Sec. 4339. Special licensing authorization for certain exports to strategic United States allies
478 words·~2 min read·
/bill/113/hr/1793/ih/section-4339·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The President may provide for special licensing authorization for exports of United States-manufactured spare and replacement parts or components listed in an application for such special licensing authorization in connection with defense items previously exported to a strategic United States ally. A special licensing authorization issued pursuant to this subsection shall be effective for a period not to exceed 5 years. An authorization may be issued under subsection
(a)only if the applicable government of the country described in subsection (a), acting through the applicant for the authorization, certifies that— the export of spare and replacement parts or components supports a defense item previously lawfully exported; the spare and replacement parts or components will be transferred to a defense agency of the country that is a previously approved end-user of the defense item and not to a distributor or a foreign consignee of the defense item; the spare and replacement parts or components will not to be used to materially enhance, optimize, or otherwise modify or upgrade the capability of the defense item; the spare and replacement parts or components relate to a defense item that is owned, operated, and in the inventory of the armed forces of the country; the export of spare and replacement parts or components will be effected using the freight forwarder designated by the purchasing country’s diplomatic mission as responsible for handling transfers as required under regulations; and the spare and replacement parts or components to be exported under the special licensing authorization are specifically identified in the application. An authorization may not be issued under subsection
(a)for purposes of establishing offshore procurement arrangements or producing defense articles offshore. In this section, the term United States-manufactured spare and replacement parts or components or spare and replacement parts or components means spare and replacement parts or components— with respect to which— United States-origin content costs constitute at least 85 percent of the total content costs; United States manufacturing costs constitute at least 85 percent of the total manufacturing costs; and foreign content, if any, is limited to content from countries eligible to receive exports of items on the United States Munitions List (other than de minimis foreign content); that were last substantially transformed in the United States; and that are not— classified as significant military equipment; or listed on the MTCR Annex. For purposes of paragraph (1)(A)(i) and (ii), the costs of non-United States-origin content and the costs of non-United States manufacturing shall be determined using the final price or final cost associated with the non-United States-origin content and non-United States manufacturing. The provisions of this section shall not apply with respect to re-exports or re-transfers of spare and replacement parts or components and related services of defense items described in subsection (a). The congressional notification requirements contained in this title shall not apply with respect to an authorization issued under subsection (a).