83_FR_44385 83 FR 44216 - Revisions to the Export Administration Regulations Based on the 2017 Missile Technology Control Regime Plenary Agreements

83 FR 44216 - Revisions to the Export Administration Regulations Based on the 2017 Missile Technology Control Regime Plenary Agreements

DEPARTMENT OF COMMERCE
Bureau of Industry and Security

Federal Register Volume 83, Issue 169 (August 30, 2018)

Page Range44216-44228
FR Document2018-18849

The Bureau of Industry and Security (BIS) is amending the Export Administration Regulations (EAR) to reflect changes to the Missile Technology Control Regime (MTCR) Annex that were agreed to by MTCR member countries at the October 2017 Plenary in Dublin, Ireland, and the May 2017 Technical Experts Meeting (TEM) in Stockholm, Sweden. This final rule revises seventeen Export Control Classification Numbers (ECCNs) to implement the changes that were agreed to at the meetings and to better align the missile technology (MT) controls on the Commerce Control List (CCL) with the MTCR Annex.

Federal Register, Volume 83 Issue 169 (Thursday, August 30, 2018)
[Federal Register Volume 83, Number 169 (Thursday, August 30, 2018)]
[Rules and Regulations]
[Pages 44216-44228]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-18849]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Part 774

[Docket No. 170906871-7871-01]
RIN 0694-AH46


Revisions to the Export Administration Regulations Based on the 
2017 Missile Technology Control Regime Plenary Agreements

AGENCY: Bureau of Industry and Security, Commerce.

ACTION: Final rule.

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SUMMARY: The Bureau of Industry and Security (BIS) is amending the 
Export Administration Regulations (EAR) to reflect changes to the 
Missile Technology Control Regime (MTCR) Annex that were agreed to by 
MTCR member countries at the October 2017 Plenary in Dublin, Ireland, 
and the May 2017 Technical Experts Meeting (TEM) in Stockholm, Sweden. 
This final rule revises seventeen Export Control Classification Numbers 
(ECCNs) to implement the changes that were agreed to at the meetings 
and to better align the missile technology (MT) controls on the 
Commerce Control List (CCL) with the MTCR Annex.

DATES: This rule is effective August 30, 2018.

FOR FURTHER INFORMATION CONTACT: Sharon Bragonje, Nuclear and Missile 
Technology Controls Division, Bureau of Industry and Security, Phone: 
(202) 482-0434; Email: [email protected].

SUPPLEMENTARY INFORMATION:

Background

    The Missile Technology Control Regime (MTCR or Regime) is an export 
control arrangement among 35 nations, including most of the world's 
suppliers of advanced missiles and missile-related equipment, 
materials, software and technology. The regime establishes a common 
list of controlled items (the Annex) and a common export control policy 
(the Guidelines) that member countries implement in accordance with 
their national export controls. The MTCR seeks to limit the risk of 
proliferation of weapons of mass destruction by controlling exports of 
goods and technologies that could make a contribution to delivery 
systems (other than manned aircraft) for such weapons.
    In 1993, the MTCR's original focus on missiles for nuclear weapons 
delivery was expanded to include the proliferation of missiles for the 
delivery of all types of weapons of mass destruction (WMD), i.e., 
nuclear, chemical and biological weapons. Such proliferation has been 
identified as a threat to international peace and security. One way to 
address this threat is to maintain vigilance over the transfer of 
missile equipment, material, and related technologies usable for 
systems capable of delivering WMD. MTCR members voluntarily pledge to 
adopt the Regime's export Guidelines and to restrict the export of 
items contained in the Regime's Annex. The Regime's Guidelines are 
implemented through the national export control laws, regulations and 
policies of the regime members.

Amendments to the Export Administration Regulations (EAR)

    This final rule revises the Export Administration Regulations (EAR) 
to reflect changes to the MTCR Annex agreed to at the October 2017 
Plenary in Dublin, Ireland, and changes resulting from the May 2017 
Technical Experts Meeting (TEM) in Stockholm, Sweden. References are 
provided below for the MTCR Annex changes agreed to at the meetings 
that correspond to the EAR revisions described below. This rule also 
makes changes to the Commerce Control List (CCL) (Supplement No. 1 to 
part 774 of the EAR) to conform with the MTCR Annex. All of the changes 
in this final rule align the MT controls on the CCL with the MTCR 
Annex. In the discussion below, BIS identifies the origin of each 
change in the regulatory text of this final rule by using one the 
following parenthetical phrases: (Dublin 2017 Plenary), (Stockholm 2017 
TEM), or (Changes to Align with MTCR Annex).

Amendments to the Commerce Control List (CCL)

    This final rule amends the CCL to reflect changes to the MTCR Annex 
by amending seventeen ECCNs, as follows:
    ECCN 1B117. This final rule amends ECCN 1B117 by revising the 
heading to remove the criteria for which ``batch mixers'' are 
controlled under this entry and moves the criteria to the new ``items'' 
paragraphs a and b in the List of Items Controlled section. This final 
rule, as a conforming change, redesignates existing ``items'' 
paragraphs a and b as paragraphs c and d (including redesignating the 
Note to paragraph b as Note to paragraph d), respectively, so that all 
criteria that identify ``batch mixers'' that are controlled under ECCN 
1B117 are in the List of Items Controlled section. These changes 
involving the rearranging of the existing text are being made for 
clarity and consistency within the MTCR Annex (MTCR Annex Change, 
Category II: Item 4.B.3., Dublin 2017 Plenary). These changes are not 
expected to have any impact on the number of license applications 
received by BIS.
    ECCN 1B118. This final rule amends ECCN 1B118 by revising the 
heading to remove the criteria for which ``continuous mixers'' are 
controlled under 1B118 and adds those criteria to the ``items'' 
paragraph in the List of Items Controlled section. This final rule 
revises ``items'' paragraphs a and b to include the control criteria 
that identify certain ``continuous mixers'' that are controlled under 
ECCN 1B118. This final rule, as a conforming change, also redesignates 
existing ``items'' paragraph b as paragraph c, which includes criteria 
that identify other ``continuous mixers'' that are controlled under 
ECCN 1B118. The changes to paragraph b, which this rule redesignates as 
``items'' paragraph c.2, include making minor edits for clarity of the 
control parameters to more clearly identify the shafts controlled (MTCR 
Annex Change, Category II: Item 4.B.3.a., Dublin 2017 Plenary). These 
changes involving the rearranging of the existing text are being made 
for clarity and consistency within the MTCR Annex. These changes are 
not expected to have any impact on the number of license applications 
received by BIS.
    ECCN 1C111. This final rule amends ECCN 1C111 by revising ``items'' 
paragraph a.1 in the List of Items Controlled section. In ``items'' 
paragraph a.1, this final rule removes the word ``percent'' and adds in 
its place the ``%'' sign in the phrase ``if at least 10 percent of the 
total weight.'' This change is being made for consistency with the MTCR 
Annex (Changes to Align with MTCR Annex). This is a clarification and 
will not change any scope of control. This change is not expected to 
have any impact on the number of license applications received by BIS.

[[Page 44217]]

    ECCN 1C118. This final rule amends ECCN 1C118 by revising ``items'' 
paragraphs a.1, a.2, and a.3 in the List of Items Controlled section. 
In ``items'' paragraphs a.1 and a.2, this final rule removes the phrase 
``weight percent'' and adds in its place the phrase ``% by weight.'' In 
``items'' paragraph a.3, this final rule removes the phrase ``percent 
is austenite'' and adds in its place the ``%'' sign and for clarity 
moves the phrase ``is austenite'' to the end of the paragraph. These 
changes involving the rearranging of the existing text are being made 
for clarity and consistency with the MTCR Annex (MTCR Annex Change, 
Category II: Item 6.C.9., Dublin 2017 Plenary). This is a clarification 
and will not change any scope of control. These changes are not 
expected to have any impact on the number of license applications 
received by BIS.
    ECCN 2B109. This final rule amends ECCN 2B109 by revising the 
heading, revising ``items'' paragraphs a and b in the List of Items 
Controlled section, and removing Technical Note 2 in the List of Items 
Controlled section. This final rule revises the introductory text of 
``items'' paragraph a to incorporate the text from Technical Note 2 
into the paragraph, creating positive and specific control text to 
identify the types of ``flow-forming machines'' that are controlled 
under ECCN 2B109. Only ``flow-forming machines'' that are usable in the 
``production'' of propulsion components and equipment (e.g., motor 
cases and interstages) for ``missiles'' will be controlled under ECCN 
2B109. This rule includes a parenthetical phrase to provide two 
examples of the types of propulsion components and equipment being 
referenced in ECCN 2B109.a. This final rule also revises ``items'' 
paragraphs a.1 and a.2 to make minor clarifications in the control 
parameters. This final rule revises ``items'' paragraph a.1 to add the 
phrase ``equipped with or'' according to the manufacturer's technical 
specification, and removes the phrase ``can be'' and adds in its places 
the phrase ``capable of being'' equipped. This final rule removes the 
word ``have'' from the beginning of ``items'' paragraph a.2 because the 
introductory text of paragraph a already includes this word, so it is 
redundant in a.2. The final rule removes Technical Note 2 because the 
substance of this technical note is added to ``items'' paragraph a, 
which means the technical note is no longer needed. This final rule 
rewords the substance of Technical Note 2 added to the introductory 
text of ``items'' paragraph a for clarity and to remove the double 
negative (MTCR Annex Change, Category II: Item 3.B.3., Dublin 2017 
Plenary).
    In ECCN 2B109, this final rule revises the heading by removing the 
phrase ``and ``specially designed'' ``parts'' and ``components'' 
therefor.'' As a conforming change this final rule revises ``items'' 
paragraph b to add ``parts'' to the scope of this paragraph. These 
changes to the heading and ``items'' paragraph b do not change the 
scope of the ECCN, but rather clarify the intended scope of ECCN 2B109. 
This final rule corrects ``items'' paragraph b, so that an MT control 
on ``parts'' and ``components'' applies only to 2B009 machines that are 
controlled for MT reasons. The control text in the heading referring to 
``parts'' and ``components'' is not needed, provided conforming edits 
were made to add ``parts'' to the scope of ``items'' paragraph b, which 
controlled ``components'' prior to publication of this final rule. This 
final rule also revises the heading to add the phrase ``as follows (see 
List of Items Controlled)'' to reflect that this ECCN includes an 
``items'' paragraph (Changes to Align with MTCR Annex). These changes 
are not expected to have any impact on the number of license 
applications received by BIS.
    ECCN 2B120. This final rule amends the heading of ECCN 2B120 by 
revising ``items'' paragraph a in the List of Items Controlled section 
to move the phrase ``or more'' to precede the term ``axes.'' The phrase 
``two or more axes'' is clearer and more consistent within the MTCR 
Annex. The motion simulators and rate tables controlled under ``items'' 
paragraph a are those with two or more axes (MTCR Annex Change, 
Category I: Item 9.B.2.c, Dublin 2017 Plenary). These changes are not 
expected to have any impact on the number of license applications 
received by BIS.
    ECCN 2B121. Similar to the change described above to ECCN 2B120, 
this final rule amends ECCN 2B121 by revising ``items'' paragraph a in 
the List of Items Controlled section to move the phrase ``or more'' to 
precede the term ``axes.'' The phrase ``two or more axes'' is clearer 
and more consistent within the MTCR Annex. The positioning tables 
controlled under ``items'' paragraph a are those with two or more axes 
(MTCR Annex Change, Category II: Item 9.B.2.d., Dublin 2017 Plenary). 
These changes are not expected to have any impact on the number of 
license applications received by BIS.
    ECCN 2B122. This final rule amends ECCN 2B122 by revising the 
heading to remove the word ``above'' and add in its place the phrase 
``greater than'' to clarify that centrifuges capable of imparting 
accelerations ``greater than'' 100 g are those that meet this portion 
of the control parameter. The word ``above'' also conveys the same 
meaning, but the phrase ``greater than'' is clearer and more consistent 
within the MTCR Annex (MTCR Annex Change, Category II: Item 9.B.2.e., 
Dublin 2017 Plenary). These changes are not expected to have any impact 
on the number of license applications received by BIS.
    ECCN 6A107. This final rule amends ECCN 6A107 by adding a 
definition of 'Time to steady-state registration' to the Related 
Definitions paragraph in the List of Items Controlled section. As a 
conforming change, this final rule also revises the ``items'' paragraph 
a.2 in the List of Items Controlled section of ECCN 6A107 to add single 
quotation marks around the term 'time to steady-state registration' to 
indicate the term is defined for purposes of this ECCN under the 
Related Definitions paragraph (MTCR Annex Change, Category II: Item 
12.A.3.a.2. Technical Note, Stockholm 2017 TEM). These changes are not 
expected to have any impact on the number of license applications 
received by BIS.
    ECCN 7A105. This final rule amends ECCN 7A105 by revising the 
heading and the Related Definitions paragraph. This final rule revises 
the heading of ECCN 7A105 to remove the phrase ``Global Navigation 
Satellite Systems (GNSS),'' including the parenthetical phrase with 
examples of GNSS, and adds in its place the term 'navigation satellite 
systems.' This final rule amends ECCN 7A105 by adding a definition of 
'Navigation satellite systems' to the Related Definitions paragraph in 
the List of Items Controlled section to define this term for purposes 
of this ECCN. The new definition of 'navigation satellite systems' 
specifies that these systems include global navigation satellite 
systems (GNSS) and regional navigation satellite systems (RNSS) and 
provides an illustrative list of such (GNSS, RNSS) systems (MTCR Annex 
Change, Category II: Item 11.A.3., Stockholm 2017 TEM and Dublin 2017 
Plenary). These changes to ECCN 7A105 are being made in this final rule 
because the MTCR Annex entry that addresses receiving equipment for 
navigation satellite systems has been expanded to include regional 
navigation satellite systems, as well as listing the Chinese system 
``BeiDou'' in the examples of GNSS. To accomplish this, as described 
above, this final rule in ECCN 7A105 adds a local definition of 
'navigation satellite systems,' with expanded examples, to the Related 
Definitions paragraph in the List of Items Controlled. ECCN 7A105 does 
not

[[Page 44218]]

encompass all of the commodities specified under the MTCR Annex, 
Category II, Item 11.A.3 entry, because some of those commodities are 
``subject to the ITAR.'' The existing Related Controls paragraph (2) in 
ECCN 7A105, as well as the Commerce Control List Order of Review in 
Supplement No. 4 to part 774 of the EAR already provides guidance on 
this, so no additional changes are needed in this rule to address that 
issue. This change is expected to result in an increase of one or fewer 
applications received annually by BIS, because of the generally low 
number of such items exported.
    ECCN 7A107. This final rule amends ECCN 7A107 by revising ``items'' 
paragraph b in the List of Items Controlled section by removing the 
phrase ``capable of providing'' at the beginning of the paragraph. The 
phrase is not needed in order to convey the meaning of the control 
parameter and removing the phrase makes the control parameter text more 
precise. This change is made to conform to this MTCR Annex change. ECCN 
7A107.a already reflects changes made in the MTCR Annex, and therefore, 
that ``items'' paragraph a did not need to be amended in this final 
rule (MTCR Annex Change, Category II: Item 9.A.8., Dublin 2017 
Plenary). This is a clarification and will not change any scope of 
control. This change is not expected to have any impact on the number 
of license applications received by BIS.
    ECCN 7A116. This final rule amends ECCN 7A116 by revising the 
heading; and adding a License Requirements section, License Exceptions 
section and List of Items Controlled section (MTCR Annex Change, 
Category II: Item 10.A., Notes, Dublin 2017 Plenary; and Changes to 
Align with MTCR Annex). This final rule, in order to fully reflect the 
commodities specified in the MTCR Annex, Category II: Item 10.A., 
revises ECCN 7A116 to control items that are not ``subject to the 
ITAR,'' but that would otherwise meet the description of items in the 
MTCR Annex, Category II: Item 10.A and the new control parameters this 
final rule adds to ECCN 7A116.
    This final rule does this by revising the heading, which includes 
removing the parenthetical phrase that stated that all items in the 
heading were ``subject to the ITAR.'' As a conforming change, this 
final rule adds a Related Controls paragraph (2) to alert people to see 
United States Munitions List (USML) Category IV for items ``specially 
designed'' for use in rockets or missiles that are ``subject to the 
ITAR.'' This final rule also adds a Related Controls paragraph (1) to 
direct people to also see ECCNs 9A610.r and .s for items designated or 
modified for military UAVs. This final rule adds a license requirement 
for MT 1 and AT 1 for these commodities that this rule controls under 
ECCN 7A116.
    This final rule adds ``items'' paragraphs a, b, and c to specify 
the commodities controlled under ECCN 7A116. This final rule, as 
described below in the changes this final rule makes to ECCN 9A012, 
removes the control parameters in ``items'' paragraph 9A012.b.5 and 
adds (moves) those to ECCN 7A116. These changes are appropriate because 
there are no similar controls in the Wassenaar Arrangement for these 
commodities that are specified on the MTCR Annex, and under the 
Commerce Control List Order of Review these items will be appropriately 
controlled under ECCN 7A116. The commodities this rule moves from 
9A012.b.5 will no longer be controlled for national security (NS) 
reasons, but the commodities will be MT controlled. This final rule 
also adds a note at the end of the ``items'' paragraph in the List of 
Items Controlled section of ECCN 7A116 to specify that systems, 
equipment and valves designed or modified to enable operation of manned 
aircraft as unmanned aerial vehicles are included within the scope of 
this ECCN.
    These changes are not expected to have any impact on the number of 
license applications received by BIS, because this equipment is not 
widely used or exported.
    ECCN 9A012. This final rule amends ECCN 9A012 by revising the 
``MT'' paragraph in the table in the License Requirements section and 
removing the ``items'' paragraph b.5 in the List of Items Controlled 
section. This final rule revises the MT controls paragraph to remove 
the term ``Air'' and add in its place ``Aerial'' in the term ``Unmanned 
Aerial Vehicles (UAVs).'' This change is made to conform to the MTCR 
Annex and other references in the EAR to UAVs. As a conforming change 
for the movement of commodities classified in 9A012.b.5, as described 
above for the changes this final rule makes to ECCN 7A116, this final 
rule revises the MT controls paragraph in ECCN 9A012 to remove the 
reference to ``9A012.b'' and add a reference in its place to ECCN 
9A120. This final rule also revises the reasons for control in ECCN 
9A012 to close a potential gap in the MT controls. If a UAV meets the 
requirements of ECCN 9A120, it would be controlled for MT reasons. 
However, as the text was written prior to publication of this final 
rule, if such a UAV met the requirements of 9A012.a, but did not have 
the range of 300 km, it would be controlled by 9A012.a and the MT 
control would no longer apply.
    For the reasons discussed above regarding the changes to ECCN 
7A116, this final rule makes a conforming change to remove ``items'' 
paragraph b.5 from the List of Items Controlled because these 
commodities will be controlled under ECCN 7A116 (MTCR Annex Change, 
Category II: Item 10.A., Notes, Dublin 2017 Plenary). These changes are 
expected to result in an increase of 1 or fewer applications received 
annually by BIS, because these are clarifying changes and reflects the 
current interpretation for where these commodities should be controlled 
under the EAR.
    ECCN 9A101. This final rule amends ECCN 9A101 by revising the 
Related Definitions paragraph, revising ``items'' paragraph a, adding 
new ``items'' paragraphs a.3 and a.4, and revising ``items'' paragraph 
b in the List of Items Controlled section. These changes are being made 
to this entry to limit the control to those engines that are most 
likely to be used on MTCR controlled cruise missiles and unmanned 
aerial vehicles, and to remove controls from larger engines that are 
unlikely to be used on such systems. While larger civil certified 
engines were already excluded from control under ECCN 9A101, they were 
still controlled under ECCN 9A101 prior to completing the civil 
certification process (MTCR Annex Change, Category II: Item 3.A.1.a., 
Stockholm 2017 TEM).
    This final rule revises the Related Definitions paragraph by 
removing the definition of 'maximum thrust value' and adding this 
definition as part of three new Technical Notes this final rule adds to 
``items'' paragraph a in the List of Items Controlled section of ECCN 
9A101. This final rule adds the definition of 'maximum thrust value' as 
Technical Note 1 and adds the phrase ``at sea level static conditions 
using ICAO standard atmosphere'' to the technical note to add greater 
specificity on the conditions under which the measurement needs to be 
taken for purposes of ECCN 9A101. This final rule also adds two new 
technical notes to ``items'' paragraph a; one for 'dry weight' 
(Technical Note 2) and a second for 'first-stage rotor diameter' 
(Technical Note 3). The definition of 'dry weight' in Technical Note 2 
provides the criteria for what needs to be included in the measurement 
and specifies that the measurement should not include the nacelle 
(housing). The definition of 'first-stage rotor diameter' in Technical 
Note 3, will provide guidance on how

[[Page 44219]]

to measure the diameter of the first rotating stage of the engine.
    The final rule revises the introductory text of ``items'' paragraph 
a to remove the word ``both'' and add in its place the word ``all.'' 
This is a conforming change because this rule adds new ``items'' 
paragraphs a.3 and a.4, and in order to be controlled under ECCN 
9A101.a, the engine needs to meet all of the criteria in paragraphs a.1 
to a.4. This final rule adds new ``items'' paragraphs a.3 and a.4, to 
include the criterion of 'dry weight' less than 750 kg as part of the 
criteria that need to be met for an engine to be controlled under ECCN 
9A101.a. This final rule also adds a new ``items'' paragraph a.4 to 
include the criterion of the ```first-stage rotor diameter' less than 1 
m'' as part of the criteria that need to be met for an engine to be 
controlled under ECCN 9A101.a. This final rule also revises ``items'' 
paragraph b, which functions as a catch-all for purposes of this ECCN 
for engines designed or modified for use in ``missiles'' or UAVs with a 
range equal to or greater than 300 km, to specify paragraph b is not 
limited by the 'dry weight' or the 'first-stage rotor diameter' of the 
engine. This final rule also revises paragraph b to add the phrase ``or 
UAVs with a range equal to or greater than 300 km'' after the term 
``missiles.'' The change to add the phrase ``UAVs with a range equal to 
or greater than 300 km'' is being made for consistency with the MTCR 
Annex (Changes to Align with MTCR Annex).
    These changes are expected to result in a decrease of no more than 
1 to 3 applications received annually by BIS.
    ECCN 9A115. This final rule amends ECCN 9A115 by revising the 
heading; and adding a License Requirements section, License Exceptions 
section and List of Items Controlled section (Changes to Align with 
MTCR Annex). This final rule also revises the heading of ECCN 9A115 by 
removing the parenthetical phrase at the end of the heading that 
references items controlled in ECCN 9A610 and others that are ``subject 
to the ITAR.'' The parenthetical phrase was added to ECCN 9A115 in a 
November 21, 2016 final rule (81 FR 83124). This final rule retains 
this cross reference between the USML and the CCL, but moves the 
substance of this text from the heading of ECCN 9A115 to the new 
Related Controls paragraph added by this rule to the License 
Requirements section of 9A115. The other changes this final rule makes 
to ECCN 9A115 are needed because some of the commodities described in 
the heading of ECCN 9A115 are neither ``subject to the ITAR'' nor 
controlled in ECCN 9A610.u, but would otherwise meet the control 
parameters in the heading of ECCN 9A115. Consistent with the CCL Order 
of Review (See Supplement 4 to part 774), and to align with the MTCR 
Annex, this rule makes it clear that such commodities are controlled 
under 9A115. These changes are expected to result in an increase of 1 
or fewer applications received annually by BIS, due to the low volume 
of such items exported.
    ECCN 9A515. This final rule amends ECCN 9A515 by adding a new 
``items'' paragraph h to control spacecraft thrusters for MT reasons. 
This final rule also revises the ``MT'' paragraph in the table in the 
License Requirements section to specify that the MT control applies to 
spacecraft thrusters controlled in 9A515.h when the total impulse 
capacity is equal to or greater than 8.41x10[and]5. These changes are 
needed to clarify which of the satellite thrusters are subject to the 
EAR. On January 10, 2017, Commerce published a final rule (82 FR 2875) 
that moved these thrusters from the USML to the CCL, and the Department 
of State published a corresponding rule (82 FR 2889) removing the 
thrusters from the ITAR. As a consequence of those rules, the public 
sought clarification from BIS on what items were actually ``subject to 
the EAR.''
    Consistent with the Commerce January 10, 2017 final rule, the 
Department of State has informed Commerce that it intends to clarify 
that the existing USML IV(d) paragraph does not control spacecraft 
thrusters, and that such thrusters are ``subject to the EAR.'' Commerce 
agrees with the Department of State that adding a note to the USML 
clarifying these controls will assist exporters in better determining 
the control jurisdiction of the spacecraft thrusters that were moved 
from the USML to the CCL in the January 10, 2017 final rule.
    The questions raised by the public and discussions between the 
Department of Commerce and State, including the discussions regarding 
the spacecraft thruster controls, identified a need to add an MT 
control to the spacecraft thrusters to align with the MTCR Annex. 
Following the USML Order of Review and CCL Order of Review, these 
spacecraft thrusters were, prior to publication of this final rule, 
controlled under ``items'' paragraph x of ECCN 9A515. Because ``items'' 
paragraph x is not MT controlled, this final rule adds a separate 
``items'' paragraph h to ECCN 9A515 to allow for the imposition of an 
MT control on these spacecraft thrusters to align with the MTCR Annex 
(Changes to Align with MTCR Annex). Finally, as a conforming change 
consistent with the addition of ``items'' paragraph h, this final rule 
reserves ``items'' paragraphs i through w. These changes are expected 
to result in an annual increase of twelve license applications received 
by BIS.
    ECCN 9A610. This final rule amends ECCN 9A610 by making revisions 
to the ``items'' paragraph (MTCR Annex Change, Category II: Item 10.A., 
Notes, Dublin 2017 Plenary). This final rule redesignates ``items'' 
paragraph w as ``items'' paragraph w.1 and creates new ``items'' 
paragraph w.2 in ECCN 9A610, including redesignating Note to paragraph 
w, as Note to paragraph w.1. In addition to this redesignation, this 
final rule removes the term ``drones'' from ``items'' paragraph w.1 and 
the Note to paragraph w.1 because the MTCR Annex does not use the term 
``drones,'' other than stating that drones are a type of UAV, and 
therefore the term does not need to be included in ``items'' paragraph 
w.1 or in the Note. This final rule for the same reason also removes 
the term ``drones'' from ``items'' paragraphs u and v, including in the 
Note to paragraph u and Note to paragraph v (Changes to Align with MTCR 
Annex). This final rule also adds a new ``items'' paragraph w.2, to 
control for MT reasons, flight control servo valves designed or 
modified for the systems in 9A610.w.1, and the additional criteria this 
final rule includes in new ``items'' paragraph w.2. This final rule 
makes these changes in ECCN 9A610 in order to accommodate the new 
``items'' paragraph w.2, which corresponds to MTCR Annex, Category II, 
Item 10.A.3, but had not previously been listed on the CCL.
    This final rule also adds a Note to paragraphs w.1 and w.2 to 
specify that these two ``items'' paragraphs include systems, equipment 
and valves designed or modified to enable operation of manned aircraft 
as unmanned aerial vehicles. The addition of the note will clarify that 
the controls include equipment when used for the conversion of a manned 
aircraft to operate as a UAV. Some of this type of equipment is 
``subject to the ITAR,'' and some of this type of equipment is 
``subject to the EAR.'' Prior to publication of this final rule, the 
type of equipment referenced in ECCN 7A116 made it appear that all of 
this type of equipment was ``subject to the ITAR,'' which is correct 
for certain equipment, but not for all such equipment. For example, 
some of this equipment prior to publication of this final rule was 
controlled in ECCN 9A610.w. The changes described above that this final 
rule makes to ECCNs 7A116 and 9A610, will make needed corrections to 
clarify

[[Page 44220]]

where this type of equipment is controlled on the CCL.
    Prior to publication of this rule, some of the equipment specified 
in MTCR Annex, Category II, Item 10.A.3. was not controlled on the CCL. 
While ECCN 9A106 has an entry for the equipment used in liquid 
propulsion systems for rockets, there was not a corresponding entry 
listing the equipment used in UAVs. To correct this gap in coverage, 
this final rule adds the criteria in MTCR Annex, Category II, 10.A.3. 
to ECCNs 7A116 and 9A610, as described above.
    These changes are not expected to have any impact on the number of 
license applications received by BIS due to the low volume of such 
items exported.

Savings Clause

    Shipments of items removed from eligibility for a License Exception 
or export or reexport without a license (NLR) as a result of this 
regulatory action that were on dock for loading, on lighter, laden 
aboard an exporting or reexporting carrier, or enroute aboard a carrier 
to a port of export or reexport, on August 30, 2018, pursuant to actual 
orders for export or reexport to a foreign destination, may proceed to 
that destination under the previous eligibility for a License Exception 
or export or reexport without a license (NLR) so long as they are 
exported or reexported before October 1, 2018. Any such items not 
actually exported or reexported before midnight, on October 1, 2018, 
require a license in accordance with this rule.

Export Control Reform Act of 2018

    On August 13, 2018, the President signed into law the John S. 
McCain National Defense Authorization Act for Fiscal Year 2019, which 
included the Export Control Reform Act of 2018 (ECRA) (Title XVII, 
Subtitle B of Pub. L. 115-232) that provides the legal basis for BIS's 
principal authorities and serves as the authority under which BIS 
issues this rule. As set forth in Section 1768 of ECRA, all 
delegations, rules, regulations, orders, determinations, licenses, or 
other forms of administrative action that have been made, issued, 
conducted, or allowed to become effective under the Export 
Administration Act of 1979 (50 U.S.C. 4601 et seq.) (as in effect prior 
to August 13, 2018 and as continued in effect pursuant to the 
International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) 
and Executive Order 13222 of August 17, 2001, 3 CFR, 2001 Comp., p. 783 
(2002), as amended by Executive Order 13637 of March 8, 2013, 78 FR 
16129 (March 13, 2013), and as extended by the Notice of August 8, 
2018, 83 FR 39871 (August 13, 2018)), or the Export Administration 
Regulations, and are in effect as of August 13, 2018, shall continue in 
effect according to their terms until modified, superseded, set aside, 
or revoked under the authority of ECRA.

Executive Order Requirements

    Executive Orders 13563 and 12866 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distribute impacts, and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, of reducing costs, of harmonizing rules, and of promoting 
flexibility. This final rule has been designated a ``significant 
regulatory action'' under Executive Order 12866. The MTCR was formed in 
1987 by the U.S. and G-7 countries (Canada, France, Germany, Italy, 
Japan, and the UK) to address the increasing proliferation of nuclear 
weapons by addressing the most destabilizing delivery system for such 
weapons. The MTCR seeks to limit the risk of proliferation of weapons 
of mass destruction by controlling exports of goods and technologies 
that could make a contribution to delivery systems (other than manned 
aircraft) for such weapons. The proliferation of such weapons has been 
identified as a threat to domestic and international peace and 
security. Commerce estimates this rule will not change the number of 
license requests received by BIS annually.
    This rule does not contain policies with Federalism implications as 
that term is defined under E.O. 13132.
    For the purposes of E.O. 13771, this rule is issued with respect to 
a national security function of the United States. The cost-benefit 
analysis indicates the rule is intended to improve national security as 
its primary direct benefit, and the regulation qualifies for a good 
cause exception under 5 U.S.C. 553(b)(B). Accordingly, this rule meets 
the requirements set forth in the April 5, 2017, OMB guidance 
implementing E.O 13771, and is, therefore, exempt from the requirements 
of E.O. 13771.

Paperwork Reduction Act Requirements

    Notwithstanding any other provision of law, no person may be 
required to respond to or be subject to a penalty for failure to comply 
with a collection of information, subject to the requirements of the 
Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA), unless 
that collection of information displays a currently valid Office of 
Management and Budget (OMB) Control Number.
    This regulation involves a collection currently approved by OMB 
under control number 0694-0088, Simplified Network Application 
Processing System. This collection includes, among other things, 
license applications, and carries a burden estimate of 43.8 minutes for 
a manual or electronic submission for a total burden estimate of 31,833 
hours. BIS expects the burden hours associated with this collection to 
increase slightly by ten hours for an estimated cost increase of $378. 
This increase is not expected to exceed the existing estimates 
currently associated with OMB control number 0694-0088. Although this 
final rule makes important changes to the EAR for items controlled for 
missile technology reasons, Commerce believes the overall increase in 
costs and burdens due to this rule will be minimal.
    Any comments regarding the collection of information associated 
with this rule, including suggestions for reducing the burden, may be 
sent to Jasmeet K. Seehra, Office of Management and Budget (OMB), by 
email to [email protected], or by fax to (202) 395-7285.

Administrative Procedure Act and Regulatory Flexibility Act 
Requirements

    The provisions of the Administrative Procedure Act (APA) (5 U.S.C. 
553) requiring notice of proposed rulemaking, the opportunity for 
public participation, and a delay in effective date, are inapplicable 
because this action involves a military and foreign affairs function of 
the United States (5 U.S.C. 553(a)(1)). Immediate implementation of 
these amendments fulfills the United States' international commitments 
to the MTCR. The MTCR contributes to international peace and security 
by promoting greater responsibility in transfers of missile technology 
items that could make a contribution to delivery systems (other than 
manned aircraft) for weapons of mass destruction. The MTCR consists of 
35 member countries acting on a consensus basis. The changes discussed 
in this rule implement agreements reached at the October 2017 Plenary 
in Dublin, Ireland, and the May 2017 Technical Experts Meeting in 
Stockholm, Sweden. Since the United States is a significant exporter of 
the items discussed in this rule, implementation of this provision is

[[Page 44221]]

necessary for the MTCR to achieve its purpose.
    Although the APA requirements in section 553 are not applicable to 
this action under the provisions of paragraph (a)(1), this action also 
falls within two other exceptions in the section. The subsection (b) 
requirement that agencies publish a notice of proposed rulemaking that 
includes information on the public proceedings does not apply when an 
agency for good cause finds that the notice and public procedures are 
impracticable, unnecessary, or contrary to the public interest, and the 
agency incorporates the finding (and reasons therefor) in the rule that 
is issued (5 U.S.C. 553(b)(B)). In addition, the section 553(d) 
requirement that publication of a rule shall be made not less than 30 
days before its effective date can be waived if an agency finds there 
is good cause to do so.
    The section 553 requirements for notice and public procedures and 
for a delay in the date of effectiveness do not apply to this rule, as 
there is good cause to waive such practices. Delay in implementation 
would be contrary to the public interest because it would disrupt the 
movement of these potentially national and international security 
threatening items globally, creating disharmony between export control 
measures implemented by MTCR members. Export controls work best when 
all countries implement the same export controls in a timely manner. 
Delaying this rulemaking would prevent the United States from 
fulfilling its commitment to the MTCR in a timely manner, would injure 
the credibility of the United States in this and other multilateral 
regimes, and could impair the international community's ability to 
effectively control the export of certain potentially national and 
international security threatening items. Therefore, this regulation is 
issued in final form, and is effective August 30, 2018.
    Further, no other law requires that a notice of proposed rulemaking 
and an opportunity for public comment be given for this final rule. 
Because a notice of proposed rulemaking and an opportunity for public 
comment are not required to be given for this rule under the 
Administrative Procedure Act or by any other law, the analytical 
requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) 
are not applicable. Accordingly, no regulatory flexibility analysis is 
required and none has been prepared.

List of Subjects in 15 CFR Part 774

    Exports, Reporting and recordkeeping requirements.

    Accordingly, part 774 of the Export Administration Regulations (15 
CFR parts 730-774) is amended as follows:

PART 774--[AMENDED]

0
1. The authority citation for 15 CFR part 774 is revised to read as 
follows:

    Authority: Pub. L. 115-232, Title XVII, Subtitle B. 50 U.S.C. 
4601 et seq.; 50 U.S.C. 1701 et seq.; 10 U.S.C. 7420; 10 U.S.C. 
7430(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et seq.; 22 U.S.C. 6004; 42 
U.S.C. 2139a; 15 U.S.C. 1824a; 50 U.S.C. 4305; 22 U.S.C. 7201 et 
seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 
228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of 
August 8, 2018, 83 FR 39871 (August 13, 2018).


0
2. In Supplement No. 1 to part 774, Category 1, revise Export Control 
Classification Number (ECCN) 1B117 to read as follows:

Supplement No. 1 to Part 774--The Commerce Control List

* * * * *
1B117 Batch mixers having all of the following (see List of Items 
Controlled), and ``specially designed'' ``parts'' and ``components'' 
therefor.

License Requirements

Reason for Control: MT, AT

 
                                              Country chart  (see Supp.
                Control(s)                       No. 1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: See 1B115, 1B118, and 1B119.
Related Definitions: N/A
Items:

    a. Capable of mixing under vacuum in the range from zero to 
13.326 kPa;
    b. Capable of controlling the temperature of the mixing chamber;
    c. A total volumetric capacity of 110 liters (30 gallons) or 
more; and
    d. At least one `mixing/kneading shaft' mounted off center.

    Note to paragraph d:  In 1B117.d. the term `mixing/kneading 
shaft' does not refer to deagglomerators or knife-spindles.


0
3. In Supplement No. 1 to part 774, Category 1, revise ECCN 1B118 to 
read as follows:

1B118 Continuous mixers having all of the following (see List of 
Items Controlled), and ``specially designed'' ``parts'' and 
``components'' therefor.

License Requirements

Reason for Control: MT, AT

 
                                              Country chart  (see Supp.
                Control(s)                       No. 1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: See 1B115, 1B117, and 1B119.
Related Definitions: N/A
Items:

    a. Capable of mixing under vacuum in the range from zero to 
13.326 kPa;
    b. Capable of controlling the temperature of the mixing chamber; 
and
    c. Either of the following:
    c.1. Two or more mixing/kneading shafts; or
    c.2. A single rotating and oscillating shaft with kneading 
teeth/pins as well as kneading teeth/pins inside the casing of the 
mixing chamber.

0
4. In Supplement No. 1 to part 774, Category 1, revise ECCN 1C111 to 
read as follows:
1C111 Propellants and constituent chemicals for propellants, other 
than those specified in 1C011, as follows (see List of Items 
Controlled).

License Requirements

Reason for Control: MT, NP, RS, AT

 
                                              Country chart  (see Supp.
                Control(s)                       No. 1 to part 738)
 
MT applies to entire entry................  MT Column 1
NP applies to 1C111.a.3.f only............  NP Column 1
RS applies to 1C111.d.3 only..............  RS Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: (1) See USML Category V(e)(7) for controls on HTPB 
(hydroxyl terminated polybutadiene) with a hydroxyl functionality 
equal to or greater than 2.2 and less than or equal to 2.4, a 
hydroxyl value of less than 0.77 meq/g, and a viscosity at 30 [deg]C 
of less than 47 poise (CAS # 69102-90-5). (2) See USML Category 
V(f)(3) for controls on ferrocene derivatives, including butacene. 
(3) See ECCN 1C608 for controls on oxidizers that

[[Page 44222]]

are composed of fluorine and also other halogens, oxygen, or 
nitrogen, except for chlorine trifluoride, which is controlled under 
this ECCN 1C111.a.3.f. (4) See ECCN 1C011.b for controls on boron 
and boron alloys not controlled under this ECCN 1C111.a.2.b. (5) See 
USML Category V(d)(10) for controls on Inhibited Red Fuming Nitric 
Acid (IRFNA) (CAS 8007-58-7).
Related Definitions: Particle size is the mean particle diameter on 
a weight or volume basis. Best industrial practices must be used in 
sampling, and in determining particle size, and the controls may not 
be undermined by the addition of larger or smaller sized material to 
shift the mean diameter.
Items:

    a. Propulsive substances:
    a.1. Spherical or spheroidal aluminum powder (C.A.S. 7429-90-5) 
in particle size of less than 200 x 10-6 m (200 [micro]m) 
and an aluminum content of 97% by weight or more, if at least 10% of 
the total weight is made up of particles of less than 63 [micro]m, 
according to ISO 2591-1:1988 or national equivalents.

    Technical Note:  A particle size of 63 [mu]m (ISO R-565) 
corresponds to 250 mesh (Tyler) or 230 mesh (ASTM standard E-11).

    a.2. Metal powders and alloys where at least 90% of the total 
particles by particle volume or weight are made up of particles of 
less than 60 [micro] (determined by measurement techniques such as 
using a sieve, laser diffraction or optical scanning), whether 
spherical, atomized, spheroidal, flaked or ground, as follows:
    a.2.a. Consisting of 97% by weight or more of any of the 
following:
    a.2.a.1. Zirconium (C.A.S. #7440-67-7);
    a.2.a.2. Beryllium (C.A.S. #7440-41-7); or
    a.2.a.3. Magnesium (C.A.S. #7439-95-4);.
    a.2.b. Boron or boron alloys with a boron content of 85% or more 
by weight.

    Technical Note:  The natural content of hafnium in the zirconium 
(typically 2% to 7%) is counted with the zirconium.


    Note:  In a multimodal particle distribution (e.g., mixtures of 
different grain sizes) in which one or more modes are controlled, 
the entire powder mixture is controlled.

    a.3. Oxidizer substances usable in liquid propellant rocket 
engines, as follows:
    a.3.a. Dinitrogen trioxide (CAS 10544-73-7);
    a.3.b. Nitrogen dioxide (CAS 10102-44-0)/dinitrogen tetroxide 
(CAS
    10544-72-6);
    a.3.c. Dinitrogen pentoxide (CAS 10102-03-1);
    a.3.d. Mixed oxides of nitrogen (MON);
    a.3.e. [RESERVED];
    a.3.f. Chlorine trifluoride (ClF3).

    Technical Note: Mixed oxides of nitrogen (MON) are solutions of 
nitric oxide (NO) in dinitrogen tetroxide/nitrogen dioxide 
(N2O4/NO2) that can be used in 
missile systems. There are a range of compositions that can be 
denoted as MONi or MONij, where i and j are integers representing 
the percentage of nitric oxide in the mixture (e.g., MON3 contains 
3% nitric oxide, MON25 25% nitric oxide. An upper limit is MON40, 
40% by weight).

    b. Polymeric substances:
    b.1. Carboxy-terminated polybutadiene (including carboxyl-
terminated polybutadiene) (CTPB);
    b.2. Hydroxy-terminated polybutadiene (including hydroxyl-
terminated polybutadiene) (HTPB) (CAS 69102-90-5), except for 
hydroxyl-terminated polybutadiene as specified in USML Category V 
(see 22 CFR 121.1) (also see Related Controls Note #1 for this 
ECCN);
    b.3. Polybutadiene acrylic acid (PBAA);
    b.4. Polybutadiene acrylic acid acrylonitrile (PBAN) (CAS 25265-
19-4/CAS 68891-50-9);
    b.5. Polytetrahydrofuran polyethylene glycol (TPEG).

    Technical Note:  Polytetrahydrofuran polyethylene glycol (TPEG) 
is a block copolymer of poly 1,4-Butanediol (CAS 110-63-4) and 
polyethylene glycol (PEG) (CAS 25322-68-3).

    c. Other propellant energetic materials, additives, or agents:
    c.1. [RESERVED]
    c.2. Triethylene glycol dinitrate (TEGDN);
    c.3. 2 Nitrodiphenylamine (2-NDPA);
    c.4. Trimethylolethane trinitrate (TMETN);
    c.5. Diethylene glycol dinitrate (DEGDN).
    d. Hydrazine and derivatives as follows:
    d.1. Hydrazine (C.A.S. #302-01-2) in concentrations of 70% or 
more;
    d.2. Monomethyl hydrazine (MMH) (C.A.S. #60-34-4);
    d.3. Symmetrical dimethyl hydrazine (SDMH) (C.A.S. #540-73-8);
    d.4. Unsymmetrical dimethyl hydrazine (UDMH) (C.A.S. #57-14-7);
    d.5. Trimethylhydrazine (C.A.S. #1741-01-1);
    d.6. Tetramethylhydrazine (C.A.S. #6415-12-9);
    d.7. N,N diallylhydrazine (CAS 5164-11-4);
    d.8. Allylhydrazine (C.A.S. #7422-78-8);
    d.9. Ethylene dihydrazine (CAS 6068-98-0);
    d.10. Monomethylhydrazine dinitrate;
    d.11. Unsymmetrical dimethylhydrazine nitrate;
    d.12. 1,1-Dimethylhydrazinium azide (CAS 227955-52-4)/1,2-
Dimethylhydrazinium azide (CAS 299177-50-7);
    d.13. Hydrazinium azide (C.A.S. #14546-44-2);
    d.14. Hydrazinium dinitrate (CAS 13464-98-7);
    d.15. Diimido oxalic acid dihydrazine (C.A.S. #3457-37-2);
    d.16. 2-hydroxyethylhydrazine nitrate (HEHN);
    d.17. Hydrazinium diperchlorate (C.A.S. #13812-39-0);
    d.18. Methylhydrazine nitrate (MHN) (CAS 29674-96-2);
    d.19. 1,1-Diethylhydrazine nitrate (DEHN)/1,2-Diethylhydrazine 
nitrate (DEHN) (CAS 363453-17-2);
    d.20. 3,6-dihydrazino tetrazine nitrate (DHTN), also referred to 
as 1,4-dihydrazine nitrate.


0
5. In Supplement No. 1 to part 774, Category 1, revise ECCN 1C118 to 
read as follows:

1C118 Titanium-stabilized duplex stainless steel (Ti-DSS), having 
all of the following characteristics (see List of Items Controlled).

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: N/A
Related Definitions: N/A
Items:

    a. Having all of the following characteristics:
    a.1. Containing 17.0-23.0% by weight of chromium and 4.5-7.0% by 
weight of nickel;
    a.2. Having a titanium content of greater than 0.10% by weight; 
and
    a.3. A ferritic-austenitic microstructure (also referred to as a 
two-phase microstructure) of which at least 10% by volume (according 
to ASTM E-1181-87 or national equivalents) is austenite; and
    b. Having any of the following forms:
    b.1. Ingots or bars having a size of 100 mm or more in each 
dimension;
    b.2. Sheets having a width of 600 mm or more and a thickness of 
3 mm or less; or
    b.3. Tubes having an outer diameter of 600 mm or more and a wall 
thickness of 3 mm or less.


0
6. In Supplement No. 1 to part 774, Category 2, revise ECCN 2B109 to 
read as follows:

2B109 Flow-forming machines, other than those controlled by 2B009, 
as follows (see List of Items Controlled).

License Requirements

Reason for Control: MT, NP, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
NP applies to items controlled by this      NP Column 1
 entry that meet or exceed the technical
 parameters in 2B209.
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

[[Page 44223]]

List of Items Controlled

Related Controls: (1) See ECCN 2D101 for ``software'' for items 
controlled under this entry. (2) See ECCNs 2E001 (``development''), 
2E002 (``production''), and 2E101 (``use'') for technology for items 
controlled under this entry. (3) Also see ECCNs 2B009 and 2B209.
Related Definitions: N/A
Items:

    a. Flow-forming machines, usable in the ``production'' of 
propulsion components and equipment (e.g., motor cases and 
interstages) for ``missiles'', having all of the following:
    a.1. Equipped with, or according to the manufacturer's technical 
specification are capable of being equipped with, ``numerical 
control'' units or a computer control, even when not equipped with 
such units at delivery; and
    a.2. More than two axes which can be coordinated simultaneously 
for ``contouring control.''
    b. ``Specially designed'' ``parts'' and ``components'' for flow-
forming machines controlled in 2B009 for MT reasons or 2B109.a.

    Technical Note: 1. Machines combining the function of spin-
forming and flow-forming are for the purpose of 2B109 regarded as 
flow-forming machines.


0
7. In Supplement No. 1 to part 774, Category 2, revise ECCN 2B120 to 
read as follows:

2B120 Motion simulators or rate tables (equipment capable of 
simulating motion), having all of the following characteristics (see 
List of Items Controlled).

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: (1) Rate tables not controlled by 2B120 and 
providing the characteristics of a positioning table are to be 
evaluated according to 2B121. (2) Equipment that has the 
characteristics specified in 2B121, which also meets the 
characteristics of 2B120 will be treated as equipment specified in 
2B120. (3) See also 2B008, 2B121, 7B101 and 7B994.
Related Definitions: N/A
Items:

    a. Two or more axes;
    b. Designed or modified to incorporate sliprings or integrated 
non-contact devices capable of transferring electrical power, signal 
information, or both; and
    c. Having any of the following characteristics:
    c.1. For any single axis having all of the following:
    c.1.a. Capable of rates of rotation of 400 degrees/s or more, or 
30 degrees/s or less, and
    c.1.b. A rate resolution equal to or less than 6 degrees/s and 
an accuracy equal to or less than 0.6 degrees/s; or
    c.2. Having a worst-case rate stability equal to or better 
(less) than plus or minus 0.05% averaged over 10 degrees or more; or
    c.3. A positioning ``accuracy'' equal to or better than 5 arc-
second.

    Note: 2B120 does not control rotary tables designed or modified 
for machine tools or for medical equipment. For controls on machine 
tool rotary tables see 2B008.


0
8. In Supplement No. 1 to part 774, Category 2, revise ECCN 2B121 to 
read as follows:

2B121 Positioning tables (equipment capable of precise rotary 
position in any axis), other than those controlled in 2B120, having 
all the following characteristics (See List of Items Controlled).

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: (1) Equipment that has the characteristics 
specified in 2B121, which also meets the characteristics of 2B120 
will be treated as equipment specified in 2B120. (2) See also 2B008, 
2B120, 7B101, and 7B994.
Related Definitions: N/A
Items:

    a. Two or more axes; and
    b. A positioning ``accuracy'' equal to or better than 5 arc-
second.

    Note: 2B121 does not control rotary tables designed or modified 
for machine tools or for medical equipment. For controls on machine 
tool rotary tables see 2B008.


0
9. In Supplement No. 1 to part 774, Category 2, revise ECCN 2B122 to 
read as follows:

2B122 Centrifuges capable of imparting accelerations greater than 
100 g and designed or modified to incorporate sliprings or 
integrated non-contact devices capable of transferring electrical 
power, signal information, or both.

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: See also 7B101.
Related Definitions: N/A
Items:

    The list of items controlled is contained in the ECCN heading.


0
10. In Supplement No. 1 to part 774, Category 6, revise ECCN 6A107 to 
read as follows:

6A107 Gravity meters (gravimeters) or gravity gradiometers, other 
than those controlled by 6A007, designed or modified for airborne or 
marine use, as follows, (see List of Items Controlled) and 
``specially designed'' ``parts'' and ``components'' therefor.

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: See USML Category XII(d) for certain gravity 
meters (gravimeters) or gravity gradiometers subject to the ITAR. 
See also ECCN 7A611.
Related Definitions: `Time to steady-state registration' (also 
referred to as the gravity meter's response time) is the time over 
which the disturbing effects of platform-induced acceleration (high 
frequency noise) are reduced.
Items:

    a. Gravity meters having all the following:
    a.1. A static or operational accuracy equal to or less (better) 
than 0.7 milligal (mgal); and
    a.2. A `time to steady-state registration' of two minutes or 
less.
    b. Gravity gradiometers.


0
11. In Supplement No. 1 to part 774, Category 7, revise ECCN 7A105 to 
read as follows:


[[Page 44224]]


7A105 Receiving equipment for `navigation satellite systems' 
designed or modified for airborne applications and capable of 
providing navigation information at speeds in excess of 600 m/s 
(1,165 nautical mph), and ``specially designed'' ``parts'' and 
``components'' therefor.

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: (1) See also 7A005 and 7A994. (2) See Categories 
XI and XV of the U.S. Munitions List (22 CFR 121.1) for controls on 
similar equipment ``specially designed'' for defense articles.
Related Definitions: `Navigation satellite systems' include Global 
Navigation Satellite Systems (GNSS; e.g., GPS, GLONASS, Galileo or 
BeiDou) and Regional Navigation Satellite Systems (RNSS; e.g., 
NavIC, QZSS).
Items:

    The list of items controlled is contained in the ECCN heading.


0
12. In Supplement No. 1 to part 774, Category 7, revise ECCN 7A107 to 
read as follows:

7A107 Three axis magnetic heading sensors having all of the 
following characteristics (see List of Items Controlled), and 
``specially designed'' ``parts'' and ``components'' therefor.

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: N/A
Related Definitions: N/A
Items:

    a. Internal tilt compensation in pitch (+/-90 degrees) and roll 
(+/-180 degrees) axes;
    b. Azimuthal accuracy better (less) than 0.5 degrees rms at 
latitudes of +/-80 degrees, referenced to local magnetic field; and
    c. Designed or modified to be integrated with flight control and 
navigation systems.

    Note: Flight control and navigation systems in 7A107 include 
gyrostabilizers, automatic pilots and inertial navigation systems.


0
13. In Supplement No. 1 to part 774, Category 7, revise ECCN 7A116 to 
read as follows:

7A116 Flight control systems and ``parts'' and ``components'', as 
follows (see List of Items Controlled).

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: (1) See 9A610.r. and 9A610.s. for items designed 
or modified for military UAVs. (2) See USML Category IV for items 
``specially designed'' for use in rockets or missiles that are 
``subject to the ITAR.''
Related Definitions: N/A
Items:

    a. Pneumatic, hydraulic, mechanical, electro-optical, or 
electromechanical flight control systems (including fly-by-wire and 
fly-by-light systems) designed or modified for UAVs capable of 
delivering at least 500 kilograms of payload to a range of at least 
300 km, other than those controlled by either USML paragraph VIII(a) 
or ECCN 9A610.a;
    b. Attitude control equipment designed or modified for UAVs 
capable of delivering at least 500 kilograms of payload to a range 
of at least 300 km, other than those controlled by either USML 
paragraph VIII(a) or ECCN 9A610.a;
    c. Flight control servo valves designed of modified for the 
systems in 7A116.a. or 7A116.b, and designed or modified to operate 
in a vibration environment greater than 10 g rms over the entire 
range between 20Hz and 2 kHz.

    Note: This entry includes the systems, equipment and valves 
designed or modified to enable operation of manned aircraft as 
unmanned aerial vehicles.


0
14. In Supplement No. 1 to part 774, Category 9, revise ECCN 9A012 to 
read as follows:

9A012 Non-military ``Unmanned Aerial Vehicles,'' (``UAVs''), 
unmanned ``airships'', related equipment and ``components'', as 
follows (see List of Items Controlled).

License Requirements

Reason for Control: NS, MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
NS applies to entire entry................  NS Column 1
MT applies to non-military Unmanned Aerial  MT Column 1
 Vehicles (UAVs) and Remotely Piloted
 Vehicles (RPVs) that are capable of a
 maximum range of at least 300 kilometers
 (km), regardless of payload, and UAVs
 that meet the requirements of 9A120.
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: See the U.S. Munitions List Category VIII (22 CFR 
part 121). Also see ECCN 9A610 and Sec.  744.3 of the EAR.
Related Definitions: N/A
Items:

    a. ``UAVs'' or unmanned ``airships'', designed to have 
controlled flight out of the direct `natural vision' of the 
`operator' and having any of the following:
    a.1. Having all of the following:
    a.1.a. A maximum `endurance' greater than or equal to 30 minutes 
but less than 1 hour; and
    a.1.b. Designed to take-off and have stable controlled flight in 
wind gusts equal to or exceeding 46.3 km/h (25 knots); or
    a.2. A maximum `endurance' of 1 hour or greater;

    Technical Notes: 
    1. For the purposes of 9A012.a, `operator' is a person who 
initiates or commands the ``UAV'' or unmanned ``airship'' flight.
    2. For the purposes of 9A012.a, `endurance' is to be calculated 
for ISA conditions (ISO 2533:1975) at sea level in zero wind.
    3. For the purposes of 9A012.a, `natural vision' means unaided 
human sight, with or without corrective lenses.

    b. Related equipment and ``components'', as follows:
    b.1 [Reserved]
    b.2. [Reserved]
    b.3. Equipment or ``components'' ``specially designed'' to convert 
a manned ``aircraft'' or a manned ``airship'' to a ``UAV'' or unmanned 
``airship'', controlled by 9A012.a;
    b.4. Air breathing reciprocating or rotary internal combustion type 
engines, ``specially designed'' or modified to

[[Page 44225]]

propel ``UAVs'' or unmanned ``airships'', at altitudes above 15,240 
meters (50,000 feet).

0
15. In Supplement No. 1 to part 774, Category 9, revise ECCN 9A101 to 
read as follows:

9A101 Turbojet and turbofan engines, other than those controlled by 
9A001, as follows (see List of Items Controlled).

License Requirements

Reason for Control: MT, AT

 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: 9A101.b controls only engines for non-military 
unmanned aerial vehicles [UAVs] or remotely piloted vehicles [RPVs], 
and does not control other engines designed or modified for use in 
``missiles'', which are ``subject to the ITAR'' (see 22 CFR parts 
120 through 130).
Related Definitions: N/A
Items:

    a. Engines having all of the following characteristics:
    a.1. `Maximum thrust value' greater than 400 N (achieved un-
installed) excluding civil certified engines with a maximum thrust 
value greater than 8,890 N (achieved un-installed);
    a.2. Specific fuel consumption of 0.15 kg N-1 
h-1 or less (at maximum continuous power at sea level 
static conditions using the ICAO standard atmosphere);
    a.3. `Dry weight' less than 750 kg; and
    a.4. `First -stage rotor diameter' less than 1 m; or

    Technical Notes: 
    1. `Maximum thrust value' in 9A101.a.1 is the manufacturer's 
demonstrated maximum thrust for the engine type un-installed at sea 
level static conditions using the ICAO standard atmosphere. The 
civil type certified thrust value will be equal to or less than the 
manufacturer's demonstrated maximum thrust for the engine type.
    2. `Dry weight' is the weight of the engine without fluids 
(fuel, hydraulic fluid, oil, etc.) and does not include the nacelle 
(housing).
    3. `First-stage rotor diameter' is the diameter of the first 
rotating stage of the engine, whether a fan or compressor, measured 
at the leading edge of the blade tips.

    b. Engines designed or modified for use in ``missiles'' or UAVs 
with a range equal to or greater than 300 km, regardless of thrust, 
specific fuel consumption, `dry weight' or `first-stage rotor 
diameter'.

0
16. In Supplement No. 1 to part 774, Category 9, revise ECCN 9A115 to 
read as follows:

9A115 Apparatus, devices and vehicles, designed or modified for the 
transport, handling, control, activation and launching of rockets, 
missiles, and unmanned aerial vehicles capable of achieving a 
``range'' equal to or greater than 300 km.

License Requirements

Reason for Control: MT, AT

 
                                              Country chart  (see Supp.
                Control(s)                       No. 1 to part 738)
 
MT applies to entire entry................  MT Column 1
AT applies to entire entry................  AT Column 1
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: N/A
GBS: N/A
CIV: N/A

List of Items Controlled

Related Controls: See the U.S. Munitions List (22 CFR part 121). 
Also see ECCN 9A610.u.
Related Definitions: N/A
Items:
    The list of items controlled is contained in the ECCN heading.

0
17. In Supplement No. 1 to part 774, Category, revise ECCN 9A515 to 
read as follows:

9A515 ``Spacecraft'' and related commodities, as follows (see List 
of Items Controlled).

License Requirements

Reason for Control: NS, RS, MT, AT

 
                                              Country chart (see Supp.
                Control(s)                        No.1 to part 738)
 
NS applies to entire entry, except .e and   NS Column 1
 .y.
RS applies to entire entry, except .e and   RS Column 1
 .y.
RS applies to 9A515.e.....................  RS Column 2
MT applies to microcircuits in 9A515.d and  MT Column 1
 9A515.e.2 when ``usable in'' ``missiles''
 for protecting ``missiles'' against
 nuclear effects (e.g., Electromagnetic
 Pulse (EMP), X-rays, combined blast and
 thermal effects). MT also applies to
 9A515.h when the total impulse capacity
 is equal to or greater than 8.41x10[and]5
 newton seconds.
AT applies to entire entry................  AT Column 1
 


    License Requirement Note:  The Commerce Country Chart is not 
used for determining license requirements for commodities classified 
in ECCN 9A515.a.1, .a.2, .a.3, .a.4, and .g. See Sec.  742.6(a)(8), 
which specifies that such commodities are subject to a worldwide 
license requirement.

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: $1500
GBS: N/A
CIV: N/A

Special Conditions for STA

STA: (1) Paragraph (c)(1) of License Exception STA (Sec.  
740.20(c)(1) of the EAR) may not be used for ``spacecraft'' in ECCN 
9A515.a.1, .a.2, .a.3, or .a.4, or items in 9A515.g, unless 
determined by BIS to be eligible for License Exception STA in 
accordance with Sec.  740.20(g) (License Exception STA eligibility 
requests for certain 9x515 and ``600 series'' items). (2) License 
Exception STA may not be used if the ``spacecraft'' controlled in 
ECCN 9A515.a.1, .a.2, .a.3, or .a.4 contains a separable or 
removable propulsion system enumerated in USML Category IV(d)(2) or 
USML Category XV(e)(12) and designated MT. (3) Paragraph (c)(2) of 
License Exception STA (Sec.  740.20(c)(2) of the EAR) may not be 
used for any item in 9A515.

List of Items Controlled

Related Controls: Spacecraft, launch vehicles and related articles 
that are enumerated in the USML, and technical data (including 
``software'') directly related thereto, and all services (including 
training) directly related to the integration of any satellite or 
spacecraft to a launch vehicle, including both planning and onsite 
support, or furnishing any assistance (including training) in the 
launch failure analysis or investigation for items in ECCN 9A515.a, 
are ``subject to the ITAR.'' All other ``spacecraft,'' as enumerated 
below and defined in Sec.  772.1, are subject to the controls of 
this ECCN. See also ECCNs 3A001, 3A002, 3A991, 3A992, 6A002,

[[Page 44226]]

6A004, 6A008, and 6A998 for specific ``space-qualified'' items, 
7A004 and 7A104 for star trackers, and 9A004 for the International 
Space Station (ISS), the James Webb Space Telescope (JWST), and 
``specially designed'' ``parts'' and ``components'' therefor. See 
USML Category XI(c) for controls on ``Monolithic Microwave 
Integrated Circuit'' (``MMIC'') amplifiers that are ``specially 
designed'' for defense articles. See ECCN 9A610.g for pressure suits 
used for high altitude aircraft.
Related Definitions: `Microcircuit' means a device in which a number 
of passive or active elements are considered as indivisibly 
associated on or within a continuous structure to perform the 
function of a circuit.
Items:

    ``Spacecraft'' and other items described in ECCN 9A515 remain 
subject to the EAR even if exported, reexported, or transferred (in-
country) with defense articles ``subject to the ITAR'' integrated 
into and included therein as integral parts of the item. In all 
other cases, such defense articles are subject to the ITAR. For 
example, a 9A515.a ``spacecraft'' remains ``subject to the EAR'' 
even when it is exported, reexported, or transferred (in-country) 
with a ``hosted payload'' described in USML Category XV(e)(17) 
incorporated therein. In all other cases, a ``hosted payload'' 
performing a function described in USML Category XV(a) always 
remains a USML item. The removal of the defense article subject to 
the ITAR from the spacecraft is a retransfer under the ITAR and 
would require an ITAR authorization, regardless of the CCL 
authorization the spacecraft is exported under. Additionally, 
transfer of technical data regarding the defense article subject to 
the ITAR integrated into the spacecraft would require an ITAR 
authorization.
    a. ``Spacecraft,'' including satellites, and space vehicles, 
whether designated developmental, experimental, research or 
scientific, not enumerated in USML Category XV or described in ECCN 
9A004.u or .w, that:
    a.1. Have electro-optical remote sensing capabilities and having 
a clear aperture greater than 0.35 meters, but less than or equal to 
0.50 meters;
    a.2. Have remote sensing capabilities beyond NIR (i.e., SWIR, 
MWIR, or LWIR);
    a.3. Have radar remote sensing capabilities (e.g., AESA, SAR, or 
ISAR) having a center frequency equal to or greater than 1.0 GHz, 
but less than 10.0 GHz and having a bandwidth equal to or greater 
than 100 MHz, but less than 300 MHz;
    a.4. Provide space-based logistics, assembly, or servicing of 
another ``spacecraft''; or
    a.5. Are not described in ECCN 9A515.a.1, .a.2, .a.3 or .a.4.

    Note:  ECCN 9A515.a includes commercial communications 
satellites, remote sensing satellites, planetary rovers, planetary 
and interplanetary probes, and in-space habitats, not identified in 
ECCN 9A004 or USML Category XV(a).

    b. Ground control systems and training simulators ``specially 
designed'' for telemetry, tracking, and control of the 
``spacecraft'' controlled in paragraphs 9A004.u or 9A515.a.
    c. [Reserved]
    d. Microelectronic circuits (e.g., integrated circuits, 
microcircuits, or MOSFETs) and discrete electronic components rated, 
certified, or otherwise specified or described as meeting or 
exceeding all the following characteristics and that are ``specially 
designed'' for defense articles, ``600 series'' items, or items 
controlled by ECCNs 9A004.v or 9A515:
    d.1. A total dose of 5 x 10\5\ Rads (Si) (5 x 10\3\ Gy (Si));
    d.2. A dose rate upset threshold of 5 x 10\8\ Rads (Si)/sec (5 x 
10\6\ Gy (Si)/sec);
    d.3. A neutron dose of 1 x 10\14\ n/cm\2\ (1 MeV equivalent);
    d.4. An uncorrected single event upset sensitivity of 1 x 
10-\10\ errors/bit/day or less, for the CR[Egrave]ME-MC 
geosynchronous orbit, Solar Minimum Environment for heavy ion flux; 
and
    d.5. An uncorrected single event upset sensitivity of 1 x 
10-\3\ errors/part or less for a fluence of 1 x 10\7\ 
protons/cm\2\ for proton energy greater than 50 MeV.
    e. Microelectronic circuits (e.g., integrated circuits, 
microcircuits, or MOSFETs) and discrete electronic components that 
are rated, certified, or otherwise specified or described as meeting 
or exceeding the characteristics in either paragraph e.1 or e.2, AND 
``specially designed'' for defense articles controlled by USML 
Category XV or items controlled by ECCNs 9A004.u or 9A515:
    e.1. A total dose >=1 x 10\5\ Rads (Si) (1 x 10\3\ Gy(Si)) and 
<5 x 10\5\ Rads (Si) (5 x 10\3\ Gy(Si)); and a single event effect 
(SEE) (i.e., single event latchup (SEL), single event burnout (SEB), 
or single event gate rupture (SEGR)) immunity to a linear energy 
transfer (LET) >=80 MeV-cm2/mg; or
    e.2. A total dose >= 5 x 10\5\ Rads (Si) (5 x 10\3\ Gy (Si)) and 
not described in 9A515.d.

    Note 1 to 9A515.d and .e:  Application specific integrated 
circuits (ASICs), integrated circuits developed and produced for a 
specific application or function, specifically designed or modified 
for defense articles and not in normal commercial use are controlled 
by Category XI(c) of the USML regardless of characteristics.


    Note 2 to 9A515.d and .e:  See 3A001.a for controls on 
radiation-hardened microelectronic circuits ``subject to the EAR'' 
that are not controlled by 9A515.d or 9A515.e

    .f. Pressure suits (i.e., space suits) capable of operating at 
altitudes 55,000 feet above sea level.
    g. Remote sensing components ``specially designed'' for 
``spacecraft'' described in ECCNs 9A515.a.1 through 9A515.a.4 as 
follows:
    g.1. Space-qualified optics (i.e., lens, mirror, membrane having 
active properties (e.g., adaptive, deformable)) with the largest 
lateral clear aperture dimension equal to or less than 0.35 meters; 
or with the largest clear aperture dimension greater than 0.35 
meters but less than or equal to 0.50 meters;
    g.2. Optical bench assemblies ``specially designed'' for ECCN 
9A515.a.1, 9A515.a.2, 9A515.a.3, or 9A515.a.4 ``spacecraft;'' or
    g.3. Primary, secondary, or hosted payloads that perform a 
function of ECCN 9A515.a.1, 9A515.a.2, 9A515.a.3, or 9A515.a.4 
``spacecraft.''
    h. Spacecraft thrusters using bi-propellants or mono-propellants 
that provide thrust equal to or less than 150 lbf (i.e., 667.23 N) 
vacuum thrust.
    i. through w. [RESERVED]
    x. ``Parts,'' ``components,'' ``accessories'' and 
``attachments'' that are ``specially designed'' for defense articles 
controlled by USML Category XV or items controlled by 9A515, and 
that are NOT:
    x.1. Enumerated or controlled in the USML or elsewhere within 
ECCNs 9A515 or 9A004;
    x.2. Microelectronic circuits and discrete electronic 
components;
    x.3. Described in ECCNs 7A004 or 7A104;
    x.4. Described in an ECCN containing ``space-qualified'' as a 
control criterion (i.e., 3A001.b.1, 3A001.e.4, 3A002.g.1, 3A991.o, 
3A992.b.3, 6A002.a.1, 6A002.b.2, 6A002.d.1, 6A004.c and .d, 
6A008.j.1, 6A998.b, or 7A003.d.2);
    x.5. Microwave solid state amplifiers and microwave assemblies 
(refer to ECCN 3A001.b.4 for controls on these items);
    x.6. Travelling wave tube amplifiers (refer to ECCN 3A001.b.8 
for controls on these items); or
    x.7. Elsewhere specified in ECCN 9A515.y.

    Note to 9A515.x:  ``Parts,'' ``components,'' ``accessories,'' 
and ``attachments'' specified in USML subcategory XV(e) or 
enumerated in other USML categories are subject to the controls of 
that paragraph or category.

    y. Items that would otherwise be within the scope of ECCN 
9A515.x but that have been identified in an interagency-cleared 
commodity classification (CCATS) pursuant to Sec.  748.3(e) as 
warranting control in 9A515.y.
    y.1. Discrete electronic components not specified in 9A515.e;
    y.2. Space grade or for spacecraft applications thermistors;
    y.3. Space grade or for spacecraft applications RF microwave 
bandpass ceramic filters (Dielectric Resonator Bandpass Filters);
    y.4. Space grade or for spacecraft applications hall effect 
sensors;
    y.5. Space grade or for spacecraft applications subminiature 
(SMA and SMP) plugs and connectors, TNC plugs and cable and 
connector assemblies with SMA plugs and connectors; and
    y.6. Space grade or for spacecraft applications flight cable 
assemblies.

0
18. In Supplement No. 1 to part 774, Category 9, revise ECCN 9A610 to 
read as follows:

9A610 Military aircraft and related commodities, other than those 
enumerated in 9A991.a (see List of Items Controlled).

License Requirements

Reason for Control: NS, RS, MT, AT, UN

[[Page 44227]]



 
                                            Country chart (see Supp. No.
                Control(s)                         1 to part 738)
 
NS applies to entire entry except:          NS Column 1
 9A610.b; parts and components controlled
 in 9A610.x if being exported or
 reexported for use in an aircraft
 controlled in 9A610.b; and 9A610.y.
RS applies to entire entry except:          RS Column 1
 9A610.b; parts and components controlled
 in 9A610.x if being exported or
 reexported for use in an aircraft
 controlled in 9A610.b; and 9A610.y.
MT applies to 9A610.t, .u, .v, and .w.....  MT Column 1
AT applies to entire entry................  AT Column 1
UN applies to entire entry except 9A610.y.  See Sec.   746.1(b) for UN
                                             controls
 

List Based License Exceptions (See Part 740 for a Description of All 
License Exceptions)

LVS: $1500
GBS: N/A
CIV: N/A

Special Conditions for STA

STA: (1) Paragraph (c)(1) of License Exception STA (Sec.  
740.20(c)(1) of the EAR) may not be used for any item in 9A610.a 
(i.e., ``end item'' military aircraft), unless determined by BIS to 
be eligible for License Exception STA in accordance with Sec.  
740.20(g) (License Exception STA eligibility requests for ``600 
series'' end items). (2) Paragraph (c)(2) of License Exception STA 
(Sec.  740.20(c)(2) of the EAR) may not be used for any item in 
9A610.

List of Items Controlled

Related Controls: (1) Military aircraft and related articles that 
are enumerated in USML Category VIII, and technical data (including 
software) directly related thereto, are subject to the ITAR. (2) See 
ECCN 0A919 for controls on foreign-made ``military commodities'' 
that incorporate more than a de minimis amount of U.S.-origin ``600 
series'' controlled content. (3) See USML Category XIX and ECCN 
9A619 for controls on military aircraft gas turbine engines and 
related items.
Related Definitions: In paragraph .y of this entry, the term `fluid' 
includes liquids and gases.
Items:

    a. `Military Aircraft' ``specially designed'' for a military use 
that are not enumerated in USML paragraph VIII(a).

    Note 1: For purposes of paragraph .a the term `military 
aircraft' means the LM-100J aircraft and any aircraft ``specially 
designed'' for a military use that are not enumerated in USML 
paragraph VIII(a). The term includes: Trainer aircraft; cargo 
aircraft; utility fixed wing aircraft; military helicopters; 
observation aircraft; military non-expansive balloons and other 
lighter than air aircraft; and unarmed military aircraft, regardless 
of origin or designation. Aircraft with modifications made to 
incorporate safety of flight features or other FAA or NTSB 
modifications such as transponders and air data recorders are 
``unmodified'' for the purposes of this paragraph .a.


    Note 2: 9A610.a does not control `military aircraft' that:
    a. Were first manufactured before 1946;
    b. Do not incorporate defense articles enumerated or otherwise 
described on the U.S. Munitions List, unless the items are required 
to meet safety or airworthiness standards of a Wassenaar Arrangement 
Participating State; and
    c. Do not incorporate weapons enumerated or otherwise described 
on the U.S. Munitions List, unless inoperable and incapable of being 
returned to operation.

    b. L-100 aircraft manufactured prior to 2013.
    c.-d. [Reserved]
    e. Mobile aircraft arresting and engagement runway systems for 
aircraft controlled by either USML Category VIII(a) or ECCN 9A610.a.
    f. Pressure refueling equipment and equipment that facilitates 
operations in confined areas, ``specially designed'' for aircraft 
controlled by either USML paragraph VIII(a) or ECCN 9A610.a.
    g. Aircrew life support equipment, aircrew safety equipment and 
other devices for emergency escape from aircraft controlled by 
either USML paragraph VIII(a) or ECCN 9A610.a.
    h. Parachutes, paragliders, complete parachute canopies, 
harnesses, platforms, electronic release mechanisms, ``specially 
designed'' for use with aircraft controlled by either USML paragraph 
VIII(a) or ECCN 9A610.a, and ``equipment'' ``specially designed'' 
for military high altitude parachutists, such as suits, special 
helmets, breathing systems, and navigation equipment.
    i. Controlled opening equipment or automatic piloting systems, 
designed for parachuted loads.
    j. Ground effect machines (GEMS), including surface effect 
machines and air cushion vehicles, ``specially designed'' for use by 
a military.
    k. through s. [Reserved]
    t. Composite structures, laminates, and manufactures thereof 
``specially designed'' for unmanned aerial vehicles controlled under 
USML Category VIII(a) with a range equal to or greater than 300 km.

    Note to paragraph .t:  Composite structures, laminates, and 
manufactures thereof ``specially designed'' for unmanned aerial 
vehicles controlled under USML Category VIII(a) with a maximum range 
less than 300 km are controlled in paragraph .x of this entry.

    u. Apparatus and devices ``specially designed'' for the 
handling, control, activation and non-ship-based launching of UAVs 
controlled by either USML paragraph VIII(a) or ECCN 9A610.a, and 
capable of a range equal to or greater than 300 km.

    Note to paragraph .u:  Apparatus and devices ``specially 
designed'' for the handling, control, activation and non-ship-based 
launching of UAVs controlled by either USML paragraph VIII(a) or 
ECCN 9A610.a with a maximum range less than 300 km are controlled in 
paragraph .x of this entry.

    v. Radar altimeters designed or modified for use in UAVs 
controlled by either USML paragraph VIII(a) or ECCN 9A610.a., and 
capable of delivering at least 500 kilograms payload to a range of 
at least 300 km.

    Note to paragraph .v: Radar altimeters designed or modified for 
use in UAVs controlled by either USML paragraph VIII(a) or ECCN 
9A610.a. that are not capable of delivering at least 500 kilograms 
payload to a range of at least 300 km are controlled in paragraph .x 
of this entry.

    w.1. Pneumatic hydraulic, mechanical, electro-optical, or 
electromechanical flight control systems (including fly-by-wire and 
fly-by-light systems) and attitude control equipment designed or 
modified for UAVs controlled by either USML paragraph VIII(a) or 
ECCN 9A610.a., and capable of delivering at least 500 kilograms 
payload to a range of at least 300 km.

    Note to paragraph .w.1: Pneumatic, hydraulic, mechanical, 
electro-optical, or electromechanical flight control systems 
(including fly-by-wire and fly-by-light systems) and attitude 
control equipment designed or modified for UAVs controlled by either 
USML paragraph VIII(a) or ECCN 9A610.a., not capable of delivering 
at least 500 kilograms payload to a range of at least 300 km are 
controlled in paragraph .x of this entry.

    w.2. Flight control servo valves designed or modified for the 
systems in 9A610.w.1. and designed or modified to operate in a 
vibration environment greater than 10g rms over the entire range 
between 20Hz and 2 kHz.

    Note to paragraph .w: Paragraphs 9A610.w.1. and 9A610.w.2. 
include the systems, equipment and valves designed or modified to 
enable operation of manned aircraft as unmanned aerial vehicles.

    x. ``Parts,'' ``components,'' ``accessories,'' and 
``attachments'' that are ``specially designed'' for a commodity 
enumerated or otherwise described in ECCN 9A610 (except for 9A610.y) 
or a defense article enumerated or otherwise described in USML 
Category VIII and not elsewhere specified on the USML or in 9A610.y, 
9A619.y, or 3A611.y.
    y. Specific ``parts,'' ``components,'' ``accessories,'' and 
``attachments'' ``specially designed'' for a commodity subject to 
control in this entry, ECCN 9A619, or for a defense article in USML 
Categories VIII or XIX and not elsewhere specified in the USML or 
the CCL, and other aircraft commodities ``specially designed'' for a 
military use, as follows, and ``parts,'' ``components,'' 
``accessories,'' and ``attachments'' ``specially designed'' 
therefor:
    y.1. Aircraft tires;
    y.2. Analog gauges and indicators;

[[Page 44228]]

    y.3. Audio selector panels;
    y.4. Check valves for hydraulic and pneumatic systems;
    y.5. Crew rest equipment;
    y.6. Ejection seat mounted survival aids;
    y.7. Energy dissipating pads for cargo (for pads made from paper 
or cardboard);
    y.8. Fluid filters and filter assemblies;
    y.9. Galleys;
    y.10. Fluid hoses, straight and unbent lines (for a commodity 
subject to control in this entry or defense article in USML Category 
VIII), and fittings, couplings, clamps (for a commodity subject to 
control in this entry or defense article in USML Category VIII) and 
brackets therefor;
    y.11. Lavatories;
    y.12. Life rafts;
    y.13. Magnetic compass, magnetic azimuth detector;
    y.14. Medical litter provisions;
    y.15. Cockpit or cabin mirrors;
    y.16. Passenger seats including palletized seats;
    y.17. Potable water storage systems;
    y.18. Public address (PA) systems;
    y.19. Steel brake wear pads (does not include sintered mix or 
carbon/carbon materials);
    y.20. Underwater locator beacons;
    y.21. Urine collection bags/pads/cups/pumps;
    y.22. Windshield washer and wiper systems;
    y.23. Filtered and unfiltered panel knobs, indicators, switches, 
buttons, and dials;
    y.24. Lead-acid and Nickel-Cadmium batteries;
    y.25. Propellers, propeller systems, and propeller blades used 
with reciprocating engines;
    y.26. Fire extinguishers;
    y.27. Flame and smoke/CO2 detectors;
    y.28. Map cases;
    y.29. `Military Aircraft' that were first manufactured from 1946 
to 1955 that do not incorporate defense articles enumerated or 
otherwise described on the U.S. Munitions List, unless the items are 
required to meet safety or airworthiness standards of a Wassenaar 
Arrangement Participating State; and do not incorporate weapons 
enumerated or otherwise described on the U.S. Munitions List, unless 
inoperable and incapable of being returned to operation;
    y.30. ``Parts,'' ``components,'' ``accessories,'' and 
``attachments,'' other than electronic items or navigation 
equipment, for use in or with a commodity controlled by ECCN 
9A610.h;
    y.31. Identification plates and nameplates; and
    y.32. Fluid manifolds.

    Dated: August 24, 2018.
Richard E. Ashooh,
Assistant Secretary for Export Administration.
[FR Doc. 2018-18849 Filed 8-29-18; 8:45 am]
 BILLING CODE 3510-33-P



                                           44216            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                             (Lat. 33°59′42″ N, long. 80°21′41″ W)                 including most of the world’s suppliers                  ECCN 1B117. This final rule amends
                                             That airspace extending upward from 700               of advanced missiles and missile-related              ECCN 1B117 by revising the heading to
                                           feet above the surface within a 10-mile radius          equipment, materials, software and                    remove the criteria for which ‘‘batch
                                           of Shaw AFB and within a 6.8-mile radius of             technology. The regime establishes a                  mixers’’ are controlled under this entry
                                           Mc Entire JNGB and within 3 miles each side             common list of controlled items (the                  and moves the criteria to the new
                                           of Mc Entire JNGB TACAN 138° radial,                    Annex) and a common export control                    ‘‘items’’ paragraphs a and b in the List
                                           extending from the 6.8-mile radius to 12
                                                                                                   policy (the Guidelines) that member                   of Items Controlled section. This final
                                           miles southeast of the TACAN and within a
                                           7-mile radius of Sumter Airport; excluding              countries implement in accordance with                rule, as a conforming change,
                                           that airspace contained within Restricted               their national export controls. The                   redesignates existing ‘‘items’’
                                           Area R–6002 when it is in use.                          MTCR seeks to limit the risk of                       paragraphs a and b as paragraphs c and
                                                                                                   proliferation of weapons of mass                      d (including redesignating the Note to
                                             Issued in College Park, Georgia, on August
                                           22, 2018.
                                                                                                   destruction by controlling exports of                 paragraph b as Note to paragraph d),
                                                                                                   goods and technologies that could make                respectively, so that all criteria that
                                           Ryan W. Almasy,
                                                                                                   a contribution to delivery systems (other             identify ‘‘batch mixers’’ that are
                                           Manager, Operations Support Group, Eastern              than manned aircraft) for such weapons.               controlled under ECCN 1B117 are in the
                                           Service Center, Air Traffic Organization.                  In 1993, the MTCR’s original focus on              List of Items Controlled section. These
                                           [FR Doc. 2018–18765 Filed 8–29–18; 8:45 am]             missiles for nuclear weapons delivery                 changes involving the rearranging of the
                                           BILLING CODE 4910–13–P                                  was expanded to include the                           existing text are being made for clarity
                                                                                                   proliferation of missiles for the delivery            and consistency within the MTCR
                                                                                                   of all types of weapons of mass                       Annex (MTCR Annex Change, Category
                                           DEPARTMENT OF COMMERCE                                  destruction (WMD), i.e., nuclear,                     II: Item 4.B.3., Dublin 2017 Plenary).
                                                                                                   chemical and biological weapons. Such                 These changes are not expected to have
                                           Bureau of Industry and Security                         proliferation has been identified as a                any impact on the number of license
                                                                                                   threat to international peace and                     applications received by BIS.
                                           15 CFR Part 774                                         security. One way to address this threat                 ECCN 1B118. This final rule amends
                                           [Docket No. 170906871–7871–01]                          is to maintain vigilance over the transfer            ECCN 1B118 by revising the heading to
                                                                                                   of missile equipment, material, and                   remove the criteria for which
                                           RIN 0694–AH46                                           related technologies usable for systems               ‘‘continuous mixers’’ are controlled
                                                                                                   capable of delivering WMD. MTCR                       under 1B118 and adds those criteria to
                                           Revisions to the Export Administration
                                                                                                   members voluntarily pledge to adopt the               the ‘‘items’’ paragraph in the List of
                                           Regulations Based on the 2017 Missile
                                                                                                   Regime’s export Guidelines and to                     Items Controlled section. This final rule
                                           Technology Control Regime Plenary                       restrict the export of items contained in             revises ‘‘items’’ paragraphs a and b to
                                           Agreements                                              the Regime’s Annex. The Regime’s                      include the control criteria that identify
                                           AGENCY:  Bureau of Industry and                         Guidelines are implemented through the                certain ‘‘continuous mixers’’ that are
                                           Security, Commerce.                                     national export control laws, regulations             controlled under ECCN 1B118. This
                                           ACTION: Final rule.                                     and policies of the regime members.                   final rule, as a conforming change, also
                                                                                                                                                         redesignates existing ‘‘items’’ paragraph
                                                                                                   Amendments to the Export
                                           SUMMARY:   The Bureau of Industry and                                                                         b as paragraph c, which includes criteria
                                                                                                   Administration Regulations (EAR)
                                           Security (BIS) is amending the Export                                                                         that identify other ‘‘continuous mixers’’
                                           Administration Regulations (EAR) to                       This final rule revises the Export                  that are controlled under ECCN 1B118.
                                           reflect changes to the Missile                          Administration Regulations (EAR) to                   The changes to paragraph b, which this
                                           Technology Control Regime (MTCR)                        reflect changes to the MTCR Annex                     rule redesignates as ‘‘items’’ paragraph
                                           Annex that were agreed to by MTCR                       agreed to at the October 2017 Plenary in              c.2, include making minor edits for
                                           member countries at the October 2017                    Dublin, Ireland, and changes resulting                clarity of the control parameters to more
                                           Plenary in Dublin, Ireland, and the May                 from the May 2017 Technical Experts                   clearly identify the shafts controlled
                                           2017 Technical Experts Meeting (TEM)                    Meeting (TEM) in Stockholm, Sweden.                   (MTCR Annex Change, Category II: Item
                                           in Stockholm, Sweden. This final rule                   References are provided below for the                 4.B.3.a., Dublin 2017 Plenary). These
                                           revises seventeen Export Control                        MTCR Annex changes agreed to at the                   changes involving the rearranging of the
                                           Classification Numbers (ECCNs) to                       meetings that correspond to the EAR                   existing text are being made for clarity
                                           implement the changes that were agreed                  revisions described below. This rule                  and consistency within the MTCR
                                           to at the meetings and to better align the              also makes changes to the Commerce                    Annex. These changes are not expected
                                           missile technology (MT) controls on the                 Control List (CCL) (Supplement No. 1 to               to have any impact on the number of
                                           Commerce Control List (CCL) with the                    part 774 of the EAR) to conform with                  license applications received by BIS.
                                           MTCR Annex.                                             the MTCR Annex. All of the changes in                    ECCN 1C111. This final rule amends
                                                                                                   this final rule align the MT controls on              ECCN 1C111 by revising ‘‘items’’
                                           DATES: This rule is effective August 30,
                                                                                                   the CCL with the MTCR Annex. In the                   paragraph a.1 in the List of Items
                                           2018.
                                                                                                   discussion below, BIS identifies the                  Controlled section. In ‘‘items’’
                                           FOR FURTHER INFORMATION CONTACT:                                                                              paragraph a.1, this final rule removes
                                                                                                   origin of each change in the regulatory
                                           Sharon Bragonje, Nuclear and Missile                    text of this final rule by using one the              the word ‘‘percent’’ and adds in its
                                           Technology Controls Division, Bureau                    following parenthetical phrases: (Dublin              place the ‘‘%’’ sign in the phrase ‘‘if at
                                           of Industry and Security, Phone: (202)                  2017 Plenary), (Stockholm 2017 TEM),                  least 10 percent of the total weight.’’
                                           482–0434; Email: sharon.bragonje@                       or (Changes to Align with MTCR                        This change is being made for
                                           bis.doc.gov.                                                                                                  consistency with the MTCR Annex
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                                                                                                   Annex).
                                           SUPPLEMENTARY INFORMATION:                                                                                    (Changes to Align with MTCR Annex).
                                                                                                   Amendments to the Commerce Control                    This is a clarification and will not
                                           Background                                              List (CCL)                                            change any scope of control. This
                                             The Missile Technology Control                          This final rule amends the CCL to                   change is not expected to have any
                                           Regime (MTCR or Regime) is an export                    reflect changes to the MTCR Annex by                  impact on the number of license
                                           control arrangement among 35 nations,                   amending seventeen ECCNs, as follows:                 applications received by BIS.


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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                        44217

                                              ECCN 1C118. This final rule amends                   Category II: Item 3.B.3., Dublin 2017                 100 g are those that meet this portion of
                                           ECCN 1C118 by revising ‘‘items’’                        Plenary).                                             the control parameter. The word
                                           paragraphs a.1, a.2, and a.3 in the List                   In ECCN 2B109, this final rule revises             ‘‘above’’ also conveys the same
                                           of Items Controlled section. In ‘‘items’’               the heading by removing the phrase                    meaning, but the phrase ‘‘greater than’’
                                           paragraphs a.1 and a.2, this final rule                 ‘‘and ‘‘specially designed’’ ‘‘parts’’ and            is clearer and more consistent within
                                           removes the phrase ‘‘weight percent’’                   ‘‘components’’ therefor.’’ As a                       the MTCR Annex (MTCR Annex
                                           and adds in its place the phrase ‘‘% by                 conforming change this final rule                     Change, Category II: Item 9.B.2.e.,
                                           weight.’’ In ‘‘items’’ paragraph a.3, this              revises ‘‘items’’ paragraph b to add                  Dublin 2017 Plenary). These changes are
                                           final rule removes the phrase ‘‘percent                 ‘‘parts’’ to the scope of this paragraph.             not expected to have any impact on the
                                           is austenite’’ and adds in its place the                These changes to the heading and                      number of license applications received
                                           ‘‘%’’ sign and for clarity moves the                    ‘‘items’’ paragraph b do not change the               by BIS.
                                           phrase ‘‘is austenite’’ to the end of the               scope of the ECCN, but rather clarify the                ECCN 6A107. This final rule amends
                                           paragraph. These changes involving the                  intended scope of ECCN 2B109. This                    ECCN 6A107 by adding a definition of
                                           rearranging of the existing text are being              final rule corrects ‘‘items’’ paragraph b,            ’Time to steady-state registration’ to the
                                           made for clarity and consistency with                   so that an MT control on ‘‘parts’’ and                Related Definitions paragraph in the List
                                           the MTCR Annex (MTCR Annex                              ‘‘components’’ applies only to 2B009                  of Items Controlled section. As a
                                           Change, Category II: Item 6.C.9., Dublin                machines that are controlled for MT                   conforming change, this final rule also
                                           2017 Plenary). This is a clarification and              reasons. The control text in the heading              revises the ‘‘items’’ paragraph a.2 in the
                                           will not change any scope of control.                   referring to ‘‘parts’’ and ‘‘components’’             List of Items Controlled section of ECCN
                                           These changes are not expected to have                  is not needed, provided conforming                    6A107 to add single quotation marks
                                           any impact on the number of license                     edits were made to add ‘‘parts’’ to the               around the term ’time to steady-state
                                           applications received by BIS.                           scope of ‘‘items’’ paragraph b, which                 registration’ to indicate the term is
                                                                                                   controlled ‘‘components’’ prior to                    defined for purposes of this ECCN under
                                              ECCN 2B109. This final rule amends
                                                                                                   publication of this final rule. This final            the Related Definitions paragraph
                                           ECCN 2B109 by revising the heading,
                                                                                                   rule also revises the heading to add the              (MTCR Annex Change, Category II: Item
                                           revising ‘‘items’’ paragraphs a and b in
                                                                                                   phrase ‘‘as follows (see List of Items                12.A.3.a.2. Technical Note, Stockholm
                                           the List of Items Controlled section, and
                                                                                                   Controlled)’’ to reflect that this ECCN               2017 TEM). These changes are not
                                           removing Technical Note 2 in the List
                                                                                                   includes an ‘‘items’’ paragraph (Changes              expected to have any impact on the
                                           of Items Controlled section. This final                 to Align with MTCR Annex). These                      number of license applications received
                                           rule revises the introductory text of                   changes are not expected to have any                  by BIS.
                                           ‘‘items’’ paragraph a to incorporate the                impact on the number of license                          ECCN 7A105. This final rule amends
                                           text from Technical Note 2 into the                     applications received by BIS.                         ECCN 7A105 by revising the heading
                                           paragraph, creating positive and specific                  ECCN 2B120. This final rule amends                 and the Related Definitions paragraph.
                                           control text to identify the types of                   the heading of ECCN 2B120 by revising                 This final rule revises the heading of
                                           ‘‘flow-forming machines’’ that are                      ‘‘items’’ paragraph a in the List of Items            ECCN 7A105 to remove the phrase
                                           controlled under ECCN 2B109. Only                       Controlled section to move the phrase                 ‘‘Global Navigation Satellite Systems
                                           ‘‘flow-forming machines’’ that are                      ‘‘or more’’ to precede the term ‘‘axes.’’             (GNSS),’’ including the parenthetical
                                           usable in the ‘‘production’’ of                         The phrase ‘‘two or more axes’’ is                    phrase with examples of GNSS, and
                                           propulsion components and equipment                     clearer and more consistent within the                adds in its place the term ’navigation
                                           (e.g., motor cases and interstages) for                 MTCR Annex. The motion simulators                     satellite systems.’ This final rule
                                           ‘‘missiles’’ will be controlled under                   and rate tables controlled under ‘‘items’’            amends ECCN 7A105 by adding a
                                           ECCN 2B109. This rule includes a                        paragraph a are those with two or more                definition of ’Navigation satellite
                                           parenthetical phrase to provide two                     axes (MTCR Annex Change, Category I:                  systems’ to the Related Definitions
                                           examples of the types of propulsion                     Item 9.B.2.c, Dublin 2017 Plenary).                   paragraph in the List of Items Controlled
                                           components and equipment being                          These changes are not expected to have                section to define this term for purposes
                                           referenced in ECCN 2B109.a. This final                  any impact on the number of license                   of this ECCN. The new definition of
                                           rule also revises ‘‘items’’ paragraphs a.1              applications received by BIS.                         ’navigation satellite systems’ specifies
                                           and a.2 to make minor clarifications in                    ECCN 2B121. Similar to the change                  that these systems include global
                                           the control parameters. This final rule                 described above to ECCN 2B120, this                   navigation satellite systems (GNSS) and
                                           revises ‘‘items’’ paragraph a.1 to add the              final rule amends ECCN 2B121 by                       regional navigation satellite systems
                                           phrase ‘‘equipped with or’’ according to                revising ‘‘items’’ paragraph a in the List            (RNSS) and provides an illustrative list
                                           the manufacturer’s technical                            of Items Controlled section to move the               of such (GNSS, RNSS) systems (MTCR
                                           specification, and removes the phrase                   phrase ‘‘or more’’ to precede the term                Annex Change, Category II: Item 11.A.3.,
                                           ‘‘can be’’ and adds in its places the                   ‘‘axes.’’ The phrase ‘‘two or more axes’’             Stockholm 2017 TEM and Dublin 2017
                                           phrase ‘‘capable of being’’ equipped.                   is clearer and more consistent within                 Plenary). These changes to ECCN 7A105
                                           This final rule removes the word ‘‘have’’               the MTCR Annex. The positioning                       are being made in this final rule because
                                           from the beginning of ‘‘items’’ paragraph               tables controlled under ‘‘items’’                     the MTCR Annex entry that addresses
                                           a.2 because the introductory text of                    paragraph a are those with two or more                receiving equipment for navigation
                                           paragraph a already includes this word,                 axes (MTCR Annex Change, Category II:                 satellite systems has been expanded to
                                           so it is redundant in a.2. The final rule               Item 9.B.2.d., Dublin 2017 Plenary).                  include regional navigation satellite
                                           removes Technical Note 2 because the                    These changes are not expected to have                systems, as well as listing the Chinese
                                           substance of this technical note is added               any impact on the number of license                   system ‘‘BeiDou’’ in the examples of
                                           to ‘‘items’’ paragraph a, which means                   applications received by BIS.                         GNSS. To accomplish this, as described
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                                           the technical note is no longer needed.                    ECCN 2B122. This final rule amends                 above, this final rule in ECCN 7A105
                                           This final rule rewords the substance of                ECCN 2B122 by revising the heading to                 adds a local definition of ’navigation
                                           Technical Note 2 added to the                           remove the word ‘‘above’’ and add in its              satellite systems,’ with expanded
                                           introductory text of ‘‘items’’ paragraph a              place the phrase ‘‘greater than’’ to                  examples, to the Related Definitions
                                           for clarity and to remove the double                    clarify that centrifuges capable of                   paragraph in the List of Items
                                           negative (MTCR Annex Change,                            imparting accelerations ‘‘greater than’’              Controlled. ECCN 7A105 does not


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                                           44218            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                           encompass all of the commodities                        paragraph (1) to direct people to also see            have the range of 300 km, it would be
                                           specified under the MTCR Annex,                         ECCNs 9A610.r and .s for items                        controlled by 9A012.a and the MT
                                           Category II, Item 11.A.3 entry, because                 designated or modified for military                   control would no longer apply.
                                           some of those commodities are ‘‘subject                 UAVs. This final rule adds a license                     For the reasons discussed above
                                           to the ITAR.’’ The existing Related                     requirement for MT 1 and AT 1 for these               regarding the changes to ECCN 7A116,
                                           Controls paragraph (2) in ECCN 7A105,                   commodities that this rule controls                   this final rule makes a conforming
                                           as well as the Commerce Control List                    under ECCN 7A116.                                     change to remove ‘‘items’’ paragraph b.5
                                           Order of Review in Supplement No. 4 to                     This final rule adds ‘‘items’’                     from the List of Items Controlled
                                           part 774 of the EAR already provides                    paragraphs a, b, and c to specify the                 because these commodities will be
                                           guidance on this, so no additional                      commodities controlled under ECCN                     controlled under ECCN 7A116 (MTCR
                                           changes are needed in this rule to                      7A116. This final rule, as described                  Annex Change, Category II: Item 10.A.,
                                           address that issue. This change is                      below in the changes this final rule                  Notes, Dublin 2017 Plenary). These
                                           expected to result in an increase of one                makes to ECCN 9A012, removes the                      changes are expected to result in an
                                           or fewer applications received annually                 control parameters in ‘‘items’’ paragraph             increase of 1 or fewer applications
                                           by BIS, because of the generally low                    9A012.b.5 and adds (moves) those to                   received annually by BIS, because these
                                           number of such items exported.                          ECCN 7A116. These changes are                         are clarifying changes and reflects the
                                              ECCN 7A107. This final rule amends                   appropriate because there are no similar              current interpretation for where these
                                           ECCN 7A107 by revising ‘‘items’’                        controls in the Wassenaar Arrangement                 commodities should be controlled
                                           paragraph b in the List of Items                        for these commodities that are specified              under the EAR.
                                           Controlled section by removing the                      on the MTCR Annex, and under the                         ECCN 9A101. This final rule amends
                                           phrase ‘‘capable of providing’’ at the                  Commerce Control List Order of Review                 ECCN 9A101 by revising the Related
                                           beginning of the paragraph. The phrase                  these items will be appropriately                     Definitions paragraph, revising ‘‘items’’
                                           is not needed in order to convey the                    controlled under ECCN 7A116. The                      paragraph a, adding new ‘‘items’’
                                           meaning of the control parameter and                    commodities this rule moves from                      paragraphs a.3 and a.4, and revising
                                           removing the phrase makes the control                   9A012.b.5 will no longer be controlled                ‘‘items’’ paragraph b in the List of Items
                                           parameter text more precise. This                       for national security (NS) reasons, but
                                                                                                                                                         Controlled section. These changes are
                                           change is made to conform to this                       the commodities will be MT controlled.
                                                                                                                                                         being made to this entry to limit the
                                           MTCR Annex change. ECCN 7A107.a                         This final rule also adds a note at the
                                                                                                                                                         control to those engines that are most
                                           already reflects changes made in the                    end of the ‘‘items’’ paragraph in the List
                                                                                                                                                         likely to be used on MTCR controlled
                                           MTCR Annex, and therefore, that                         of Items Controlled section of ECCN
                                                                                                                                                         cruise missiles and unmanned aerial
                                           ‘‘items’’ paragraph a did not need to be                7A116 to specify that systems,
                                                                                                                                                         vehicles, and to remove controls from
                                           amended in this final rule (MTCR                        equipment and valves designed or
                                                                                                                                                         larger engines that are unlikely to be
                                           Annex Change, Category II: Item 9.A.8.,                 modified to enable operation of manned
                                                                                                                                                         used on such systems. While larger civil
                                           Dublin 2017 Plenary). This is a                         aircraft as unmanned aerial vehicles are
                                                                                                                                                         certified engines were already excluded
                                           clarification and will not change any                   included within the scope of this ECCN.
                                           scope of control. This change is not                       These changes are not expected to                  from control under ECCN 9A101, they
                                           expected to have any impact on the                      have any impact on the number of                      were still controlled under ECCN 9A101
                                           number of license applications received                 license applications received by BIS,                 prior to completing the civil
                                           by BIS.                                                 because this equipment is not widely                  certification process (MTCR Annex
                                              ECCN 7A116. This final rule amends                   used or exported.                                     Change, Category II: Item 3.A.1.a.,
                                           ECCN 7A116 by revising the heading;                        ECCN 9A012. This final rule amends                 Stockholm 2017 TEM).
                                           and adding a License Requirements                       ECCN 9A012 by revising the ‘‘MT’’                        This final rule revises the Related
                                           section, License Exceptions section and                 paragraph in the table in the License                 Definitions paragraph by removing the
                                           List of Items Controlled section (MTCR                  Requirements section and removing the                 definition of ’maximum thrust value’
                                           Annex Change, Category II: Item 10.A.,                  ‘‘items’’ paragraph b.5 in the List of                and adding this definition as part of
                                           Notes, Dublin 2017 Plenary; and                         Items Controlled section. This final rule             three new Technical Notes this final
                                           Changes to Align with MTCR Annex).                      revises the MT controls paragraph to                  rule adds to ‘‘items’’ paragraph a in the
                                           This final rule, in order to fully reflect              remove the term ‘‘Air’’ and add in its                List of Items Controlled section of ECCN
                                           the commodities specified in the MTCR                   place ‘‘Aerial’’ in the term ‘‘Unmanned               9A101. This final rule adds the
                                           Annex, Category II: Item 10.A., revises                 Aerial Vehicles (UAVs).’’ This change is              definition of ’maximum thrust value’ as
                                           ECCN 7A116 to control items that are                    made to conform to the MTCR Annex                     Technical Note 1 and adds the phrase
                                           not ‘‘subject to the ITAR,’’ but that                   and other references in the EAR to                    ‘‘at sea level static conditions using
                                           would otherwise meet the description of                 UAVs. As a conforming change for the                  ICAO standard atmosphere’’ to the
                                           items in the MTCR Annex, Category II:                   movement of commodities classified in                 technical note to add greater specificity
                                           Item 10.A and the new control                           9A012.b.5, as described above for the                 on the conditions under which the
                                           parameters this final rule adds to ECCN                 changes this final rule makes to ECCN                 measurement needs to be taken for
                                           7A116.                                                  7A116, this final rule revises the MT                 purposes of ECCN 9A101. This final
                                              This final rule does this by revising                controls paragraph in ECCN 9A012 to                   rule also adds two new technical notes
                                           the heading, which includes removing                    remove the reference to ‘‘9A012.b’’ and               to ‘‘items’’ paragraph a; one for ’dry
                                           the parenthetical phrase that stated that               add a reference in its place to ECCN                  weight’ (Technical Note 2) and a second
                                           all items in the heading were ‘‘subject                 9A120. This final rule also revises the               for ’first-stage rotor diameter’ (Technical
                                           to the ITAR.’’ As a conforming change,                  reasons for control in ECCN 9A012 to                  Note 3). The definition of ’dry weight’
                                           this final rule adds a Related Controls                 close a potential gap in the MT controls.             in Technical Note 2 provides the criteria
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                                           paragraph (2) to alert people to see                    If a UAV meets the requirements of                    for what needs to be included in the
                                           United States Munitions List (USML)                     ECCN 9A120, it would be controlled for                measurement and specifies that the
                                           Category IV for items ‘‘specially                       MT reasons. However, as the text was                  measurement should not include the
                                           designed’’ for use in rockets or missiles               written prior to publication of this final            nacelle (housing). The definition of
                                           that are ‘‘subject to the ITAR.’’ This final            rule, if such a UAV met the                           ’first-stage rotor diameter’ in Technical
                                           rule also adds a Related Controls                       requirements of 9A012.a, but did not                  Note 3, will provide guidance on how


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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                         44219

                                           to measure the diameter of the first                    heading of ECCN 9A115. Consistent                     addition of ‘‘items’’ paragraph h, this
                                           rotating stage of the engine.                           with the CCL Order of Review (See                     final rule reserves ‘‘items’’ paragraphs i
                                              The final rule revises the introductory              Supplement 4 to part 774), and to align               through w. These changes are expected
                                           text of ‘‘items’’ paragraph a to remove                 with the MTCR Annex, this rule makes                  to result in an annual increase of twelve
                                           the word ‘‘both’’ and add in its place the              it clear that such commodities are                    license applications received by BIS.
                                           word ‘‘all.’’ This is a conforming change               controlled under 9A115. These changes                    ECCN 9A610. This final rule amends
                                           because this rule adds new ‘‘items’’                    are expected to result in an increase of              ECCN 9A610 by making revisions to the
                                           paragraphs a.3 and a.4, and in order to                 1 or fewer applications received                      ‘‘items’’ paragraph (MTCR Annex
                                           be controlled under ECCN 9A101.a, the                   annually by BIS, due to the low volume                Change, Category II: Item 10.A., Notes,
                                           engine needs to meet all of the criteria                of such items exported.                               Dublin 2017 Plenary). This final rule
                                           in paragraphs a.1 to a.4. This final rule                  ECCN 9A515. This final rule amends                 redesignates ‘‘items’’ paragraph w as
                                           adds new ‘‘items’’ paragraphs a.3 and                   ECCN 9A515 by adding a new ‘‘items’’                  ‘‘items’’ paragraph w.1 and creates new
                                           a.4, to include the criterion of ’dry                   paragraph h to control spacecraft                     ‘‘items’’ paragraph w.2 in ECCN 9A610,
                                           weight’ less than 750 kg as part of the                 thrusters for MT reasons. This final rule             including redesignating Note to
                                           criteria that need to be met for an engine              also revises the ‘‘MT’’ paragraph in the              paragraph w, as Note to paragraph w.1.
                                           to be controlled under ECCN 9A101.a.                    table in the License Requirements                     In addition to this redesignation, this
                                           This final rule also adds a new ‘‘items’’               section to specify that the MT control                final rule removes the term ‘‘drones’’
                                           paragraph a.4 to include the criterion of               applies to spacecraft thrusters                       from ‘‘items’’ paragraph w.1 and the
                                           the ‘‘‘first-stage rotor diameter’ less than            controlled in 9A515.h when the total                  Note to paragraph w.1 because the
                                           1 m’’ as part of the criteria that need to              impulse capacity is equal to or greater               MTCR Annex does not use the term
                                           be met for an engine to be controlled                   than 8.41x10∧5. These changes are                     ‘‘drones,’’ other than stating that drones
                                           under ECCN 9A101.a. This final rule                     needed to clarify which of the satellite              are a type of UAV, and therefore the
                                           also revises ‘‘items’’ paragraph b, which               thrusters are subject to the EAR. On                  term does not need to be included in
                                           functions as a catch-all for purposes of                January 10, 2017, Commerce published                  ‘‘items’’ paragraph w.1 or in the Note.
                                           this ECCN for engines designed or                       a final rule (82 FR 2875) that moved                  This final rule for the same reason also
                                           modified for use in ‘‘missiles’’ or UAVs                these thrusters from the USML to the                  removes the term ‘‘drones’’ from
                                           with a range equal to or greater than 300               CCL, and the Department of State                      ‘‘items’’ paragraphs u and v, including
                                           km, to specify paragraph b is not limited               published a corresponding rule (82 FR                 in the Note to paragraph u and Note to
                                           by the ’dry weight’ or the ’first-stage                 2889) removing the thrusters from the                 paragraph v (Changes to Align with
                                           rotor diameter’ of the engine. This final               ITAR. As a consequence of those rules,
                                                                                                                                                         MTCR Annex). This final rule also adds
                                           rule also revises paragraph b to add the                the public sought clarification from BIS
                                                                                                                                                         a new ‘‘items’’ paragraph w.2, to control
                                           phrase ‘‘or UAVs with a range equal to                  on what items were actually ‘‘subject to
                                                                                                                                                         for MT reasons, flight control servo
                                           or greater than 300 km’’ after the term                 the EAR.’’
                                                                                                      Consistent with the Commerce                       valves designed or modified for the
                                           ‘‘missiles.’’ The change to add the
                                                                                                   January 10, 2017 final rule, the                      systems in 9A610.w.1, and the
                                           phrase ‘‘UAVs with a range equal to or
                                                                                                   Department of State has informed                      additional criteria this final rule
                                           greater than 300 km’’ is being made for
                                                                                                   Commerce that it intends to clarify that              includes in new ‘‘items’’ paragraph w.2.
                                           consistency with the MTCR Annex
                                                                                                   the existing USML IV(d) paragraph does                This final rule makes these changes in
                                           (Changes to Align with MTCR Annex).
                                              These changes are expected to result                 not control spacecraft thrusters, and that            ECCN 9A610 in order to accommodate
                                           in a decrease of no more than 1 to 3                    such thrusters are ‘‘subject to the EAR.’’            the new ‘‘items’’ paragraph w.2, which
                                           applications received annually by BIS.                  Commerce agrees with the Department                   corresponds to MTCR Annex, Category
                                              ECCN 9A115. This final rule amends                   of State that adding a note to the USML               II, Item 10.A.3, but had not previously
                                           ECCN 9A115 by revising the heading;                     clarifying these controls will assist                 been listed on the CCL.
                                           and adding a License Requirements                       exporters in better determining the                      This final rule also adds a Note to
                                           section, License Exceptions section and                 control jurisdiction of the spacecraft                paragraphs w.1 and w.2 to specify that
                                           List of Items Controlled section                        thrusters that were moved from the                    these two ‘‘items’’ paragraphs include
                                           (Changes to Align with MTCR Annex).                     USML to the CCL in the January 10,                    systems, equipment and valves designed
                                           This final rule also revises the heading                2017 final rule.                                      or modified to enable operation of
                                           of ECCN 9A115 by removing the                              The questions raised by the public                 manned aircraft as unmanned aerial
                                           parenthetical phrase at the end of the                  and discussions between the                           vehicles. The addition of the note will
                                           heading that references items controlled                Department of Commerce and State,                     clarify that the controls include
                                           in ECCN 9A610 and others that are                       including the discussions regarding the               equipment when used for the
                                           ‘‘subject to the ITAR.’’ The parenthetical              spacecraft thruster controls, identified a            conversion of a manned aircraft to
                                           phrase was added to ECCN 9A115 in a                     need to add an MT control to the                      operate as a UAV. Some of this type of
                                           November 21, 2016 final rule (81 FR                     spacecraft thrusters to align with the                equipment is ‘‘subject to the ITAR,’’ and
                                           83124). This final rule retains this cross              MTCR Annex. Following the USML                        some of this type of equipment is
                                           reference between the USML and the                      Order of Review and CCL Order of                      ‘‘subject to the EAR.’’ Prior to
                                           CCL, but moves the substance of this                    Review, these spacecraft thrusters were,              publication of this final rule, the type of
                                           text from the heading of ECCN 9A115 to                  prior to publication of this final rule,              equipment referenced in ECCN 7A116
                                           the new Related Controls paragraph                      controlled under ‘‘items’’ paragraph x of             made it appear that all of this type of
                                           added by this rule to the License                       ECCN 9A515. Because ‘‘items’’                         equipment was ‘‘subject to the ITAR,’’
                                           Requirements section of 9A115. The                      paragraph x is not MT controlled, this                which is correct for certain equipment,
                                           other changes this final rule makes to                  final rule adds a separate ‘‘items’’                  but not for all such equipment. For
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                                           ECCN 9A115 are needed because some                      paragraph h to ECCN 9A515 to allow for                example, some of this equipment prior
                                           of the commodities described in the                     the imposition of an MT control on                    to publication of this final rule was
                                           heading of ECCN 9A115 are neither                       these spacecraft thrusters to align with              controlled in ECCN 9A610.w. The
                                           ‘‘subject to the ITAR’’ nor controlled in               the MTCR Annex (Changes to Align                      changes described above that this final
                                           ECCN 9A610.u, but would otherwise                       with MTCR Annex). Finally, as a                       rule makes to ECCNs 7A116 and 9A610,
                                           meet the control parameters in the                      conforming change consistent with the                 will make needed corrections to clarify


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                                           44220            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                           where this type of equipment is                         extended by the Notice of August 8,                   (44 U.S.C. 3501 et seq.) (PRA), unless
                                           controlled on the CCL.                                  2018, 83 FR 39871 (August 13, 2018)),                 that collection of information displays a
                                              Prior to publication of this rule, some              or the Export Administration                          currently valid Office of Management
                                           of the equipment specified in MTCR                      Regulations, and are in effect as of                  and Budget (OMB) Control Number.
                                           Annex, Category II, Item 10.A.3. was not                August 13, 2018, shall continue in effect               This regulation involves a collection
                                           controlled on the CCL. While ECCN                       according to their terms until modified,              currently approved by OMB under
                                           9A106 has an entry for the equipment                    superseded, set aside, or revoked under               control number 0694–0088, Simplified
                                           used in liquid propulsion systems for                   the authority of ECRA.                                Network Application Processing
                                           rockets, there was not a corresponding                                                                        System. This collection includes, among
                                           entry listing the equipment used in                     Executive Order Requirements
                                                                                                                                                         other things, license applications, and
                                           UAVs. To correct this gap in coverage,                     Executive Orders 13563 and 12866                   carries a burden estimate of 43.8
                                           this final rule adds the criteria in MTCR               direct agencies to assess all costs and               minutes for a manual or electronic
                                           Annex, Category II, 10.A.3. to ECCNs                    benefits of available regulatory                      submission for a total burden estimate
                                           7A116 and 9A610, as described above.                    alternatives and, if regulation is                    of 31,833 hours. BIS expects the burden
                                              These changes are not expected to                    necessary, to select regulatory                       hours associated with this collection to
                                           have any impact on the number of                        approaches that maximize net benefits                 increase slightly by ten hours for an
                                           license applications received by BIS due                (including potential economic,                        estimated cost increase of $378. This
                                           to the low volume of such items                         environmental, public health and safety               increase is not expected to exceed the
                                           exported.                                               effects, distribute impacts, and equity).             existing estimates currently associated
                                                                                                   Executive Order 13563 emphasizes the
                                           Savings Clause                                                                                                with OMB control number 0694–0088.
                                                                                                   importance of quantifying both costs
                                              Shipments of items removed from                                                                            Although this final rule makes
                                                                                                   and benefits, of reducing costs, of
                                           eligibility for a License Exception or                                                                        important changes to the EAR for items
                                                                                                   harmonizing rules, and of promoting
                                           export or reexport without a license                                                                          controlled for missile technology
                                                                                                   flexibility. This final rule has been
                                           (NLR) as a result of this regulatory                                                                          reasons, Commerce believes the overall
                                                                                                   designated a ‘‘significant regulatory
                                           action that were on dock for loading, on                                                                      increase in costs and burdens due to
                                                                                                   action’’ under Executive Order 12866.
                                           lighter, laden aboard an exporting or                                                                         this rule will be minimal.
                                                                                                   The MTCR was formed in 1987 by the
                                           reexporting carrier, or enroute aboard a                U.S. and G–7 countries (Canada, France,                 Any comments regarding the
                                           carrier to a port of export or reexport, on             Germany, Italy, Japan, and the UK) to                 collection of information associated
                                           August 30, 2018, pursuant to actual                     address the increasing proliferation of               with this rule, including suggestions for
                                           orders for export or reexport to a foreign              nuclear weapons by addressing the most                reducing the burden, may be sent to
                                           destination, may proceed to that                        destabilizing delivery system for such                Jasmeet K. Seehra, Office of
                                           destination under the previous                          weapons. The MTCR seeks to limit the                  Management and Budget (OMB), by
                                           eligibility for a License Exception or                  risk of proliferation of weapons of mass              email to Jasmeet_K._Seehra@
                                           export or reexport without a license                    destruction by controlling exports of                 omb.eop.gov, or by fax to (202) 395–
                                           (NLR) so long as they are exported or                   goods and technologies that could make                7285.
                                           reexported before October 1, 2018. Any                  a contribution to delivery systems (other             Administrative Procedure Act and
                                           such items not actually exported or                     than manned aircraft) for such weapons.               Regulatory Flexibility Act
                                           reexported before midnight, on October                  The proliferation of such weapons has                 Requirements
                                           1, 2018, require a license in accordance                been identified as a threat to domestic
                                           with this rule.                                         and international peace and security.                    The provisions of the Administrative
                                                                                                   Commerce estimates this rule will not                 Procedure Act (APA) (5 U.S.C. 553)
                                           Export Control Reform Act of 2018                                                                             requiring notice of proposed
                                                                                                   change the number of license requests
                                              On August 13, 2018, the President                    received by BIS annually.                             rulemaking, the opportunity for public
                                           signed into law the John S. McCain                         This rule does not contain policies                participation, and a delay in effective
                                           National Defense Authorization Act for                  with Federalism implications as that                  date, are inapplicable because this
                                           Fiscal Year 2019, which included the                    term is defined under E.O. 13132.                     action involves a military and foreign
                                           Export Control Reform Act of 2018                          For the purposes of E.O. 13771, this               affairs function of the United States (5
                                           (ECRA) (Title XVII, Subtitle B of Pub. L.               rule is issued with respect to a national             U.S.C. 553(a)(1)). Immediate
                                           115–232) that provides the legal basis                  security function of the United States.               implementation of these amendments
                                           for BIS’s principal authorities and                     The cost-benefit analysis indicates the               fulfills the United States’ international
                                           serves as the authority under which BIS                 rule is intended to improve national                  commitments to the MTCR. The MTCR
                                           issues this rule. As set forth in Section               security as its primary direct benefit,               contributes to international peace and
                                           1768 of ECRA, all delegations, rules,                   and the regulation qualifies for a good               security by promoting greater
                                           regulations, orders, determinations,                    cause exception under 5 U.S.C.                        responsibility in transfers of missile
                                           licenses, or other forms of                             553(b)(B). Accordingly, this rule meets               technology items that could make a
                                           administrative action that have been                    the requirements set forth in the April               contribution to delivery systems (other
                                           made, issued, conducted, or allowed to                  5, 2017, OMB guidance implementing                    than manned aircraft) for weapons of
                                           become effective under the Export                       E.O 13771, and is, therefore, exempt                  mass destruction. The MTCR consists of
                                           Administration Act of 1979 (50 U.S.C.                   from the requirements of E.O. 13771.                  35 member countries acting on a
                                           4601 et seq.) (as in effect prior to August                                                                   consensus basis. The changes discussed
                                           13, 2018 and as continued in effect                     Paperwork Reduction Act                               in this rule implement agreements
                                           pursuant to the International Emergency                 Requirements                                          reached at the October 2017 Plenary in
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                                           Economic Powers Act (50 U.S.C. 1701 et                     Notwithstanding any other provision                Dublin, Ireland, and the May 2017
                                           seq.) and Executive Order 13222 of                      of law, no person may be required to                  Technical Experts Meeting in
                                           August 17, 2001, 3 CFR, 2001 Comp., p.                  respond to or be subject to a penalty for             Stockholm, Sweden. Since the United
                                           783 (2002), as amended by Executive                     failure to comply with a collection of                States is a significant exporter of the
                                           Order 13637 of March 8, 2013, 78 FR                     information, subject to the requirements              items discussed in this rule,
                                           16129 (March 13, 2013), and as                          of the Paperwork Reduction Act of 1995                implementation of this provision is


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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                            44221

                                           necessary for the MTCR to achieve its                     Accordingly, part 774 of the Export                 License Requirements
                                           purpose.                                                Administration Regulations (15 CFR                    Reason for Control: MT, AT
                                              Although the APA requirements in                     parts 730–774) is amended as follows:
                                           section 553 are not applicable to this                                                                                                    Country chart
                                           action under the provisions of                          PART 774—[AMENDED]                                             Control(s)      (see Supp. No. 1 to
                                           paragraph (a)(1), this action also falls                                                                                                    part 738)
                                           within two other exceptions in the                      ■ 1. The authority citation for 15 CFR
                                                                                                   part 774 is revised to read as follows:               MT applies to entire    MT Column 1
                                           section. The subsection (b) requirement                                                                         entry.
                                           that agencies publish a notice of                          Authority: Pub. L. 115–232, Title XVII,            AT applies to entire    AT Column 1
                                           proposed rulemaking that includes                       Subtitle B. 50 U.S.C. 4601 et seq.; 50 U.S.C.           entry.
                                           information on the public proceedings                   1701 et seq.; 10 U.S.C. 7420; 10 U.S.C.
                                                                                                   7430(e); 22 U.S.C. 287c, 22 U.S.C. 3201 et            List Based License Exceptions (See Part 740
                                           does not apply when an agency for good                                                                        for a Description of All License Exceptions)
                                                                                                   seq.; 22 U.S.C. 6004; 42 U.S.C. 2139a; 15
                                           cause finds that the notice and public                  U.S.C. 1824a; 50 U.S.C. 4305; 22 U.S.C. 7201          LVS: N/A
                                           procedures are impracticable,                           et seq.; 22 U.S.C. 7210; E.O. 13026, 61 FR            GBS: N/A
                                           unnecessary, or contrary to the public                  58767, 3 CFR, 1996 Comp., p. 228; E.O.                CIV: N/A
                                           interest, and the agency incorporates the               13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
                                           finding (and reasons therefor) in the rule              783; Notice of August 8, 2018, 83 FR 39871            List of Items Controlled
                                           that is issued (5 U.S.C. 553(b)(B)). In                 (August 13, 2018).                                    Related Controls: See 1B115, 1B117, and
                                           addition, the section 553(d) requirement                                                                         1B119.
                                                                                                   ■ 2. In Supplement No. 1 to part 774,
                                           that publication of a rule shall be made                                                                      Related Definitions: N/A
                                                                                                   Category 1, revise Export Control                     Items:
                                           not less than 30 days before its effective              Classification Number (ECCN) 1B117 to
                                           date can be waived if an agency finds                                                                            a. Capable of mixing under vacuum in the
                                                                                                   read as follows:                                      range from zero to 13.326 kPa;
                                           there is good cause to do so.
                                              The section 553 requirements for                     Supplement No. 1 to Part 774—The                         b. Capable of controlling the temperature of
                                           notice and public procedures and for a                  Commerce Control List                                 the mixing chamber; and
                                                                                                                                                            c. Either of the following:
                                           delay in the date of effectiveness do not               *      *      *      *       *                           c.1. Two or more mixing/kneading shafts;
                                           apply to this rule, as there is good cause              1B117 Batch mixers having all of the                  or
                                           to waive such practices. Delay in                          following (see List of Items Controlled),             c.2. A single rotating and oscillating shaft
                                           implementation would be contrary to                        and ‘‘specially designed’’ ‘‘parts’’ and           with kneading teeth/pins as well as kneading
                                           the public interest because it would                       ‘‘components’’ therefor.                           teeth/pins inside the casing of the mixing
                                           disrupt the movement of these                           License Requirements
                                                                                                                                                         chamber.
                                           potentially national and international                                                                        ■ 4. In Supplement No. 1 to part 774,
                                           security threatening items globally,                    Reason for Control: MT, AT
                                                                                                                                                         Category 1, revise ECCN 1C111 to read
                                           creating disharmony between export                                                                            as follows:
                                                                                                                                    Country chart
                                           control measures implemented by                                Control(s)             (see Supp. No. 1 to     1C111 Propellants and constituent
                                           MTCR members. Export controls work                                                         part 738)             chemicals for propellants, other than
                                           best when all countries implement the                                                                            those specified in 1C011, as follows (see
                                           same export controls in a timely                        MT applies to entire         MT Column 1                 List of Items Controlled).
                                           manner. Delaying this rulemaking                          entry.
                                                                                                                                                         License Requirements
                                           would prevent the United States from                    AT applies to entire         AT Column 1
                                                                                                     entry.                                              Reason for Control: MT, NP, RS, AT
                                           fulfilling its commitment to the MTCR
                                           in a timely manner, would injure the                    List Based License Exceptions (See Part 740                                       Country chart
                                           credibility of the United States in this                for a Description of All License Exceptions)                   Control(s)      (see Supp. No. 1 to
                                           and other multilateral regimes, and                     LVS: N/A                                                                            part 738)
                                           could impair the international                          GBS: N/A
                                                                                                   CIV: N/A                                              MT applies to entire    MT Column 1
                                           community’s ability to effectively                                                                              entry.
                                           control the export of certain potentially               List of Items Controlled                              NP applies to           NP Column 1
                                           national and international security                     Related Controls: See 1B115, 1B118, and                 1C111.a.3.f only.
                                           threatening items. Therefore, this                         1B119.                                             RS applies to           RS Column 1
                                           regulation is issued in final form, and is              Related Definitions: N/A                                1C111.d.3 only.
                                           effective August 30, 2018.                              Items:                                                AT applies to entire    AT Column 1
                                              Further, no other law requires that a                   a. Capable of mixing under vacuum in the             entry.
                                           notice of proposed rulemaking and an                    range from zero to 13.326 kPa;                        List Based License Exceptions (See Part 740
                                           opportunity for public comment be                          b. Capable of controlling the temperature of       for a Description of All License Exceptions)
                                           given for this final rule. Because a                    the mixing chamber;
                                                                                                                                                         LVS: N/A
                                           notice of proposed rulemaking and an                       c. A total volumetric capacity of 110 liters
                                                                                                                                                         GBS: N/A
                                           opportunity for public comment are not                  (30 gallons) or more; and
                                                                                                                                                         CIV: N/A
                                           required to be given for this rule under                   d. At least one ‘mixing/kneading shaft’
                                                                                                   mounted off center.                                   List of Items Controlled
                                           the Administrative Procedure Act or by
                                           any other law, the analytical                              Note to paragraph d: In 1B117.d. the term          Related Controls: (1) See USML Category
                                                                                                   ‘mixing/kneading shaft’ does not refer to               V(e)(7) for controls on HTPB (hydroxyl
                                           requirements of the Regulatory
                                                                                                   deagglomerators or knife-spindles.                      terminated polybutadiene) with a hydroxyl
                                           Flexibility Act (5 U.S.C. 601 et seq.) are
                                                                                                   ■ 3. In Supplement No. 1 to part 774,                   functionality equal to or greater than 2.2
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                                           not applicable. Accordingly, no                                                                                 and less than or equal to 2.4, a hydroxyl
                                           regulatory flexibility analysis is required             Category 1, revise ECCN 1B118 to read
                                                                                                                                                           value of less than 0.77 meq/g, and a
                                           and none has been prepared.                             as follows:                                             viscosity at 30 °C of less than 47 poise
                                           List of Subjects in 15 CFR Part 774                     1B118 Continuous mixers having all of the               (CAS # 69102–90–5). (2) See USML
                                                                                                      following (see List of Items Controlled),            Category V(f)(3) for controls on ferrocene
                                             Exports, Reporting and recordkeeping                     and ‘‘specially designed’’ ‘‘parts’’ and             derivatives, including butacene. (3) See
                                           requirements.                                              ‘‘components’’ therefor.                             ECCN 1C608 for controls on oxidizers that



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                                           44222            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                              are composed of fluorine and also other                 b. Polymeric substances:                           1C118 Titanium-stabilized duplex stainless
                                              halogens, oxygen, or nitrogen, except for               b.1. Carboxy-terminated polybutadiene                 steel (Ti-DSS), having all of the
                                              chlorine trifluoride, which is controlled            (including carboxyl-terminated                           following characteristics (see List of
                                              under this ECCN 1C111.a.3.f. (4) See ECCN            polybutadiene) (CTPB);                                   Items Controlled).
                                              1C011.b for controls on boron and boron                 b.2. Hydroxy-terminated polybutadiene
                                                                                                                                                         License Requirements
                                              alloys not controlled under this ECCN                (including hydroxyl-terminated
                                              1C111.a.2.b. (5) See USML Category                   polybutadiene) (HTPB) (CAS 69102–90–5),               Reason for Control: MT, AT
                                              V(d)(10) for controls on Inhibited Red               except for hydroxyl-terminated
                                              Fuming Nitric Acid (IRFNA) (CAS 8007–                polybutadiene as specified in USML Category                                       Country chart
                                              58–7).                                               V (see 22 CFR 121.1) (also see Related                         Control(s)      (see Supp. No. 1 to
                                           Related Definitions: Particle size is the mean          Controls Note #1 for this ECCN);                                                    part 738)
                                              particle diameter on a weight or volume                 b.3. Polybutadiene acrylic acid (PBAA);            MT applies to entire    MT Column 1
                                              basis. Best industrial practices must be                b.4. Polybutadiene acrylic acid                      entry.
                                              used in sampling, and in determining                 acrylonitrile (PBAN) (CAS 25265–19–4/CAS              AT applies to entire    AT Column 1
                                              particle size, and the controls may not be           68891–50–9);                                            entry.
                                              undermined by the addition of larger or                 b.5. Polytetrahydrofuran polyethylene
                                              smaller sized material to shift the mean             glycol (TPEG).                                        List Based License Exceptions (See Part 740
                                              diameter.                                               Technical Note: Polytetrahydrofuran                for a Description of All License Exceptions)
                                           Items:                                                  polyethylene glycol (TPEG) is a block                 LVS: N/A
                                              a. Propulsive substances:                            copolymer of poly 1,4-Butanediol (CAS 110–            GBS: N/A
                                              a.1. Spherical or spheroidal aluminum                63–4) and polyethylene glycol (PEG) (CAS              CIV: N/A
                                           powder (C.A.S. 7429–90–5) in particle size of           25322–68–3).
                                                                                                                                                         List of Items Controlled
                                           less than 200 x 10¥6 m (200 mm) and an                     c. Other propellant energetic materials,
                                           aluminum content of 97% by weight or more,              additives, or agents:                                 Related Controls: N/A
                                           if at least 10% of the total weight is made up             c.1. [RESERVED]                                    Related Definitions: N/A
                                           of particles of less than 63 mm, according to              c.2. Triethylene glycol dinitrate (TEGDN);         Items:
                                           ISO 2591–1:1988 or national equivalents.                   c.3. 2 Nitrodiphenylamine (2-NDPA);                   a. Having all of the following
                                              Technical Note: A particle size of 63 mm                c.4. Trimethylolethane trinitrate (TMETN);         characteristics:
                                           (ISO R–565) corresponds to 250 mesh (Tyler)                c.5. Diethylene glycol dinitrate (DEGDN).             a.1. Containing 17.0–23.0% by weight of
                                           or 230 mesh (ASTM standard E–11).                          d. Hydrazine and derivatives as follows:           chromium and 4.5–7.0% by weight of nickel;
                                              a.2. Metal powders and alloys where at                  d.1. Hydrazine (C.A.S. #302–01–2) in                  a.2. Having a titanium content of greater
                                                                                                   concentrations of 70% or more;                        than 0.10% by weight; and
                                           least 90% of the total particles by particle
                                                                                                      d.2. Monomethyl hydrazine (MMH) (C.A.S.               a.3. A ferritic-austenitic microstructure
                                           volume or weight are made up of particles of
                                                                                                   #60–34–4);                                            (also referred to as a two-phase
                                           less than 60 m (determined by measurement
                                                                                                      d.3. Symmetrical dimethyl hydrazine                microstructure) of which at least 10% by
                                           techniques such as using a sieve, laser
                                                                                                   (SDMH) (C.A.S. #540–73–8);                            volume (according to ASTM E–1181–87 or
                                           diffraction or optical scanning), whether
                                                                                                      d.4. Unsymmetrical dimethyl hydrazine              national equivalents) is austenite; and
                                           spherical, atomized, spheroidal, flaked or
                                                                                                   (UDMH) (C.A.S. #57–14–7);                                b. Having any of the following forms:
                                           ground, as follows:
                                                                                                      d.5. Trimethylhydrazine (C.A.S. #1741–01–             b.1. Ingots or bars having a size of 100 mm
                                              a.2.a. Consisting of 97% by weight or more
                                                                                                   1);                                                   or more in each dimension;
                                           of any of the following:
                                                                                                      d.6. Tetramethylhydrazine (C.A.S. #6415–              b.2. Sheets having a width of 600 mm or
                                              a.2.a.1. Zirconium (C.A.S. #7440–67–7);                                                                    more and a thickness of 3 mm or less; or
                                              a.2.a.2. Beryllium (C.A.S. #7440–41–7); or           12–9);
                                                                                                      d.7. N,N diallylhydrazine (CAS 5164–11–               b.3. Tubes having an outer diameter of 600
                                              a.2.a.3. Magnesium (C.A.S. #7439–95–4);.                                                                   mm or more and a wall thickness of 3 mm
                                              a.2.b. Boron or boron alloys with a boron            4);
                                                                                                      d.8. Allylhydrazine (C.A.S. #7422–78–8);           or less.
                                           content of 85% or more by weight.
                                              Technical Note: The natural content of                  d.9. Ethylene dihydrazine (CAS 6068–98–            ■ 6. In Supplement No. 1 to part 774,
                                           hafnium in the zirconium (typically 2% to               0);                                                   Category 2, revise ECCN 2B109 to read
                                           7%) is counted with the zirconium.                         d.10. Monomethylhydrazine dinitrate;
                                                                                                      d.11. Unsymmetrical dimethylhydrazine
                                                                                                                                                         as follows:
                                              Note: In a multimodal particle distribution          nitrate;                                              2B109 Flow-forming machines, other than
                                           (e.g., mixtures of different grain sizes) in               d.12. 1,1-Dimethylhydrazinium azide (CAS              those controlled by 2B009, as follows
                                           which one or more modes are controlled, the             227955–52–4)/1,2-Dimethylhydrazinium                     (see List of Items Controlled).
                                           entire powder mixture is controlled.                    azide (CAS 299177–50–7);
                                                                                                                                                         License Requirements
                                              a.3. Oxidizer substances usable in liquid               d.13. Hydrazinium azide (C.A.S. #14546–
                                           propellant rocket engines, as follows:                  44–2);                                                Reason for Control: MT, NP, AT
                                              a.3.a. Dinitrogen trioxide (CAS 10544–73–               d.14. Hydrazinium dinitrate (CAS 13464–
                                           7);                                                     98–7);                                                                            Country chart
                                              a.3.b. Nitrogen dioxide (CAS 10102–44–0)/               d.15. Diimido oxalic acid dihydrazine                       Control(s)      (see Supp. No. 1 to
                                                                                                   (C.A.S. #3457–37–2);                                                                part 738)
                                           dinitrogen tetroxide (CAS
                                              10544–72–6);                                            d.16. 2-hydroxyethylhydrazine nitrate
                                                                                                                                                         MT applies to entire    MT Column 1
                                              a.3.c. Dinitrogen pentoxide (CAS 10102–              (HEHN);
                                                                                                                                                           entry.
                                           03–1);                                                     d.17. Hydrazinium diperchlorate (C.A.S.
                                                                                                                                                         NP applies to items     NP Column 1
                                              a.3.d. Mixed oxides of nitrogen (MON);               #13812–39–0);
                                                                                                                                                           controlled by this
                                              a.3.e. [RESERVED];                                      d.18. Methylhydrazine nitrate (MHN) (CAS
                                                                                                                                                           entry that meet or
                                              a.3.f. Chlorine trifluoride (ClF3).                  29674–96–2);
                                                                                                                                                           exceed the tech-
                                              Technical Note: Mixed oxides of nitrogen                d.19. 1,1-Diethylhydrazine nitrate (DEHN)/
                                                                                                                                                           nical parameters in
                                           (MON) are solutions of nitric oxide (NO) in             1,2-Diethylhydrazine nitrate (DEHN) (CAS
                                                                                                                                                           2B209.
                                           dinitrogen tetroxide/nitrogen dioxide (N2O4/            363453–17–2);
                                                                                                                                                         AT applies to entire    AT Column 1
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                                           NO2) that can be used in missile systems.                  d.20. 3,6-dihydrazino tetrazine nitrate
                                                                                                                                                           entry.
                                           There are a range of compositions that can be           (DHTN), also referred to as 1,4-dihydrazine
                                           denoted as MONi or MONij, where i and j are             nitrate.                                              List Based License Exceptions (See Part 740
                                           integers representing the percentage of nitric                                                                for a Description of All License Exceptions)
                                           oxide in the mixture (e.g., MON3 contains               ■ 5. In Supplement No. 1 to part 774,                 LVS: N/A
                                           3% nitric oxide, MON25 25% nitric oxide.                Category 1, revise ECCN 1C118 to read                 GBS: N/A
                                           An upper limit is MON40, 40% by weight).                as follows:                                           CIV: N/A



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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                              44223

                                           List of Items Controlled                                  c. Having any of the following                      License Requirements
                                           Related Controls: (1) See ECCN 2D101 for                characteristics:                                      Reason for Control: MT, AT
                                              ‘‘software’’ for items controlled under this           c.1. For any single axis having all of the
                                              entry. (2) See ECCNs 2E001                           following:                                                                          Country chart
                                              (‘‘development’’), 2E002 (‘‘production’’),             c.1.a. Capable of rates of rotation of 400                   Control(s)        (see Supp. No. 1 to
                                              and 2E101 (‘‘use’’) for technology for items         degrees/s or more, or 30 degrees/s or less,                                           part 738)
                                              controlled under this entry. (3) Also see            and
                                              ECCNs 2B009 and 2B209.                                 c.1.b. A rate resolution equal to or less than      MT applies to entire     MT Column 1
                                           Related Definitions: N/A                                6 degrees/s and an accuracy equal to or less            entry.
                                           Items:                                                  than 0.6 degrees/s; or                                AT applies to entire     AT Column 1
                                              a. Flow-forming machines, usable in the                c.2. Having a worst-case rate stability equal         entry.
                                           ‘‘production’’ of propulsion components and             to or better (less) than plus or minus 0.05%
                                                                                                                                                         List Based License Exceptions (See Part 740
                                           equipment (e.g., motor cases and interstages)           averaged over 10 degrees or more; or
                                                                                                                                                         for a Description of All License Exceptions)
                                           for ‘‘missiles’’, having all of the following:            c.3. A positioning ‘‘accuracy’’ equal to or
                                              a.1. Equipped with, or according to the              better than 5 arc-second.                             LVS: N/A
                                           manufacturer’s technical specification are                                                                    GBS: N/A
                                                                                                     Note: 2B120 does not control rotary tables          CIV: N/A
                                           capable of being equipped with, ‘‘numerical             designed or modified for machine tools or for
                                           control’’ units or a computer control, even             medical equipment. For controls on machine            List of Items Controlled
                                           when not equipped with such units at                    tool rotary tables see 2B008.
                                           delivery; and                                                                                                 Related Controls: See also 7B101.
                                              a.2. More than two axes which can be                                                                       Related Definitions: N/A
                                                                                                   ■ 8. In Supplement No. 1 to part 774,                 Items:
                                           coordinated simultaneously for ‘‘contouring             Category 2, revise ECCN 2B121 to read
                                           control.’’                                                                                                       The list of items controlled is contained in
                                              b. ‘‘Specially designed’’ ‘‘parts’’ and              as follows:                                           the ECCN heading.
                                           ‘‘components’’ for flow-forming machines                2B121 Positioning tables (equipment
                                           controlled in 2B009 for MT reasons or                      capable of precise rotary position in any
                                                                                                                                                         ■ 10. In Supplement No. 1 to part 774,
                                           2B109.a.                                                   axis), other than those controlled in              Category 6, revise ECCN 6A107 to read
                                                                                                      2B120, having all the following                    as follows:
                                             Technical Note: 1. Machines combining
                                           the function of spin-forming and flow-                     characteristics (See List of Items                 6A107 Gravity meters (gravimeters) or
                                           forming are for the purpose of 2B109                       Controlled).                                          gravity gradiometers, other than those
                                           regarded as flow-forming machines.                      License Requirements                                     controlled by 6A007, designed or
                                                                                                                                                            modified for airborne or marine use, as
                                           ■ 7. In Supplement No. 1 to part 774,                   Reason for Control: MT, AT                               follows, (see List of Items Controlled)
                                           Category 2, revise ECCN 2B120 to read                                                                            and ‘‘specially designed’’ ‘‘parts’’ and
                                           as follows:                                                                              Country chart           ‘‘components’’ therefor.
                                                                                                          Control(s)             (see supp. No. 1 to
                                           2B120 Motion simulators or rate tables                                                     part 738)          License Requirements
                                              (equipment capable of simulating
                                                                                                                                                         Reason for Control: MT, AT
                                              motion), having all of the following                 MT applies to entire         MT Column 1
                                              characteristics (see List of Items                     entry.
                                              Controlled).                                                                                                                             Country chart
                                                                                                   AT applies to entire         AT Column 1                       Control(s)        (see Supp. No. 1 to
                                           License Requirements                                      entry.                                                                              part 738)
                                           Reason for Control: MT, AT                              List Based License Exceptions (See Part 740
                                                                                                   for a Description of All License Exceptions)          MT applies to entire     MT Column 1
                                                                                                                                                           entry.
                                                                          Country chart            LVS: N/A                                              AT applies to entire     AT Column 1
                                                  Control(s)           (see Supp. No. 1 to         GBS: N/A
                                                                            part 738)                                                                      entry.
                                                                                                   CIV: N/A
                                                                                                                                                         List Based License Exceptions (See Part 740
                                           MT applies to entire       MT Column 1                  List of Items Controlled                              for a Description of All License Exceptions)
                                             entry.                                                Related Controls: (1) Equipment that has the
                                           AT applies to entire       AT Column 1                                                                        LVS: N/A
                                                                                                      characteristics specified in 2B121, which          GBS: N/A
                                             entry.                                                   also meets the characteristics of 2B120 will       CIV: N/A
                                           List Based License Exceptions (See Part 740                be treated as equipment specified in
                                           for a Description of All License Exceptions)               2B120. (2) See also 2B008, 2B120, 7B101,           List of Items Controlled
                                           LVS: N/A                                                   and 7B994.                                         Related Controls: See USML Category XII(d)
                                           GBS: N/A                                                Related Definitions: N/A                                 for certain gravity meters (gravimeters) or
                                           CIV: N/A                                                Items:                                                   gravity gradiometers subject to the ITAR.
                                                                                                      a. Two or more axes; and                              See also ECCN 7A611.
                                           List of Items Controlled                                   b. A positioning ‘‘accuracy’’ equal to or          Related Definitions: ‘Time to steady-state
                                           Related Controls: (1) Rate tables not                   better than 5 arc-second.                                registration’ (also referred to as the gravity
                                              controlled by 2B120 and providing the                                                                         meter’s response time) is the time over
                                                                                                     Note: 2B121 does not control rotary tables
                                              characteristics of a positioning table are to                                                                 which the disturbing effects of platform-
                                                                                                   designed or modified for machine tools or for
                                              be evaluated according to 2B121. (2)                                                                          induced acceleration (high frequency
                                                                                                   medical equipment. For controls on machine
                                              Equipment that has the characteristics                                                                        noise) are reduced.
                                                                                                   tool rotary tables see 2B008.
                                              specified in 2B121, which also meets the                                                                   Items:
                                              characteristics of 2B120 will be treated as                                                                   a. Gravity meters having all the following:
                                                                                                   ■ 9. In Supplement No. 1 to part 774,
                                              equipment specified in 2B120. (3) See also                                                                    a.1. A static or operational accuracy equal
                                              2B008, 2B121, 7B101 and 7B994.                       Category 2, revise ECCN 2B122 to read
                                                                                                                                                         to or less (better) than 0.7 milligal (mgal); and
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                                           Related Definitions: N/A                                as follows:
                                                                                                                                                            a.2. A ‘time to steady-state registration’ of
                                           Items:                                                  2B122 Centrifuges capable of imparting                two minutes or less.
                                              a. Two or more axes;                                    accelerations greater than 100 g and                  b. Gravity gradiometers.
                                              b. Designed or modified to incorporate                  designed or modified to incorporate
                                           sliprings or integrated non-contact devices                sliprings or integrated non-contact                ■ 11. In Supplement No. 1 to part 774,
                                           capable of transferring electrical power,                  devices capable of transferring electrical         Category 7, revise ECCN 7A105 to read
                                           signal information, or both; and                           power, signal information, or both.                as follows:


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                                           44224            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                           7A105 Receiving equipment for ‘navigation                 b. Azimuthal accuracy better (less) than 0.5        License Requirements
                                              satellite systems’ designed or modified              degrees rms at latitudes of +/¥80 degrees,            Reason for Control: NS, MT, AT
                                              for airborne applications and capable of             referenced to local magnetic field; and
                                              providing navigation information at                    c. Designed or modified to be integrated                                        Country chart
                                              speeds in excess of 600 m/s (1,165                   with flight control and navigation systems.                    Control(s)      (see Supp. No. 1 to
                                              nautical mph), and ‘‘specially designed’’              Note: Flight control and navigation systems                                       part 738)
                                              ‘‘parts’’ and ‘‘components’’ therefor.               in 7A107 include gyrostabilizers, automatic
                                                                                                   pilots and inertial navigation systems.               NS applies to entire    NS Column 1
                                           License Requirements                                                                                            entry.
                                           Reason for Control: MT, AT
                                                                                                   ■ 13. In Supplement No. 1 to part 774,                MT applies to non-      MT Column 1
                                                                                                   Category 7, revise ECCN 7A116 to read                   military Unmanned
                                                                          Country chart            as follows:                                             Aerial Vehicles
                                                  Control(s)           (see Supp. No. 1 to         7A116 Flight control systems and ‘‘parts’’              (UAVs) and Re-
                                                                            part 738)                 and ‘‘components’’, as follows (see List             motely Piloted Ve-
                                                                                                      of Items Controlled).                                hicles (RPVs) that
                                           MT applies to entire       MT Column 1                                                                          are capable of a
                                             entry.                                                License Requirements                                    maximum range of
                                           AT applies to entire       AT Column 1                  Reason for Control: MT, AT                              at least 300 kilo-
                                             entry.                                                                                                        meters (km), re-
                                           List Based License Exceptions (See Part 740                                              Country chart          gardless of pay-
                                           for a Description of All License Exceptions)                   Control(s)             (see Supp. No. 1 to       load, and UAVs
                                                                                                                                      part 738)            that meet the re-
                                           LVS: N/A                                                                                                        quirements of
                                           GBS: N/A                                                MT applies to entire         MT Column 1                9A120.
                                           CIV: N/A                                                  entry.                                              AT applies to entire    AT Column 1
                                                                                                   AT applies to entire         AT Column 1                entry.
                                           List of Items Controlled                                  entry.
                                           Related Controls: (1) See also 7A005 and                                                                      List Based License Exceptions (See Part 740
                                                                                                   List Based License Exceptions (See Part 740           for a Description of All License Exceptions)
                                              7A994. (2) See Categories XI and XV of the
                                                                                                   for a Description of All License Exceptions)
                                              U.S. Munitions List (22 CFR 121.1) for                                                                     LVS: N/A
                                              controls on similar equipment ‘‘specially            LVS: N/A                                              GBS: N/A
                                              designed’’ for defense articles.                     GBS: N/A                                              CIV: N/A
                                           Related Definitions: ‘Navigation satellite              CIV: N/A
                                              systems’ include Global Navigation                                                                         List of Items Controlled
                                                                                                   List of Items Controlled
                                              Satellite Systems (GNSS; e.g., GPS,                                                                        Related Controls: See the U.S. Munitions List
                                              GLONASS, Galileo or BeiDou) and                      Related Controls: (1) See 9A610.r. and                   Category VIII (22 CFR part 121). Also see
                                              Regional Navigation Satellite Systems                   9A610.s. for items designed or modified for           ECCN 9A610 and § 744.3 of the EAR.
                                              (RNSS; e.g., NavIC, QZSS).                              military UAVs. (2) See USML Category IV            Related Definitions: N/A
                                                                                                      for items ‘‘specially designed’’ for use in        Items:
                                           Items:
                                                                                                      rockets or missiles that are ‘‘subject to the
                                              The list of items controlled is contained in            ITAR.’’                                               a. ‘‘UAVs’’ or unmanned ‘‘airships’’,
                                           the ECCN heading.                                       Related Definitions: N/A                              designed to have controlled flight out of the
                                                                                                   Items:                                                direct ‘natural vision’ of the ‘operator’ and
                                           ■ 12. In Supplement No. 1 to part 774,                                                                        having any of the following:
                                                                                                      a. Pneumatic, hydraulic, mechanical,                  a.1. Having all of the following:
                                           Category 7, revise ECCN 7A107 to read                   electro-optical, or electromechanical flight             a.1.a. A maximum ‘endurance’ greater than
                                           as follows:                                             control systems (including fly-by-wire and            or equal to 30 minutes but less than 1 hour;
                                           7A107 Three axis magnetic heading                       fly-by-light systems) designed or modified for
                                                                                                                                                         and
                                              sensors having all of the following                  UAVs capable of delivering at least 500
                                                                                                                                                            a.1.b. Designed to take-off and have stable
                                              characteristics (see List of Items                   kilograms of payload to a range of at least 300
                                                                                                                                                         controlled flight in wind gusts equal to or
                                              Controlled), and ‘‘specially designed’’              km, other than those controlled by either
                                                                                                                                                         exceeding 46.3 km/h (25 knots); or
                                                                                                   USML paragraph VIII(a) or ECCN 9A610.a;
                                              ‘‘parts’’ and ‘‘components’’ therefor.                                                                        a.2. A maximum ‘endurance’ of 1 hour or
                                                                                                      b. Attitude control equipment designed or
                                                                                                                                                         greater;
                                           License Requirements                                    modified for UAVs capable of delivering at
                                                                                                   least 500 kilograms of payload to a range of             Technical Notes:
                                           Reason for Control: MT, AT                                                                                       1. For the purposes of 9A012.a, ‘operator’
                                                                                                   at least 300 km, other than those controlled
                                                                                                   by either USML paragraph VIII(a) or ECCN              is a person who initiates or commands the
                                                                          Country chart                                                                  ‘‘UAV’’ or unmanned ‘‘airship’’ flight.
                                                  Control(s)           (see Supp. No. 1 to         9A610.a;
                                                                                                      c. Flight control servo valves designed of            2. For the purposes of 9A012.a, ‘endurance’
                                                                            part 738)
                                                                                                   modified for the systems in 7A116.a. or               is to be calculated for ISA conditions (ISO
                                           MT applies to entire       MT Column 1                  7A116.b, and designed or modified to operate          2533:1975) at sea level in zero wind.
                                             entry.                                                in a vibration environment greater than 10 g             3. For the purposes of 9A012.a, ‘natural
                                           AT applies to entire       AT Column 1                  rms over the entire range between 20Hz and            vision’ means unaided human sight, with or
                                             entry.                                                2 kHz.                                                without corrective lenses.
                                                                                                      Note: This entry includes the systems,                b. Related equipment and
                                           List Based License Exceptions (See Part 740             equipment and valves designed or modified             ‘‘components’’, as follows:
                                           for a Description of All License Exceptions)            to enable operation of manned aircraft as                b.1 [Reserved]
                                           LVS: N/A                                                unmanned aerial vehicles.                                b.2. [Reserved]
                                           GBS: N/A                                                                                                         b.3. Equipment or ‘‘components’’
                                           CIV: N/A
                                                                                                   ■ 14. In Supplement No. 1 to part 774,
                                                                                                   Category 9, revise ECCN 9A012 to read                 ‘‘specially designed’’ to convert a
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                                           List of Items Controlled                                as follows:                                           manned ‘‘aircraft’’ or a manned
                                           Related Controls: N/A                                   9A012 Non-military ‘‘Unmanned Aerial
                                                                                                                                                         ‘‘airship’’ to a ‘‘UAV’’ or unmanned
                                           Related Definitions: N/A                                   Vehicles,’’ (‘‘UAVs’’), unmanned                   ‘‘airship’’, controlled by 9A012.a;
                                           Items:                                                     ‘‘airships’’, related equipment and                   b.4. Air breathing reciprocating or
                                              a. Internal tilt compensation in pitch (+/              ‘‘components’’, as follows (see List of            rotary internal combustion type engines,
                                           ¥90 degrees) and roll (+/¥180 degrees) axes;               Items Controlled).                                 ‘‘specially designed’’ or modified to


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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                              44225

                                           propel ‘‘UAVs’’ or unmanned                             ■ 16. In Supplement No. 1 to part 774,                                              Country chart
                                           ‘‘airships’’, at altitudes above 15,240                 Category 9, revise ECCN 9A115 to read                          Control(s)        (see Supp. No.1 to
                                           meters (50,000 feet).                                   as follows:                                                                           part 738)

                                           ■ 15. In Supplement No. 1 to part 774,                  9A115 Apparatus, devices and vehicles,                MT applies to micro-      MT Column 1
                                           Category 9, revise ECCN 9A101 to read                      designed or modified for the transport,              circuits in 9A515.d
                                           as follows:                                                handling, control, activation and                    and 9A515.e.2
                                                                                                      launching of rockets, missiles, and                  when ‘‘usable in’’
                                           9A101 Turbojet and turbofan engines,                                                                            ‘‘missiles’’ for pro-
                                              other than those controlled by 9A001, as                unmanned aerial vehicles capable of
                                                                                                                                                           tecting ‘‘missiles’’
                                              follows (see List of Items Controlled).                 achieving a ‘‘range’’ equal to or greater
                                                                                                                                                           against nuclear ef-
                                                                                                      than 300 km.                                         fects (e.g., Electro-
                                           License Requirements
                                                                                                   License Requirements                                    magnetic Pulse
                                           Reason for Control: MT, AT                                                                                      (EMP), X-rays,
                                                                                                   Reason for Control: MT, AT                              combined blast and
                                                                          Country chart                                                                    thermal effects).
                                                  Control(s)           (see Supp. No. 1 to                                          Country chart          MT also applies to
                                                                            part 738)                     Control(s)             (see Supp. No. 1 to       9A515.h when the
                                                                                                                                      part 738)
                                           MT applies to entire       MT Column 1                                                                          total impulse ca-
                                             entry.                                                                                                        pacity is equal to or
                                                                                                   MT applies to entire         MT Column 1
                                           AT applies to entire       AT Column 1                                                                          greater than
                                                                                                     entry.
                                             entry.                                                                                                        8.41x10∧5 newton
                                                                                                   AT applies to entire         AT Column 1                seconds.
                                           List Based License Exceptions (See Part 740               entry.                                              AT applies to entire      AT Column 1
                                           for a Description of All License Exceptions)            List Based License Exceptions (See Part 740             entry.
                                           LVS: N/A                                                for a Description of All License Exceptions)             License Requirement Note: The Commerce
                                           GBS: N/A                                                LVS: N/A                                              Country Chart is not used for determining
                                           CIV: N/A                                                                                                      license requirements for commodities
                                                                                                   GBS: N/A
                                           List of Items Controlled                                CIV: N/A                                              classified in ECCN 9A515.a.1, .a.2, .a.3, .a.4,
                                                                                                                                                         and .g. See § 742.6(a)(8), which specifies that
                                           Related Controls: 9A101.b controls only                 List of Items Controlled                              such commodities are subject to a worldwide
                                              engines for non-military unmanned aerial                                                                   license requirement.
                                              vehicles [UAVs] or remotely piloted                  Related Controls: See the U.S. Munitions List
                                              vehicles [RPVs], and does not control other             (22 CFR part 121). Also see ECCN 9A610.u.          List Based License Exceptions (See Part 740
                                              engines designed or modified for use in              Related Definitions: N/A                              for a Description of All License Exceptions)
                                              ‘‘missiles’’, which are ‘‘subject to the             Items:                                                LVS: $1500
                                              ITAR’’ (see 22 CFR parts 120 through 130).              The list of items controlled is contained in       GBS: N/A
                                           Related Definitions: N/A                                the ECCN heading.                                     CIV: N/A
                                           Items:
                                              a. Engines having all of the following               ■ 17. In Supplement No. 1 to part 774,                Special Conditions for STA
                                           characteristics:                                        Category, revise ECCN 9A515 to read as                STA: (1) Paragraph (c)(1) of License
                                              a.1. ‘Maximum thrust value’ greater than             follows:                                                Exception STA (§ 740.20(c)(1) of the EAR)
                                           400 N (achieved un-installed) excluding civil                                                                   may not be used for ‘‘spacecraft’’ in ECCN
                                                                                                   9A515 ‘‘Spacecraft’’ and related                        9A515.a.1, .a.2, .a.3, or .a.4, or items in
                                           certified engines with a maximum thrust
                                           value greater than 8,890 N (achieved un-                   commodities, as follows (see List of                 9A515.g, unless determined by BIS to be
                                           installed);                                                Items Controlled).                                   eligible for License Exception STA in
                                              a.2. Specific fuel consumption of 0.15 kg                                                                    accordance with § 740.20(g) (License
                                                                                                   License Requirements
                                           N¥1 h¥1 or less (at maximum continuous                                                                          Exception STA eligibility requests for
                                           power at sea level static conditions using the          Reason for Control: NS, RS, MT, AT                      certain 9x515 and ‘‘600 series’’ items). (2)
                                           ICAO standard atmosphere);                                                                                      License Exception STA may not be used if
                                              a.3. ‘Dry weight’ less than 750 kg; and                                               Country chart          the ‘‘spacecraft’’ controlled in ECCN
                                              a.4. ‘First –stage rotor diameter’ less than                Control(s)             (see Supp. No.1 to        9A515.a.1, .a.2, .a.3, or .a.4 contains a
                                           1 m; or                                                                                    part 738)            separable or removable propulsion system
                                              Technical Notes:                                                                                             enumerated in USML Category IV(d)(2) or
                                                                                                   NS applies to entire         NS Column 1                USML Category XV(e)(12) and designated
                                              1. ‘Maximum thrust value’ in 9A101.a.1 is
                                                                                                    entry, except .e                                       MT. (3) Paragraph (c)(2) of License
                                           the manufacturer’s demonstrated maximum
                                                                                                    and .y.                                                Exception STA (§ 740.20(c)(2) of the EAR)
                                           thrust for the engine type un-installed at sea
                                                                                                   RS applies to entire         RS Column 1                may not be used for any item in 9A515.
                                           level static conditions using the ICAO
                                                                                                    entry, except .e
                                           standard atmosphere. The civil type certified                                                                 List of Items Controlled
                                                                                                    and .y.
                                           thrust value will be equal to or less than the                                                                Related Controls: Spacecraft, launch vehicles
                                           manufacturer’s demonstrated maximum                     RS applies to                RS Column 2
                                                                                                    9A515.e.                                               and related articles that are enumerated in
                                           thrust for the engine type.                                                                                     the USML, and technical data (including
                                              2. ‘Dry weight’ is the weight of the engine                                                                  ‘‘software’’) directly related thereto, and all
                                           without fluids (fuel, hydraulic fluid, oil, etc.)                                                               services (including training) directly
                                           and does not include the nacelle (housing).                                                                     related to the integration of any satellite or
                                              3. ‘First-stage rotor diameter’ is the                                                                       spacecraft to a launch vehicle, including
                                           diameter of the first rotating stage of the                                                                     both planning and onsite support, or
                                           engine, whether a fan or compressor,                                                                            furnishing any assistance (including
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                                           measured at the leading edge of the blade                                                                       training) in the launch failure analysis or
                                           tips.                                                                                                           investigation for items in ECCN 9A515.a,
                                              b. Engines designed or modified for use in                                                                   are ‘‘subject to the ITAR.’’ All other
                                           ‘‘missiles’’ or UAVs with a range equal to or                                                                   ‘‘spacecraft,’’ as enumerated below and
                                           greater than 300 km, regardless of thrust,                                                                      defined in § 772.1, are subject to the
                                           specific fuel consumption, ‘dry weight’ or                                                                      controls of this ECCN. See also ECCNs
                                           ‘first-stage rotor diameter’.                                                                                   3A001, 3A002, 3A991, 3A992, 6A002,



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                                           44226            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                              6A004, 6A008, and 6A998 for specific                 ‘‘spacecraft’’ controlled in paragraphs                  g.3. Primary, secondary, or hosted payloads
                                              ‘‘space-qualified’’ items, 7A004 and 7A104           9A004.u or 9A515.a.                                   that perform a function of ECCN 9A515.a.1,
                                              for star trackers, and 9A004 for the                    c. [Reserved]                                      9A515.a.2, 9A515.a.3, or 9A515.a.4
                                              International Space Station (ISS), the James            d. Microelectronic circuits (e.g., integrated      ‘‘spacecraft.’’
                                              Webb Space Telescope (JWST), and                     circuits, microcircuits, or MOSFETs) and                 h. Spacecraft thrusters using bi-propellants
                                              ‘‘specially designed’’ ‘‘parts’’ and                 discrete electronic components rated,                 or mono-propellants that provide thrust
                                              ‘‘components’’ therefor. See USML                    certified, or otherwise specified or described
                                                                                                                                                         equal to or less than 150 lbf (i.e., 667.23 N)
                                              Category XI(c) for controls on ‘‘Monolithic          as meeting or exceeding all the following
                                                                                                   characteristics and that are ‘‘specially              vacuum thrust.
                                              Microwave Integrated Circuit’’ (‘‘MMIC’’)
                                                                                                   designed’’ for defense articles, ‘‘600 series’’          i. through w. [RESERVED]
                                              amplifiers that are ‘‘specially designed’’ for
                                                                                                   items, or items controlled by ECCNs 9A004.v              x. ‘‘Parts,’’ ‘‘components,’’ ‘‘accessories’’
                                              defense articles. See ECCN 9A610.g for
                                              pressure suits used for high altitude                or 9A515:                                             and ‘‘attachments’’ that are ‘‘specially
                                              aircraft.                                               d.1. A total dose of 5 × 105 Rads (Si) (5 ×        designed’’ for defense articles controlled by
                                           Related Definitions: ‘Microcircuit’ means a             103 Gy (Si));                                         USML Category XV or items controlled by
                                              device in which a number of passive or                  d.2. A dose rate upset threshold of 5 × 108        9A515, and that are NOT:
                                              active elements are considered as                    Rads (Si)/sec (5 × 106 Gy (Si)/sec);                     x.1. Enumerated or controlled in the USML
                                              indivisibly associated on or within a                   d.3. A neutron dose of 1 × 1014 n/cm2 (1           or elsewhere within ECCNs 9A515 or 9A004;
                                              continuous structure to perform the                  MeV equivalent);                                         x.2. Microelectronic circuits and discrete
                                              function of a circuit.                                  d.4. An uncorrected single event upset             electronic components;
                                           Items:                                                  sensitivity of 1 × 10¥10 errors/bit/day or less,         x.3. Described in ECCNs 7A004 or 7A104;
                                              ‘‘Spacecraft’’ and other items described in          for the CRÈME–MC geosynchronous orbit,                  x.4. Described in an ECCN containing
                                           ECCN 9A515 remain subject to the EAR even               Solar Minimum Environment for heavy ion               ‘‘space-qualified’’ as a control criterion (i.e.,
                                           if exported, reexported, or transferred (in-            flux; and
                                                                                                                                                         3A001.b.1, 3A001.e.4, 3A002.g.1, 3A991.o,
                                           country) with defense articles ‘‘subject to the            d.5. An uncorrected single event upset
                                                                                                   sensitivity of 1 × 10¥3 errors/part or less for       3A992.b.3, 6A002.a.1, 6A002.b.2, 6A002.d.1,
                                           ITAR’’ integrated into and included therein                                                                   6A004.c and .d, 6A008.j.1, 6A998.b, or
                                           as integral parts of the item. In all other             a fluence of 1 × 107 protons/cm2 for proton
                                                                                                   energy greater than 50 MeV.                           7A003.d.2);
                                           cases, such defense articles are subject to the                                                                  x.5. Microwave solid state amplifiers and
                                           ITAR. For example, a 9A515.a ‘‘spacecraft’’                e. Microelectronic circuits (e.g., integrated
                                                                                                   circuits, microcircuits, or MOSFETs) and              microwave assemblies (refer to ECCN
                                           remains ‘‘subject to the EAR’’ even when it
                                                                                                   discrete electronic components that are rated,        3A001.b.4 for controls on these items);
                                           is exported, reexported, or transferred (in-
                                                                                                   certified, or otherwise specified or described           x.6. Travelling wave tube amplifiers (refer
                                           country) with a ‘‘hosted payload’’ described
                                           in USML Category XV(e)(17) incorporated                 as meeting or exceeding the characteristics in        to ECCN 3A001.b.8 for controls on these
                                           therein. In all other cases, a ‘‘hosted payload’’       either paragraph e.1 or e.2, AND ‘‘specially          items); or
                                           performing a function described in USML                 designed’’ for defense articles controlled by            x.7. Elsewhere specified in ECCN 9A515.y.
                                           Category XV(a) always remains a USML item.              USML Category XV or items controlled by
                                                                                                                                                            Note to 9A515.x: ‘‘Parts,’’ ‘‘components,’’
                                           The removal of the defense article subject to           ECCNs 9A004.u or 9A515:
                                                                                                                                                         ‘‘accessories,’’ and ‘‘attachments’’ specified
                                           the ITAR from the spacecraft is a retransfer               e.1. A total dose ≥1 × 105 Rads (Si) (1 × 103
                                                                                                   Gy(Si)) and <5 × 105 Rads (Si) (5 × 103               in USML subcategory XV(e) or enumerated in
                                           under the ITAR and would require an ITAR                                                                      other USML categories are subject to the
                                           authorization, regardless of the CCL                    Gy(Si)); and a single event effect (SEE) (i.e.,
                                                                                                   single event latchup (SEL), single event              controls of that paragraph or category.
                                           authorization the spacecraft is exported
                                           under. Additionally, transfer of technical              burnout (SEB), or single event gate rupture              y. Items that would otherwise be within
                                           data regarding the defense article subject to           (SEGR)) immunity to a linear energy transfer          the scope of ECCN 9A515.x but that have
                                           the ITAR integrated into the spacecraft would           (LET) ≥80 MeV¥cm2/mg; or                              been identified in an interagency-cleared
                                           require an ITAR authorization.                             e.2. A total dose ≥ 5 × 105 Rads (Si) (5 ×         commodity classification (CCATS) pursuant
                                              a. ‘‘Spacecraft,’’ including satellites, and         103 Gy (Si)) and not described in 9A515.d.            to § 748.3(e) as warranting control in
                                           space vehicles, whether designated                         Note 1 to 9A515.d and .e: Application              9A515.y.
                                           developmental, experimental, research or                specific integrated circuits (ASICs),                    y.1. Discrete electronic components not
                                           scientific, not enumerated in USML Category             integrated circuits developed and produced            specified in 9A515.e;
                                           XV or described in ECCN 9A004.u or .w, that:            for a specific application or function,                  y.2. Space grade or for spacecraft
                                              a.1. Have electro-optical remote sensing             specifically designed or modified for defense         applications thermistors;
                                           capabilities and having a clear aperture                articles and not in normal commercial use                y.3. Space grade or for spacecraft
                                           greater than 0.35 meters, but less than or              are controlled by Category XI(c) of the USML
                                                                                                                                                         applications RF microwave bandpass ceramic
                                           equal to 0.50 meters;                                   regardless of characteristics.
                                                                                                                                                         filters (Dielectric Resonator Bandpass
                                              a.2. Have remote sensing capabilities                   Note 2 to 9A515.d and .e: See 3A001.a for          Filters);
                                           beyond NIR (i.e., SWIR, MWIR, or LWIR);                 controls on radiation-hardened                           y.4. Space grade or for spacecraft
                                              a.3. Have radar remote sensing capabilities          microelectronic circuits ‘‘subject to the EAR’’       applications hall effect sensors;
                                           (e.g., AESA, SAR, or ISAR) having a center              that are not controlled by 9A515.d or                    y.5. Space grade or for spacecraft
                                           frequency equal to or greater than 1.0 GHz,             9A515.e
                                           but less than 10.0 GHz and having a                                                                           applications subminiature (SMA and SMP)
                                                                                                      f. Pressure suits (i.e., space suits) capable      plugs and connectors, TNC plugs and cable
                                           bandwidth equal to or greater than 100 MHz,
                                                                                                   of operating at altitudes 55,000 feet above sea       and connector assemblies with SMA plugs
                                           but less than 300 MHz;
                                                                                                   level.                                                and connectors; and
                                              a.4. Provide space-based logistics,
                                                                                                      g. Remote sensing components ‘‘specially              y.6. Space grade or for spacecraft
                                           assembly, or servicing of another
                                                                                                   designed’’ for ‘‘spacecraft’’ described in            applications flight cable assemblies.
                                           ‘‘spacecraft’’; or
                                                                                                   ECCNs 9A515.a.1 through 9A515.a.4 as
                                              a.5. Are not described in ECCN 9A515.a.1,
                                                                                                   follows:                                              ■ 18. In Supplement No. 1 to part 774,
                                           .a.2, .a.3 or .a.4.
                                                                                                      g.1. Space-qualified optics (i.e., lens,           Category 9, revise ECCN 9A610 to read
                                              Note: ECCN 9A515.a includes commercial               mirror, membrane having active properties
                                           communications satellites, remote sensing                                                                     as follows:
                                                                                                   (e.g., adaptive, deformable)) with the largest
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                                           satellites, planetary rovers, planetary and             lateral clear aperture dimension equal to or          9A610 Military aircraft and related
                                           interplanetary probes, and in-space habitats,           less than 0.35 meters; or with the largest clear         commodities, other than those
                                           not identified in ECCN 9A004 or USML                    aperture dimension greater than 0.35 meters              enumerated in 9A991.a (see List of Items
                                           Category XV(a).                                         but less than or equal to 0.50 meters;                   Controlled).
                                              b. Ground control systems and training                  g.2. Optical bench assemblies ‘‘specially
                                           simulators ‘‘specially designed’’ for                   designed’’ for ECCN 9A515.a.1, 9A515.a.2,             License Requirements
                                           telemetry, tracking, and control of the                 9A515.a.3, or 9A515.a.4 ‘‘spacecraft;’’ or            Reason for Control: NS, RS, MT, AT, UN



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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                              44227

                                                                           Country chart           USML paragraph VIII(a). The term includes:            UAVs controlled by either USML paragraph
                                                  Control(s)             (see Supp. No. 1          Trainer aircraft; cargo aircraft; utility fixed       VIII(a) or ECCN 9A610.a, and capable of a
                                                                            to part 738)           wing aircraft; military helicopters;                  range equal to or greater than 300 km.
                                                                                                   observation aircraft; military non-expansive             Note to paragraph .u: Apparatus and
                                           NS applies to entire       NS Column 1                  balloons and other lighter than air aircraft;         devices ‘‘specially designed’’ for the
                                             entry except:                                         and unarmed military aircraft, regardless of          handling, control, activation and non-ship-
                                             9A610.b; parts and                                    origin or designation. Aircraft with                  based launching of UAVs controlled by either
                                             components con-                                       modifications made to incorporate safety of           USML paragraph VIII(a) or ECCN 9A610.a
                                             trolled in 9A610.x if                                 flight features or other FAA or NTSB                  with a maximum range less than 300 km are
                                             being exported or                                     modifications such as transponders and air            controlled in paragraph .x of this entry.
                                             reexported for use                                    data recorders are ‘‘unmodified’’ for the
                                                                                                   purposes of this paragraph .a.                           v. Radar altimeters designed or modified
                                             in an aircraft con-
                                                                                                                                                         for use in UAVs controlled by either USML
                                             trolled in 9A610.b;                                      Note 2: 9A610.a does not control ‘military         paragraph VIII(a) or ECCN 9A610.a., and
                                             and 9A610.y.                                          aircraft’ that:                                       capable of delivering at least 500 kilograms
                                           RS applies to entire       RS Column 1                     a. Were first manufactured before 1946;            payload to a range of at least 300 km.
                                             entry except:                                            b. Do not incorporate defense articles
                                             9A610.b; parts and                                                                                             Note to paragraph .v: Radar altimeters
                                                                                                   enumerated or otherwise described on the              designed or modified for use in UAVs
                                             components con-                                       U.S. Munitions List, unless the items are
                                             trolled in 9A610.x if                                                                                       controlled by either USML paragraph VIII(a)
                                                                                                   required to meet safety or airworthiness              or ECCN 9A610.a. that are not capable of
                                             being exported or                                     standards of a Wassenaar Arrangement
                                             reexported for use                                                                                          delivering at least 500 kilograms payload to
                                                                                                   Participating State; and                              a range of at least 300 km are controlled in
                                             in an aircraft con-                                      c. Do not incorporate weapons enumerated
                                             trolled in 9A610.b;                                                                                         paragraph .x of this entry.
                                                                                                   or otherwise described on the U.S. Munitions
                                             and 9A610.y.                                          List, unless inoperable and incapable of                 w.1. Pneumatic hydraulic, mechanical,
                                           MT applies to              MT Column 1                  being returned to operation.                          electro-optical, or electromechanical flight
                                             9A610.t, .u, .v, and                                                                                        control systems (including fly-by-wire and
                                                                                                      b. L–100 aircraft manufactured prior to
                                             .w.                                                                                                         fly-by-light systems) and attitude control
                                                                                                   2013.
                                           AT applies to entire       AT Column 1                                                                        equipment designed or modified for UAVs
                                                                                                      c.–d. [Reserved]
                                             entry.                                                                                                      controlled by either USML paragraph VIII(a)
                                                                                                      e. Mobile aircraft arresting and engagement
                                           UN applies to entire       See § 746.1(b) for UN                                                              or ECCN 9A610.a., and capable of delivering
                                                                                                   runway systems for aircraft controlled by
                                             entry except               controls                   either USML Category VIII(a) or ECCN                  at least 500 kilograms payload to a range of
                                             9A610.y.                                              9A610.a.                                              at least 300 km.
                                           List Based License Exceptions (See Part 740                f. Pressure refueling equipment and                   Note to paragraph .w.1: Pneumatic,
                                           for a Description of All License Exceptions)            equipment that facilitates operations in              hydraulic, mechanical, electro-optical, or
                                                                                                   confined areas, ‘‘specially designed’’ for            electromechanical flight control systems
                                           LVS: $1500                                                                                                    (including fly-by-wire and fly-by-light
                                           GBS: N/A                                                aircraft controlled by either USML paragraph
                                                                                                   VIII(a) or ECCN 9A610.a.                              systems) and attitude control equipment
                                           CIV: N/A                                                                                                      designed or modified for UAVs controlled by
                                                                                                      g. Aircrew life support equipment, aircrew
                                           Special Conditions for STA                              safety equipment and other devices for                either USML paragraph VIII(a) or ECCN
                                                                                                   emergency escape from aircraft controlled by          9A610.a., not capable of delivering at least
                                           STA: (1) Paragraph (c)(1) of License
                                                                                                   either USML paragraph VIII(a) or ECCN                 500 kilograms payload to a range of at least
                                             Exception STA (§ 740.20(c)(1) of the EAR)
                                                                                                   9A610.a.                                              300 km are controlled in paragraph .x of this
                                             may not be used for any item in 9A610.a
                                                                                                      h. Parachutes, paragliders, complete               entry.
                                             (i.e., ‘‘end item’’ military aircraft), unless
                                             determined by BIS to be eligible for                  parachute canopies, harnesses, platforms,                w.2. Flight control servo valves designed or
                                             License Exception STA in accordance with              electronic release mechanisms, ‘‘specially            modified for the systems in 9A610.w.1. and
                                             § 740.20(g) (License Exception STA                    designed’’ for use with aircraft controlled by        designed or modified to operate in a
                                             eligibility requests for ‘‘600 series’’ end           either USML paragraph VIII(a) or ECCN                 vibration environment greater than 10g rms
                                             items). (2) Paragraph (c)(2) of License               9A610.a, and ‘‘equipment’’ ‘‘specially                over the entire range between 20Hz and 2
                                             Exception STA (§ 740.20(c)(2) of the EAR)             designed’’ for military high altitude                 kHz.
                                             may not be used for any item in 9A610.                parachutists, such as suits, special helmets,            Note to paragraph .w: Paragraphs
                                                                                                   breathing systems, and navigation                     9A610.w.1. and 9A610.w.2. include the
                                           List of Items Controlled                                equipment.                                            systems, equipment and valves designed or
                                           Related Controls: (1) Military aircraft and                i. Controlled opening equipment or                 modified to enable operation of manned
                                              related articles that are enumerated in              automatic piloting systems, designed for              aircraft as unmanned aerial vehicles.
                                              USML Category VIII, and technical data               parachuted loads.
                                                                                                                                                            x. ‘‘Parts,’’ ‘‘components,’’ ‘‘accessories,’’
                                              (including software) directly related                   j. Ground effect machines (GEMS),
                                                                                                                                                         and ‘‘attachments’’ that are ‘‘specially
                                              thereto, are subject to the ITAR. (2) See            including surface effect machines and air
                                                                                                                                                         designed’’ for a commodity enumerated or
                                              ECCN 0A919 for controls on foreign-made              cushion vehicles, ‘‘specially designed’’ for
                                                                                                                                                         otherwise described in ECCN 9A610 (except
                                              ‘‘military commodities’’ that incorporate            use by a military.
                                                                                                                                                         for 9A610.y) or a defense article enumerated
                                              more than a de minimis amount of U.S.-                  k. through s. [Reserved]
                                                                                                                                                         or otherwise described in USML Category
                                              origin ‘‘600 series’’ controlled content. (3)           t. Composite structures, laminates, and
                                                                                                                                                         VIII and not elsewhere specified on the
                                              See USML Category XIX and ECCN 9A619                 manufactures thereof ‘‘specially designed’’
                                                                                                                                                         USML or in 9A610.y, 9A619.y, or 3A611.y.
                                              for controls on military aircraft gas turbine        for unmanned aerial vehicles controlled
                                                                                                                                                            y. Specific ‘‘parts,’’ ‘‘components,’’
                                              engines and related items.                           under USML Category VIII(a) with a range
                                                                                                                                                         ‘‘accessories,’’ and ‘‘attachments’’ ‘‘specially
                                           Related Definitions: In paragraph .y of this            equal to or greater than 300 km.
                                                                                                                                                         designed’’ for a commodity subject to control
                                              entry, the term ‘fluid’ includes liquids and            Note to paragraph .t: Composite structures,        in this entry, ECCN 9A619, or for a defense
                                              gases.                                               laminates, and manufactures thereof                   article in USML Categories VIII or XIX and
                                           Items:                                                  ‘‘specially designed’’ for unmanned aerial            not elsewhere specified in the USML or the
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                                              a. ‘Military Aircraft’ ‘‘specially designed’’        vehicles controlled under USML Category               CCL, and other aircraft commodities
                                           for a military use that are not enumerated in           VIII(a) with a maximum range less than 300            ‘‘specially designed’’ for a military use, as
                                           USML paragraph VIII(a).                                 km are controlled in paragraph .x of this             follows, and ‘‘parts,’’ ‘‘components,’’
                                              Note 1: For purposes of paragraph .a the             entry.                                                ‘‘accessories,’’ and ‘‘attachments’’ ‘‘specially
                                           term ‘military aircraft’ means the LM–100J                 u. Apparatus and devices ‘‘specially               designed’’ therefor:
                                           aircraft and any aircraft ‘‘specially designed’’        designed’’ for the handling, control,                    y.1. Aircraft tires;
                                           for a military use that are not enumerated in           activation and non-ship-based launching of               y.2. Analog gauges and indicators;



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                                           44228            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                              y.3. Audio selector panels;                          DEPARTMENT OF STATE                                      The temporary revision clarified that
                                              y.4. Check valves for hydraulic and                                                                        the scope of control in existence prior
                                           pneumatic systems;                                      22 CFR Part 121                                       to December 30, 2014 for USML
                                              y.5. Crew rest equipment;                                                                                  paragraph (b) and directly related
                                              y.6. Ejection seat mounted survival aids;            [Public Notice: 10486]
                                                                                                                                                         software in paragraph (d) remains in
                                              y.7. Energy dissipating pads for cargo (for                                                                effect. This clarification is achieved by
                                                                                                   RIN 1400–AE70
                                           pads made from paper or cardboard);                                                                           reinserting the words ‘‘analyze and
                                              y.8. Fluid filters and filter assemblies;            Continued Temporary Modification of                   produce information from’’ and by
                                              y.9. Galleys;                                        Category XI of the United States                      adding software to the description of
                                              y.10. Fluid hoses, straight and unbent lines         Munitions List                                        items controlled.
                                           (for a commodity subject to control in this                                                                      The Department, with its interagency
                                           entry or defense article in USML Category               AGENCY: Department of State.                          partners, continues to develop a long
                                           VIII), and fittings, couplings, clamps (for a           ACTION:Final rule; notice of temporary                term solution for USML Category XI(b).
                                           commodity subject to control in this entry or           modification.                                         However, that solution will not be in
                                           defense article in USML Category VIII) and                                                                    place when the current temporary
                                           brackets therefor;                                      SUMMARY:   The Department of State,                   modification expires on August 30,
                                              y.11. Lavatories;                                    pursuant to its regulations and in the                2018. Therefore, the Department has
                                              y.12. Life rafts;                                    interest of the security of the United                determined, for the national security
                                              y.13. Magnetic compass, magnetic azimuth             States, temporarily modifies paragraph                and foreign policy of the United States
                                           detector;                                               (b) in Category XI of the United States               and in the best interest of the U.S.
                                              y.14. Medical litter provisions;                     Munitions List (USML).                                defense industry, to publish a final rule
                                              y.15. Cockpit or cabin mirrors;                      DATES: Amendatory instructions 1 and 2                that extends the temporary modification
                                              y.16. Passenger seats including palletized           are effective August 30, 2018.
                                           seats;
                                                                                                                                                         of USML XI(b) for one year, to August
                                                                                                   Amendatory instruction No. 3 is                       30, 2019, to allow it to be revised as part
                                              y.17. Potable water storage systems;                 effective August 30, 2019.
                                              y.18. Public address (PA) systems;
                                                                                                                                                         of the wholesale revision of USML
                                              y.19. Steel brake wear pads (does not                FOR FURTHER INFORMATION CONTACT: Mr.                  Category XI. On February 12, 2018, the
                                           include sintered mix or carbon/carbon                   Robert Monjay, Office of Defense Trade                Department published a Notice of
                                           materials);                                             Controls Policy, Department of State,                 Inquiry (83 FR 5970) requesting public
                                              y.20. Underwater locator beacons;                    telephone (202) 663–2817; email                       comment on USML Categories V, X and
                                              y.21. Urine collection bags/pads/cups/               monjayr@state.gov. ATTN: Temporary                    XI. The Department and the interagency
                                           pumps;                                                  Modification of Category XI.                          are reviewing the public comments
                                              y.22. Windshield washer and wiper                    SUPPLEMENTARY INFORMATION: On July 1,                 submitted in response, and the
                                           systems;                                                2014, the Department published a final                Department is drafting a proposed rule
                                              y.23. Filtered and unfiltered panel knobs,           rule revising Category XI of the USML,                setting out revised versions of the three
                                           indicators, switches, buttons, and dials;               79 FR 37536, effective December 30,                   categories for public comment.
                                              y.24. Lead-acid and Nickel-Cadmium                   2014. That final rule, consistent with                Extending the temporary revisions of
                                           batteries;                                              the two prior proposed rules for USML                 USML Category XI(b) now will allow
                                              y.25. Propellers, propeller systems, and             Category XI (78 FR 45018, July 25, 2013               the U.S. government to finalize its
                                           propeller blades used with reciprocating                and 77 FR 70958, November 28, 2012),                  review of USML Category XI, with
                                           engines;                                                revised paragraph (b) of Category XI to               rulemaking to follow, to include any
                                              y.26. Fire extinguishers;                            clarify the extent of control and                     further modifications to USML Category
                                              y.27. Flame and smoke/CO2 detectors;                 maintain the existing scope of control                XI paragraph (b) as may be warranted.
                                              y.28. Map cases;                                     on items described in paragraph (b) and
                                              y.29. ‘Military Aircraft’ that were first                                                                  Regulatory Findings
                                                                                                   the directly related software described
                                           manufactured from 1946 to 1955 that do not              in paragraph (d).                                     Administrative Procedure Act
                                           incorporate defense articles enumerated or
                                                                                                      The Department later determined that                 This rulemaking is exempt from
                                           otherwise described on the U.S. Munitions
                                                                                                   exporters may read the revised control                section 553 (Rulemaking) and
                                           List, unless the items are required to meet
                                                                                                   language to exclude certain intelligence-             section 554 (Adjudications) of the
                                           safety or airworthiness standards of a
                                                                                                   analytics software that has been and                  Administrative Procedure Act (APA)
                                           Wassenaar Arrangement Participating State;
                                           and do not incorporate weapons enumerated
                                                                                                   remains controlled on the USML.                       pursuant to 5 U.S.C. 553(a)(1) as a
                                           or otherwise described on the U.S. Munitions
                                                                                                   Therefore, the Department determined                  military or foreign affairs function of the
                                           List, unless inoperable and incapable of                that it was in the interest of the security           United States Government.
                                           being returned to operation;                            of the United States to temporarily
                                                                                                   revise USML Category XI paragraph (b),                Regulatory Flexibility Act
                                              y.30. ‘‘Parts,’’ ‘‘components,’’
                                           ‘‘accessories,’’ and ‘‘attachments,’’ other than        pursuant to the provisions of § 126.2,                  Since the Department is of the
                                           electronic items or navigation equipment, for           while a long-term solution was                        opinion that this rule is exempt from the
                                           use in or with a commodity controlled by                developed. The Department published a                 provisions of 5 U.S.C. 553, there is no
                                           ECCN 9A610.h;                                           final rule on July 2, 2015 (80 FR 37974)              requirement for an analysis under the
                                              y.31. Identification plates and nameplates;          that temporarily modified USML                        Regulatory Flexibility Act.
                                           and                                                     Category XI(b) until December 29, 2015.
                                                                                                   The Department published a final rule                 Unfunded Mandates Reform Act of 1995
                                              y.32. Fluid manifolds.
                                                                                                   on December 16, 2015 (80 FR 78130)                      This rulemaking does not involve a
amozie on DSK3GDR082PROD with RULES




                                             Dated: August 24, 2018.
                                                                                                   that continued the July 2, 2015                       mandate that will result in the
                                           Richard E. Ashooh,                                      modification to August 30, 2017. The                  expenditure by State, local, and tribal
                                           Assistant Secretary for Export                          Department published a final rule on                  governments, in the aggregate, or by the
                                           Administration.                                         August 30, 2017 (82 FR 41172) that                    private sector, of $100 million or more
                                           [FR Doc. 2018–18849 Filed 8–29–18; 8:45 am]             continued the December 16, 2015                       in any year and it will not significantly
                                           BILLING CODE 3510–33–P                                  modification to August 30, 2018.                      or uniquely affect small governments.


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Document Created: 2018-08-30 01:20:47
Document Modified: 2018-08-30 01:20:47
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesThis rule is effective August 30, 2018.
ContactSharon Bragonje, Nuclear and Missile Technology Controls Division, Bureau of Industry and Security, Phone: (202) 482-0434; Email: [email protected]
FR Citation83 FR 44216 
RIN Number0694-AH46
CFR AssociatedExports and Reporting and Recordkeeping Requirements

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