United States is Prepared to Relax Export Controls For Sensitive Products

The U.S. government is currently “overhaul” has been followed for decades of military and technology export control system. U.S. President Barack Obama on August 31 signed an executive order establishing the export of the implementation of an inter-departmental co-ordination center, also announced that later this year, according to new standards, introduction of a new export control lists and licensing policies, to create a more effective, transparent and predictable of the new export control system, the emphasis on the protection, while U.S. national security, increase U.S. manufacturing and the competitive edge.

Current U.S. export control system has two lists, namely the list of arms control and business control lists. The former by the State Council, the latter managed by the Ministry of Commerce. Two lists with different methods on the definition of export control products. Assigned to a different list of the same product, the results are different, many of the export license is often delayed for months or even years. For example, the widely used fire trucks and other large vehicles, the brake pedal can be used only as M1A1 tanks, they were included in the list of military products export control.

U.S. existing two control list will be divided into three levels: the highest level of product and technology is almost all confined to the United States, including the U.S. military and intelligence in the field of cutting-edge technology and weapons of mass destruction. Such exports require a permit, and require purchasers to issue end-user security, to prevent the flow of third-party technology, while the implementation of monitoring its implementation. Middle-level technologies and products to the U.S. military and intelligence advantage have important implications for the United States Jiqi allies Suo Wei owned, most Xiang and U.S. multilateral Huoban Mengguochukou without permits, but there are restrictions on exports. The lowest level of technology is on the U.S. military and intelligence have a major impact, but in many countries around the world have been without an export license. It is reported that the revised list of privileges to avoid disputes between departments.

The White House believes that the implementation of the new three-tier system of export controls, U.S. export control system will bring a revolutionary impact. According to experts, the results of preliminary consideration, the U.S. military export control list of 12,000 last year, product catalog, of which 74% or need to go to business under the export control list, or may be completely removed control of the remaining 26% of the products are almost all middle level and the lowest level. Control 32% of the original list of products will be able to relax.

For a long time, the U.S. business community has complained that U.S. export control system has the “Cold War characteristics”, seriously restricted the export competitiveness of U.S. companies. Since last August, the Obama administration authorized the State Department, Defense Department and the Department of Commerce technology export system on the original review, concluded that: the existing export control system “extremely complicated”, “cumbersome procedures”, “over-protection , “and undercut America’s national security are related to protection of key technologies.

U.S. business community said the government was generally welcomed to relax export controls that is conducive to achieving the Obama administration set to double within 5 years to achieve the export target. U.S. Chamber of Commerce that the relaxation of export controls could add billions of dollars for U.S. exports.

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