license applications:
.Thee steps, with a brief explanation of the type
of work done at each step, are described beloe..
2. 4.91014.9.44MONOgnaeR
The license application (IT-419) is examined to see that
it hay been properly filed in duplicate and is accompanied
by an acknowledgement card (ITe116). It is further examined
to determine whether any party named in the application has
been suspended Deem participation in experts as a result of
having been administratively suspended for t' convicted of,
a violation of U.3, Export Control Regulations, and to see
whether the consignee is subject to special scrutiny (detailed
information is available free the Commercial Intelligence
Division which maintains current information on. both foreign
and domestic firma). All papers in connection with each
application are given a case number. One copy of the acknowe
lodgement card is returned to the applicant which advises
him of the cape number assigned to the application, The
duplicate copy is filed in PFC. The application is forwarded
to the appropriate licensing division.
3. higtallag-Wlsom
Every licensing action takea,by the Bureau of Foreign Commerce
is authorized by a licensing officer in one Of the licensing
divisions of the Bureau of Foreign Commerce. Licensing
divisions are organized to handle large commodity groups and
each licensing officer is assigned specific commodities. For
example, all applications for ball bearings would be handled
by a single licensing officer in the Producers' Equipment
Division. The licensing officer may take any one of three
actions with respect to the application. He may approve it,
reject it, or return it to the applicant without action*
Applications may be returned to the applicant without action
to obtain further i
4 tptc
s
Approveisliga6MAIsmseh,iO4 ig ?
II, AA r e06002-7
documents, to advise the applicant that the shipment may move
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under a general license where no validated license is required,
etc, In taking action on any application the licensing officer
responsible for (1) all technical commodity considerations
:Ixt connection with the transaction eovered by the application;
A seeing that all applicable regulations are complied with;
0) obtaining information from the Commercial Intelligence
Division regarding parties named in the application either in
the United States or abroad; and (4) obtaining advice from
her government departments, such as the Department of Defense,
elpartment of State, etc., where required.e-Along taken by the licensing officer must conform with
eogulations set forth in the Comprehensive Export Schedule,
eAministrative instructions contained in the Export Control
Manual (the Export Control Manual is a bcd,v0f instructions
fer use of employees of the Bureau of Foreign Commerce) and
pelicies and determinations laid down by the Secretary of
Commerce through bis Advisory Committee on EXport Policy,
4.
41xlma_1422nAlag-42U2ad
here is established in the Operations Division of the Bureau
cf Foreign Commerce a Raviem and Analysis Section. Officers
in this sectionare responsible for reviewing licensing actions
te be sure that laws, regulations, policies and instructions
&TS being 'uniformly applied by the licensing officer. Prove
ticallyeall licensing actions are subject to this review which
takes place before the licensing action is officially released
051' the Bureau of Foreign Codmerce.
5.
Aftereapplioations have been acted upon by the licensing officer
(and ,reviewed) they are cleared through a clerical unit and the
lieoneing action is formally issued to the exporter. If the
application has been approved, an export license is typed on
special forgery-proof paper. Tyiomriters used for this purpose
are Medeeueewith specially designed type and the license docue
mente Whene4sued? bears an official stamp of the Department of
Ceamereite.insere against fraudulent licenses, From this
pointeetWexport license is mailed to the applicant and the
applieatione And related documents, with the record of official
action taken, are deposited in the official files of the
Dereaueof Foreign Commerce.
6, Eat
After official action has been taken in connection with an appli-
cation, all papers are deposited in these official files and
mey be removed only by authorised employees. Whenever material
is removed from the official files for reference, a facsimile
of the material is made on microfilm equipment, Thus, if an
application is lost, destroyed or altered, an official copy
can be produced from the microfilm. Records maintained in this
section include files of:
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(a) License applications and related documents showing
he official record of all actions taken by the
Bureau of Foreign Commerce
(b) Acknowledgement cards, which provide a reference
to all applications filed and licenses issued for
any named United States exporter.
(0) Licenses, including both a carbon copy of the
license whee issued and the original license, after
use, bearing the endorsement by the Collector of
Customs or shipments made under the license.
Thais files are maintained for a minimum of five years.
I. YAltdaekILLIOROPZ2tattqUERI
Validated licenses of the project type represent a special type of
license, Whereas the individual type of validated license is issued
to permit the exportation of a specific shipment of commodities
under an export order, a project type license authorizes the exe
pertation of all comecdities necessary to the completion of a project
nbroad. Examples of the types of enterprise which might qualify for
a project type license ares
(a) Maintenance and operation of a coppee mine in Chilee
(b) Erection of a penicillin plant in India.
(c) Petroleum exploration and development operations in
Venezuela.
(d) Modernization of Natican National Railways
The processes for issuance of a project type validated license are
quite different than these for an individual type license. The prime
cipal steps in connection with a project license are:
(a) An application is filed. This application includes:
A summary description of the proposed venture.
2 An appraisal of the project is essential values,
including the economic advantages to the United
States or to ether nation e of the free world.
3) Estimates of total requirements for commodities
from the United States, and estimates of commo-
dities to be procurred elsewhere than in the
United Statso
4) Detailed estimates of commodities required from
the United States during the first year following
approval of a project license application.
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(b) The project license is reviewed by the Project and
Technical rata Division, and after appropriate review
in the comeodft,y dielsiors 1117 apyo's-ed by the Project
and Technical Data Division.
(c) The licensee may erport commodities in accordance with
applications filed with and approve e by the Bureau of
Foreign Commerce. Applications under a project type
license represent firm current requirements for commoe
dities to support the approved project and are cleared
through the Bureau of Foreign Commerce under adminiee
trative proceduree a great deal simpler and faster than
those which goveen applications for commercial-type
validated licensee. (rhe procedures for export clearances
under projeet type licensee are likewise much simpler
than those required under commercial type licenses.
See Seetion VI (5)? below)?
Jo
.7:9,R41.-4e94.-ktg
Meport regelations covering the expectation of technical data are
designed to prevent the acquisition by the Soviet Bloc of U.S.
origin technical data or products manufactured from such data, when
gueh data, or products would contribute to the Soviet war potentiale ?
Mere aee three distinct types of control over technical data. The
following is a brief general outline of this regulation:
Ia AP-2W1,222.ML,:-..02ner-allige-an
A, generel LipepgnSIDP - Authorizes the exportation to all
destinations, of unclassified data in published fora if
such data are available without restriction to all persons
by subscription or without cost.
30 29122ea Lismegjang - Authorizes the export of unclasei-
Lied technical data not generally available in published
form to any destination except those in SubeGroup A pro-
vided such data does not relate to those commodities
listed in Supplement 1, Part 385 of the Comprehensive
Export Schedule, This supplement-- lists 53 Schedule B
commodities under which a validated license is required
for the export of technical data to any destination.
10 gmeell_Liefraap GTDE Authorizes the dissemination of
ecientifie information not directly and significantly
related to design, production and utilization in induee
trial processes.
2. yalldated Licenst
The following types of technical data require a validated license:
1. Technical data assigned a security classification.
App robed ireohrfietitatiftE2QAMAN opal gon 00120002-7
meet the requirements of the above General License
provisions.,
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There are two types of validated licenses for the export of technical
data:
1. Specific Technical Data (STD)* This, as the name implies,
authorizes the export of specific technical data to a
elesignated foreign consignee (s) within a validity period
of 6 months;
2. n..'oject Technical DOW1(PTD), This authorizes the export
e.,? designated types or classes of technical data required
or a perticulee project or program*
3. BalANUVLIIPSKAMM
Beeause of the changing nature of technical data in advanced develops
mote in technolow, requests for official opinion from the Bureau of
Forel= Commerce be exporters are solicited prior to the export under
Geneeal License of shipments which might effect the common security
and defense of the U.S.
vm.Z.FREANLQUKKPanAUP4LP'UngWcTall7.0?19,m$
Before an export is made from the United States, the exporter must preeent a
"Shippeels'Export Declaration" fAee to the Collector of Customs at the port
from which he intends to export, This document is used by the Bureau of thev
Census in gathering export statistics, It is aleo declared to be an official
-
document for export control purposes. This means that any falsification of
information on the Shipper's Export Declaration is subject not only to the
penalties of, the Bureau of the Census, but also to the penalties of the Export
Control Act,. (Under the Export Control Act, an offender may be placed in
jail for one year and fined $10,000 for each offense), The following steps
are taken by the examiner in the office of the Collector of Customs with
respect to each proposed exportations
1. The Shipper's Export Declaration is checked to assure that it is
signed by the exporter named therein or his formally authorized
ageet?
2. The 'hipper 'a Export Declaration is examined to be sure that it
is complete and accurate in all respects, All names shown on the
Shipper's EXpert Declaration are checked against a list of firms
which have been denied licensing privileges. This list is pdblished
in the Comprehensive Export Schedule, If the export privileges of
any party have been suspended, the exportation is prohibited.
30 If the shipment is made under a general license, this fact must
be recorded on the Export Declaration by the exporter with a
notation as to which type of general license is claimed (for
example, general license GRO, GO GLV, etc.),
4. Oa expottatIons moving under a general license, the'Shipperle
Export Declaration is ovemined in the light of all applicable
regulations of the Bureau of Foreign Commerce to assure that
the prone de xportatien
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? 3E;
5. On shipments under a validated license - individual type, the
license document must be turned over to the Collector of Customs
before an Export Declaration may be filed under. such license.
oxy ,.1hipperls Export Declaration presented for -clearance under a
validated license must bear the license number.. The examiner in
the Collector of Customs Office must examine each such declara-.
tion against the appropriate license whichOisin the Collector's
hands to be sure that the proposed eepartation is properly OS:thin
the terms of the applicable license as to coMmedity, quantity,
destination, ceneignee, etc. An appropriate 'entry is made on the
license document to show quantities &lipped under each Export
Declaration cleaeed by the examiner in the Collector of Customs
office?
6. On a validated license of the project type, the Bureau of Foreign
Commerce offidially notifies every Collector of-Customs of project
acenses which have _been issued. Export Declarations covering
proposed exportations under the project type validated license
must bear i reference to the license number of the approved case.
Such declarations are cheeked by the examiner in the Office of the
Collector. of Cestoms against the official liet of project tyye .
valielated-lioenses.
70 If the Eeport:Declaration is in order and all applicable require-.
ments hava been met, it is *authenticeted" by ;the examiner in the
Office efotWColleetar of Customs. This authentication is in the
form of e apeCial official stamp bearing a serial number. Ome copy
of the authenticated declaration is returned to the exporter to
permit hi* to deliver it to the export carrier in exchange for the
hill of 1edine4 Teo coplea are retained by the Collector of Customs,
86 One (mpg.. efothe Export Declaration is sent from the customs dean-
ment examiner ie the Customs House to the Customs inspector at the
dock where loading aboard a vessel will be aceOnTaished. In
S nspecting cargo, contents of packages are compared with informa...
tion 30t forth in the Export Declaration. Discrepancies found may
be cause. -4'or'inVe8tigatioa or action to punieltan offender,
9. After exportation, a'copy of the ship's manifest is compared in
detail with Export Declarations covering the ship's cargo. This
helpe to assure that all documents in conneetion with the trans-
ction are. in agreement. Discrepanciee noted May call for a.
apeeielJeyeetigation to determine whether export control regula-
time have'beep violated.
VII. umajapammiagns,utiaoruggi
One of the most impartaat single functions in the Dated States export
oontrol system le the position of the licensing officer, He is the commodity
expert, qualified by many years of experience in the commodity field in
which he must Operate.. While it is not possible in this pamphlet to
deesribie the licensing officer's work in complete detail, it may be well
to point out the kinds of decisions which the licensing officer must make
and to list some of the types of information and devices available to him
in making his Judgment
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eommodieies for tae purpose oe licensing may oe woken uown into sacuriey
control items, short supply items, or both.
In licenning commodities controlled for vemerity reasons, the licensing
officer must examine the answers to such questions as the following:
n) Are effective controls maintained by the country of ultimate
destination in the came commodity?
b) What are the licensing policies laid down for this commodity
1sx program determinations from the Advisory Committee on
ecport Policy?
Siece the. number of items subject to short pply controls has decreased
markedly; the problem of ahot supply items for export is no longer a major
eoneideration in licensing pods for export. There ere, however,- a few'
lteme which remain ill short supply and in taking action on applications to
export these. items, the. licensing officer must take the following matters
into account:
a) What isethe total quota for this commodity, i.e., whet is the
maximum amount which may be licensed for export in a specific
period?. ?
b) How is .the total Trete broken down among the several foreign
couetries which require this commodity?
c) What:United States exporters have traditionally supplied this
commodity to specific markets?
0)
or what and uses may exportation be authorised?
C, That -are the requirements for the commodity in each foreign
country to which exportation will be authmeised?
f) If a license is granted, will the exporter be able to obtain
thecommodity in the United States market?
In some oases a commodity may be subject to export control for both
short supply and security reasons which means that applications for aey
such commodity must be subjected to a double course of inquiry. In every
license application there is, of course, the requirement that the applica-
tion itself and all related doeumenta must be in good order before final
action is taken.
In arriving at his deoision with respect to any license application,
the licensing officer hee at his command the application submitted by
the exporter, supplemented in specific cases by documents and information
which he rAy require. The following are examples of the types of documents
and information which ars either required by regulations or mAy be requested
by the licensing officer:
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(a) An ultimate consignee statement, i.e., a statement signed
I e the coaeignep abroed in which he makes representations
to the United States exporter and the Bureeu of Foreign
Comoros regarding the use and distribetioe of commodities
proposed for exportation from the United States.
(b) An import certificate supplied under the IC/DV system.
(c) Information obtained through the United States Foreign
Service in respcnee to a cabled request from the Bureau
of Foreign Commerce for an "export transaction check".
cae A Swiss Blue Import Certificate in the case of exportae
tions proposed to Switzerland.
A summary of trade information regarding the United States
exporter QT foreign consignee dere loped from information
in the files of the Commercial Intelligence Division in
the Bureau of Foreign Commerce.
Detailed information regarding the transaction in answer
to a request to the United States exporter.
AOC& From time to time security problems arise, or cases are
presented for processing, which require policy intererree
tation or review at a higher level than the licensing
officer or the licensing division. director. Such
problems or cases are referred for study end recommendae
tion to the "BFC Working Group", which Is made up of
representatives or the various parts of BFC.
.1111-41raff9,
The United States Government feels that in order to assure compliance
vith its export control regulations, there must be a continuous effort
to impose meaningful sanctions against United States exporters or
foreign importers wee wilfully violate such regulatione.
There is in the Bureau of Foreign Commerce an Investigation Staff which
la exclusively concerned with the examination of possible violations or
leeiplent violations of United States export control regulations. The
Investigation Staff comprises approximately Ireeployees in the Washington
office of the Bureau of Yweign Commerce and Wemployees in a New York
office of the lorestigation Staff. These employees are constantly
gathering and sifting information obtained from such sources as: the
United States exporterp the United States Foreign Service, United States
qevernment Intelligence agencies, licensing officers in the Bureau of
Pareign Commerce, Collectors of Oustors, etc. Eech bit of original infore
metion regarding a potential violation or export control regulations may
be called a "lemd". Each such lead is examined and any lead which appears
to relate to a significant violation may develop into a full-fledged in-
vestigation that might require an investigator to travel to a number of
points in the United States and, where necessary abroad.
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As an aid to the Investigation Staff. a commettee has been established
which services two principle functions: (1) to advise the prestigation
Staff aelto the real importance of various irregularities Under invese
tigation so that the manpower of tho Staff eieebe devoted to investige-
tions which appear to be moat pronioing. In this capacity the Copettee
acts aseeejurY which developes BFC opinion on the flavor of various
essetlieMethe'Coemittee advises the Director and Deputy Director of
the OfficeeefeTeXport Supply in their capacity kis supervisore of the
Invettigatieneetaff their developing idaan as to fruitful areas of
activity for the Staff; as to method? o investigation of various
0 elm eseeeeeee appeopridteness of propoaed consent orders; :Leto the
desirability .of prosecution of miner offenders, etc.
In arder,:teedeteeTNine what person or fir e is reeponsible for the vio-
lstieseWAtieften nedeseary to trace the actual movement of the goods
from the United States ler mewls of export licenses, export declaratipnee
bills of lading, ship" maelfests, landing eeetificates, customs ene
tries ebrOS4i foreign bills of lading letters of credit, and so on.
'erforma14olele4ete Slowed from exportere, freight forwarders, ocean
and eireearrieese foreign oustoms officers customs brokers, banke,
andifremeStapeeted individuals themselves.
Then theeintestigators complete their inquiries, their reports are
turned dverete the Office of the General Counsel of the Department
of Conmereeeefor: legal review.
If the Department atterney determines that there is reseonable grounds,
to bolieVeethet a person has violated United States export control
regulatien344 an important respect, a formal compliance aotion is
institutedeagaint the alleged violator. Tdis compliance action moves
throegletheefollowing steps: (a) a charging letter is sent to the
ellegedirielitter describing the apemrent violation and requesting
thatimelinseer:the ohargeo; (b) unless the offender admita the
charges, aeformal hearing of the charge is arranged before a *comp1ianoce
eommissiOnern:who is an official of the Bureau of Foreign Commerce
theeproceedings before the compliance oommissioner the prosee
oution'Whandled by the General Counsel's office. The accused MAY
be aed.Useally is represented by a lawyer of his own choice. The
proceedings include. a hearing of evidence of the alleged violation
and the-evidenoe of the alleged offender submitted in defense or
refutatioed)ethe Compliance Commissioner, in light of information
presentectet the formal hearing, makes a finding of whether there
has been a Violation of the regulations. If the Compliance Commissioner
makes a:fielding or no violation no further action 'is taken by the
Bureau OfFeign Commerce and no sanctions are imposed; (e) if the
Coepliance Comeissioner makes a fin6ing of violation he also reeome
mends to the Director of the OES the compliance action he deeie
slettOleee The Director then acts on this recommendation and mgy
suspend theeviolator from the privilege of participating in United
States exports for a specified length of time. Depending upon the
gravity of the offense, the duration of this suspendion may run
from a few days upward to a maximum of nthe duration of United States
export controls*.
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(f) It should be noted that the administrative proceedings described
above have been applied not only to United States exporters and for-
warders" but also tc dew' to foreign companies and individuals, in
importers and freight forverders, the right to deal in ex-,
ports from the United States,
In addition to the administrative sanctions imposed in the complialce
procekdings described above, criminal penalties may be imposed for
aggravated violations of United States export controls. In any suoh
instance the entire case, with all related evidence, is referred to
the United States Department of Justice for criminal prosecution of
tee offender, Fires and prison sentences have been imposed hv United
States Courts for such criminal violations,
Ie an effort to keep exporters constantly aware of eompliance actions,
e islet of all current suspension orders is maintained and distributed
by the Comprehennive Export Schedules. Press releases are issued and
eaeouncements are published, in the Federal Register,
?thew actions which may be taken, short of formal compliance action,
inoinde detention and seiamee of shipments, recall of shipments, and
srareing issuance of letters.
DE0 ZUTZATZLONISL
lost of the disoussion 14 this pamphlet has been restricted to regula-
tions and procedures as they relate to, the authorisation to export goods
fron the United States, Al]. of the ofrcrb expended to control exports to
the point of departure from the United States would be lost unless steps
were also taken to control the moment of the United States origin
commodities after they have left the United States shores, For this
recon, United States export control regulations are made applicable
to United States origin commodities even after shipment has taken place.
These United States export control regulations are generally referred to
as the "destination control" regulations and comprise three principal
provisions, They ares
(a) Reexportatioe from the country of ultimate destination
shown on United States export control documents (export
license or Shipper's Export Declaration) is prohibited
unless the shipment could move forward directly from the
U.S. under a general license.
() All ships, planes or other carriers are prohibited from
raking delivery of United States origin goods to any .
destination other than the destination specified on United
States expert oontrol documents?
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) for all commodities requiring a validated license and all
2esitivo List nommoditios shipped under general license to
egy doseineelon exeopt Latin Anerlea, the bills of lading
flee cowileTe Trolleos nust boar ef the following
fecatementss
hese commodities licensed by the United States for
eltimate deetiration (name of country). Diversion
eontrary to Milted States law prohibited40
or
ilThese eommodities licensed by United. States for
eltimate destiration (name of coentry) and for
qistribution or resale in (name of other approved
eountries as &own on validated limeamo)0 Diver
iion contraey to UhLted States ire, prohibitedno
erthf_s requirement all interested parties, including foreign importers,
custems hrokers, freight ftrwarders? banks, etc., are put on notice as
to te conditions urder rbith the exportation has been licensed by
Statee.
Theam destination centreol provisions of the export control regulations
ere eonsidered vitally necessary to the effeetivenese of United States
oxpo7t controls. Violations of aqv of tiAese regulations are regarded
jumt as seriously as obteining an export license under false repreoentae
tion6 or illegal description of merehandiee proposed for exportationo
ecepliance orders have been entered against persons who divert, transship
or e.;.!expert goods contrary to these specific provisions of the United
Stats export control regulations and the notice on the bills of lading
end invoices.
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41OAD AND STAFF
1..n order that the reatiff,,:' may- have one txpereciation of the voaiarse
work and, approatriaitc: staff required In :tonne(ition with expt,rt
the ham tw)(11 set forth below sore salient statistteit;
statistics ;3`64111(Litlif, alone cannot be tikken as a. precise Irl:p.Isure
:t!?' Work hit 1,r-oNrit.1$7, sows teals rOr uorripax.tty the task of astabaster-
Satos C.xport control with simil;,-r work done in othor
--,tuntriets? The Deriartinent. of Coe ezplinrs a staff of app4-oxi-
.1Ntely 361 in Gormo:naLoa lerith export oontro, work, The etaff
,ILsixibitted as
Advisory- Go:mutWe on Export
14
Burem.ot Ioteign COnneri:n
324
:-;affo,t,v
49
Other or tcnat unite -In the
:010-eau I;broltqa Gormeroe
75
D?payinglien. or t;orxerc 'ieln otlioes
23
ale:--g the sovvi mont21:: endinE, Marsh 1955 the number of 1;_oerp.;e
.1.ppi1eatior1i nuxii:tri..altal type -valtdatsci licenses received In thE
itarnau ot! c-co_nb-,ree :.-Lverarer/ Sppre.iititlately 4-100 per Walt,
re,roived in ths alp:Au Foreign Commereii?, 95%
di.13140.301e Utht two weeks,... The balance of oases take 0. loner
*Arne for Ole.orsacol,, zi..t.rtine: in rare inetances to several morti-4 on
sops;ciall,y- crit3es iniz, inquirieE abroad.
There were 411 T 0 1 OC 1 type validatt'd comes airrent ly in
t
bre*
the errl of irshmari 195r..
ollectors of' Cuutozvg ;:lear an airere t-f '76,000 ppr'b;Exrt
ar:Ic7.arations -per vi*-ek Thore are a.Go)lecn-,,,rs of Gust
tvreyportst-aorh,, v, as many "pc,A-1", piJ2 about 200 t,sibport sit -
The Collector a of, C. ? .tine taft inc-1ld,er,.3 214 roople encaged e.A.k-quscive1,-
1,1. import cloThvgyi Torxrki...
As of' Deoembec...11.):, j. tiutre wero su.spenst-?on oi-f-d reaztF-7nt2inp
Against viol-e.-i..sors EL%port control regtaations?
As of Pebruarr 2E., 1955 toe Rei.tilm. List oczapri,eod a list cf approx-
.1mat.:Ay 1312 q-lxiniccd.ty entries subject to ralidated ..License refrairrinentc.
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