PART 732—STEPS FOR USING THE EAR (True False)

The steps provided in this part help determine obligations under the EAR by listing logical steps in §§732.2 through 732.5.

A flow chart illustrating the steps is included in supplement no. 2 to part 732.

The part provides steps to determine applicability of License Exceptions under part 740 of the EAR.

These steps describe the organization of the ITAR, not the EAR.

All requirements in the EAR are covered by the general information provided in this part.

The part can alter or affect authorities, regulations, or investigations established under state laws.

You should skip Steps 7 through 11 for Cuba, Iran, North Korea, and Syria

General Prohibitions Four through Ten apply only to items listed on the CCL

License Exceptions are generally available to overcome General Prohibitions Four through Ten

License Exceptions for embargoed destinations are specified in part 754 of the EAR

If a License Exception is not available, you should go directly to Step 30

Step 1 is relevant for exports only

If your item is subject to the exclusive jurisdiction of another Federal agency, you should skip the remaining steps

You must comply with the EAR if your item is subject to another Federal agency's jurisdiction

Step 2 is only relevant for reexports

The regulations for publicly available technology and software are provided in §734.3 of the EAR

The classification of an item on the Commerce Control List determines what it is for export control purposes.

The ultimate end-user of an item cannot be a good end-user according to General Prohibition Four.

Conduct such as contracting, financing, and freight forwarding in support of a proliferation project may prevent you from dealing with someone according to the EAR.

If your item or activity is not subject to the EAR, you have obligations under the EAR and must follow all steps.

General Prohibition One relates to export and reexport of controlled items to listed countries.

General Prohibition Four pertains to engaging in actions prohibited by a denial order.

General Prohibition Six deals with the support of proliferation activities.

General Prohibition Eight covers in-transit shipments and items to be unladen from vessels and aircraft.

Proceeding with transactions with knowledge that a violation has occurred or is about to occur falls under General Prohibition Nine.

Steps 7 through 11 refer to the classification of items on the Commerce Control List and the use of the Country Chart to determine licensing requirements.

If an item is captured by General Prohibition Three, it is subject to the EAR and may require a license for export.

Items outside the U.S. are never subject to the EAR.

Foreign-origin items that fall under General Prohibition Three are always subject to the EAR.

General Prohibitions Four through Ten apply only to items not subject to the EAR.

Items classified as EAR99 are not specified under any CCL entry.

The responsibility of correctly classifying items in a transaction lies with BIS.

Failure to classify or have classified an item correctly relieves the person from obtaining a license if required by the EAR.

Requesting classification assistance from BIS is not a right for individuals involved in exporting.

Items temporarily under CCL controls are classified under ECCN 0Y521 series.

Determining the country of ultimate destination is a step under Classification in the EAR regulations.

If your technology or software is publicly available, you may proceed with the export or reexport even if you are a U.S. person subject to General Prohibition Seven.

All U.S. persons are exempt from the provisions of General Prohibition Seven.

Foreign-made items incorporating U.S.-origin items are not subject to the EAR if they are above the de minimis level.

The de minimis level for U.S.-origin controlled items must be below that described in §734.4 of the EAR for a foreign-made item to not be subject to the EAR.

Foreign items directly produced from U.S. technology may be subject to the EAR.

Software or technology for the production of a firearm, controlled under ECCN 0A501, is outside the scope of the EAR.

Publicly available encryption object code software classified under ECCN 5D002 is not subject to the EAR.

If your technology or software is not publicly available and you are exporting from the United States, you should go directly to Step 7 in §732.3(b) of this part.

All U.S. persons are exempt from following General Prohibition Seven concerning proliferation activity.

If a foreign-made item incorporates more than the de minimis level of U.S.-origin items, that item is not subject to the EAR.

Reviewing General Prohibition Five (End-Use and End-User) is only necessary for items on the CCL.

License Exception TSU can help overcome General Prohibition Five if all terms and conditions are met.

General Prohibition Six (Embargo) applies to all destinations except Russia and Belarus.

Part 746 of the EAR outlines restrictions related to short supply controls.

General Prohibition Seven ('U.S. person' activities) is limited to only exports, reexports, or transfers (in-country).

General Prohibition Five (End-Use and End-User) does not have additional requirements beyond the other General Prohibitions.

License Exception TSU cannot be used to overcome General Prohibition Six (Embargo).

Parts 742 and 746 of the EAR outline requirements for items destined for Cuba, Iran, Iraq, North Korea, or Syria.

Exporting or transferring contrary to the provisions in part 746 of the EAR requires a license except for published information or software.

'U.S. person' activities prohibited by General Prohibition Seven are specifically described in part 744.6 of the EAR.

The Country Chart applies to all destinations, including Cuba, Iran, North Korea, and Syria.

A specific ECCN may indicate the reason or reasons for control for items within that ECCN.

Items controlled for short supply reasons are governed by the Country Chart.

If a cell in the Country Chart contains an 'X' for a specific destination, a license is not required for that destination.

Items subject to the EAR but not on the CCL are classified as EAR99.

The ECCN 6A007 may be controlled for reasons related to national security and anti-technology.

Provisions for Iraq and Russia can be found in part 746 of the EAR.

If an ECCN does not identify a Country Chart column identifier, you must consult §738.4 of the EAR for licensing requirements.

An item controlled by a specific ECCN may require a license under General Prohibitions One, Two, or Three.

An 'X' in the cell next to a destination in question on the Country Chart indicates that no license is required for that destination.

Foreign-made items incorporating controlled U.S.-origin items are not subject to the EAR if the U.S.-origin controlled content is below the de minimis levels.

Foreign-made software commingled with controlled U.S.-origin technology is not subject to the EAR.

Encryption software controlled for 'EI' reasons under ECCN 5D002 is eligible for de minimis treatment.

Foreign-produced items that are direct products of U.S.-origin technology may be subject to the EAR.

Items subject to the EAR may require a license for export from abroad, but not for transfer within the same country.

License Exceptions can be used to bypass General Prohibition Four (Denial Orders).

All items subject to the EAR, whether on the CCL or within EAR99, are affected by General Prohibition Four (Denial Orders).

Overcoming the prohibition concerning persons denied export privileges requires a specific authorization from BIS, which is frequently granted.

Prohibited end-uses and end-users are addressed in Step 13 of the EAR guidelines.

The EAR steps provide guidance on determining the applicability of License Exceptions.