[Code of Federal Regulations]
[Title 15, Volume 2]
[Revised as of January 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 15CFR746.4]

[Page 362-365]
 
                  TITLE 15--COMMERCE AND FOREIGN TRADE
 
  CHAPTER VII--BUREAU OF INDUSTRY AND SECURITY, DEPARTMENT OF COMMERCE
 
PART 746_EMBARGOES AND OTHER SPECIAL CONTROLS--Table of Contents
 
Sec.  746.4  Libya.

    (a) Introduction. The Department of the Treasury and the Department 
of Commerce maintain comprehensive controls on exports and reexports to 
Libya. OFAC maintains comprehensive controls on exports and 
transshipments to Libya under the Libyan Sanctions Regulations (31 CFR 
part 550). To avoid duplicate licensing procedures, OFAC and BIS have 
allocated licensing responsibility as follows: OFAC licenses direct 
exports and transshipments to Libya; BIS licenses reexports, exports of 
foreign-manufactured items containing U.S.-origin parts, components or 
materials, and exports of foreign-produced direct product of U.S. 
technology or software. Issuance of an OFAC license also constitutes 
authorization under the EAR, and no license from BIS is necessary. 
Exports and reexports subject to the EAR that are not subject to the 
Libyan Sanctions Regulations continue to require authorization from BIS.
    (b) License requirements.
    (1) Exports. OFAC and BIS both require a license for virtually all 
exports (including transshipments) to Libya. Except as noted in 
paragraph (b) of this section or specified in OFAC regulation, you may 
not use any BIS License Exception or other BIS authorization to export 
or transship to Libya. You will need a license from OFAC for all direct 
exports and transshipments to Libya except those eligible for the 
following BIS License Exceptions:
    (i) Baggage (BAG) (see Sec.  740.14 of the EAR).
    (ii) Governments and international organizations (GOV) (see Sec.  
740.11 of the EAR).
    (iii) Gift parcels (GFT) (see Sec.  740.12(a) of the EAR).
    (2) Reexports. You will need a license from BIS to reexport any 
U.S.-origin item from a third country to Libya, any foreign-manufactured 
item containing U.S.-origin parts, components or materials, as defined 
in Sec.  734.2(b)(2) of the EAR, or any national security-controlled 
foreign-produced direct product of U.S. technology or software, as 
defined in Sec.  734.2(b)(3) of the EAR, exported from the U.S. after 
March 12, 1982. You will need a license from BIS to reexport all items 
subject to the EAR (see part 734 of the EAR) to Libya, except:

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    (i) Food, medicines, medical supplies, and agricultural commodities;
    (ii) Reexports eligible for the following License Exceptions (read 
each License Exception carefully, as the provisions available for 
embargoed countries are generally narrow):
    (A) Temporary exports and reexports (TMP): reexports by the news 
media (see Sec.  740.9(a)(2)(viii) of the EAR).
    (B) Operation technology and software (TSU) for legally exported 
commodities (see Sec.  740.13(a) of the EAR).
    (C) Sales technology (TSU) (see Sec.  740.13(b) of the EAR).
    (D) Software updates (TSU) for legally exported software (see Sec.  
740.13(c) of the EAR).
    (E) Parts (RPL) for one-for-one replacement in certain legally 
exported commodities (Sec.  740.10(a) of the EAR).
    (F) Baggage (BAG) (Sec.  740.14 of the EAR).
    (G) Aircraft and vessels (AVS) for vessels only (see Sec.  740.15 
(c)(1) of the EAR), and temporary reexports of foreign registered 
aircraft (see Sec.  740.15 (a)(4) of the EAR).
    (H) Governments and international organizations (GOV) (see Sec.  
740.11 of the EAR).
    (I) Gift parcels and humanitarian donations (GFT) (see Sec.  740.12 
of the EAR).
    (J) Permissive reexports of certain spare parts in foreign-made 
equipment (see Sec.  740.16(h) of the EAR).
    (c) Licensing policy. (1) You should consult with OFAC regarding 
licensing policy for transactions subject to OFAC regulation.
    (2) The licensing policy for BIS controls is as follows. Licenses 
will generally be denied for:
    (i) Items controlled for national security purposes and related 
technology and software, including controlled foreign produced products 
of U.S. technology and software exported from the United States after 
March 12, 1982; and
    (ii) Oil and gas equipment and technology and software, if listed in 
paragraph (c)(2)(vii) of this section, or if determined by BIS not to be 
readily available from sources outside the United States; and
    (iii) Commodities, software, and technology destined for the 
petrochemical processing complex at Ras Lanuf, if listed in paragraph 
(c)(2)(vii) of this section, or where such items would contribute 
directly to the development or construction of that complex (items 
destined for the township at Ras Lanuf, or for the public utilities or 
harbor facilities associated with that township, generally will not be 
regarded as making such a contribution where their functions will be 
primarily related to the township, utilities or harbor);
    (iv) Aircraft (including helicopters) or aircraft parts, components, 
or accessories to Libya or the provision of engineering and maintenance 
servicing of Libyan aircraft or aircraft components;
    (v) Arms and related material of all types, including the sale or 
transfer of weapons and ammunition, military vehicles and equipment, 
paramilitary police equipment, spare parts for the aforementioned, and 
equipment or supplies for the manufacture or maintenance of the 
aforementioned.
    (vi) Materials destined for the construction, improvement or 
maintenance of Libyan civilian or military airfields and associated 
facilities and equipment or any engineering or other services or 
components destined for the maintenance of any Libyan civil or military 
airfields or associated facilities and equipment, except emergency 
equipment and equipment and services directly related to civilian air 
traffic control; and
    (vii) Items listed in paragraphs (c)(2)(vii) (A) through (E) and 
equipment and supplies for the manufacture or maintenance of such items:
    (A) Pumps of medium or large capacity (equal to or larger than 3500 
cubic meters per hour) and drivers (gas turbines and electric motors) 
designed for use in the transportation of crude oil and natural gas.
    (B) Equipment designed for use in crude oil export terminals, as 
follows:
    (1) Loading buoys or single point moorings;
    (2) Flexible hoses for connection between underwater manifolds 
(plem) and single point mooring and floating loading hoses of large 
sizes (from 12-16 inches); or
    (3) Anchor chains.
    (C) Equipment not specially designed for use in crude oil export 
terminals,

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but which because of its large capacity can be used for this purpose, as 
follows:
    (1) Loading pumps of large capacity (4000 m \3\/h) and small head 
(10 bars);
    (2) Boosting pumps within the same range of flow rates;
    (3) Inline pipe line inspection tools and cleaning devices (i.e., 
pigging tools) (16 inches and above); or
    (4) Metering equipment of large capacity (1000 m \3\/h and above).
    (D) Refinery equipment, as follows:
    (1) Boilers meeting American Society of Mechanical Engineers 1 
standards;
    (2) Furnaces meeting American Society of Mechanical Engineers 8 
standards;
    (3) Fractionation columns meeting American Society of Mechanical 
Engineers 8 standards;
    (4) Pumps meeting American Petroleum Institute 610 standards;
    (5) Catalytic reactors meeting American Society of Mechanical 
Engineers 8 standards; or
    (6) Prepared catalysts, including catalysts containing platinum and 
catalysts containing molybdenum.
    (E) Spare parts for any of the items described in paragraph 
(c)(2)(vii) of this section.
    (3) Notwithstanding the presumptions of denial in paragraphs (c)(2) 
(i) through (iii) of this section, licenses will generally be issued for 
items not included in paragraphs (c)(2) (iv) through (vii) of this 
section when the transaction involves:
    (i) The export or reexport of commodities or technology and software 
under a contract in effect prior to March 12, 1982, where failure to 
obtain a license would not excuse performance under the contract;
    (ii) Reexport of items not controlled for national security purposes 
that had been exported from the United States prior to March 12, 1982 or 
exports of foreign products incorporating such items as components; or
    (iii) Incorporation of U.S.-origin parts, components, or materials 
in foreign-manufactured products destined for Libya, where the U.S. 
content is 20 percent or less by value.
    (4) Notwithstanding the presumption of denial in paragraph (c)(2) 
(iv) through (vii), applications for reexports under a contract pre-
dating January 18, 1994, will be reviewed under the licensing policy in 
effect prior to that date.
    (5) Licenses will generally be considered favorably on a case-by-
case basis when the transaction involves the following items, provided 
such items are not included in paragraph (c)(2) (iv) through (vii):
    (i) Reexports of items subject to national security controls that 
were exported prior to March 12, 1982 and exports of foreign products 
incorporating such U.S.-origin components, where the particular 
authorization would not be contrary to specific foreign policy 
objectives of the United States; or
    (ii) Items destined for use in the development or construction of 
the petrochemical processing complex at Ras Lanuf, where the transaction 
could be approved but for the general policy of denial set out in 
paragraph (c)(2)(iii), and where either:
    (A) The transaction involves a contract in effect before December 
20, 1983 that requires export or reexport of the items in question; or
    (B) The items had been exported from the U.S. before that date.
    (iii) Other unusual situations such as transactions involving firms 
with contractual commitments in effect before March 12, 1982.
    (6) Licenses will generally be considered favorably on a case-by-
case basis for the reexport of reasonable quantities for civil use of 
off-highway wheel tractors of carriage capacity of 9t (10 tons) or more, 
as defined in ECCN 9A990.b, provided such tractors are not for uses 
described in paragraph (c)(2) (iv) through (vi) of this section.
    (7) All other reexports not covered by United Nations resolutions 
will generally be approved, subject to any other licensing policies 
applicable to a particular transaction.
    (d) Libya has been designated by the Secretary of State as a country 
whose government has repeatedly provided support for acts of 
international terrorism. For anti-terrorism controls, see Supplement 2 
to part 742 of the EAR.
    (e) Related controls. OFAC administers broad economic sanctions on 
Libya, and restricts participation by U.S. persons in transactions with

[[Page 365]]

Libya or specially designated Libyan nationals. The applicable OFAC 
regulations, the Libyan Sanctions Regulations, are found in 31 CFR part 
550.

[61 FR 12806, Mar. 25, 1996, as amended at 61 FR 64284, Dec. 4, 1996; 62 
FR 25460, May 9, 1997; 63 FR 42229, Aug. 7, 1998; 64 FR 49383, Sept. 13, 
1999]