[House Document 107-114]
[From the U.S. Government Publishing Office]
107th Congress, 1st Session - - - - - - - - - - - - House Document 107-114
CONTINUATION OF EXPORT CONTROL
REGULATIONS
__________
COMMUNICATION
from
THE PRESIDENT OF THE UNITED STATES
Transmitting
NOTIFICATION THAT HE HAS EXERCISED THE AUTHORITY GRANTED TO HIM TO
CONTINUE THE SYSTEM OF CONTROLS CONTAINED IN 15 C.F.R. PARTS 730-774
AND ISSUED AN EXECUTIVE ORDER TO CONTINUE EXPORT CONTROL REGULATIONS,
PURSUANT TO 50 U.S.C. 1703(b)
September 5, 2001.--Referred to the Committee on International
Relations and ordered to be printed
The White House,
Washington, August 17, 2001.
Hon. J. Dennis Hastert,
Speaker of the House of Representatives,
Washington, DC.
Dear Mr. Speaker: Pursuant to section 204(b) of the
International Emergency Economic Powers Act, 50 U.S.C. 1703(b),
I hereby report to the Congress that I have today exercised the
authority granted by this Act to continue in effect the system
of controls contained in 15 C.F.R. Parts 730-774, including
restrictions on participation by U.S. persons in certain
foreign boycott activities, that heretofore has been maintained
under the authority of the Export Administration Act of 1979
(EAA), as amended, 50 U.S.C. App. 2401 et seq. In addition, I
have made provision for the administration of section 38(e) of
the Arms Export Control Act, 22 U.S.C. 2778(e).
The exercise of this authority is necessitated by the
expiration of the EAA on August 20, 2001, and the lapse in the
system of controls maintained under that Act that would result
from such expiration.
In the absence of controls, foreign parties would have
unrestricted access to U.S. commercial products, technology,
and assistance, posing an unusual and extraordinary threat to
national security, foreign policy, and economic objectives
critical to the United States. In addition, U.S. persons would
not be prohibited from complying with certain foreign boycott
requests. This would seriously harm our foreign policy
interests, particularly in the Middle East.
Controls established in 15 C.F.R. Parts 730-774, and
continued by this action, include the following:
National security export controls restricting the
export of goods and technologies that would make a significant
contribution to the military potential of certain other
countries and that would prove detrimental to the national
security of the United States.
Foreign policy controls that further the foreign
policy objectives of the United States or fulfill its declared
international obligations in such widely recognized areas as
human rights, antiterrorism, regional stability, missile
technology nonproliferation, and chemical and biological
weapons nonproliferation.
Nuclear nonproliferation controls that are
maintained for both national security and foreign policy
reasons and that support the objectives of the Nuclear
Nonproliferation Act.
Short supply controls that protect domestic
supplies, and antiboycott regulations that prohibit compliance
with foreign boycotts aimed at countries friendly to the United
States.
Consequently, I have issued an Executive Order (a copy of
which is attached) to continue in effect all rules and
regulations issued or continued in effect by the Secretary of
Commerce under the authority of the EAA, and all orders,
regulations, licenses, and other forms of administrative
actions under the Act, except to the extent they are
inconsistent with sections 203(b) and 206 of the International
Emergency Economic Powers Act.
The Congress and the Executive have not permitted export
controls to lapse since they were enacted under the Export
Control Act of 1949. Any termination of controls could permit
transactions to occur that would be seriously detrimental to
the national interests we have heretofore sought to protect
through export controls and restrictions on compliance by U.S.
persons with certain foreign boycotts. I believe that even a
temporary lapse in this system of controls would seriously
damage our national security, foreign policy, and economic
interests and undermine our credibility in meeting our
international obligations.
The countries affected by this action vary depending on the
objectives sought to be achieved by the system of controls
instituted under the EAA. Potential adversaries may seek to
acquire sensitive U.S. goods and technologies. Other countries
serve as conduits for the diversion of such items. Still other
countries have policies that are contrary to U.S. foreign
policy or nonproliferation objectives, or foster boycotts
against friendly countries. For some goods or technologies,
controls could apply even to our closest allies in order to
safeguard against diversion to potential adversaries.
It is my intention to terminate the Executive Order upon
enactment into law of new authorizing legislation for the U.S.
export control regime. Such legislation is long overdue. The
EAA is a Cold War statute that does not reflect and is ill-
suited to deal with current economic and political realities.
There is a strong needed for a new statute to facilitate an
effective modern export control regime--one that safeguards our
national security and furthers our foreign policy objectives,
while recognizing the current realities of today's fast-paced
and dynamic business environment. I look forward to signing
into law such legislation in the near future.
Sincerely,
George W. Bush.
Executive Order
----------
Continuation of Export Control Regulations
By the authority vested in me as President by the
Constitution and the laws of the United States of America,
including but not limited to section 203 of the International
Emergency Economic Powers Act (``Act'') (50 U.S.C. 1702), I,
GEORGE W. BUSH, President of the United States of America, find
that the unrestricted access of foreign parties to U.S. good
and technology and the existence of certain boycott practices
of foreign nations, in light of the expiration of the Export
Administration Act of 1979, as amended (50 U.S.C. App. 2401 et
seq.), constitute an unusual and extraordinary threat to the
national security, foreign policy, and economy of the United
States and hereby declare a national emergency with respect to
that threat.
Accordingly, in order (a) to exercise the necessary
vigilance over exports and activities affecting the national
security of the United States; (b) to further significantly the
foreign policy of the United States, including its policy with
respect to cooperation by U.S. persons with certain foreign
boycott activities, and to fulfill its international
responsibilities; and (c) to protect the domestic economy from
the excessive drain of scarce materials and reduce the serious
economic impact of foreign demand, it is hereby ordered as
follows:
Section 1. To the extent permitted by law, the provisions
of the Export Administration Act of 1979, as amended, and the
provisions for administration of the Export Administration Act
of 1979, as amended, shall be carried out under this order so
as to continue in full force and effect and amend, as
necessary, the export control system heretofore maintained by
the Export Administration Regulations issued under the Export
Administration Act of 1979, as amended. The delegations of
authority set forth in Executive Order 12002 of July 7, 1977,
as amended by Executive Order 12755 of March 12, 1991, and
Executive Order 13026 of November 15, 1996; Executive Order
12214 of May 2, 1980; Executive Order 12735 of November 16,
1990; and Executive Order 12851 of June 11, 1993, shall be
incorporated in this order and shall apply to the exercise of
authorities under this order. All actions under this order
shall be in accordance with Presidential directives relating to
the export control system heretofore issued and not revoked.
Sec. 2. All rules and regulations issued or continued in
effect by the Secretary of Commerce under the authority of the
Export Administration Act of 1979, as amended, including those
published in Title 15, Subtitle B, Chapter VII, Subchapter C,
of the Code of Federal Regulations, Parts 730 through 774, and
all orders, regulations, licenses, and other forms of
administrative action issued, taken, or continued in effect
pursuant thereto, shall, until amended or revoked by the
Secretary of Commerce, remain in full force and effect as if
issued or taken pursuant to this order, except that the
provisions of sections 203(b)(2) and 206 of the Act (50 U.S.C.
1702(b)(2) and 1705) shall control over any inconsistent
provisions in the regulations. Nothing in this section shall
affect the continued applicability of administrative sanctions
provided for by the regulations described above.
Sec. 3. Provisions for administration of section 38(e) of
the Arms Export Control Act (22 U.S.C. 2778(e)) may be made and
shall continue in full force and effect until amended or
revoked under the authority of section 203 of the Act (50
U.S.C. 1702). To the extent permitted by law, this order also
shall constitute authority for the issuance and continuation in
full force and effect of all rules and regulations by the
President or his delegate, and all orders, licenses, and other
forms of administrative actions issued, taken, or continued in
effect pursuant thereto, relating to the administration of
section 38(e).
Sec. 4. This order shall be effective as of midnight
between August 20, 2001, and August 21, 2001, eastern daylight
time
George W. Bush.
The White House, August 17, 2001.