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National Defense > Blog > Posts > Coalition Calls for Overhaul of Export Regulations
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1/12/2010The Coalition for Security and Global Competitiveness
has sent an 11-page list of recommendations for revamping the nation’s
export control laws to Obama administration officials.
International
Traffic in Arms regulations that require defense contractors to receive
licenses for weapons systems before shipping them to foreign countries
have not been revised in more than two decades, the coalition noted. “The
result is a system that no longer fully protects our national security,
has not kept up with accelerating technological change, and does not
function with the efficiency and transparency needed to keep the United
States competitive in the global marketplace,” the report said.
U.S.
defense manufacturers have complained for years about ITAR
requirements, which they have said, can be too onerous. Even trusted
allies such as Great Britain and Canada cannot purchase certain
technologies. Foreign buyers end up purchasing similar technologies
from other nations, which hurts U.S. competitiveness, critics say.
Proponents insist that the regulations are necessary and can point to
examples of where sensitive technology ended up in the hands of
potential adversaries.
The 1979 Export Administration Act
expired in 2001, and there has not been an overhaul of the law since,
the coalition noted. The Bush and Obama administrations have granted a
series of one-year extensions of the act. In August, President Obama
announced a review of export control policies. Rep. Howard Berman,
D-Calif., chairman of the House Foreign Affairs Committee, also began
congressional review of the law with an eye toward introducing reform
legislation this year. The current system, administered by the
Department of State’s directorate of defense trade controls, cannot
keep up with the rapid changes in technology, the report said.
“Lifecycles
for many new technologies are now six months to a year. Yet many of the
controls set by government were implemented years, if not, decades
ago,” the report said. Many controlled technologies are no longer
sensitive, and in some cases, technologies that are sensitive, are not
being controlled. The coalition recommended a “sunset” rule whereby
items on the list will automatically drop off unless a justification
can be presented for maintaining the status quo.
At a news
conference this morning, officials from the Coalition for Security and
Competitiveness sounded optimistic about the prospect of reform. "We
are expecting something to happen" in the immediate future, said Remy
Nathan, assistant vice president for international affairs at the
Aerospace Industries Association. Nathan said there is high-level push
at Commerce, State and Defense to take action.
The coalition's policy recommendations can be found here. Also, look for additional details on ITAR reform in the February issue of National Defense Magazine.
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