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New BIS, DDTC Rules Aim to Modernize Space-Related Export Controls

The U.S. will soon reduce licensing requirements for exports of certain space-related items to a range of countries and may transfer export control jurisdiction over other space-related defense items from the State Department to the Commerce Department, according to four rules released by the agencies Oct. 17. The rulemakings are designed to “modernize” U.S. export controls on space technologies, a senior Commerce official told reporters, including by easing restrictions on exports of less sensitive space technologies, certain spacecraft-related items and more.

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One final rule issued by the Bureau of Industry and Security will remove controls for certain spacecraft and related items for exports and reexports to Australia, Canada and the U.K., including spacecraft that “involve remote sensing or space-based logistics, assembly, or servicing.” Another BIS interim final rule will reduce license requirements on certain less sensitive space-related items to more than 40 countries, the Commerce official said, and broaden certain license exceptions that support NASA programs. Both rules are effective Oct. 23, though BIS is accepting public comments on the second rule through Nov. 22.

A proposed BIS rule, published alongside a complementary rule from the State Department’s Directorate of Defense Trade Controls, would transfer the jurisdiction of certain space-related defense items from DDTC’s U.S. Munitions List to the BIS Commerce Control List because they no longer “provide a critical military or intelligence advantage,” the Commerce official said, including spacecraft that refuel other spacecraft and spacecraft capable of “autonomous collision avoidance.” The BIS rule also proposes new License Exception CSA (Commercial Space Activities), which would “mirror” existing International Traffic in Arms Regulations exemptions for some of those items.

The proposed DDTC rule would add and remove items from the USML and introduce three new license exemptions to the ITAR related to “civil space activity,” among other updates. The rule outlines possible changes and clarifications to a range of items listed in USML Categories IV and XV, including for exports of certain man-portable air defense systems, anti-tank missiles, propulsion systems and more.

Comments on both BIS and DDTC proposed rules are due Nov. 22.