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DoD Progresses with Single IT System, BIS Enforcement Expands

On May 12, 2011, the House Foreign Affairs Committee held the first in a series of hearings on U.S. export controls at which Administration officials provided an update on their efforts to implement the Administration’s Export Control Reform Initiative, including agencies becoming operational on USXPORTS and efforts to increase enforcement overseas.

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State, Commerce Expected to be Operational in USXPORTS in Summer/Fall 2011

In its written testimony, the Defense Department (DoD) stated that as part of the Administration’s efforts to create a single IT system, it has signed agreements with the State and Commerce Departments to transition them to its USXPORTS internal licensing system.

Initial operational capability for State and Commerce is expected in August and October 2011, respectively. (The State Department was previously expected to be operational in early 2011.) The Administration had previously stated that after State and Commerce are operational in USXPORTS, attention will turn to other agencies, such as the Office of Foreign Assets Control, Department of Energy, etc.

(USXPORTS provides DoD with the capability to process electronic export license data more efficiently and effectively through: inter-agency and electronic data exchange; electronic dissemination to all review layers; auto-staffing of cases; identifying precedent cases; and end-user alerts for workflow management.)

(See ITT's Online Archives or 12/03/10 and 09/10/10 news, 10120312 and 10091011, for previous BP summaries on USXPORTS.)

BIS Recently Increased Enforcement Staff in Asia

In its written testimony, the Bureau of Industry and Security testified that it has recently expanded its presence in Asia so that in addition to its Export Control Officers (ECOs) in India, Russia, Hong Kong, and the United Arab Emirates, it has added a second ECO in China and a new ECO in Singapore (who also has responsibility for Malaysia and Indonesia). Certain Committee Members expressed concern that even with a second ECO, BIS’ presence in China was inadequate.

Chairman opening remarks available here, Ranking Member’s remarks available here

Witness testimony available here

USXPORTS fact sheet available here