Section 744.21 - Restrictions on certain 'military end uses' or 'military end users'(a)General prohibition. In addition to the license requirements for items specified on the Commerce Control List (CCL) (supplement no. 1 to part 774 of the EAR), you may not export, reexport, or transfer (in-country): (1) Any item subject to the EAR listed in supplement no. 2 to this part without a license if, at the time of the export, reexport, or transfer (in-country), you have "knowledge," as defined in § 772.1 of the EAR, that the item is intended, entirely or in part, for a 'military end use,' as defined in paragraph (f) of this section, in Burma, Cambodia, the People's Republic of China (China), Nicaragua, or Venezuela, or a Burmese, Cambodian, Chinese, Nicaraguan, or Venezuelan 'military end user,' as defined in paragraph (g) of this section, wherever located. 'Military end users' located outside of Burma, Cambodia, China, Nicaragua, or Venezuela are limited to entities identified on the 'Military End-User' (MEU) List under supplement no. 7 to this part.(2) Any item subject to the EAR without a license if, at the time of the export, reexport, or transfer (in-country), you have "knowledge," as defined in § 772.1 of the EAR that the item is intended, entirely or in part, for a 'military end use,' as defined in paragraph (f) of this section, in Belarus or Russia, or a Belarusian or Russian 'military end user,' as defined in paragraph (g) of this section, wherever located. Belarusian or Russian 'military end users' located outside of Belarus or Russia are limited to entities identified on the Entity List under supplement no. 4 to this part with a footnote 3 designation. Note 1 to paragraphs (a)(1) and (2): An entity anywhere in the world, including in Burma, Cambodia, China, Nicaragua, or Venezuela, may be listed on the Entity List as a Belarusian or Russian 'military end user' with a footnote 3 designation. If the entity is not a Belarusian or Russian 'military end user,' but has otherwise been identified by the End User Review Committee (ERC) as a 'military end user,' that entity may be identified under the 'Military End-User' (MEU) List under supplement no. 7 to this part. As noted in paragraph (a)(1) of this section, exporters, reexporters, and transferors, even in the absence of any such notification, are not excused from compliance with the license requirements of this paragraph (a) for all entities in Burma, Cambodia, China, Nicaragua, or Venezuela to determine whether the entity is a 'military end user' for purposes of paragraph (g) of this section because supplement no. 7 is not an exhaustive listing of 'military end users' in those countries. As noted in paragraph (a)(2) of this section, exporters, reexporters, and transferors, even in the absence of any such notification, are not excused from compliance with the license requirements of this paragraph (a) for all entities in Belarus or Russia to determine whether the entity is a 'military end user' for purposes of paragraph (g) of this section because supplement no. 4 under this part is not an exhaustive listing of 'military end users' in those countries.
(b)Additional prohibition on those informed by BIS. BIS may inform you either individually by specific notice, through amendment to the EAR published in the FEDERAL REGISTER, or through a separate notification published in the FEDERAL REGISTER, that a license is required for specific exports, reexports, or transfers (in-country) of any item because there is an unacceptable risk of use in or diversion to a 'military end use' in Belarus, Burma, Cambodia, China, Nicaragua, the Russian Federation, or Venezuela, or for a Belarusian, Burmese, Cambodian, Chinese, Nicaraguan, Russian, or Venezuelan 'military end user,' wherever located. Specific notice will be given only by, or at the direction of, the Deputy Assistant Secretary for Export Administration. When such notice is provided orally, it will be followed by written notice within two working days signed by the Deputy Assistant Secretary for Export Administration or the Deputy Assistant Secretary's designee. The absence of BIS notification does not excuse the exporter from compliance with the license requirements of paragraph (a) of this section. (1)'Military End-User' (MEU) List. BIS may inform and provide notice to the public that certain entities are subject to the additional prohibition described under this paragraph (b) following a determination by the End-User Review Committee (ERC) that a specific entity is a 'military end user' pursuant to this section and therefore any exports, reexports, or transfers (in-country) to that entity represent an unacceptable risk of use in or diversion to a 'military end use' in Belarus, Burma, Cambodia, China, Nicaragua, the Russian Federation, or Venezuela, or for a Belarusian, Burmese, Cambodian, Chinese, Nicaraguan, Russian, or Venezuelan 'military end user,' wherever located. Such Burmese, Cambodian, Chinese, Nicaraguan, or Venezuelan 'military end users' may be added to supplement no. 7 to this part (MEU List). Such Belarusian or Russian 'military end users' may also be added to supplement no. 4 to this part (Entity List) and will be listed with a footnote 3 designation. License requirements for listed MEU are described in paragraph (b)(1)(ii) of this section. The listing of entities under supplement no. 7 or 4 to this part is not an exhaustive listing of 'military end users' for purposes of this section, except for 'military end users' of a country identified in this section (Belarus, Burma, Cambodia, China, Nicaragua, the Russian Federation, or Venezuela) not located in that same country. As specified in paragraphs (a)(1) and (2) of this section, 'military end users' of a country identified in this section not located in that same country are exhaustively listed on either the Entity List with a footnote 3 designation or on the MEU List under supplement no. 7 this part. Exporters, reexporters, and transferors are responsible for determining whether transactions with entities not listed on supplement no. 7 or 4 to this part are subject to a license requirement under paragraph (a) of this section. The process in this paragraph (b)(1) for placing entities on the MEU List and Entity List is only one method BIS may use to inform exporters, reexporters, and transferors of license requirements under this section. (i)End-User Review Committee (ERC). The End-User Review Committee (ERC), composed of representatives of the Departments of Commerce (Chair), State, Defense, Energy and, where appropriate, the Treasury, makes all decisions regarding additions to, removals from, or other modifications to the MEU List and Entity List. Decisions by the ERC for purposes of the MEU List and Entity List will be made following the procedures identified in this section and in supplement no. 5 to this part (Procedures for End-User Review Committee Entity List and 'Military End User' (MEU) List Decisions).(ii)License requirement for parties to the transaction. Consistent with paragraph (a) of this section, a license is required for the export, reexport, or transfer (in-country) of any item subject to the EAR listed in supplement no. 2 to this part when an entity that is listed on the MEU List as a Burmese, Cambodian, Chinese, Nicaraguan, or Venezuelan 'military end user' is a party to the transaction as described in § 748.5(c) through (f) of the EAR. Consistent with paragraph (a) of this section, a license is required for the export, reexport, or transfer (in-country) of any item subject to the EAR when a Belarusian or Russian 'military end user' that is listed on the Entity List pursuant to this section is a party to the transaction as described in § 748.5(c) through (f) of the EAR.(2)Requests for removal from or modification of 'Military End User' (MEU) List and Entity List. Any entity listed on the MEU List or Entity List pursuant to this section may request that its listing be removed or modified. All such requests, including reasons therefor, must be in writing and sent to: Chair, End-User Review Committee, Bureau of Industry and Security, U.S. Department of Commerce, 14th Street and Pennsylvania Avenue NW, Room 3886, Washington, DC 20230; or by email at ERC@bis.doc.gov. In order for an entity listed on the MEU List or the Entity List pursuant to this section to petition BIS for their removal or modification, as applicable, the entity must address why the entity is not a 'military end user' for purposes of this section. (i)Review. The ERC will review such requests for removal or modification in accordance with the procedures set forth in supplement no. 5 to this part.(ii)BIS action. The Deputy Assistant Secretary for Export Administration will convey the decision on the request to the requester in writing. That decision will be the final agency action on the request.(c)License exception. Despite the prohibitions described in paragraphs (a) and (b) of this section, you may export, reexport, or transfer (in-country) items subject to the EAR under the provisions of License Exception GOV set forth in § 740.11(b)(2)(i) and (ii) of the EAR.(d)License application procedure. When submitting a license application pursuant to this section, you must state in the "additional information" block of the application that "this application is submitted because of the license requirement in this section (Restrictions on certain 'military end uses' or 'military end users')." In addition, either in the additional information block of the application or in an attachment to the application, you must include all known information concerning the 'military end use' and 'military end user(s)' of the item(s). If you submit an attachment with your license application, you must reference the attachment in the "additional information" block of the application.(e)License review standards.(1) Applications to export, reexport, or transfer (in-country) items described in paragraph (a)(1) of this section will be reviewed with a presumption of denial. Applications to export, reexport, or transfer (in-country) items described in paragraph (a)(2) of this section will be reviewed with a policy of denial except for food and medicine designated as EAR99, which will be reviewed under a case-by-case review policy, unless otherwise stated in the license review policy column on the Entity List (supplement no. 4 to this part).(2) Applications may be reviewed under chemical and biological weapons, nuclear nonproliferation, or missile technology review policies, as set forth in §§ 742.2(b)(4) , 742.3(b)(4) , and 742.5(b)(4) of the EAR, if the end use may involve certain proliferation activities.(3) Applications for items requiring a license for any reason that are destined for a 'military end use' in Belarus, Burma, Cambodia, China, Nicaragua, the Russian Federation, or Venezuela or for a Belarusian, Burmese, Cambodian, Chinese, Nicaraguan, Russian, or Venezuelan 'military end user,' wherever located, also will be subject to the review policy stated in paragraph (e)(1) of this section.(f)Military end use. In this section, 'military end use' means: Incorporation into a military item described on the U.S. Munitions List (USML) ( 22 CFR part 121, International Traffic in Arms Regulations); incorporation into items classified under Export Control Classification Numbers (ECCNs) ending in "A018" or under "600 series" ECCNs; or any item that supports or contributes to the operation, installation, maintenance, repair, overhaul, refurbishing, "development," or "production," of military items described on the USML, or items classified under ECCNs ending in "A018" or under "600 series" ECCNs.(g)Military end user. In this section, the term 'military end user' means the national armed services (army, navy, marine, air force, or coast guard), as well as the national guard and national police, government intelligence or reconnaissance organizations (excluding those described in § 744.22(f)(2) ), or any person or entity whose actions or functions are intended to support 'military end uses' as defined in paragraph (f) of this section.(h)Effects on contracts. Transactions involving the export, reexport, or transfer (in country) of items to or within Venezuela are not subject to the provisions of this section if the contracts for such transactions were signed prior to November 7, 2014.87 FR 13059, Mar. 8, 2022, as amended at 87 FR 34136, June 6, 2022; 87 FR 57080, Sept. 16, 2022; 89 FR 18783, Mar. 15, 2024 85 FR 23463, 6/29/2020; as amended at 85 FR 83797, 12/23/2020; 86 FR 4873, 3/16/2021; 86 FR 13177, 3/8/2021; 86 FR 70018, 12/9/2021; 87 FR 12239, 3/3/2022; 87 FR 13059, 3/8/2022; as amended at 87 FR 34136, 6/6/2022; 87 FR 57080, 9/16/2022; 89 FR 18783, 3/15/2024