Export Administration Regulations, new terms defined

Export Administration Regulations, new terms defined

The Bureau of Industry and Security (BIS) of the U.S. Commerce Department today released for publication in the Federal Register a final rule that makes changes to the Export Administration Regulations (EAR) to include definitions to clarify and enhance consistency with terms also found in the International Traffic in Arms Regulations (ITAR) that is administered by the State Department’s Directorate of Defense Trade Controls (DDTC).

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The BIS final rule [PDF 312 KB] revises the scope of the EAR to update and clarify application of controls to electronically transmit and stored technology and software, including by way of cloud computing. 

The DDTC separately released an interim final rule [PDF 255 KB] that contains comparable amendments and changes that:

  • Update the definitions of “export,” and “reexport or retransfer” in order to continue the process of harmonizing the definitions with the corresponding terms in the EAR
  • Create new definitions of “release” and “retransfer” in order to clarify and support the interpretation of the revised definitions 
  • Provide new sections of the ITAR detailing the scope of licenses and unauthorized releases of controlled information
  • Revise the measures on “exports” of technical data to U.S. persons abroad

The DDTC rule will be effective on a date that is 90 days from June 3, 2016 (which is the date when the interim final rule will be published in the Federal Register).


For more information, contact a professional with KPMG’s Trade & Customs practice:

Douglas Zuvich | +1 (312) 665-1022 | dzuvich@kpmg.com

Andrew Siciliano | +1 (631) 425-6057 | asiciliano@kpmg.com

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