CE CE Export Controls & Sanctions Compliance

Question 1

Which U.S. agency administers the Export Administration Regulations (EAR) and controls dual-use items?

Accepted Answer

Bureau of Industry and Security (BIS), Department of Commerce

Answer

Directorate of Defense Trade Controls (DDTC), Department of State

Answer

Office of Foreign Assets Control (OFAC), Department of Treasury

Answer

U.S. Customs and Border Protection (CBP), Department of Homeland Security

Question 2

What is an Export Control Classification Number (ECCN) and where is it found?

Accepted Answer

An alphanumeric code on the Commerce Control List (CCL) that identifies dual-use items subject to EAR export controls

Answer

A license number issued by BIS for a specific export transaction

Answer

A code printed on the shipping label by the freight forwarder

Answer

A classification assigned by the importer for duty purposes

Question 3

What does EAR99 mean for an exported product?

Accepted Answer

The item is subject to EAR but not listed on the Commerce Control List, and therefore generally may be exported without a license to most destinations

Answer

The item requires an export license to all countries

Answer

The item is controlled under the International Traffic in Arms Regulations (ITAR)

Answer

The item is exempt from all U.S. export regulations

Question 4

What is ITAR and which types of goods does it control?

Accepted Answer

International Traffic in Arms Regulations; it controls defense articles, defense services, and related technical data on the U.S. Munitions List

Answer

International Trade and Revenue Regulations; it governs import tariff collection

Answer

Integrated Trade and Accounting Regulations; it governs export financial reporting

Answer

International Tariff and Revenue Act; it sets MFN duty rates

Question 5

What is the Entity List maintained by BIS and what does it mean if a party is listed?

Accepted Answer

A list of foreign persons, companies, and government entities that require a BIS license for exports of items subject to the EAR due to proliferation or security concerns

Answer

A list of U.S. exporters that have been sanctioned for violations

Answer

A directory of authorized foreign distributors approved by BIS

Answer

A list of countries with preferential trade status under the EAR

Question 6

What is OFAC and what sanctions programs does it administer?

Accepted Answer

Office of Foreign Assets Control; it administers economic and trade sanctions programs against targeted countries, entities, and individuals (e.g., Iran, Russia, North Korea, SDNL)

Answer

Office of Federal Audit Control; it audits export compliance programs

Answer

Office of Foreign Assistance Contracts; it manages foreign aid disbursements

Answer

Office of Foreign Affairs Coordination; it supports U.S. embassies abroad