US announces export control reforms

The US administration on Tuesday announced export control reforms aimed at facilitating the trade of defence products and sensitive dual-use technologies with its allies.

The reforms apply to the licensing of defence products by the state department, in addition to the export controls on dual-use technologies managed by the commerce department.

The presidential directive, which does not require congressional approval, says the state department will be allocated more money to hasten the process for issuing licences. It also requires the department to make a decision on a licence application within 60 days. US manufacturers and allies, including the UK, have complained about long delays in obtaining approval for non-controversial defence goods.

John Engler, president of the US National Association of Manufacturers (NAM), said the directive was a “major step toward enhancing our national security while strengthening the global competitiveness of America’s manufacturers”.

The commerce department said it would develop a “regular process for systematic review of the list of controlled dual-use items”.

While the administration touted the reforms as significant, some experts were unconvinced.

Donald Weadon, an expert on export controls, said the initiative was “remarkably underwhelming” and “fails to address the principal deficiencies of the current system, which are adversely impacting US technology companies”.

Last year, the administration agreed a treaty on defence trade with the UK.

Source: Financial Times

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