1. Amendment to the List of Proscribed Destinations (67 FR 1074 on January 9, 2002)

Commentary: The Department of State has published a final rule that amends the International Traffic in Arms Regulations (ITAR) by removing Tajikistan and the Federal Republic of Yugoslavia (Serbia and Montenegro) from the list of proscribed destinations.  It is no longer the policy of the United States to deny licenses, other approvals, exports and imports of defense articles and defense services, destined for or originating from the Federal Republic of Yugoslavia (Serbia and Montenegro).  This action is being taken in the interest of foreign policy and national security pursuant to Section 38 of the Arms Export Control Act.  Requests for licenses or other approvals for the Federal Republic of Yugoslavia involving items covered by the U.S. Munitions List (22 CFR part 121) will be reviewed on a case-by-case basis.

The Department of State is also taking this opportunity to clarify two outdated references contained in Section 126.1(a) of the ITAR.  “Zaire” is currently listed as a proscribed country and is amended to “the Democratic Republic of the Congo (formerly Zaire).”  Also, the Department is deleting the last sentence of 126.1(a), which refers to a license exemption that was formerly contained in Section 123.27.  That exemption was removed from 123.27 effective July 1, 2000, and the last sentence of 126.1(a) should have been deleted at that time.

2. Bureau of Nonproliferation; Imposition of Nonproliferation Measures Against Three Chinese Entities, Including Ban on U.S. Government Procurement (67 FR 3528 on January 24, 2002)

Commentary: The Department of State has determined that three Chinese entities have engaged in activities that require the imposition of measures pursuant to Section 3 of the Iran Nonproliferation Act of 2000.  The U.S. Government determined on January 11, 2001, that the measures authorized in Section 3 of the Act shall apply to the following foreign entities identified in the report submitted pursuant to Section 2(a) of the Act:  (1) Liyang Chemical Equipment (China) and any successor, sub-unit, or subsidiary thereof; (2) Q.C. Chen (China); (3) China Machinery and Electric Equipment Import and Export Company and any successor, sub-unit, or subsidiary thereof.

Accordingly, pursuant to the provisions of the Act, the following measures are imposed on these entities: (1) No department or agency of the United States Government may procure, or enter into any contract for the procurement of, any goods, technology, or services from these foreign persons; (2) No department or agency of the United States Government may provide any assistance to the foreign persons, and these persons shall not be eligible to participate in any assistance program of the United States Government; (3) No United States Government sales to the foreign persons of any item on the United States Munitions List (as in effect on August 8, 1995) are permitted, and all sales to these persons of any defense articles, defense services, or design and construction services under the Arms Export control Act are terminated; and (4) No new individual licenses shall be granted for the transfer to these foreign persons of items, the export of which is controlled under the Export Administration Act of 1979 or the Export Administration Regulations, and any existing such licenses are suspended.

These measures shall be implemented by the responsible departments and the agencies of the United States Government and will remain in place for two years, except to the extent that the Secretary of State or Deputy Secretary of State may subsequently determine otherwise.  A new determination will be made in the even that circumstances change in such a manner as to warrant a change in the duration of sanctions.

3. Modification of Description of “Territory of Afghanistan Controlled by the Taliban” in Executive Order 13129 (67 FR 4301 on January 29, 2002)

Commentary: The Department of State has published a Notification that the Secretary of State in Delegation of Authority 235 of October 14, 1999, and in consultation with the Secretary of the Treasury, has determined that the Taliban controls no territory within Afghanistan, and modifies the description of the term “territory of Afghanistan controlled by the Taliban” to reflect that the Taliban controls no territory within Afghanistan.

4. Office of Defense Trade Controls; Notifications to the Congress of Proposed Commercial Export Licenses (67 FR 4301 on January 29, 2002)

Commentary: The Department of State has published a Notification of Proposed Commercial Export Licenses to Congress that exceed the $50,000,000 Congressional Notification threshold for exports to Canada, France, India, Japan, Norway, Republic of Korea, Taiwan, and the United Kingdom.  The Department of State has also published a Notification of Proposed Technical Assistance Agreements and Manufacturing Agreements with Germany, the Netherlands, and Spain, Japan, South Korea, Turkey, Australia, New Zealand, and the United Kingdom.

5. Office of Defense Trade Controls; Notifications to the Congress of Proposed Commercial Export Licenses (67 FR 9492 on March 1, 2002)

Commentary: The Department of State has published a Notification of four proposed licenses for the export of defense articles to India.  The Department of State has also published a Notification of Proposed Commercial Export Licenses to Congress that exceed the $50,000,000 Congressional Notification threshold for exports to Australia, Belgium, Denmark, France, Germany, Japan, Mexico, Philippines, Taiwan, Turkey, and the United Kingdom.  The Department of State has also published a Notification of Proposed Manufacturing Licenses Agreements with Belgium, Canada, Czech Republic, Denmark, France, Greece, Hungary, Iceland, Italy, Luxembourg, the Netherlands, Norway, Poland, Portugal, Spain, Turkey, United Kingdom, Australia, Japan, South Korea, New Zealand, Singapore, Thailand, Bahrain, Egypt, Kingdom of Saudi Arabia, Kuwait, Oman, Argentina, Brazil, and Chile.

6. Bureau of Political-Military Affairs; Statutory Debarment Under the International Traffic in Arms Regulations (67 FR 10033 on March 5, 2002)

Commentary: The Department of State has published notice imposing statutory debarment pursuant to § 127.7(c) of the International Traffic in Arms Regulations (“ITAR”) (22 CFR 120 to 130) on persons convicted of violating or conspiring to violate section 38 of the Arms Export Control Act (“AECA”) (22 U.S.C. 2778).  The following persons have been statutorily debarred by the Assistant Secretary of State for Political-Military Affairs for a period of three years following their conviction for AECA: A & C International Trade, Inc.; John Raymond Thompson; Daniel A. Malloy; Shalom Shaphyr; Siraj International, Inc.; Gia An Du a.k.a. Anthony Huynh, a.k.a. Simon Du, a.k.a. Gia Simon Du; Michael Nathan Kitundu; Morris Rothenberg & Son, Inc., d.b.a Rothco; and Far East Trading Company, Inc. a.k.a. FETCO, Inc.

7. Designations of Terrorists and Terrorist Organizations Pursuant to Executive Order 13224 of September 23, 2001 (67 FR 12633 on March 19, 2002)

Commentary: The Department of State has published a designation by the Secretary of State of foreign persons whose property and interests in property have been blocked pursuant to Executive Order 13224 of September 23, 2001.  These designations comprise 8 individuals and 29 organizations determined to meet the criteria set forth under subsection 1(b) of Executive Order 13224.

8. Office of the Coordinator for Counterterrorism; Designation Under Executive Orders (67 FR 14761 on March 27, 2002)

Commentary: The Department of State has published a designation under Executive Orders 13224 and 12947 that the Deputy Secretary of State has determined that the Al-Aqsa Martyrs Brigade (also known as the Al-Aqsa Martyrs Battalion) has committed, or poses a serious risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States.

Pursuant to section 1(a)(ii)(A) of the Executive Order 12947 of January 23, 1995, the Deputy Secretary of State, acting under the authority delegated to him by the Secretary of State, in consultation with the Secretary of the Treasury and the Attorney General, has also determined that the Al-Aqsa Martyrs Brigade (also known as the Al-Aqsa Martyrs Battalion) has committed, or poses a serious risk of committing, acts of violence that have the purpose of effect of disrupting the Middle East Peace Process.

9. Office of the Coordinator for Counterterrorism; Designation of Foreign Terrorist Organizations (67 FR 14761 on March 27, 2002)

Commentary: The Secretary of State has designated two organizations as foreign terrorist organizations.  They are Al-Aqsa Martyrs Brigade also known as the Al-Aqsa Martyrs Battalion; Asbat Al-Ansar; and Salafist Group for Call and Combat also known as the Salafist Group for Preaching and Combat also known as GSPC also known as Groupe Salafiste poure la Predication et le Combat.

10. Armenia and Azerbaijan; proscribed destinations; removal from list (67 FR 15101 on March 29, 2002)

Commentary: The Department of State has published a final rule which amends the International Traffic in Arms Regulations by removing Armenia and Azerbaijan from the list of proscribed destinations in Section 126.1 of the ITAR.

11. Exemptions for U.S. Institutions of Higher Learning (67 FR 15101 on March 29, 2002)

Commentary:  This rule amends the International Traffic in Arms Regulations (ITAR) by establishing an exemption for accredited U.S. institutions of higher learning from obtaining a license for the permanent export, temporary export, and temporary import of most articles fabricated only for fundamental research purposes covered by Category XV(a) or (e) of the U.S. Munitions List. Consistent with the current exemption found in the regulations on registration of manufacturers and exporters, registration is not required for use of these exemptions.

12. Bureau of Political-Military Affairs; Suspension of Munitions Export Licenses to Zimbabwe (67 FR 18978 on April 17, 2002)

Commentary: The Department of State has published a notice that all licenses and approvals to export or otherwise transfer defense articles and defense services to Zimbabwe pursuant to Section 38 of the Arms Export Control Act (AECA) are suspended until further notice.  The Department of State also noted that it is now the policy of the U.S. Government to deny all applications for licenses and other approvals to export or otherwise transfer defense articles and defense services to Zimbabwe.

13. Bureau of Nonproliferation – Correction of Certain Missile Proliferation Sanctions Imposed on the Pakistani Ministry of Defense (MOD) (67 FR 19306 on April 18, 2002)

Commentary: The Department of State has published a notice correcting Public Notice 2828 “Waiver of Certain Missile Proliferation Sanctions Imposed on the Pakistani Ministry of Defense (MOD),” issued November 13, 2001. P.N. 3838 contains a typographical error under “Supplement Information,” line 15.  The incorrect test reads, “* * * (1) To support Operation Enduring Freedom and (2) to permit sale * * * .”  The correct text (below) should read, “* * * (1) To support Operation Enduring Freedom or (2) to permit sale * * *.”

14. Amendments to the United States Munitions List (67 FR 20894 on April 29, 2002)

Commentary: The Department of State has published a rule, which revises Category I – Firearms – of the U.S. Munitions List (USML).  The title of the revised category is being changed to include close assault weapons and combat shotguns.  Certain interpretations (e.g., definitions) of firearms and their components and parts previously found elsewhere in the International Traffic in Arms Regulations (ITAR) are being consolidated in the revised text for Category I.  Reference to related exemptions from export licensing requirements of the ITAR are also being added.  Further, certain accessories, such as silencers, sound suppressors and flash suppressors are, hereafter, designated significant military equipment (“SME”).

15. Office of Defense Trade Controls; Notifications to the Congress of Proposed Commercial Export Licenses (67 FR 22474 May 3, 2002)

Commentary: The Department of State has published a Notification of nine proposed licenses for the export of defense articles to India.  The Department of State has also published a Notification of Proposed Commercial Export Licenses to Congress that exceed the $50,000,000 Congressional Notification threshold for exports to Algeria, Belgium, Canada, Egypt, Finland, France, Malaysia, Morocco, Nigeria, Norway, Oman, Qatar, Russia, Saudi Arabia, Sweden, Tunisia, Turkey, and United Kingdom. The Department of State has also published a Notification of Proposed Manufacturing Licenses Agreements with Switzerland and Japan.  Finally, The Department of State has published a Notification of a Proposed Technical Assistance Agreement with Bulgaria.

16. Bureau of Political-Military Affairs; Rescission of Policy of Denial for China National Aero-Technology Import and Export Corporation (CATIC), China National Aero-Technology International Supply Company, CATIC (USA) Inc., Yan Liren and Hu Boru (Employees of CATIC), McDonnell Douglas Corporation, Douglas Aircraft Company and Robert Hitt (Employee of McDonnell Douglas Corporation and Douglas Aircraft Company); Continuation of Policy of Denial for Tal Industries Inc. (67 FR 30749 on May 7, 2002)

Commentary: The Department of State has published a notice partially rescinding Public Notice 3195 which established as a policy of the Department of State the denial of all export applications and other requests of approval pursuant to section 38 of the Arms Export Control Act (“AECA”).  The recession applies only to China National Aeo-Technology Import and Export Corporation (CATIC), China National Aero-Technology International Supply Company, CATIC (USA) Inc., Yan Lire, Hu Boru, McDonnell Douglas Corporation, Douglas Aircraft Company and Robert Hitt.  The Policy of Denial announced in Public Notice 3195 for Tal Industries, Inc. will continue to be in effect.

17. Bureau of Nonproliferation; Imposition of Nonproliferation Measures Against Armenian, Chinese, and Moldovan Entities, Including Ban on U.S. Government Procurement (67 FR 34983 on May 16, 2002)

Commentary: The Department of State has determined that two Armenian entities, eight Chinese entities and two Moldovan entities have engaged in activities that require the imposition of measures pursuant to Section 3 of the Iran Nonproliferation Act of 2000, which provides for penalties on entities for the transfer to Iran of equipment and technology controlled under multilateral export control lists. These entities are: Lizen Open Joint Stock Company (Armenia) and any successor, sub-unit, or subsidiary thereof; Armen Sargsian (Armenia); Liyang Yunlong, aka Liyang Chemical Equipment Company (China), and any successor, sub-unit, or subsidiary thereof; Zibo Chemical Equipment Plant, aka Chemet Global Ltd. (China), and any successor, sub-unit, or subsidiary thereof; China National Machinery and Electric Equipment Import and Export Company (China) and any successor, sub-unit, or subsidiary thereof; Wha Cheong Tai Company (China) and any successor, sub-unit, or subsidiary thereof; China Shipbuilding Trading Company (China) and any successor, sub-unit, or subsidiary thereof; The China Precision Machinery Import/Export Corporation (China) and any successor, sub-unit, or subsidiary thereof;  The China National Aero-Technology Import and Export Corporation (China) and any successor, sub-unit, or subsidiary thereof; Q.C. Chen (China); Cuanta, SA (Moldova and any successor, sub-unit, or subsidiary thereof; and Mikhail Pavlovich Vladov (Moldova).

18. Determination and Certification Under Section 40A of the Arms Export Control Act (67 FR 36063 on May 22, 2002)

Commentary: The Department of State pursuant to Section 40A of the Arms Export Control Act (Public Law 90-629), as added by Section 330 of the Antiterrorism and Effective Death Penalty Act of 1996 (Public Law 104-132) (22 U.S.C. 2771 et seq.), and Executive Order 11958, as amended, determine and certify to Congress that the following countries are not cooperating fully with the United States antiterrorism efforts:  Cuba, Iran, Iraq, Libya, North Korea, Sudan and Syria.

19. Bureau of Political-Military Affairs:  Amendment to the List of Proscribed Destinations in the International Traffic in Arms Regulations (67 FR 44352 July 2, 2002)

Commentary: The Department of State has published a rule amending the International Traffic in Arms Regulations (ITAR) by modifying the policy regarding Afghanistan on the list of proscribed destinations for exports and sales.  Specifically, the Department of State is amending the ITAR to modify the denial policy regarding Afghanistan.  It is the policy of the United States to deny licenses, other approvals, exports and imports of defense articles and defense services, destined for or originating in Afghanistan except for the Government of Afghanistan (currently the Afghan Interim Authority or AIA) and the International Security Assistance Force (ISAF).  Further, lists of persons subject to an arms embargo due to their affiliation with the Taliban, Usama bin Laden, Al-Qaida and their associates will continue to be published in a separate notice or notices.  This action is being taken in the interests of foreign policy and national security pursuant to Section 38 of the Arms Export Control Act.  Requests for licenses or other approvals for the Government of Afghanistan and ISAF involving items covered by the U.S. Munitions List (22 CFR Part 121) will be reviewed on a case-by-case basis.

20. Determination Pursuant to Section 1(b) of Executive Order 13224 Relating to Babar Khalsa International and the International Sikh Youth Federation (67 FR 44662 July 3, 2002)

Commentary: The Department of State, acting under the authority of Section 1(b) of Executive Order 13224 of September 23, 2001, and in consultation with the Secretary of the Treasury and the Attorney General, had determined that Babbar Khalsa International and the International Sikh Youth Federation has committed, or pose a serious risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States.

21. Office of Defense Trade Controls; Notifications to the Congress of Proposed Commercial Export Licenses (67 FR 22474 May 3, 2002)

Commentary: The Department of State has published a Notification of seventeen proposed licenses for the export of defense articles to India, and one proposed license for the export of defense articles to Pakistan.  The Department of State has also published a Notification of Proposed Commercial Export Licenses to Congress that exceed the $50,000,000 Congressional Notification threshold for exports to Australia, Cayman Islands, Denmark, Dominican Republic, Egypt, Germany, Israel, Italy, Japan, Mexico, Norway, Russia, Saudi Arabia, Spain, South Korea, Sweden, Turkey, United Kingdom and Ukraine. The Department of State has also published a Notification of Proposed Manufacturing Licenses Agreements with Italy and Japan.  Finally, The Department of State has published a Notification of a Proposed Technical Assistance Agreement with Taiwan.

22. Bureau of Political-Military Affairs; Use of Exemption at Section 123.17 of the ITAR for Zimbabwe (67 FR 48242 on July 23, 2002)

Commentary: The Department of State has published a notice authorizing the use of the license exceptions identified at Section 123.17 of the International Traffic in Arms Regulations (ITAR) (22 CFR Parts 120-130) for use in connection with certain exports of firearms and ammunition to Zimbabwe. 

23. Bureau of Nonproliferation:  Imposition of Nonproliferation Measures Against Entities in the People’s Republic of China and in India (67 FR 48696 July 25, 2002)

Commentary: The Department of State has published notice of determination that the following persons have engaged in proliferation activities that require the imposition of measures pursuant to the Iran-Iraq Arms Non-Proliferation Act of 1992 and/or the chemical/biological nonproliferation provisions of the Arms Export Control Act and the Export Administration Act of 1979 (as continued by E.O. 13222 of August 17, 2001). The entities are:  Jiangsu Yongli Chemicals and Technology Import and Export Corporation (China), or any successor entities, parents or subsidiaries; Q.C. Chen (China); China Machinery and Equipment Import Export Corporation (China) and any successor entities, parents or subsidiaries; China National Machinery and Equipment Import Export Corporation (China) and any successor entities, parents or subsidiaries; CMEC Machinery and Electric Equipment Import and Export Company Ltd. (China) and any successor entities, parents, or subsidiaries; CMEC Machinery and Electrical Import Export Company, Ltd. (China) and any successor entities, parents, or subsidiaries; China Machinery and Electric Equipment Import and Export Company (China) and any successor entities, parents, or subsidiaries; Wha Cheong Tai Company Ltd. (China) and any successor entities, parents or subsidiaries; China Shipbuilding Trading Company (China) and any successor entities, parents, or subsidiaries; Hans Raj Shiv (previously residing in India, and last believed to be in the Middle East).

The following measures are imposed on the above persons:  (1) For a period of two years, the United States Government shall not procure, or enter into any contract for the procurement of, any goods, or services from the sanctioned person; and (2) For a period of two years, the United States Government shall not issue any license for any export by or to the sanctioned person.

The Department of State has also determined that the following foreign persons have engaged in chemical weapons proliferation activities that require the imposition of measures as described in Section 81(c) of the Arms Export Control Act (22 U.S.C. 2798) and Sections 11C(c)(1) of the Export Administration Act of 1979 (50 U.S.C. app 2410C (as continued by E.O. 13222 of August 17, 2001).  The foreign persons are:  Jiangsu Yongli Chemicals and Technology Import and Export Corporation, and its successors (China); Q.C. Chen (China); China Machinery and Equipment Import Export Corporation, and its successors (China); China National Machinery and Equipment Import Export Corporation, and its successors (china); CMEC Machinery and Electric Equipment Import and Export Company Ltd., and its successors (China); CMEC Machinery and Electrical Import Export Company, Ltd., and its successors (China); China Machinery and Electric Equipment Import and Export Company and its successors (China); and Wha Cheong Tai Company Ltd., and its successors (China).

The following measures are imposed on these entities:  (1) The United States Government shall not procure, or enter into any contract for the procurement of, any goods or services from the sanctioned persons and (2) The importation into the United States of products produced by the sanctioned persons shall be prohibited.

24. Office of the Coordinator for Counterterrorism; Designation of Foreign Terrorist Organizations (67 FR 51921 August 9, 2002)

Commentary: The Department of State, pursuant to section 219 of the Immigration and Nationality Act (“INA”), as added by the Antiterrorism and Effective Death Penalty Act of 1996, Public Law 104-132, §302,m 110 Stat. 1214, 1248 (1996), and amended by the Illegal Immigration Reform and Immigrant Responsibility Act of 1996, Public Law 104-208, 110 Stat. 3009 (1996), the Secretary of State hereby designates, effective August 9, 2002, the following organizations as foreign terrorist organizations:  The Communist Party of the Philippines, also known as the CPP, also known as the New People’s Army, also known as the NPA. 

25. Office of Counterterrorism; Determination Pursuant to Section 1(b) of Executive Order 13224 Relating to New People’s Army/Communist Party of the Philippines and Jose Maria Sison (67 FR 53379 August 15, 2002)

Commentary: The Department of State, acting under the authority of Section 1(b) of Executive Order 13224 of September 23, 2001, and in consultation with the Secretary of the Treasury and the Attorney General, have determined that the New People’s Army/Communist Party of the Philippines and Jose Maria Sison have committed, or pose a significant risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States.

Consistent with the determination in section 10 of Executive Order 13224 that prior notice to persons determined to be subject to the Order who might have a constitutional presence in the United States would render ineffectual the blocking and other measures authorized in the Order because of the ability to transfer funds instantaneously, the Secretary of State determined that no prior notice need be provided to any person subject to this determination who might have a constitutional presence in the United States because to do so would render ineffectual the measures authorized in the Order.

26. Determination Under the Arms Export Control Act (67 FR 54693 August 23, 2002)

Commentary: The Department of State, pursuant to section 654(c) of the Foreign Assistance Act of 1961, as amended, notice is hereby give that the Secretary of State has made a determination pursuant to Section 73 of the Arms Export Control Act and has concluded that publication of the determination would be harmful to the national security of the United States. 

27. Imposition of Missile Proliferation Sanctions Against a North Korean Entity (67 FR 54693 August 23, 2002)

Commentary: The Bureau of Nonproliferation has published a determination that a North Korean entity has engaged in activities that require the imposition of measures pursuant to the Arms Export Control Act, as amended, and the Export Administration Act of 1979, as amended (as carried out under Executive Order 13222 of August 17, 2001). The name of the entity is Changgwang Sinyong Corporation (North Korea) and its sub-units and successors.  The following sanctions are being imposed:  (A) New individual licenses for exports to the person described above of MTCR Annex-controlled equipment or technology controlled pursuant to the Export Administration Act of 1979 will be denied for two years; (B) New licenses for export to the person described above of MTCR Annex-controlled equipment or technology controlled pursuant to the Arms Export Control Act will be denied for two years; and (C) No new United States Government contracts relating to MTCR Annex-controlled equipment or technology involving the person described above will be entered into for two years.  With respect to items controlled pursuant to the Export Administration Act of 1979, the export sanctions only apply to exports made pursuant to individual export licenses.

Additionally, because North Korea is a country with a non-market economy that is not a former member of the Warsaw pact (as referenced in the definition of “person” in section 74(8)(B) of the Arms Export Control Act), the following sanctions shall be applied to all activities of the North Korean government relating to the development or production of missile equipment or technology and all activities of the North Korean government affecting the development or production of electronics, space system, or equipment, and military aircraft: (A) New individual license for export to the government activities described above of MTCR Annex-controlled equipment or technology controlled pursuant to the Arms Export Control Act will be denied for two years; and (B) No new U.S. Government contracts related to MTCR Annex-controlled equipment or technology involving the government activities described above will be entered into for two years.

28. Determination Pursuant to Section 1(b) of Executive Order 13224 Relating to the Eastern Turkistan Islamic Movement (ETIM) (67 FR 57054 September 6, 2002)

Commentary: The Department of State, acting under the authority of Section 1(b) of Executive Order 13224 of September 23, 2001, and in consultation with the Secretary of the Treasury and the Attorney General, hereby determines that the Eastern Turkistan Islamic Movement (ETIM) has committed, or poses a significant risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States.

29. Imposition of Lethal Military Equipment Sanctions Against the Government of Russia and Waiver of These Sanctions and Imposition of Discretionary Measures Against Three Russian Entities (67 FR 57865 September 12, 2002)

Commentary: The Department of State has determined that the Government of Russia transferred lethal military equipment to countries determined by the Secretary of State to be state sponsors of terrorism.  The United States Government determined that, despite the transfers, furnishing assistance to the Government of Russia (excluding the three entities responsible for the transfer should they be otherwise eligible for assistance) is important to the national interest of the United States.  Further, it is the policy of the United States Government to deny all U.S. Government assistance, contracts, and defense-related licenses to these entities.  The three entities are Tula Design Bureau of Instrument Building (Tula KBP); The State Scientific Production Enterprise Bazalt (Bazalt); and Rostov Airframe Plant 168 (Rostvertol).  These measures shall be implemented by the responsible departments and agencies of the United States Government and will remain in place for one year.

30. Office of Defense Trade Controls; Notifications to the Congress of Proposed Commercial Export Licenses (65 FR 58890 on September 18, 2000)

Commentary: The Department of State has published a Notification of Proposed Licenses for the export of defense articles to India and Pakistan.  The Department of State has also published Notification of Proposed Commercial Export Licenses to Congress that exceed the $50,000,000 Congressional Notification thresholds. The licenses are for exports to Belgium, Canada, Finland, France, Greece, Israel, Italy, Japan, Kourou – French Guiana, Netherlands, Norway, Poland, Russia, South Korea, Thailand, Turkey, Ukraine, and the United Kingdom. The Department of State has also published Notification of Proposed Manufacturing Licensing Agreements with Canada, Germany, Japan and Turkey.

31. Amendment to the International Traffic in Arms Regulations:  United States Munitions List (67 FR 58984 September 19, 2002)

Commentary: The Department of State is revising the U.S. Munitions List (USML), Category II—Artillery Projectors, Category III—Ammunition, Category VII—Tanks and Military Vehicles, and Category XVI—Nuclear Weapons Design and Test Equipment.  Also, in order to provide complete coverage of an emerging technology, Category XVIII, currently “Reserved”, is revised to control directed energy weapons.  Categories II, III, and XVI are revised to amend the titles to provide more comprehensive coverage of items controlled in the categories.  Category II is further amended for clarity, to move self-propelled guns and howitzers and their engines from Category VII(c) and (g), respectively, and to specifically identify kinetic energy weapons systems, and specifically designed production, tooling, test and evaluation equipment.  Category II, is further amended to enhance the control on signature control materials currently found only in Category XIII(j).  Category VII is amended to delete paragraph (c) and to amend paragraph (g) to delete the engines for self-propelled guns and howitzers and to renumber the paragraphs.  The interpretations and amplifications of categories currently found elsewhere in the International Traffic in Arms Regulations (ITAR) relative to Categories III and VII, respectively, are also being included in the revised text of the relevant category.  Category XVI is revised to include a new paragraph identifying specifically designed or modified components, parts, accessories, attachments, and associated equipment for the articles in the category. 

In addition, the regulations are amended to more properly identify the alternative control and transfer authorities on nuclear materials under other statutes implemented by other agencies.  Finally, in implementation of the Presidential Determination No. 2002-10 of March 14, 2002, Bahrain is added as a major non-NATO ally of the United States.

32. Amendments to the United States Munitions List (67 FR 59733 September 23, 2002)

Commentary: The Department of State is revising Category XV—Spacecraft Systems and Associated Equipment—of the U.S. Munitions List (USML).  This regulation clarifies that certain “space qualified” items are covered by the USML within the International Traffic in Arms Regulations (ITAR).

33. Office of the Coordinator for Counterterrorism; Designation of a Foreign Terrorist Organization (67 FR 60278 September 25, 2002)

Commentary: The Department of State, pursuant to Section 219 of the Immigration and Nationality Act (“INA”), as added by the Antiterrorism and Effective Death Penalty Act of 1996, Public Law 104-132, Section 302, 110 Stat. 1213, 1248 (1996), and amended by the Illegal Immigration Reform and Immigrant Responsibility Act of 1996, Public Law 104-208, 110 Stat. 3009 (1996), and by the Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT ACT) Act of 2001, Public Law 107-56 (2001), the Secretary of State hereby redesignates, effective September 25, 2002, the following organization as a foreign terrorist organization:  The Islamic Movement of Uzbekistan also know as the IMU.

34. Office of the Coordinator for Counterterrorism; Designation of Foreign Terrorist Organizations (67 FR 65168 October 23, 2002)

Commentary: The Department of State, pursuant to Section 219 of the Immigration and Nationality Act (“INA”), as added by the Antiterrorism and Effective Death Penalty Act of 1996, Pub. L. No. 104-132, § 302, 110 Stat. 1214, 1248 (1996), and amended by the Illegal Immigration Reform and Immigrant Responsibility Act of 1996, Pub. L. No. 104-208, 110 Stat. 3009 (1996) and by the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT ACT) Act of 2001, O.L. 107-56 (2001), the Secretary of State hereby designates, effective October 23, 2002, the following organization as a foreign terrorist organization:  Jemaah Islamiya.

35. Bureau of Political-Military Affairs; Denied Persons Pursuant to UN Security Council Resolution (67 FR 65398 October 24, 2002)

Commentary: The Department of State has published notification of persons that are subject to an arms embargo in implementation of UN Security Council Resolution 1390 (2002).  This action is being taken pursuant to Sections 38 and 42 of the Arms Export Control Act and in accordance with Section 5 of the UN Participation Act (UNPA) and E.O. 12918.

Section 2(c) of UN Security Council Resolution 1390 (2002) requires an arms embargo against those individuals, groups, undertakings and entities listed in the consolidated list created pursuant to UN Security Council Resolutions 1267 (199) and 1333 (2000).  Specifically, the Resolution requires that Member States prevent the direct or indirect supply, sale and transfer, to those on the Sanctions Committee list, from their territories, or using their flag vessels or aircraft, or arms and related material of all types including weapons and ammunition, military vehicles and equipment, paramilitary equipment, and spare parts for the aforementioned and technical advice, assistance, or training related to military activities.  U.S. manufacturers and exporters and any other affected parties are hereby notified the Department has imposed a policy of denial for any new license application or other request for approval for the export or transfer of defense articles or defense services if any of the names on the list appear in connection with the application or other request for approval subject to Section 38 of the Arms Export Control Act.  This action also precludes the use of any exemptions from licensing or other approval (e.g. brokering) requirements available under the International Traffic In Arms Regulations (ITAR) involving any person on the list.

This action was taken pursuant to Sections 38 and 42 of the AECA (22 U.S.C. 2778 and 2791) and §126.7 of the ITAR in furtherance of the foreign policy of the United States, and in accordance with Section 5 of the UNPA (22 U.S.C. 287(c)) and E.O. 12918.  For a complete list of persons, please refer to the above federal register citation.

36. Determination Pursuant Ro Section 1(b) of Executive Order 13224 Relating to the Tunisian Combat Group (JCT) (65 FR 65824 on October 28, 2000)

Commentary: Acting under the authority of Section 1(b) of Executive Order 13224 of September 23, 2001, and in consultation with the Secretary of Treasury and the Attorney General, The Deputy Secretary determines that the Tunisian Combat Group (JCT) has committed, or poses a significant risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States.

37. Determination Pursuant to Section 1(b) of Executive Order 13224 Relating to Jemaah Islamiya (JI) (67 FR 66034 September 29, 2002)

Commentary: Acting under the authority of Section 1(b) of Executive Order 13224 of September 23, 2001, and in consultation with the Secretary of Treasury and the Attorney General, the Secretary of State hereby determines that the Jemaah Islamiya (JI) has committed, or poses a significant risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States.

38. Office of Defense Trade Controls; Notifications to the Congress of Proposed Commercial Export Licenses (65 FR 66436 on October 31, 2000)

Commentary: Commentary: The Department of State has published a Notification of Proposed Licenses for the export of defense articles to India and Pakistan.  The Department of State has also published Notification of Proposed Commercial Export Licenses to Congress that exceed the $50,000,000 Congressional Notification thresholds. The licenses are for exports to Algeria, France, Kourou - French Guiana, Greece, Japan and the Republic of Korea. The Department of State has also published Notification of Proposed Manufacturing Licensing Agreements with Japan and the United Kingdom.

39. Amendment to the International Traffic in Arms Regulations, United States Munitions List (67 FR 70839 on November 27, 2002)

Commentary: The Department of State is revising Category V – Explosives, Propellants, Incendiary Agents, and Their Constituents and Category XIV – Toxicological Agents and Equipment and Radiological Equipment, of the U.S. Munitions List (USML).  Amendments are made to the titles of both categories to better reflect the items included in the category and to move the texts of the definitional and interpretive provisions to the appropriate category.  Also, to assist exporters, Category V and XIV are reformatted to identify the items by their predominant use.  Exporters are also being provided Chemical Abstract Service (CAS) numbers and Chemical Weapons Convention (CWC) references. 

In addition to reformatting and changes in the language for clarification, Category XIV and Category V are revised to move from the USML to the jurisdiction of the Department of Commerce several items that have been identified as having predominantly commercial application and no significant military applicability. The items so transferred in Category XIV are fluorine, liquid pepper and chloropicrin.  The items so transferred in Category V are nitroguanidine (NG), guanidine nitrate, compounds composed of fluorine and one or more of the following:  Other halogens, oxygen, nitrogen, and propyleneimide 2-methylaziridine, unless the articles are compounded or mixed with any item controlled by the USML.

40. Office of Defense Trade Controls; Notifications to the Congress of Proposed Commercial Export Licenses (67 FR 71601 on December 2, 2002)

Commentary: The Department of State has published a Notification of Proposed Export Licenses pursuant to Section 126.14 of the International Traffic in Arms Regulations concerning a Global Project Authorization (GPA) and Section 36(c) of the Arms Export Control Act for export of technical data and defense services to the countries of Australia, Canada, Denmark, Italy, Norway, the Netherlands, Turkey and the United Kingdom.  The Department of State has also published Notification of Proposed Commercial Export Licenses to Congress that exceed $14,000,000 or more to South Korea.  The Department of State has also published Notification of Proposed Commercial Export Licenses to Congress that exceed the $50,000,000 Congressional Notification thresholds for exports to France, Israel, Kuwait, Republic of Korea, South Korea, and Taiwan. The Department of State has also published Notification of Proposed Commercial Export Licenses to Congress that exceed $1,000,000 to Japan and the United Kingdom.

The Department of State has also published Notification of Proposed Manufacturing Licensing Agreements with Argentina, Brazil, Canada, Chile, Columbia, Dominican Republic, Egypt, Ecuador, Germany, Israel, Jamaica, Japan, Kuwait, Malaysia, Oman, Peru, the Philippines, Qatar, Saudi Arabia, Taiwan, Thailand, United Kingdom, and Venezuela.

41. Determination Pursuant to Section 1(b) of Executive Order 13224 Relating to the Moroccan Islamic Combatant Group (GICM) (67 FR 77311 December 17, 2002)

Commentary: Acting under the authority of Section 1(b) of Executive Order 13224 of September 23, 2001, and in consultation with the Secretary of the Treasury and the Attorney General, the Secretary of State hereby determined that the Moroccan Islamic Combatant Group (GICM) has committed, or poses a significant risk of committing, acts of terrorism that threaten the security of U.S. nationals or the national security, foreign policy, or economy of the United States.

Consistent with the determination in Section 10 of Executive Order 13224 that “prior notice to persons determined to be subject to the Order who might have a constitutional presence in the United States would render ineffectual the blocking and other measures authorized in the Order because of the ability to transfer funds instantaneously,” the Secretary determined that no prior notice need be provided to any person subject to this determination who might have a constitutional presence in the United States because to do so would render ineffectual the measures authorized in the Order.

42. Bureau of Political-Military Affairs; Amendments to the International Traffic in Arms Regulations:  Canadian Exemption (67 FR 78685 December 26, 2002)

Commentary: The Department of State has published a final rule clarifying the Canadian Exemption at the International Traffic in Arms Regulations (ITAR) as to how the Department of State will identify Canadian Crown Corporations as authorized end-users.  On February 16, 2001, the Department of State published a final rule amending the Canadian Exemption (22 CFR 126.5) of the ITAR (66 FR 10575). In the 2001 rule, authorized end-users included Canadian Federal or Provincial governmental authorities acting in an official capacity or a “Canadian-registered person.”  The term “Canadian-registered person” encompassed any Canadian national (including Canadian business entities organized under the laws of Canada), dual national, and permanent resident registered in Canada in accordance with the Canadian Defence Production Act, and such other Canadian Crown Corporations as may be identified by the Department of State.  This final rule amends Section 126.5(b) of the ITAR by adding “Canadian Crown Corporations identified by the Department of State in a list of such persons publicly available through the Internet Website of the Office of Defense Trade Controls and by other means.”