Any company that manufactures, sells or distributes goods or services covered under the United States Munitions List or the Missile Technology Control Regime Annex must be compliant with the International Traffic in Arms Regulations. To be compliant with ITAR, the company must register with the U.S. Department of State's Directorate of Defense Trade Controls and certify that the employees possess the knowledge to comply with ITAR.Continue Reading
The International Traffic in Arms Regulations implement the Arms Export Control Act, which grants the U.S. Department of State the authority to regulate the export and temporary import of defense articles and services. The U.S Department of State's Directorate of Defense Trade Controls requires registrants to file form DS-2032 and pay an initial fee of $2,250, $2,750 or more, depending on the circumstances, as of 2015. In subsequent years, the amount of the required annual renewal fee depends on the registrant's ITAR-covered business volume.
Registering does not convey a license to export items covered under ITAR, but rather is a required prerequisite to conduct business covered by ITAR. Typically, businesses subject to ITAR require various licenses and must comply with additional regulations, such as the Export Administration Regulations covering items on the Commerce Control List, a list roughly equivalent to the State Department’s United States Munitions List. The Bureau of Industry and Security administers Export Administration Regulations at the Department of Commerce.
Companies that violate ITAR regulations are subject to civil and criminal penalties and to being banned from further ITAR-covered business activity. The International Import-Export Institute at Dunlap-Stone University features a six-week online class to help companies and their employees gain knowledge and understanding of ITAR.Learn more about Military