[Code of Federal Regulations]
[Title 15, Volume 2]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 15CFR740.11]

[Page 265-269]
 
                  TITLE 15--COMMERCE AND FOREIGN TRADE
 
  CHAPTER VII--BUREAU OF EXPORT ADMINISTRATION, DEPARTMENT OF COMMERCE
 
PART 740--LICENSE EXCEPTIONS--Table of Contents
 
Sec. 740.11  Governments, international organizations, and international inspections under the Chemical Weapons Convention (GOV).

    This License Exception authorizes exports and reexports for 
international nuclear safeguards; U.S. government agencies or personnel, 
and agencies of cooperating governments; and international inspections 
under the Chemical Weapons Convention.
    (a) International safeguards--(1) Scope. You may export and reexport 
commodities or software to the International Atomic Energy Agency (IAEA) 
and the European Atomic Energy Community (Euratom), and reexports by 
IAEA and Euratom for official international safeguard use, as follows:
    (i) Commodities or software consigned to the IAEA at its 
headquarters in Vienna, Austria, or field offices in Toronto, Ontario, 
Canada or Tokyo, Japan for official international safeguards use. The 
IAEA is an international organization that establishes and administers 
safeguards designed to ensure that special nuclear materials and other 
related nuclear facilities, equipment, and material are not diverted 
from peaceful purposes to non-peaceful purposes.
    (ii) Commodities or software consigned to the Euratom Safeguards 
Directorate in Luxembourg, Luxembourg for official international 
safeguards use. Euratom is an international organization of European 
countries with headquarters in Luxembourg. Euratom establishes and 
administers safeguards designed to ensure that special nuclear materials 
and other related nuclear facilities, equipment, and material are not 
diverted from peaceful purposes to non-peaceful purposes.
    (iii) Commodities consigned to IAEA or Euratom may be reexported to 
any country for IAEA or Euratom international safeguards use provided 
that IAEA or Euratom maintains control of or otherwise safeguards the 
commodities and returns the commodities to the locations described in 
paragraphs (a)(1)(i) and (a)(1)(ii) of this section when they become 
obsolete, are no longer required, or are replaced.
    (iv) Commodity or software shipments may be made by commercial 
companies under direct contract with IAEA or Euratom, or by Department 
of Energy National Laboratories as directed by the Department of State 
or the Department of Energy.
    (v) The monitoring functions of IAEA and Euratom are not subject to 
the restrictions on prohibited safeguarded nuclear activities described 
in Sec. 744.2(a)(3) of the EAR.
    (vi) When commodities or software originally consigned to IAEA or 
Euratom are no longer in IAEA or Euratom official safeguards use, such 
commodities may only be disposed of in accordance with the regulations 
in the EAR.
    (2) The following items controlled for national security (NS) 
reasons under Export Control Classification Numbers (ECCNs) identified 
on the Commerce Control List may not be exported or reexported under 
this License Exception to destinations other than Austria, Belgium, 
Canada, Denmark, Finland, France, Germany, Greece, Ireland, Italy, 
Luxembourg, the Netherlands, Portugal, Spain, Sweden, and the United 
Kingdom: 1C001, 1C012, 5A001.b.4, 6A001.a.2.a.1, 6A001.a.2.a.2, 
6A001.a.2.a.5, 6A001.a.2.b, 6A001.a.2.e., 6A002.a.1.c, 6A008.1.3., 
6B008, 8A001.b., 8A001.d., 8A002.o.3.b., 9A011; and
    (i) ``Composite'' structures or laminates controlled by 1A002.a., 
having an organic ``matrix'' and made from materials listed under 
1C010.c. or 1C010.d.; and
    (ii) ``Digital'' computers controlled by 4A003.b. and having a CTP 
exceeding 45,000 MTOPS; and
    (iii) ``Electronic assemblies'' controlled by 4A003.c. and capable 
of enhancing performance by aggregation of ``computing elements'' so 
that the CTP of the aggregation exceeds 45,000 MTOPS; and
    (iv) Processing equipment controlled by 6A001.a.2.c. and specially 
designed for real time application with towed acoustic hydrophone 
arrays; and
    (v) Bottom or bay cable systems controlled by 6A001.a.2.f and having 
processing equipment specially designed for real time application with 
bottom or bay cable systems; and
    (vi) ``Software'', as follows:
    (A) Controlled by 4D001, specially designed for the ``development'' 
or ``production'' for items controlled by

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4A003.b or .c, as defined by paragraphs (a)(2)(ii) and (iii) of this 
section; and
    (B) Controlled by 5D001.a, specially designed for items controlled 
by 5A001.b.4; and
    (C) Controlled by 6D001 for items controlled by 6A008.l.3 or 6B008; 
and
    (D) Controlled by 6D003.a; and
    (E) Controlled by 7D003.a or 7D003.b; and
    (F) Controlled by 8D001, specially designed for the ``development'' 
or ``production'' of equipment controlled by 8A001.b, 8A001.d, or 
8A002.o.3.b; and
    (G) Controlled by 9D001, specially designed for the ``development'' 
of equipment or ``technology'' controlled by 9A011, 9E003.a.1, or by 
9E003.a.3, for items controlled by 1A002.a, as described in paragraph 
(a)(2)(i) of this section; and
    (H) Controlled by 9D002 for ``software'' specially designed for the 
``production'' of equipment controlled by 9A011; and
    (I) Controlled by 9D004.a or .c.
    (3) No encryption items controlled for EI reasons under ECCNs 5A002, 
5D002, or 5E002 may be exported under the provisions of this paragraph 
(a).
    (b) Governments--(1) Scope. The provisions of paragraph (b) 
authorize exports and reexports of the items listed in paragraph (b)(2) 
of this section to personnel and agencies of the U.S. Government or 
agencies of cooperating governments.
    (2) Eligibility--(i) Items for personal use by personnel and 
agencies of the U.S. Government. This provision is available for items 
in quantities sufficient only for the personal use of members of the 
U.S. Armed Forces or civilian personnel of the U.S. Government 
(including U.S. representatives to public international organizations), 
and their immediate families and servants. Items for personal use 
include household effects, food, beverages, and other daily necessities.
    (ii) Items for official use by personnel and agencies of the U.S. 
Government. This provision is available for items consigned to and for 
the official use of any agency of the U.S. Government.
    (iii) (A) Items for official use within national territory by 
agencies of cooperating governments. This License Exception is available 
for all items consigned to and for the official use of any agency of a 
cooperating government within the territory of any cooperating 
government, except items described in paragraph (a) to Supplement No. 1 
of this section:
    (B) Reporting requirements. See Sec. 743.1 of the EAR for reporting 
requirements for exports of certain items under this paragraph 
(b)(2)(iii).
    (iv) (A) Diplomatic and consular missions of a cooperating 
government. This License Exception is available for all items consigned 
to and for the official use of a diplomatic or consular mission of a 
cooperating government located in any country in Country Group B (see 
Supplement No. 1 to part 740), except items described in paragraph (b) 
of Supplement No. 1 of this section.
    (B) Reporting requirements. See Sec. 743.1 of the EAR for reporting 
requirements for exports of certain items under this paragraph 
(b)(2)(iv).
    (3) Definitions. (i) Agency of the U.S. Government includes all 
civilian and military departments, branches, missions, government-owned 
corporations, and other agencies of the U.S. Government, but does not 
include such national agencies as the American Red Cross or 
international organizations in which the United States participates such 
as the Organization of American States. Therefore, shipments may not be 
made to these non-government national or international agencies, except 
as provided in paragraph (b)(2)(i) of this section for U.S. 
representatives to these organizations.
    (ii) Agency of a cooperating government includes all civilian and 
military departments, branches, missions, and other governmental 
agencies of a cooperating national government. Cooperating governments 
are the national governments of countries listed in Country Group A:1 
(see Supplement No. 1 to part 740) and the national governments of 
Argentina, Austria, Finland, Hong Kong, Ireland, Korea (Republic of), 
New Zealand, Singapore, Sweden, Switzerland, and Taiwan.
    (c) International inspections under the Chemical Weapons Convention 
(CWC or Convention).
    (1) The provisions of this paragraph (c) authorize exports and 
reexports to the Organization for the Prohibition of

[[Page 267]]

Chemical Weapons (OPCW) and exports and reexports by the OPCW for 
official international inspection and verification use under the terms 
of the Convention. The OPCW is an international organization that 
establishes and administers an inspection and verification regime under 
the Convention designed to ensure that certain chemicals and related 
facilities are not diverted from peaceful purposes to non-peaceful 
purposes. These provisions authorize exports and reexports for official 
OPCW use of the following:
    (i) Commodities and software consigned to the OPCW at its 
headquarters in The Hague for official international OPCW use for the 
monitoring and inspection functions set forth in the Convention, and 
technology relating to the maintenance, repair, and operation of such 
commodities and software. The OPCW must maintain effective control of 
such commodities, software and technology.
    (ii) Controlled technology relating to the training of the OPCW 
inspectorate.
    (iii) Controlled technology relating to a CWC inspection site, 
including technology released as a result of:
    (A) Visual inspection of U.S.-origin equipment or facilities by 
foreign nationals of the inspection team;
    (B) Oral communication of controlled technology to foreign nationals 
of the inspection team in the U.S. or abroad; and
    (C) The application to situations abroad of personal knowledge or 
technical experience acquired in the U.S.
    (2) Exclusions. The following items may not be exported or 
reexported under the provisions of this paragraph (c):
    (i) Computers with a Composite Theoretical Performance (CTP) greater 
than 45,000 MTOPS, except that no MTOPS limit applies to exports or 
reexports to those countries in Computer Tier 1 (see Sec. 740.7(b)(1));
    (ii) Inspection samples collected in the U.S. pursuant to the 
Convention; and
    (iii) Commodities and software that are no longer in OPCW official 
use. Such items must be disposed of in accordance with the EAR.
    (3) Confidentiality. The application of the provisions of this 
paragraph (c) is subject to the condition that the confidentiality of 
business information is strictly protected in accordance with applicable 
provisions of the EAR and other U.S. laws regarding the use and 
retransfer of U.S. goods and services.

   Supplement No. 1 to Sec. 740.11--Additional Restrictions on Use of 
                          License Exception GOV

    (a) Items for official use within national territory by agencies of 
the U.S. Government. License Exception GOV is available for all items 
consigned to and for the official use of any agency of a cooperating 
government within the territory of any cooperating government, except:
    (1) Items identified on the Commerce Control List as controlled for 
national security (NS) reasons under Export Control Classification 
Numbers (ECCNs) as follows for export or reexport to destinations other 
than Austria, Belgium, Canada, Denmark, Finland, France, Germany, 
Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, Spain, 
Sweden, or the United Kingdom: 1C001, 1C012, 5A001.b.4, 6A001.a.2.a.1, 
6A001.a.2.a.2, 6A001.a.2.a.5, 6A001.a.2.b, 6A001.a.2.e, 6A002.a.1.c, 
6A008.1.3., 6B008, 8A001.b., 8A001.d., 8A002.o.3.b., 9A011; and
    (i) ``Composite'' structures or laminates controlled by 1A002.a., 
having an organic ``matrix'' and made from materials listed under 
1C010.c. or 1C010.d.; and
    (ii) ``Digital'' computers controlled by 4A003.b. and having a CTP 
exceeding 45,000 MTOPS; and
    (iii) ``Electronic assemblies'' controlled by 4A003.c. and capable 
of enhancing performance by aggregation of ``computing elements'' so 
that the CTP of the aggregation exceeds 45,000 MTOPS; and
    (iv) Processing equipment controlled by 6A001.a.2.c. and specially 
designed for real time application with towed acoustic hydrophone 
arrays; and
    (v) Bottom or bay cable systems controlled by 6A001.a.2.f and having 
processing equipment specially designed for real time application with 
bottom or bay cable systems; and
    (vi) ``Software'', as follows:
    (A) Controlled by 4D001, specially designed for the ``development'' 
or ``production'' for items controlled by 4A003.b or .c, as defined by 
paragraphs (a)(1)(ii) and (iii) of this Supplement; and
    (B) Controlled by 5D001.a, specially designed for items controlled 
by 5A001.b.4; and
    (C) Controlled by 6D001 for items controlled by 6A008.l.3 or 6B008; 
and
    (D) Controlled by 6D003.a; and
    (E) Controlled by 7D003.a or 7D003.b; and
    (F) Controlled by 8D001, specially designed for the ``development'' 
or ``production'' of

[[Page 268]]

equipment controlled by 8A001.b, 8A001.d, or 8A002.o.3.b; and
    (G) Controlled by 9D001, specially designed for the ``development'' 
of equipment or ``technology'' controlled by 9A011, 9E003.a.1, or by 
9E003.a.3, for items controlled by 1A002.a, as described in paragraph 
(a)(1)(i) of this Supplement; and
    (H) Controlled by 9D002 for ``software'' specially designed for the 
``production'' of equipment controlled by 9A011; and
    (I) Controlled by 9D004.a or .c.; and
    (vii) ``Technology'', as follows:
    (A) Controlled by 5E001.a for items controlled by 5A001.b.4 or 
5D001.a; and
    (B) Controlled by 1E001 for items controlled by 1A002.a, 1C001, or 
1C102 as described by paragraph (a)(1)(i) of this Supplement; and
    (C) Controlled by 6E001 for the ``development'' of equipment or 
``software'' in 6A001.a.2.a.1, 6A001.a.2.a.2, 6A001.a.2.a.5, 
6A001.a.2.b, 6A001.a.2.c, 6A001.a.2.e, 6A001.a.2.f, 6A002.a.1.c, 
6A008.l.3, or 6B008, as described in paragraph (a)(1) of this 
Supplement; and
    (D) Controlled by 6E002 for the ``production'' of equipment 
controlled by 6A001.a.2.a.1, 6A001.a.2.a.2, 6A001.a.2.a.5, 6A001.a.2.b, 
6A001.a.2.c, 6A001.a.2.e, 6A001.a.2.f, 6A002.a.1.c, 6A008.1.3, or 6B008, 
as described in paragraph (a)(1) of this Supplement; and
    (E) Controlled by 8E001 for items controlled by 8A001.b, 
8A002.o.3.b, or 8A001.d; and
    (F) Controlled by 9E001 for items controlled by 9A011, 9D001, or 
9D002; and
    (G) Controlled by 9E002 for items controlled by 9A011; and
    (H) Controlled by 9E003.a.1; and
    (I) Controlled by 9E003.a.3 for items controlled by 1A002.a as 
described in paragraph (a)(1) of this Supplement;
    (2) Items identified on the Commerce Control List as controlled for 
missile technology (MT), chemical and biological warfare (CB), or 
nuclear nonproliferation (NP) reasons;
    (3) Regional stability items controlled under Export Control 
Classification Numbers (ECCNs) 6A002, 6A003, 6E001, 6E002, 7D001, 7E001, 
7E002, and 7E101 as described in Sec. 742.6(a)(1) of the EAR; or
    (4) Encryption items controlled for EI reasons as described in the 
Commerce Control List.
    (b) Diplomatic and consular missions of a cooperating government. 
License Exception GOV is available for all items consigned to and for 
the official use of a diplomatic or consular mission of a cooperating 
government located in any country in Country Group B (see Supplement No. 
1 to part 740), except:
    (1) Items identified on the Commerce Control List as controlled for 
national security (NS) reasons under Export Control Classification 
Numbers (ECCNs) as follows for export or reexport to destinations other 
than Austria, Belgium, Canada, Denmark, Finland, France, Germany, 
Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, Spain, 
Sweden, or the United Kingdom: 1C001, 1C012, 5A001.b.4, 6A001.a.2.a.1, 
6A001.a.2.a.2, 6A001.a.2.a.5, 6A001.a.2.b, 6A001.a.2.e., 6A002.a.1.c, 
6A008.1.3., 6B008, 8A001.b., 8A001.d., 8A002.o.3.b., 9A011; and
    (i) ``Composite'' structures or laminates controlled by 1A002.a., 
having an organic ``matrix'' and made from materials listed under 
1C010.c. or 1C010.d.; and
    (ii) ``Digital'' computers controlled by 4A003.b. and having a CTP 
exceeding 45,000 MTOPS; and
    (iii) ``Electronic assemblies'' controlled by 4A003.c. and capable 
of enhancing performance by aggregation of ``computing elements'' so 
that the CTP of the aggregation exceeds 45,000 MTOPS; and
    (iv) Processing equipment controlled by 6A001.a.2.c. and specially 
designed for real time application with towed acoustic hydrophone 
arrays; and
    (v) Bottom or bay cable systems controlled by 6A001.a.2.f and having 
processing equipment specially designed for real time application with 
bottom or bay cable systems; and
    (vi) ``Software'', as follows:
    (A) Controlled by 4D001, specially designed for the ``development'' 
or ``production'' for items controlled by 4A003.b or .c, as defined by 
paragraphs (b)(1)(ii) or (iii) of this Supplement; and
    (B) Controlled by 5D001.a, specially designed for items controlled 
by 5A001.b.4; and
    (C) Controlled by 6D001 for items controlled by 6A008.l.3 or 6B008; 
and
    (D) Controlled by 6D003.a; and
    (E) Controlled by 7D003.a or 7D003.b; and
    (F) Controlled by 8D001, specially designed for the ``development'' 
or ``production'' of equipment controlled by 8A001.b, 8A001.d, or 
8A002.o.3.b; and
    (G) Controlled by 9D001, specially designed for the ``development'' 
of equipment or ``technology'' controlled by 9A011, 9E003.a.1, or by 
9E003.a.3, for items controlled by 1A002.a, as described in paragraph 
(b)(1)(i) of this Supplement; and
    (H) Controlled by 9D002 for ``software'' specially designed for the 
``production'' of equipment controlled by 9A011; and
    (I) Controlled by 9D004.a or .c; and
    (vii) ``Technology'', as follows:
    (A) Controlled by 5E001.a for items controlled by 5A001.b.4 or 
5D001.a; and
    (B) Controlled by 1E001 for items controlled by 1A002.a, 1C001, or 
1C102 as described by paragraph (b)(1) of this Supplement; and
    (C) Controlled by 6E001 for the ``development'' of equipment or 
``software'' in 6A001.a.2.a.1, 6A001.a.2.a.2, 6A001.a.2.a.5, 
6A001.a.2.b, 6A001.a.2.c, 6A001.a.2.e, 6A001.a.2.f, 6A002.a.1.c, 
6A008.1.3, or 6B008, as

[[Page 269]]

described in paragraph (b)(1) of this Supplement; and
    (D) Controlled by 6E002 for the ``production'' of equipment 
controlled by 6A001.a.2.a.1, 6A001.a.2.a.2, 6A001.a.2.a.5, 6A001.a.2.b, 
6A001.a.2.c, 6A001.a.2.e, 6A001.a.2.f, 6A002.a.1.c, 6A008.1.3, or 6B008, 
as described in paragraph (b)(1) of this Supplement; and
    (E) Controlled by 8E001 for items controlled by 8A001.b, 
8A002.o.3.b, or 8A001.d; and
    (F) Controlled by 9E001 for items controlled by 9A011, 9D001, or 
9D002; and
    (G) Controlled by 9E002 for items controlled by 9A011; and
    (H) Controlled by 9E003.a.1; and
    (I) Controlled by 9E003.a.3 for items controlled by 1A002.a as 
described in paragraph (b)(1)(i) of this Supplement;
    (2) Items identified on the Commerce Control List as controlled for 
missile technology (MT), chemical and biological warfare (CB), or 
nuclear nonproliferation (NP) reasons;
    (3) Regional stability items controlled under Export Control 
Classification Numbers (ECCNs) 6A002, 6A003, 6E001, 6E002, 7D001, 7E001, 
7E002, and 7E101 as described in Sec. 742.6(a)(1) of the EAR; or
    (4) Encryption items controlled for EI reasons as described in the 
Commerce Control List.

[61 FR 64281, Dec. 4, 1996. Redesignated at 61 FR 68579, Dec. 30, 1996, 
as amended at 61 FR 68580, Dec. 30, 1996; 62 FR 25457, May 9, 1997; 63 
FR 2456, Jan. 15, 1998; 63 FR 42228, Aug. 7, 1998; 63 FR 50522, Sept. 
22, 1998; 63 FR 55019, Oct. 14, 1998; 64 FR 27141, May 18, 1999; 64 FR 
40108, July 23, 1999; 64 FR 42012, Aug. 3, 1999; 65 FR 43132, July 12, 
2000; 65 FR 60855, Oct. 13, 2000]