Government Contracts Final ITAR Rule Clarifies Licensing for Government Transfers
Tuesday, May 7, 2019

Final ITAR Rule Clarifies Licensing for Government Transfers

By Government Contracts Editorial Staff

A final rule issued by the Department of State amends the International Traffic in Arms Regulations to revise the licensing exemption for transfers made by or for a United States government agency. The rule revises ITAR 126.4 to clarify when exports, reexports, retransfers, temporary imports, and performance of a defense service may be made by or for a government agency without a license. The rule expands the scope of the exemption to allow for permanent exports, reexports, and retransfers, in addition to temporary exports and imports, and to allow transfers by third parties acting for the government. The rule also amends ITAR 126.1 to add new cross-references to ITAR 126.4. The Department proposed the changes in a May 22, 2015, rule (¶70,450.34). For the text of the final rule, which went into effect April 19, 2019, see ¶70,445.126.

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