Specially Designed: Increase Your Accuracy and Decrease Burdensome Controls

Excercises

1) You have a system for which you obtained a Commodity Jurisdiction Determination from DDTC in 2013 stating your item is not controlled in Category XI or in any other USML category. Yesterday, DDTC revised Category XI to add a paragraph that controls systems that have certain specified functions and performance. Your item has those specified characteristics. Does the specially designed release in ITAR 120.41(b)(1) mean that the new changes to the USML do not cause your item to be controlled in the new Category XI paragraph because of the precedent CJ you have?

Use the following scenario for questions 2-4: USML Category VIII(h)(1) controls parts and components specially designed for the F-35. You have three parts you designed and developed only for use on the Category VIII(a) F-35 Joint Strike Fighter F-35. The parts are made out of specialized aerospace materials. In fact, the three parts are not usable in any other item. The first part is the F35bv-2 bushing. The second is the F35cv-3 simple cable assembly. The third part is the F35ca-3 simple cable assembly.

2) Does the 120.41(b)(2) release mean the three parts are not “specially designed” for the F-35?

3) You manufacture a B787cv-3 cable assembly that is similar to the F35cv-3 cable assembly. The B787cv-3 was designed and developed for, and used only in, the Boeing 787 commercial passenger jet. The B787cv-3 and F35cv-3 differ because the B787cv-3 is 12 inches long and the F35cv3 is 11 inches long. For that reason, it is impossible to use the F35cv-3 on the Boeing 787 because it is too short. They are both electrical cables with the same function and performance and they are made out of the same materials. Is the F35cv-3 specially designed for the F-35?

4) You manufacture a B787ca-3 cable assembly that is similar to the F35ca-3 cable assembly. The B787ca-3 was designed and developed for, and used only in, the Boeing 787 commercial passenger jet. The B787ca-3 and F35ca-3 differ because the B787ca-3 is 12 inches long and the F35ca-3 is 11 inches long. The only reason it is impossible to use the F35ca-3 on the Boeing 787 because it is too short—if it weren’t for the length issue, the parts would work perfectly well in both the 787 and F-35.

They are both electrical cables with the same function and performance. They are made out of the same materials except the F35ca-3 is coated with a different material than the B787ca-3 because the F35ca-3 operates in an area of the aircraft that is a higher temperature environment than that in which the B787ca-3 operates. This temperature resistance does not otherwise improve the electrical performance or any other performance characteristics of the F35ca-3 compared to the B787ca-3. The F35ca-3 cable would operate perfectly as a replacement for the B787ca-3 except for the fact that it is too short. Is the F35ca-3 specially designed for the F-35?

5) In 2012 we developed a new high speed memory chip that uses a unique material and design to deliver ultra-high speed operation while generating a usually low amount of heat. Even though it is more expensive than standard memory chips, it offers a speed that standard memory chips do not offer. When our start-up company developed the memory chip we did not know what it would be used in but we envisioned it would be useful in consumer electronics (e.g., games, virtual reality, communication, miniaturized computers) and in defense electronics (e.g., missile guidance systems, naval targeting systems, military communications systems).

After we successfully created prototypes in 2013, we intensively marketed our memory chip to all of those applications according to our detailed marketing plan that we had developed. As it turned out, we were able to find only one customer who wanted to purchase our memory chips so it could use them in its missile guidance systems which are on the USML. Since 2013, all of our sales have been for use in those missile guidance systems despite our best efforts to find other customers for other applications. Is this memory chip specially designed for missile guidance systems?

6) How does specially designed apply to determining ITAR USML controls on technical data or EAR CCL controls on technology?

7) Is it possible for an ITAR component to be controlled by an ITAR specially designed control if it is incorporated into an EAR item that is in production?

8) We have software for the design and development of 8A609.b non-magnetic diesel engines and 8A992 marine diesel engines.  It includes some tools that are specific to designing and developing 8A609.b non-magnetic engines and using the non-magnetic materials with 30% or more magnetic content to achieve outputs over 50hp.  It also includes some tools specific to designing and developing 8A992 marine diesel engines with low outputs less than 35hp.  Finally, it has tools that can be used to design and develop a wide range of marine diesel engines.  Is the software controlled by 8D609?

9) We are developing an inerting foam that is injected into fuel tanks to prevent or extinguish fires.  To be used in fighter jet aircraft, it is absolutely mandatory that the foam has a lighter consistency so that it will work in the high G fighter jet environment.  When we develop this foam, we plan to market it for use in fighter jets as well as all commercial passenger jets.  Even though the commercial jets do not need the lighter consistency, this foam will still perform perfectly fine in commercial jet fuel tanks and we believe it will be price competitive with other inerting foams on the market today.  While we are developing this we compile the documents required for the (b)(4) and (b)(5) releases.  For purposes of this question, assume 9A610.x controls inerting foam specially designed for fighter jets.  Is our inerting foam specially designed for fighter jets?

10) We manufacture armor parts.  We have a part X that goes on an armored vehicle used in EAR99 armored cars normally used to safely transport cash among banks.  We have part Y that is used in a 0A606b.1 armored vehicles that is only used by the US Army.  Both X and Y are roofs and provide ballistic protection to level III (National Institute of Justice standard 01808.01, September 1985).  X and Y have fit differences so they can be installed in their respective vehicles.  They are not interchangeable, but they have the same function and the same performance.  X is painted blue for the armored vehicle and Y is kelly green.  Does 0A606.b.2 control either X or Y?

11) You have an o-ring seal A which is round and has a diameter of 1 inch. It is only used in the fuel system in an ITAR Category VII battle tank.  You also have o-ring seal B which is round and has a diameter of 1.1 inches and used in the fuel system in a 2A994 portable electric generator.  Seal A has an x-shaped cross section and seal B has a round cross section.  Does 0A606.x control either o-ring seal?

12) You have a 12 inch cooling system hose for an ITAR Category VII battle tank.  The hose is made of a material that is not used for hoses in any applications other than battle tanks.  That hose provides a performance that is required for cooling system hoses for battle tanks.  You have a 12 inch cooling system hose for an EAR99 tractor that is not made of the same material as the battle tank hose.  Does 0A606.x control the cooling system hose for the battle tank?

13) If you manufacture items intended for both controlled (e.g., USML) and non-controlled applications (e.g., non-USML) so they may be eligible for release by the (b)(4) release, or if you manufacture general purpose items that may be eligible for release by the (b)(5) release, what procedures should you implement to ensure that you have the required documentation in place to prove your items qualify for the (b)(4) or (b)(5) releases?