82 FR 15547 - Imposition of Nonproliferation Measures Against Rosoboronexport, Including a Ban on U.S. Government Procurement

DEPARTMENT OF STATE

Federal Register Volume 82, Issue 59 (March 29, 2017)

A determination has been made that a foreign person has engaged in activities that warrant the imposition of measures pursuant to Section 3 of the Iran, North Korea, and Syria Nonproliferation Act. The Act provides for penalties on foreign entities and individuals for the transfer to or acquisition from Iran since January 1, 1999; the transfer to or acquisition from Syria since January 1, 2005; or the transfer to or acquisition from North Korea since January 1, 2006, of goods, services, or technology controlled under multilateral control lists (Missile Technology Control Regime, Australia Group, Chemical Weapons Convention, Nuclear Suppliers Group, Wassenaar Arrangement) or otherwise having the potential to make a material contribution to the development of weapons of mass destruction (WMD) or cruise or ballistic missile systems. The latter category includes (a) items of the same kind as those on multilateral lists but falling below the control list parameters when it is determined that such items have the potential of making a material contribution to WMD or cruise or ballistic missile systems, (b) items on U.S. national control lists for WMD/missile reasons that are not on multilateral lists, and (c) other items with the potential of making such a material contribution when added through case-by-case decisions.

[Federal Register Volume 82, Number 59 (Wednesday, March 29, 2017)]
[Notices]
[Pages 15547-15548]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-06224]


-----------------------------------------------------------------------

DEPARTMENT OF STATE

[Public Notice: 9938]


Imposition of Nonproliferation Measures Against Rosoboronexport, 
Including a Ban on U.S. Government Procurement

AGENCY:  Department of State.

ACTION:  Notice.

-----------------------------------------------------------------------

SUMMARY:  A determination has been made that a foreign person has 
engaged in activities that warrant the imposition of measures pursuant 
to Section 3 of the Iran, North Korea, and Syria Nonproliferation Act. 
The Act provides for penalties on foreign entities and individuals for 
the transfer to or acquisition from Iran since January 1, 1999; the 
transfer to or acquisition from Syria since January 1, 2005; or the 
transfer to or acquisition from North Korea since January 1, 2006, of 
goods, services, or technology controlled under multilateral control 
lists (Missile Technology Control Regime, Australia Group, Chemical 
Weapons Convention, Nuclear Suppliers Group, Wassenaar Arrangement) or 
otherwise having the potential to make a material contribution to the 
development of weapons of mass destruction (WMD) or cruise or ballistic 
missile systems. The latter category includes (a) items of the same 
kind as those on multilateral lists but falling below the control list 
parameters when it is determined that such items have the potential of 
making a material contribution to WMD or cruise or ballistic missile 
systems, (b) items on U.S. national control lists for WMD/missile 
reasons that are not on multilateral lists, and (c) other items with 
the potential of making such a material contribution when added through 
case-by-case decisions.

DATES:  Effective Date: March 21, 2017.

FOR FURTHER INFORMATION CONTACT:  On general issues: Pam Durham, Office 
of Missile, Biological, and Chemical Nonproliferation, Bureau of 
International Security and

[[Page 15548]]

Nonproliferation, Department of State, Telephone (202) 647-4930. For 
U.S. Government procurement ban issues: Eric Moore, Office of the 
Procurement Executive, Department of State, Telephone: (703) 875-4079.

SUPPLEMENTARY INFORMATION:  On March 21, 2017 the U.S. Government 
applied the measures authorized in Section 3 of the Iran, North Korea, 
and Syria Nonproliferation Act (Pub. L. 109-353) against the following 
foreign person identified in the report submitted pursuant to Section 
2(a) of the Act:
    Rosoboronexport (ROE) (Russia) and any successor, sub-unit, or 
subsidiary thereof.
    Accordingly, pursuant to Section 3 of the Act, the following 
measures are imposed on these persons:
    1. No department or agency of the United States Government may 
procure or enter into any contract for the procurement of any goods, 
technology, or services from this foreign person, except to the extent 
that the Secretary of State otherwise may determine. This measure shall 
not apply to subcontracts at any tier with ROE and any successor, sub-
unit, or subsidiary thereof made on behalf of the United States 
Government for goods, technology, and services for the maintenance, 
repair, overhaul, or sustainment of Mi-17 helicopters for the purpose 
of providing assistance to the security forces of Afghanistan, as well 
as for the purpose of combating terrorism and violent extremism 
globally. Moreover, the ban on U.S. government procurement from the 
Russian entity Rosoboronexport (ROE) and any successor, sub-unit, or 
subsidiary thereof shall not apply to United States Government 
procurement of goods, technology, and services for the purchase, 
maintenance, or sustainment of the Digital Electro Optical Sensor 
OSDCAM4060 to improve the U.S. ability to monitor and verify Russia's 
Open Skies Treaty compliance. Such subcontracts include the purchase of 
spare parts, supplies, and related services for these purposes;
    2. No department or agency of the United States Government may 
provide any assistance to this foreign person, and this person shall 
not be eligible to participate in any assistance program of the United 
States Government, except to the extent that the Secretary of State 
otherwise may determine;
    3. No United States Government sales to this foreign person of any 
item on the United States Munitions List are permitted, and all sales 
to this person of any defense articles, defense services, or design and 
construction services under the Arms Export Control Act are terminated; 
and
    4. No new individual licenses shall be granted for the transfer to 
this foreign person of items the export of which is controlled under 
the Export Administration Act of 1979 or the Export Administration 
Regulations, and any existing such licenses are suspended.
    These measures shall be implemented by the responsible departments 
and agencies of the United States Government and will remain in place 
for two years from the effective date, except to the extent that the 
Secretary of State may subsequently determine otherwise.

Ann K. Ganzer,
Acting Assistant Secretary of State for International Security and 
Nonproliferation.
[FR Doc. 2017-06224 Filed 3-28-17; 8:45 am]
 BILLING CODE 4710-27-P