This UK Industry-wide hybrid seminar enabled participants to learn about the latest developments related to the proposed export control rule changes and what these could mean for UK firms.
This event was a pivotal part of the consultations with UK Industry which were launched in response to the below consultations, and anyone interested or potentially impacted by the proposed changes is strongly encouraged to participate,
Background
On 15 February 2024, EGADD organised a webinar on The Proposed US Export Control Rule Changes in the FY24 National Defense Authorization Act, which focused on issues associated with the successful delivery of the trinational AUKUS initiative. AUKUS is a trilateral defence partnership between Australia, the UK and the US which was announced in September 2021, and comprises 2 “Pillars” and has been designed to facilitate close cooperation between the three nations on a broad range of defence capabilities. Pillar 1 is focused on conventionally-armed nuclear-powered submarines, whilst Pillar 2 is focused on a number of different high-technology capability areas, such as: cyber capabilities, artificial intelligence, quantum technologies, additional undersea capabilities, hypersonic and counter-hypersonic capabilities, electronic warfare, innovation, and information sharing. Naturally, it has been clearly identified that the successful delivery of such an ambitious multinational development and production initiative will require the need to address a number of perceived practical barriers, including export controls, to enable the free flow of technologies between the three nations.
Subsequently, on Wednesday 1 May 2024, the Directorate of Defence Trade Controls (DDTC) at the US Department of State published, at the start of a 30-day consultation period, a draft proposed rule outlining its proposals for the ITAR Exemption related to the delivery of AUKUS. Click here to read a copy of what has been published.
This publication is linked to similar proposed changes related to the parallel EAR system which were released on Thursday 18 April (Bureau of Industry & Security press release), with a very useful and insightful commentary from the world-renowned expert Kevin Wolf (Kevin Wolf commentary), as well as t he UK’s own Notice to Exporters, which was also released on Wednesday 1 May (Notice to Exporters update), and the launch of the UK Government’s own 60-day consultation period for an AUKUS-related Open General Export Licence. Meanwhile, the Australians have also launched their own consultations on their proposals, further details of which can be found here: Defence Trade Controls Amendment Act press release and AUKUS countries export licences press release.
All UK companies are strongly encouraged to have a detailed look at the above documents, and to assess them and what they are proposing.
SEMINAR
The seminar was open to any UK firms who would like to attend, and was attended by representatives of the US Government, the UK Government and the Australian Government, to air and discuss views and comments on what is being proposed by the three governments for the succesful delivery of AUKUS.
This was an invaluable opportunity for UK companies to understand what the three governments are looking for and what feedback would be most useful as part of their requests for comments, as well as enabling UK firms to learn about the latest developments related to the proposed rule changes and what these could mean for them, whilst also having an opportunity to present any queries that they may have to the attending government officials from the three nations, and to present to them some practical case studies of how they might be impacted by the proposed changes.
Speakers
The speakers included:
US Government
- Mike Vaccaro - Deputy Assistant Secretary of State for Defense Trade Controls, US Department of State
- Dr. Michael C. Horowitz - Deputy Assistant Secretary of Defense for Force Development and Emerging Capabilities in the Office of the Under Secretary of Defense for Policy, US Department of Defense (TBC)
- Sarah J. Heidema - Director of the Office of Defense Trade Controls Policy in the Political Military Bureau, US Department of State
- Philip Johnson - Senior Advisor, Export Enforcement, Bureau of Industry & Security, US Department of Commerce (participating virtually)
UK Government
- Laura Farhall - Minister Counsellor Defence Acquisition and Technology, Washington D.C. at UK Ministry of Defence
- Greg Mallitte - Assistant Head - UK-US & US Export Controls Policy, UK MoD
- Dean Gallacher - Head of UK & EU Policy, Export Control Joint Unit, Department for International Trade
Australian Government
- Dr Catherine Hallett - Acting Director of the Export Controls Branch in Australia’s Department of Defence
