Implementation of the Chemical Weapons Convention; Revisions to the Export Administration Regulations

SUMMARY: On April 25, 1997, the United States ratified the Convention

on the Prohibition of the Development, Production, Stockpiling, and Use

of Chemical Weapons and on Their Destruction, also known as the

Chemical Weapons Convention (CWC or Convention). The CWC identifies

Schedule 1, Schedule 2 and Schedule 3 chemicals subject to certain

trade restrictions. This interim rule implements the provisions of the

Convention that affect exports and reexports of Schedule 1 chemicals

and exports of Schedule 2 and Schedule 3 chemicals to countries that

are not party to the Convention (non-States Parties) by amending the

Export Administration Regulations (EAR). Specifically, this rule adds a

requirement for U.S. persons to obtain an End-Use Certificate for

exports of certain chemicals to those countries that are not party to

the Convention, and submit a copy of that certificate to the Department

of Commerce. This rule also adds licensing requirements for technology

for the production of certain Schedule 2 and Schedule 3 chemicals

subject to the Export Administration Regulations, and creates an

advance notification and annual report requirement for all exports of

Schedule 1 chemicals. To facilitate verification measures by the

Organization for the Prohibition on Chemical Weapons (OPCW), this rule

modifies an existing License Exception to permit the release of

technology to the OPCW during inspections of chemical facilities in the

United States and to permit the export or reexport of equipment for use

in inspections in countries party to the Convention.

DATES: This rule is effective May 18, 1999. Comments on this rule must

be received on or before June 17, 1999. Annual reports for exports of

Schedule 1 chemicals during calendar years 1997 and 1998 must be

received by the Department of Commerce by August 16, 1999.

ADDRESSES: Written comments should be sent to Nancy Crowe, Regulatory

Policy Division, Bureau of Export Administration, Room 2705, 14th

Street and Pennsylvania Ave., NW, Washington, DC 20230.

FOR FURTHER INFORMATION CONTACT: Nancy Crowe, Regulatory Policy

Division, Bureau of Export Administration, at (202) 482-2440.

SUPPLEMENTARY INFORMATION:

Background

As a party to the Convention on the Prohibition of the Development,

Production, Stockpiling, and Use of Chemical Weapons and on Their

Destruction, also known as the Chemical Weapons Convention (CWC or

Convention), the United States must, among other obligations, subject

certain toxic chemicals and their precursors listed in the Convention

to verification measures and control. This rule implements certain

export-related provisions of the Convention. Regulations to implement

other provisions of the Convention related to data declarations and

inspections will be published by the Department of Commerce in the

Federal Register at a later date.

The CWC-related toxic chemicals and their precursors are contained

in three lists or ``schedules.'' CWC Schedule 1 chemicals and

precursors are those that have been developed, produced, stockpiled, or

used as chemical weapons in the past, or that have high potential for

use as chemical weapons, possess lethal or incapacitating toxicity, or

may be used as precursors in the production of other Schedule 1

chemicals.

CWC Schedule 2 lists toxic chemicals and precursors that are not

produced in large commercial quantities and that possess lethal or

incapacitating toxicity that could enable them to be used as chemical

weapons, may be used as precursors in one of the chemical reactions at

the final stage of formation of a chemical listed in Schedule 1 or

Schedule 2, or are important in the production of Schedule 1 or

Schedule 2 chemicals.

CWC Schedule 3 lists toxic chemicals that may be produced in large

commercial quantities for purposes not prohibited under the Convention

and that have been produced, stockpiled, or used as chemical weapons,

possess lethal or incapacitating toxicity that could enable them to be

used as chemical weapons, or are important in the production of one or

more chemicals listed in Schedule 1 or Schedule 2.

The Convention mandates trade restrictions on individual chemicals

and families of chemicals. The United States is a participant in the

Australia Group (AG), a 30-nation multilateral chemical and biological

weapons non-proliferation regime. All AG participants have national

export controls on 54 precursor chemicals, some of which are listed on

the CWC Schedules, and on chemical-related production equipment. Two

Schedule 1 toxins, ricin and saxitoxin, are subject to the EAR, are

listed in Export Control Classification Number (ECCN) 1C351 on the

Commerce Control List (CCL), and currently require a license for

chemical and biological (CB) non-proliferation reasons for export to

all destinations except Canada. Three additional Schedule 1 chemicals,

O-Ethyl-2-diisopropylaminoethyl methyl phosphonite (57856-11-8),

Ethylphosphonyl difluoride (753-98-0) and Methylphosphonyl difluoride

(676-99-3), are controlled by ECCN 1C350, and currently require a

license for CB reasons for export to all destinations except AG-member

countries. As a result of this rule, all five Schedule 1 chemicals

subject to the EAR will require a license to all destinations,

including Canada. All other Schedule 1 chemicals are considered defense

articles under U.S. law and, as such, are controlled by the Department

of State under the International Traffic in Arms Regulations (ITAR),

(22 CFR 120, 121.7).

This rule establishes a new reason for control, ``Chemical Weapons

Convention'', or CW, in Control Policy--Commerce Control List Based

Controls (part 742 of the EAR). New Sec. 742.18, sets forth the

licensing requirements and policies for this new control, and applies

to Schedule 1 chemicals identified under ECCNs 1C350 and 1C351 and

Schedule 2 and Schedule 3 chemicals identified under ECCN 1C350 and new

ECCN 1C355, and to technology identified under new ECCN 1E355.

New Sec. 742.18 reflects the requirements of the Convention. Under

the Convention, Schedule 1 chemicals may only be exported to other

States Parties. States Parties exporting Schedule 1 chemicals must

provide advance notification of exports of any quantity of a Schedule 1

chemical, and must submit annual reports of exports of such chemicals

during the previous calendar year. The Convention also requires that

prior to the export of a Schedule 2 or Schedule 3 chemical to a non-

State Party, the exporter obtain an End-Use Certificate issued by the

government of the importing country. No Schedule 2 chemical may be

exported to a non-State Party after April

[[Page 27139]]

29, 2000. Specifically, this rule amends the EAR in the following ways:

Schedule 1 Chemical Requirements

Export license requirements for Schedule 1 chemicals. This rule

imposes a license requirement for CW reasons for exports of CWC

Schedule 1 chemicals controlled under ECCN 1C350.a.20, a.24, and a.31

and ECCN 1C351.d.5 and d.6. to all countries, including Canada.

Reexports of Schedule 1 chemicals are prohibited. Note that since

exports of Schedule 1 chemicals are controlled for more than one

reason, licenses for such chemicals will be reviewed under the license

review policy for all applicable reasons for control, including the

license review policy set forth in Sec. 742.2 and new Sec. 742.18 of

the EAR.

Advance notification and annual reporting of exports of Schedule 1

chemicals. This rule adds a new part 745 for CWC advance notification

and certain other reporting requirements. Section 745.1 sets forth the

notification and reporting requirements for exports of all Schedule 1

chemicals listed in new Supplement No. 1 to part 745. You must notify

BXA at least 45 calendar days prior to exporting any quantity of a

Schedule 1 chemical to another State Party. The advance notification

requirement is in addition to the export license required for Schedule

1 chemicals controlled under ECCNs 1C350 or 1C351 and Secs. 742.2 and

742.18 of the EAR, and for other Schedule 1 chemicals controlled by the

State Department's International Traffic in Arms Regulations. You must

also submit annual reports to BXA of all exports of any quantity of a

Schedule 1 chemical to another State Party during the previous calendar

year, starting with exports taking place during calendar year 1997.

Annual reports for exports of Schedule 1 exports during calendar years

1997 and 1998 are due to the Department of Commerce August 16, 1999. If

you exported Schedule 1 chemicals in calendar year 1997 and 1998, two

reports are due by August 16, 1999. Thereafter, annual reports are due

to the Department of Commerce by February 13th of each year. For

example, annual reports for exports that were made during calendar year

1999 are due on February 13, 2000.

Schedule 2 and Schedule 3 Chemical Requirements

End-Use Certificate requirements for exports of Schedule 2 and

Schedule 3 chemicals to countries that are not CWC States Parties. This

rule adds to new Sec. 745.2 a requirement for U.S. persons, as defined

in Sec. 744.6(c) of the EAR, to obtain an End-Use Certificate from the

government of the importing country and submit a copy of the End-Use

Certificate to the Department of Commerce within 7 days of the date of

export. This Certificate must be issued by the foreign government's

agency responsible for foreign affairs or any other agency or

department designated by the importing government for this purpose, and

may be issued to cover aggregate quantities against which multiple

shipments may be made to a single consignee. An End-Use Certificate

covering multiple shipments may be used until the aggregate quantity is

shipped. New Supplement No. 1 to part 745 includes a list of Schedule 2

and Schedule 3 chemicals subject to the End-Use Certificate

requirement, and new Supplement No. 2 to part 745 includes a list of

States Parties. New Supplement No. 3 to part 745 of the EAR includes

foreign government agencies responsible for issuing End-Use

Certificates. Additional foreign government entities will be added to

Supplement No. 3 to part 745 when known.

An End-Use Certificate is required for exports of Schedule 2 and

Schedule 3 chemicals to countries not included in Supplement No. 2 to

part 745. Note that the End-Use Certificate requirement set forth in

Sec. 745.2 of the EAR applies to all Schedule 2 and Schedule 3

chemicals regardless of whether the chemical is subject to the export

license requirements under the EAR or the International Traffic in Arms

Regulations (ITAR). Note also that the End-Use Certificate requirement

is in addition to any export license requirement under either the EAR

or the ITAR.

License requirements. This rule imposes a license requirement for

exports of Schedule 2 and Schedule 3 chemicals controlled for CW

reasons under ECCNs 1C350 and 1C355, including sample shipments of such

chemicals, to non-States Parties when an End-Use Certificate is not

obtained. Such applications will generally be denied. Further, this

rule imposes a license requirement for exports of Schedule 2 chemicals

to non-States Parties on or after April 29, 2000, and imposes a general

policy of denial for such exports.

Exports of technology to produce certain Schedule 2 and Schedule 3

chemicals. This rule adds to the CCL new ECCN 1E355 to control

technology to produce PFIB, phosgene, cyanogen chloride and hydrogen

cyanide. This rule also imposes a license requirement for CW reasons

for exports and reexports of such technology when destined to non-

States Parties, except for Israel and Taiwan. Applications for such

exports and reexports will be considered on a case-by-case basis. Note

that once countries become State Parties, they will be eligible to

receive production technology controlled under 1E355 without a license.

This interim rule also imposes anti-terrorism controls on

technology controlled under ECCN 1E355 for Iran, Sudan and Syria,

consistent with the provisions of the Export Administration Act after

consultation with the Secretary of State.

Exports and reexports of equipment for use in inspections conducted

by the OPCW and for the release of technology to the OPCW during

inspections. This rule also revises License Exception GOV to permit the

export and reexport of equipment for use in inspections in countries

party to the Convention, and to permit the release of technology to the

Organization for the Prohibition of Chemical Weapons (OPCW) during

inspections of chemical facilities in the United States pursuant to the

Convention. These exports and reexports are authorized only for the

Organization for the Prohibition of Chemical Weapons (OPCW) for

official international inspection and verification use under the terms

of the Convention. This License Exception is available only on the

condition that the information is strictly protected in accordance with

applicable provisions of the EAR and other U.S. laws regarding the use

and retransfer of U.S. goods and services. License Exception GOV does

not authorize export of inspection samples. No samples collected in the

United States pursuant to a CWC inspection may be transferred for

analysis to any laboratory outside the United States.

This rule also makes conforming changes in Sec. 734.5--Activities

of U.S. and foreign persons subject to the EAR; Sec. 736.2--General

Prohibitions; and Sec. 748.2--Unique license application requirements.

Finally, this rule also revises the Shipper's Export Declaration (SED)

provisions of Sec. 758.3 to require exporters to enter the ECCN on the

SED when exporting chemicals controlled under ECCN 1C355 under No

License Required (NLR).

The Bureau of Export Administration submitted a foreign policy

report to the Congress April 13, 1999 indicating the imposition of new

foreign policy controls.

Although the Export Administration Act (EAA) expired on August 20,

1994, the President invoked the International Emergency Economic Powers

Act and continued in effect the EAR, and, to the extent permitted by

law, the provisions

[[Page 27140]]

of the EAA in Executive Order 12924 of August 19, 1994, extended by

Presidential notice of August 13, 1998 (63 FR 55121, August 17, 1998).

Savings Clause

Shipments of items now subject to a licensing, advance notification

or End-Use Certificate requirement as a result of this regulatory

action that were on dock for loading, on lighter, laden aboard an

exporting carrier, or en route aboard a carrier to a port of export

pursuant to actual orders for export before May 18, 1999 may be

exported without a license up to and including June 1, 1999. Any such

items not actually exported before midnight June 1, 1999, require a

license or are subject to the advance notification or End-Use

Certificate requirements in accordance with this regulation.

Rulemaking Requirements

1. This interim rule has been determined to be not significant for

purposes of E.O. 12866.

2. Notwithstanding any other provision of law, no person is

required to, nor shall any person be subject to a penalty for failure

to comply with a collection of information, subject to the Paperwork

Reduction Act (PRA), unless that collection of information displays a

currently valid OMB Control Number. This rule involves a collection of

information subject to the Paperwork Reduction Act of 1995 (44 U.S.C.

3501 et seq.). These collections have been approved by the Office of

Management and Budget under control number 0694-0088. This rule also

contains two new information collection requirements subject to the PRA

that has received emergency approval under OMB control number 0694-

0117. The new information requirement and estimated public burden hours

include: Preparing and submitting to BXA Schedule 1 notifications and

annual reports (30 minutes each); obtaining the End-Use Certificate

from the government of the importing destination; transmitting it to

the exporter, and submitting it to BXA (30 minutes). These estimates

include the time for reviewing instructions, searching existing data

sources, gathering and maintaining the data needed, and completing and

reviewing the collections of information. Comments are invited on: (a)

whether the proposed collection of information is necessarry for the

proper performance of the functions of the agency, including whether

the information shall have practical utility; (b) the accuracy of the

agency's estimate of the burden of the proposed collection of

information; (c) ways to enhance the quality, utility, and clarity of

the information to be collected; and (d) ways to minimize the burden of

the collection of information on respondents, including, the use of

automated collection techniques or other forms of information

technology. Please send any comments to regarding these burden

estimates or any other aspect of these collections of information,

including suggestions for reducing the burden, to OMB Desk Officer, New

Executive Office Building, Washington, DC 20503.

3. This rule does not contain policies with Federalism implications

sufficient to warrant preparation of a Federalism assessment under

Executive Order 12612.

4. The provisions of the Administrative Procedure Act (5 U.S.C.

553) requiring notice of proposed rulemaking, the opportunity for

public participation, and a delay in effective date, are inapplicable

because this regulation involves a military and foreign affairs

function of the United States (Sec. 5 U.S.C. 553(a)(1)). Further, no

other law requires that a notice of proposed rulemaking and an

opportunity for public comment be given for this interim rule. Because

a notice of proposed rulemaking and an opportunity for public comment

are not required to be given for this rule under 5 U.S.C. or by any

other law, the requirements of the Regulatory Flexibility Act (5 U.S.C.

601 et seq. ) are not applicable.

However, because of the importance of the issues raised by these

regulations, this rule is issued in interim final form and comments

will be considered in the development of final regulations.

Accordingly, the Department encourages interested persons who wish to

comment to do so at the earliest possible time to permit the fullest

consideration of their views.

The period for submission of comments will close June 17, 1999. The

Department will consider all comments received before the close of the

comment period in developing final regulations. Comments received after

the end of the comment period will be considered if possible, but their

consideration cannot be assured. The Department will not accept public

comments accompanied by a request that a part or all of the material be

treated confidentially because of its business proprietary nature or

for any other reason. The Department will return such comments and

materials to the person submitting the comments and will not consider

them in the development of final regulations. All public comments on

these regulations will be a matter of public record and will be

available for public inspection and copying. In the interest of

accuracy and completeness, the Department requires comments in written

form.

Oral comments must be followed by written memoranda, which will

also be a matter of public record and will be available for public

review and copying. Communications from agencies of the United States

Government or foreign governments will not be made available for public

inspection.

The public record concerning these regulations will be maintained

in the Bureau of Export Administration Freedom of Information Records

Inspection Facility, Room 6881, Department of Commerce, 14th Street and

Pennsylvania Avenue, NW, Washington, DC 20230. Records in this

facility, including written public comments and memoranda summarizing

the substance of oral communications, may be inspected and copied in

accordance with regulations published in Part 4 of Title 15 of the Code

of Federal Regulations. Information about the inspection and copying of

records at the facility may be obtained from Henry Gaston, Bureau of

Export Administration Freedom of Information Officer, at the above

address or by calling (202) 482-0500.

List of Subjects

15 CFR Part 734

Administrative practice and procedure, Exports, Foreign trade.

15 CFR Parts 736, 738, 742, 772 and 774

Exports, Foreign trade.

15 CFR Part 745

Administration practice and procedure, Chemicals, Exports, Foreign

trade, Reporting and recordkeeping requirements.

15 CFR Parts 740, 748 and 758

Administrative practice and procedure, Exports, Foreign trade,

Reporting and recordkeeping requirements.

Accordingly, parts 734, 736, 738, 740, 742, 772 and 774 of the

Export Administration Regulations (15 CFR Parts 730-799) are amended,

and new part 745 is added, to read as follows:

1. The authority citation for part 734 is revised to read as

follows:

Authority: 50 U.S.C. app. 2401 et seq.; 1701 et seq.; E.O.

12924, 3 CFR, 1994 Comp., p. 917; E.O. 12938, 3 CFR, 1994 Comp., p.

950; E.O. 13020, 3 CFR, 1996 Comp., p. 219; E.O. 13026, 3 CFR, 1996

Comp., p. 228; Notice of August 13, 1998, 63 FR 44121, 3 CFR, 1999

Comp., p. 294.

2. The authority citation for part 736 is amended to read as

follows:

[[Page 27141]]

Authority: 50 U.S.C. app. 2401 et seq.; 1701 et seq.; E.O.

12924, 3 CFR, 1994 Comp., p. 917; E.O. 12938, 59 FR 59099, 3 CFR,

1994 Comp., p. 950; E.O. 13026, 3 CFR, 1996 Comp., p. 228; Notice of

August 13, 1998, 63 FR 44121, 3 CFR, 1999 Comp., p. 294.

3. The authority citations for parts 738 and 774 are revised to

read as follows:

Authority: 50 U.S.C. app. 2401 et seq., 1701 et seq., app 5; 10

U.S.C. 7420, 7430(e); 18 U.S.C. 2510 et seq.; 22 U.S.C. 287c; 22

U.S.C. 3201 et seq., 6004; Sec. 201, Pub. L. 104-58, 109 Stat. 557

(30 U.S.C. 185(s), 185(u); 42 U.S.C. 2139a, 6212; 43 U.S.C. 1354; 46

U.S.C. app. 466c; E.O. 12924, 3 CFR, 1994 Comp., p. 917; E.O. 13026,

3 CFR, 1996 Comp., p. 228; Notice of August 13, 1998, 63 FR 44121, 3

CFR, 1999 Comp., p. 294.

4. The authority citation for parts 740 and 772 are revised to read

as follows:

Authority: 50 U.S.C. app. 2401 et seq., 1701 et seq.; E.O.

12924, 1994, 3 CFR, 1994 Comp., p. 917; E.O. 13026, 3 CFR, 1996

Comp., p. 228 (1997); Notice of August 13, 1998, 63 FR 44121, 3 CFR,

1999 Comp., p. 294; Pub. L. 105-85, 111 Stat. 1629.

5. The authority citation for part 742 is amended to read as

follows:

Authority: 50 U.S.C. app. 2401 et seq., 1701 et seq.; 18 U.S.C.

2510 et seq.; 22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; E.O. 12058,

43 FR 20947, 3 CFR, 1978 Comp., p. 179; E.O. 12851, 3 CFR, 1993

Comp., p. 608; E.O. 12924, 59 FR 43437, 3 CFR, 1994 Comp., p. 917;

E.O. 12938, 3 CFR, 1994 Comp., p. 950; E.O. 13020, 3 CFR, 1996 Comp.

P. 219; E.O. 13026, 3 CFR, 1996 Comp., p. 228; Notice of August 13,

1998, 63 FR 44121, 3 CFR, 1999 Comp., p. 294.

6. The authority citation for part 758 is revised to read as

follows

Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;

E.O. 12924, 3 CFR, 1994 Comp., p. 917; Notice of August 13, 1998, 63

FR 44121, 3 CFR, 1999, Comp., p. 294.

PART 734--AMENDED

7. Section 734.5 is amended by revising paragraph (a) to read as

follows:

Sec. 734.5 Activities of U.S. and foreign persons subject to the EAR.

* * * * *

(a) Certain activities of U.S. persons related to the proliferation

of chemical or biological weapons or of missile technology as described

in Sec. 744.6 of the EAR and the proliferation of chemical weapons as

described in part 745 of the EAR.

* * * * *

PART 736--AMENDED

8.-9. Section 736.2 is amended by revising paragraph (b)(7)(i) to

read as follows:

Sec. 736.2 General prohibitions and determination of applicability.

(a) * * *

(b) * * *

(7) General Prohibition Seven--Support of proliferation activities

(U.S. person proliferation activity).--(i) Support of proliferation

activities (U.S. person proliferation activity). (A) If you are a U.S.

person as that term is defined in Sec. 744.6(c) of the EAR, you may not

engage in any activities prohibited by Sec. 744.6(a) or (b) of the EAR,

which prohibits the performance, without a license from BXA, of certain

financing, contracting, service, support, transportation, freight

forwarding, or employment that you know will assist in certain

proliferation activities described further in part 744 of the EAR.

There are no License Exceptions to this General Prohibition Seven in

part 740 of the EAR unless specifically authorized in that part.

(B) If you are a U.S. person as that term is defined in

Sec. 744.6(c) of the EAR, you may not export a Schedule 2 or Schedule 3

chemical listed in Supplement No. 1 to part 745 to a destination not

listed in Supplement No. 2 to part 745 without first submitting to the

Department of Commerce a copy of the End-Use Certificate as required in

Sec. 745.2 of the EAR.

(C) If you are a U.S. person as that term is defined in

Sec. 744.6(c) of the EAR, you may not export a Schedule 1 chemical

listed in Supplement No. 1 to part 745 without first complying with the

provisions of Secs. 742.16 and 745.2 of the EAR.

* * * * *

PART 738--AMENDED

10. Section 738.2 is amended by adding ``CW Chemical Weapons

Convention'' in alphabetical order to the list of Reasons for Control

in paragraph (d)(2)(i)(A).

PART 740--AMENDED

11. Section 740.11 is amended by revising the heading and

introductory text and by adding new paragraph (c) to read as follows:

Sec. 740.11 Governments, international organizations, and

international inspections under the Chemical Weapons Convention (GOV).

This License Exception authorizes exports and reexports for

international nuclear safeguards; U.S. government agencies or

personnel, and agencies of cooperating governments; and international

inspections under the Chemical Weapons Convention.

* * * * *

(c) International inspections under the Chemical Weapons Convention

(CWC or Convention).

(1) The provisions of this paragraph (c) authorize exports and

reexports to the Organization for the Prohibition of Chemical Weapons

(OPCW) and exports and reexports by the OPCW for official international

inspection and verification use under the terms of the Convention. The

OPCW is an international organization that establishes and administers

an inspection and verification regime under the Convention designed to

ensure that certain chemicals and related facilities are not diverted

from peaceful purposes to non-peaceful purposes. These provisions

authorize exports and reexports for official OPCW use of the following:

(i) Commodities and software consigned to the OPCW at its

headquarters in The Hague for official international OPCW use for the

monitoring and inspection functions set forth in the Convention, and

technology relating to the maintenance, repair, and operation of such

commodities and software. The OPCW must maintain effective control of

such commodities, software and technology.

(ii) Controlled technology relating to the training of the OPCW

inspectorate.

(iii) Controlled technology relating to a CWC inspection site,

including technology released as a result of:

(A) Visual inspection of U.S.-origin equipment or facilities by

foreign nationals of the inspection team;

(B) Oral communication of controlled technology to foreign

nationals of the inspection team in the U.S. or abroad; and

(C) The application to situations abroad of personal knowledge or

technical experience acquired in the U.S.

(2) Exclusions. The following items may not be exported or

reexported under the provisions of this paragraph (c):

(i) Computers with a Composite Theoretical Performance (CTP)

greater than 10,000 MTOPS, except that no MTOPS limit applies to

exports or reexports to those countries in Computer Tier 1 (see

Sec. 740.7(b)(1));

(ii) Inspection samples collected in the U.S. pursuant to the

Convention; and

(iii) Commodities and software that are no longer in OPCW official

use. Such items must be disposed of in accordance with the EAR.

[[Page 27142]]

(3) Confidentiality. The application of the provisions of this

paragraph (c) is subject to the condition that the confidentiality of

business information is strictly protected in accordance with

applicable provisions of the EAR and other U.S. laws regarding the use

and retransfer of U.S. goods and services.

PART 742--AMENDED

12. Section 742.2 is amended by revising the introductory text to

paragraph (a) to read as follows:

Sec. 742.2 Proliferation of chemical and biological weapons.

(a) License requirements. The following controls are maintained in

support of the U.S. foreign policy of opposing the proliferation and

illegal use of chemical and biological weapons. (See also Sec. 742.16

of this part for license requirements pursuant to the Chemical Weapons

Convention).

* * * * *

Sec. 742.8 [Amended]

13. Section 742.8 is amended by revising the phrase ``paragraphs

(c)(6) through (c)(39)'' in paragraph (a)(4)(ii) to read ``paragraphs

(c)(6) through (c)(41)''.

Sec. 742.9 [Amended]

14. Section 742.9 is amended by revising the phrase ``(c)(22)

through (c)(39)'' in paragraph (a)(3)(ii) to read ``(c)(22) through

(c)(41)''.

Sec. 742.10 [Amended]

15. Section 742.10 is amended by revising the phrase ``(c)(16)

through (c)(39)'' in paragraph (a)(4)(ii) to read ``(c)(16) through

(c)(41)''.

16. Part 742 is amended by adding a new Sec. 742.18 to read as

follows:

Sec. 742.18 Chemical Weapons Convention (CWC or Convention).

States that are party to the Convention on the Prohibition of the

Development, Production, Stockpiling, and Use of Chemical Weapons and

on Their Destruction, also known as the Chemical Weapons Convention

(CWC or Convention), undertake never to develop, produce, acquire,

stockpile, transfer, or use chemical weapons. As a State Party to the

Convention, the United States is subjecting certain toxic chemicals and

their precursors listed in Schedules within the Convention to trade

restrictions. Trade restrictions include a prohibition on the export of

Schedule 1 chemicals to non-States Parties, license requirements for

the export of Schedule 1 chemicals to all States Parties, End-Use

Certificate requirements for exports of Schedule 2 and Schedule 3

chemicals to non-States Parties, and a prohibition on the export of

Schedule 2 chemicals to non-States Parties on or after April 29, 2000.

(a) License requirements. (1) Schedule 1 chemicals identified in

ECCNs 1C350 and 1C351. A license is required for CW reasons for exports

and reexports of Schedule 1 chemicals identified under ECCN 1C350.a.20,

a.24, and a.31 and ECCN 1C351.d.5 and d.6 to all destinations including

Canada. Also see the advance notification procedures and annual

reporting requirements described in Sec. 745.1 of the EAR.

(2) Schedule 2 and Schedule 3 chemicals. (i) ECCN 1C350. For all

chemicals included in ECCN 1C350, other than 1C350.a.20, a.24 and a.31,

a license is required for CW reasons unless an End-Use Certificate is

obtained as described in Sec. 745.2 of the EAR for exports to

destinations not listed in Supplement No. 2 to part 745 of the EAR.

(ii) ECCN 1C355. Chemicals controlled under ECCN 1C355 are

controlled for CW reasons. The following license requirements apply:

(A) CWC States Parties. Neither a license nor an End-Use

Certificate is required for exports to CWC States Parties (destinations

listed in Supplement No. 2 to part 745 of the EAR) for CW reasons. Note

that a license may be required for other reasons set forth in the EAR.

See in particular the end-use/end-user restrictions of part 744 and the

restrictions that apply to embargoed countries in part 746 of the EAR.

(B) CWC Non-States Parties. A license is required for exports to

non-States Parties (destinations not listed in Supplement No. 2 to part

745 of the EAR) for CW reasons unless the exporter obtains an End-Use

Certificate described by Sec. 745.2 of the EAR. Note that a license may

be required for other reasons set forth in the EAR. See in particular

the end-use/end-user restrictions of part 744 and the restrictions that

apply to embargoed countries in part 746 of the EAR.

(iii) Exports of Schedule 2 chemicals on or after April 29, 2000. A

license is required for CW reasons for exports of Schedule 2 chemicals

listed in 1C350 and 1C355 when exported to non-States Parties on or

after April 29, 2000, regardless whether the exporter has obtained an

End-Use Certificate described in Sec. 745.2 of the EAR.

(3) Technology controlled under ECCN 1E355. A license is required

to non-States Parties (destinations not listed in Supplement No. 2 to

part 745 of the EAR), except for Israel and Taiwan, for CW reasons.

(b) Licensing policy. (1) Schedule 1 chemicals. (i) Applications to

export Schedule 1 chemicals to States Parties (destinations listed in

Supplement No. 2 to part 745 of the EAR) will generally be approved,

provided that all of the following conditions are met:

(A) The chemicals are destined for purposes not prohibited under

the CWC (e.g., research, medical, pharmaceutical, or protective

purposes);

(B) The types and quantities of chemicals are strictly limited to

those that can be justified for those purposes;

(C) The aggregate amount of Schedule 1 chemicals in the country of

destination at any given time for such purposes is equal to or less

than one metric ton and receipt of the proposed export or reexport will

not cause the limit to be exceeded.

(ii) Applications to export Schedule 1 chemicals to non-States

Parties (destinations not listed in Supplement No. 2 to part 745 of the

EAR) will generally be denied.

(iii) Applications to reexport Schedule 1 chemicals will generally

be denied.

(2) Schedule 2 and Schedule 3 chemicals. (i) CWC States Parties.

Applications to export and reexport Schedule 2 and Schedule 3 chemicals

controlled under ECCN 1C350 to States Parties (destinations listed in

Supplement No. 2 to part 745 of the EAR) will generally be approved to

satisfactory end-users, provided the chemicals will only be used for

purposes not prohibited by the CWC.

(ii) CWC non-States Parties. (A) ECCN 1C350. Applications to export

Schedule 2 chemicals prior to April 29, 2000, and Schedule 3 Schedule

chemicals controlled under ECCN 1C350 to CWC non-States Parties

(destinations not listed in Supplement No. 2 to part 745 of the EAR)

will generally be approved to satisfactory end-users, provided the

chemicals will only be used for purposes not prohibited by the CWC (see

paragraph (b)(2)(iv) of this section), when the exporter has obtained

the End-Use Certificate required and described in Sec. 745.2 of the

EAR. If no end-user certificate is obtained, the application will

generally be denied.

(B) ECCN 1C355. Applications to export Schedule 2 and Schedule 3

chemicals controlled under ECCN 1C355 will generally be denied.

(C) Exports of Schedule 2 chemicals on or after April 29. 2000.

Applications to export Schedule 2 chemicals controlled under 1C350 and

1C355 to non-States Parties (destinations not listed in Supplement No.

2 to part 745 of the EAR) on or after April 29, 2000, will generally be

denied.

[[Page 27143]]

(iii) Purposes not prohibited under the CWC include:

(A) Industrial, agricultural, research, medical, pharmaceutical, or

other peaceful purposes; and

(B) Law enforcement purposes.

(3) Technology controlled under ECCN 1E355. Exports and reexports

of technology controlled under ECCN 1E355 will be reviewed on a case-

by-case basis.

(c) Contract sanctity. Contract sanctity provisions are not

available for license applications reviewed under this section.

17-18. Supplement No. 2 to part 742 is amended by adding new

paragraphs (c)(40) and (c)(41) to read as follows:

Supplement No. 2 To Part 742--Anti-Terrorism Controls: Iran, Syria

and Sudan Contract Sanctity Dates and Related Policies

* * * * *

(c) * * *

(40) [Reserved]

(41) Production technology controlled under ECCN 1C355 on the CCL.

(i) Iran. Applications for all end-users in Iran of these items

will generally be denied.

(ii) Syria. Applications for military end-users or for military

end-uses in Syria of these items will generally be denied. Applications

for non-military end-users or for non-military end-uses in Syria will

be considered on a case-by-case basis.

(iii) Sudan. Applications for all end-users in Sudan of these items

will generally be denied.

PART 745--[ADDED]

19. New Part 745 is added to read as follows:

PART 745--CHEMICAL WEAPONS CONVENTION REQUIREMENTS

Sec.

Sec. 745.1 Advance notification and annual report of all exports of

Schedule 1 chemicals to other States Parties.

Sec. 745.2 End-Use Certificate reporting requirements under the

Chemical Weapons Convention.

Supplement No. 1 to Part 745--Schedules of Chemicals

Supplement No. 2 to Part 745--States Parties to the Convention on

the Prohibition of the Development, Production, Stockpiling, and Use

of Chemical Weapons and on Their Destruction

Authority: 50 U.S.C. 1701 et seq.; E.O. 12938, 59 FR 59099, 3

CFR, 1994 Comp., p. 950; Notice of August 13, 1998, 63 FR 44121, 3

CFR, 1999 Comp., p. 294.

Sec. 745.1 Advance notification and annual report of all exports of

Schedule 1 chemicals to other States Parties.

Pursuant to the Convention, the United States is required to notify

the Organization for the Prohibition of Chemical Weapons (OPCW) not

less than 30 days in advance of every export of a Schedule 1 chemical,

in any quantity, to another State Party. In addition, the United States

is required to provide a report of all exports of Schedule 1 chemicals

to other States Parties during each calendar year. If you plan to

export any quantity of a Schedule 1 chemical controlled under the EAR

and licensed by the Department of Commerce or controlled under the

International Traffic in Arms Regulations (ITAR) and licensed by the

Department of State, you are required under this section to notify the

Department of Commerce in advance of this export. You are also required

to provide an annual report of exports that actually occurred during

the previous calendar year. The United States will transmit the advance

notifications and an aggregate annual report to the OPCW of exports of

Schedule 1 chemicals from the United States. Note that the notification

and annual report requirements of this section do not relieve the

exporter of any requirement to obtain a license from the Department of

Commerce for the export of Schedule 1 chemicals subject to the EAR or

from the Department of State for the export of Schedule 1 chemicals

subject to the ITAR.

(a) Advance notification of exports. You must notify BXA at least

45 calendar days prior to exporting any quantity of a Schedule 1

chemical listed in Supplement No. 1 to this part to another State

Party. This is in addition to the requirement to obtain an export

license under the EAR for chemicals controlled by ECCN 1C350 or 1C351

for any reason for control, or from the Department of State for

Schedule 1 chemicals controlled under the ITAR. Note that such

notifications may be sent to BXA prior to or after submission of a

license application to BXA for Schedule 1 chemicals controlled subject

to the EAR and under ECCNs 1C350 or 1C351 or to the Department of State

for Schedule 1 chemicals controlled on the ITAR. Such notices must be

submitted separately from license applications.

(1) Such notification should be on company letterhead or must

clearly identify the reporting entity by name of company, complete

address, name of contact person and telephone and fax numbers, along

with the following information:

(i) Common Chemical Name;

(ii) Structural formula of the chemical;

(iii) Chemical Abstract Service (CAS) Registry Number;

(iv) Quantity involved in grams;

(v) Planned date of export;

(vi) Purpose (end-use) of export;

(vii) Name of recipient;

(viii) Complete street address of recipient;

(ix) Export license or control number, if known; and

(x) Company identification number, once assigned by BXA.

(2) Send the notification by fax to (703) 235-1481 or to the

following address, for mail and courier deliveries: Information

Technology Team, Department of Commerce, Bureau of Export

Administration, 1555 Wilson Boulevard, Suite 710, Arlington, VA 22209.

Attn: ``Advance Notification of Schedule 1 Chemical Export''.

(3) Upon receipt of the notification, BXA will inform the exporter

of the earliest date the shipment may occur under the notification

procedure. To export the Schedule 1 chemical, the exporter must have

applied for and been granted a license (see Secs. 742.2 and 742.18 of

the EAR, or the ITAR at 22 CFR part 121.

(b) Annual report of exports. (1) You must report all exports of

any quantity of a Schedule 1 chemical to another State Party during the

previous calendar year, starting with exports taking place during

calendar year 1997. Reports for exports during calendar years 1997 and

1998 are due to the Department of Commerce August 16, 1999. Thereafter,

annual reports of exports are due on February 13 of the following

calendar year. The report should be on company letterhead or must

clearly identify the reporting entity by name of company, complete

address, name of contact person and telephone and fax numbers along

with the following information for each export:

(i) Common Chemical Name;

(ii) Structural formula of the chemical;

(iii) CAS Registry Number;

(iv) Quantity involved in grams;

(v) Date of export;

(vi) Export license number;

(vii) Purpose (end-use) of export;

(viii) Name of recipient;

(ix) Complete address of recipient, including street address, city

and country; and (x) Company identification number, once assigned by

BXA.

(2) The report must be signed by a responsible party, certifying

that the information provided in the annual report is, to the best of

his/her knowledge and belief, true and complete.

[[Page 27144]]

(3) Send the report by fax to (703) 235-1481 or to the following

address, for courier deliveries: Information Technology Team,

Department of Commerce, Bureau of Export Administration, 1555 Wilson

Boulevard, Suite 710, Arlington, VA 22209. Attn: ``Annual Report of

Schedule 1 Chemical Export''.

Sec. 745.2 End-Use Certificate reporting requirements under the

Chemical Weapons Convention.

Note: The End-Use Certificate requirement of this section does

not relieve the exporter of any requirement to obtain a license from

the Department of Commerce for the export of Schedule 2 or Schedule

3 chemicals subject to the Export Administration Regulations or from

the Department of State for the export of Schedule 2 or Schedule 3

chemicals subject to the International Traffic in Arms Regulations.

(a)(1) No U.S. person, as defined in Sec. 744.6(c) of the EAR, may

export from the United States any Schedule 2 or Schedule 3 chemical

identified in Supplement No. 1 to this part to countries not party to

the Chemical Weapons Convention (destinations not listed in Supplement

No. 2 to this part) unless the U.S. person obtains from the consignee

an End-Use Certificate issued by the government of the importing

destination. This Certificate must be issued by the foreign

government's agency responsible for foreign affairs or any other agency

or department designated by the importing government for this purpose.

Supplement No. 3 to this part includes foreign government entities

responsible for issuing End-Use Certificates pursuant to this section.

Additional foreign government departments or agencies responsible for

issuing End-Use Certificates will be included in Supplement No. 3 to

this part when known. End-Use Certificates may be issued to cover

aggregate quantities against which multiple shipments may be made to a

single consignee. An End-Use Certificate covering multiple shipments

may be used until the aggregate quantity is shipped. End-Use

Certificates must be submitted separately from license applications.

(2) Submit a copy of the End-Use Certificate to the Department of

Commerce by fax at (703) 235-1481 or to the following address no later

than 7 days after the date of export, for mail and courier deliveries:

Information Technology Team, Department of Commerce, Bureau of Export

Administration, 1555 Wilson Boulevard, Suite 710, Arlington, VA 22209.

Attn: CWC End-Use Certificate Report.

(b) The End-Use Certificate described in paragraph (a) of this

section must state the following:

(1) That the chemicals will be used only for purposes not

prohibited under the Chemical Weapons Convention;

(2) That the chemicals will not be transferred to other end-user(s)

or end-use(s);

(3) The types and quantities of chemicals;

(4) Their specific end-use(s); and

(5) The name(s) and complete address(es) of the end-user(s).

Supplement No. 1 to Part 745--Schedules of Chemicals

------------------------------------------------------------------------

C.A.S. Registry

No.

------------------------------------------------------------------------

Schedule 1

------------------------------------------------------------------------

A. Toxic chemicals:

(1) O-Alkyl (C10, incl. cycloalkyl)

alkyl (Me, Et, n-Pr or i-Pr)-phosphonofluoridates

e.g. Sarin: O-Isopropyl 107-44-8

methylphosphonofluoridate....................

Soman: O-Pinacolyl methylphosphonofluoridate.. 96-64-0

(2) O-Alkyl (C10, incl. cycloalkyl) N,N-

dialkyl (Me, Et, n-Pr or i-Pr)

phosphoramidocyanidates

e.g. Tabun: O-Ethyl N,N-dimethyl 77-81-6

phosphoramidocyanidate.......................

(3) O-Alkyl (H or C10, incl.

cycloalkyl) S-2-dialkyl (Me, Et, n-Pr or i-Pr)-

aminoethyl alkyl (Me, Et, n-Pr or i-Pr)

phosphonothiolates and corresponding alkylated or

protonated salts

e.g. VX: O-Ethyl S-2-diisopropylaminoethyl 50782-69-9

methyl phosphonothiolate.....................

(4) Sulfur mustards:

2-Chloroethylchloromethylsulfide.............. 2625-76-5

Mustard gas: Bis(2-chloroethyl)sulfide........ 505-60-2

Bis(2-chloroethylthio)methane................. 63869-13-6

Sesquimustard: 1,2-Bis(2- 3563-36-8

chloroethylthio)ethane.......................

1,3-Bis(2-chloroethylthio)-n-propane.......... 63905-10-2

1,4-Bis(2-chloroethylthio)-n-butane........... 142868-93-7

1,5-Bis(2-chloroethylthio)-n-pentane.......... 142868-94-8

Bis(2-chloroethylthiomethyl)ether............. 63918-90-1

O-Mustard: Bis(2-chloroethylthioethyl)ether... 63918-89-8

(5) Lewisites:

Lewisite 1: 2-Chlorovinyldichloroarsine....... 541-25-3

Lewisite 2: Bis(2-chlorovinyl)chloroarsine.... 40334-69-8

Lewisite 3: Tris(2-chlorovinyl)arsine......... 40334-70-1

(6) Nitrogen mustards:

HN1: Bis(2-chloroethyl)ethylamine............. 538-07-8

HN2: Bis(2-chloroethyl)methylamine............ 51-75-2

HN3: Tris(2-chloroethyl)amine................. 555-77-1

(7) Saxitoxin..................................... 35523-89-8

(8) Ricin......................................... 9009-86-3

B. Precursors:....................................

(9) Alkyl (Me, Et, n-Pr or i-Pr)

phosphonyldifluorides

e.g. DF: Methylphosphonyldifluoride........... 676-99-3

(10) O-Alkyl (H or C10, incl.

cycloalkyl) O-2-dialkyl (Me, Et, n-Pr or i-Pr)-

aminoethyl alkyl (Me, Et, n-Pr or i-Pr)

phosphonites and corresponding alkylated or

protonated salts

e.g. QL: O-Ethyl O-2-diisopropylaminoethyl 57856-11-8

methylphosphonite............................

(11) Chlorosarin: O-Isopropyl 1445-76-7

methylphosphonochloridate........................

(12) Chlorosoman: O-Pinacolyl 7040-57-5

methylphosphonochloridate........................

------------------------------------------------------------------------

[[Page 27145]]

Schedule 2

------------------------------------------------------------------------

A. Toxic chemicals:

(1) Amiton: O,O-Diethyl S-[2-(diethylamino)ethyl] 78-53-5

phosphorothiolate and corresponding alkylated or

protonated salts.................................

(2) PFIB: 1,1,3,3,3-Pentafluoro-2- 382-21-8

(trifluoromethyl)-1-propene......................

(3) BZ: 3-Quinuclidinyl benzilate................. 6581-06-2

B. Precursors:

(4) Chemicals, except for those listed in Schedule

1, containing a phosphorus atom to which is

bonded one methyl, ethyl or propyl (normal or

iso) group but not further carbon atoms,

e.g. Methylphosphonyl dichloride.............. 676-97-1

Dimethyl methylphosphonate.................... 756-79-6

Exemption: Fonofos: O-Ethyl S-phenyl 944-22-9

ethylphosphono-thiolothionate................

(5) N,N-Dialkyl (Me, Et, n-Pr or i-Pr)

phosphoramidic dihalides

(6) Dialkyl (Me, Et, n-Pr or i-Pr) N,N-dialkyl

(Me, Et, n-Pr or i-Pr)-phosphoramidates

(7) Arsenic trichloride 7784-34-1

(8) 2,2-Diphenyl-2-hydroxyacetic acid 76-93-7

(9) Quinuclidine-3-ol 1619-34-7

(10) N,N-Dialkyl (Me, Et, n-Pr or i-Pr) aminoethyl-

2-chlorides and corresponding protonated salts

(11) N,N-Dialkyl (Me, Et, n-Pr or i-Pr)

aminoethane-2-ols and corresponding protonated

salts

Exemptions: N,N-Dimethylaminoethanol and 108-01-0

corresponding protonated salts...............

N,N-Diethylaminoethanol and corresponding 100-37-8

protonated salts.............................

(12) N,N-Dialkyl (Me, Et, n-Pr or i-Pr)

aminoethane-2-thiols and corresponding protonated

salts

(13) Thiodiglycol: Bis(2-hydroxyethyl)sulfide. 111-48-8

(14) Pinacolyl alcohol: 3,3-Dimethylbutane-2- 464-07-3

ol...........................................

------------------------------------------------------------------------

Schedule 3

------------------------------------------------------------------------

A. Toxic chemicals:

(1) Phosgene: Carbonyl dichloride................. 75-44-5

(2) Cyanogen chloride............................. 506-77-4

(3) Hydrogen cyanide.............................. 74-90-8

(4) Chloropicrin: Trichloronitromethane........... 76-06-2

B. Precursors:

(5) Phosphorus oxychloride........................ 10025-87-3

(6) Phosphorus trichloride........................ 7719-12-2

(7) Phosphorus pentachloride...................... 10026-13-8

(8) Trimethyl phosphite........................... 121-45-9

(9) Triethyl phosphite............................ 122-52-1

(10) Dimethyl phosphite........................... 868-85-9

(11) Diethyl phosphite............................ 762-04-9

(12) Sulfur monochloride.......................... 10025-67-9

(13) Sulfur dichloride............................ 10545-99-0

(14) Thionyl chloride............................. 7719-09-7

(15) Ethyldiethanolamine.......................... 139-87-7

(16) Methyldiethanolamine......................... 105-59-9

(17) Triethanolamine.............................. 102-71-6

------------------------------------------------------------------------

Supplement No. 2 to Part 745--States Parties to the Convention on

the Prohibition of the Development, Production, Stockpiling, and

Use of Chemical Weapons and on Their Destruction

List of States Parties as of May 18, 1999

Albania

Algeria

Argentina

Armenia

Australia

Austria

Bahrain

Bangladesh

Belarus

Belgium

Benin

Bolivia

Bosnia-Herzegovina

Botswana

Brazil

Brunei Darussalam

Bulgaria

Burkina Faso

Burundi

Cameroon

Canada

Chile

China

Cook Islands

Costa Rica

Cote d'Ivoire (Ivory Coast)

Croatia

Cuba

Cyprus

Czech Republic

Denmark

Ecuador

El Salvador

Equatorial Guinea

Ethiopia

Fiji

Finland

France

Gambia

Georgia

Germany

Ghana

Greece

Guinea

Guyana

Hungary

Iceland

India

Indonesia

Iran

Ireland

Italy

Japan

Jordan

Kenya

Korea (Republic of)

Kuwait

Laos (P.D.R.)

[[Page 27146]]

Latvia

Lesotho

Lithuania

Luxembourg

Macedonia

Malawi

Maldives

Mali

Malta

Mauritius

Mauritania

Mexico

Moldova (Republic of)

Monaco

Mongolia

Morocco

Namibia

Nepal

Netherlands

New Zealand

Niger

Norway

Oman

Pakistan

Panama

Papua New Guinea

Paraguay

Peru

Philippines

Poland

Portugal

Qatar

Romania

Russian Federation

Saint Lucia

Saudi Arabia

Senegal

Seychelles

Singapore

Slovak Republic

Slovenia

South Africa

Spain

Sri Lanka

Suriname

Swaziland

Sweden

Switzerland

Tajikistan

Tanzania

Togo

Trinidad and Tobago

Tunisia

Turkey

Turkmenistan

United Kingdom

Ukraine

United States

Uruguay

Uzbekistan

Venezuela

Vietnam

Zimbabwe

Supplement No. 3 to Part 740--Foreign Government Agencies

Responsible for Issuing End-Use Certificates Pursuant to Sec. 745.2

Israel

Chemical, Environment Technology Administration, Ministry of

Industry & Trade, 30 Agron Street, Jerusalem 94190, Israel

Contact: Josef Dancona, Deputy Director, Telephone: 972-2-

6220193, Fax: 972-2-6241987

Taiwan

Industrial Development Bureau, Ministry of Economic Affairs, 41-

3, Sinyi Road Sec 3, Taipei, Taiwan, ROC

Contact: Ms. Yea-Ling Shiou, Telephone: 886-2-27541255, Ext.

2329

PART 748--[AMENDED]

19. Section 748.8 is amended by adding paragraph (q) to read as

follows:

Sec. 748.8 Unique license application requirements.

* * * * *

(q) Exports of chemicals controlled for CW reasons by ECCN 1C350 to

countries not listed in Supplement No. 2 to part 745 of the EAR.

20. Supplement No. 2 to part 748 is amended by adding paragraph (q)

to read as follows:

Supplement No. 2 to Part 748--Unique License Application

Requirements

(q) Chemicals controlled for CW reasons under ECCN 1C350. In

addition to any supporting documentation required by part 748, you must

also obtain from your consignee an End-Use Certificate for the export

of chemicals controlled for CW reasons by ECCN 1C350 (except

1C350.a.20., a.24, and a.31) to non-States Parties (destinations not

listed in Supplement No. 2 to part 745 of the EAR). See Sec. 745.2 of

the EAR. In addition to the End-Use Certificate, you may still be

required to obtain a Statement by Ultimate Consignee and Purchaser

(Form BXA-711P) as support documentation. Consult Secs. 748.9 and

748.11 of the EAR.

PART 758--[AMENDED]

21. Section 758.3 is amended by revising the phrase ``that have the

column identifier'' in paragraph (h)(2) to read ``that are controlled

for ``CW'' reasons or that have the column identifier''.

22. Part 772 is amended by adding definitions of ``Chemical Weapons

Convention (CWC)'' and ``Organization for the Prohibition of Chemical

Weapons (OPCW)'' in alphabetical order to read as follows:

PART 772--[AMENDED]

* * * * *

Chemical Weapons Convention (CWC). Means ``The Convention on the

Prohibition of the Development, Production, Stockpiling and Use of

Chemical Weapons and on Their Destruction'', opened for signature on

January 13, 1993.

* * * * *

Organization for the Prohibition of Chemical Weapons (OPCW). Means

the international organization, located in The Hague, Netherlands, that

administers the Chemical Weapons Convention.

PART 774--[AMENDED]

23. In Supplement No. 1 to part 774 (the Commerce Control List),

Category 1, is amended by revising ECCN 1C350 to read as follows:

1C350 Chemicals, that may be used as precursors for toxic chemical

agents.

License Requirements

Reason for Control: CB, CW, AT

------------------------------------------------------------------------

Control(s) Country chart

------------------------------------------------------------------------

CB applies to entire entry............. CB Column 2

CW applies to 1C350.a.2, a.3, a.5, a.6, a.7, a.8, a.10, a.11, a.12,

a.13, a.15, a.16, a.17, a.20, a.21, a.22, a.23, a.24, a.28, a.29, a.30,

a.31, a.32, a.33, a.35, a.37, a.41, a.47, a.48, a.49, a.50, a.51, a.53,

or a.54. For 1C350.a.20, a.24 and a.31, a license is required for CW

reasons for all destinations, including Canada. For all other chemicals

controlled for CW reasons, a license is a required for export to

countries not listed in Supplement No. 2 to part 745, unless an End-Use

Certificate is obtained by the exporter. See Sec. 742.18 of the EAR.

Also, see Sec. 745.2 of the EAR for End-Use Certificate requirements.

The Commerce Country Chart is not designed to determine licensing

requirements for items controlled for CW reasons.

AT applies to entire entry............. AT Column 1

------------------------------------------------------------------------

License Requirement Notes

1. Sample Shipments: Certain sample shipments of chemicals

controlled under ECCN 1C350 may be made without a license, as provided

by the following:

a. Chemicals Not Eligible: The following CWC Schedule 1 chemicals

are not eligible for sample shipments: 0-Ethyl-2-diisopropylaminoethyl

methylphosphonite (QL) (C.A.S. #57856-11-8), Ethylphosphonyl difluoride

(C.A.S. #753-98-0), and

[[Page 27147]]

Methylphosphonyl difluoride (C.A.S. #676-99-3).

b. Countries Not Eligible: The following countries are not eligible

to receive any sample shipments: Cuba, Iran, Iraq, Libya, North Korea,

Sudan, Syria.

c. Sample Shipments: A license is not required for sample shipments

when the cumulative total of these shipments does not exceed a 55-

gallon container or 200 kg of each chemical to any one consignee per

calendar year. Multiple sample shipments, in any quantity, not

exceeding the totals indicated in this paragraph may be exported

without a license, in accordance with the provisions of this Note 1. A

consignee that receives a sample shipment under this exclusion may not

resell, transfer, or reexport the sample shipment, but may use the

sample shipment for any other legal purpose unrelated to chemical

weapons. However, a sample shipment exported and received under this

exclusion remains subject to all General Prohibitions including the

end-use restriction described in Sec. 744.4 of the EAR. Sample

shipments of chemicals controlled for CW reasons to non-States Parties

(destinations not listed in Supplement No. 2 to part 745 of the EAR)

may not be made without first obtaining an End-Use Certificate, as

described in Sec. 745.2 of the EAR. If no End-Use Certificate is

obtained pursuant to Sec. 745.2 of the EAR, a license is required for

sample shipments of chemicals controlled under ECCN 1C350 for CW

reasons.

d. The exporter is required to submit a quarterly written report

for shipments of samples made under this Note 1. The report must be on

company letterhead stationery (titled ``Report of Sample Shipments of

Chemical Precursors'' at the top of the first page) and identify the

chemical(s), Chemical Abstract Service Registry (C.A.S. ) number(s),

quantity(ies), the ultimate consignee's name and address, and the date

exported. The report must be sent to the U.S. Department of Commerce,

Bureau of Export Administration, P.O. Box 273, Washington, DC 20044,

Attn: ``Report of Sample Shipments of Chemical Precursors''.

2. Mixtures: Mixtures controlled by this entry that contain certain

concentrations of precursor and intermediate chemicals are subject to

the following licensing requirements:

a. A license is required, regardless of the concentrations in the

mixture, for the following chemicals: 0-Ethyl-2-diisopropylaminoethyl

methylphosphonite (QL) (C.A.S. #57856-11-8), Ethylphosphonyl difluoride

(C.A.S. #753-98-0) and Methylphosphonyl difluoride (C.A.S. #676-99-3);

b. A license is required when at least one of the following

chemicals constitutes more than 10 percent of the weight of the

mixture: Arsenic trichloride (C.A.S. #7784-34-1), Benzilic acid (C.A.S.

#76-93-7), Diethyl ethylphosphonate (C.A.S. #78-38-6), Diethyl

methylphosphonite (C.A.S. #15715-41-0), Diethyl-N,N-

dimethylphosphoroamidate (C.A.S. #2404-03-7), N,N-Diisopropyl-beta-

aminoethane thiol (C.A.S. #5842-07-9), N,N-Diisopropyl-2-aminoethyl

chloride hydrochloride (C.A.S. #4261-68-1), N,N-Diisopropyl-beta-

aminoethanol (C.A.S. #96-80-0), N,N-Diisopropyl-beta-aminoethyl

chloride (C.A.S. #96-79-7), Dimethyl ethylphosphonate (C.A.S. #6163-75-

3), Dimethyl methylphosphonate (C.A.S. #756-79-6), Ethylphosphonous

dichloride [Ethylphosphinyl dichloride] (C.A.S. #1498-40-4),

Ethylphosphonus difluoride [Ethylphosphinyl difluoride] (C.A.S. #430-

78-4), Ethylphosphonyl dichloride (C.A.S. #1066-50-8),

Methylphosphonous dichloride [Methylphosphinyl dichloride] (C.A.S.

#676-83-5), Methylphosphonous difluoride [Methylphosphinyl difluoride]

(C.A.S. #753-59-3), Methylphosphonyl dichloride (C.A.S. #676-97-1),

Pinacolyl alcohol (C.A.S. #464-07-3), 3-Quinuclidinol (C.A.S. #1619-34-

7), and Thiodiglycol (C.A.S. #111-48-8) (Related ECCN: 1C995);

c. A license is required when at least one of all other chemicals

in the List of Items Controlled constitutes more than 25 percent of the

weight of the mixture (related ECCN: 1C995); and

d. A license is not required under this entry for mixtures when the

controlled chemical is a normal ingredient in consumer goods packaged

for retail sale for personal use. Such consumer goods are classified as

EAR99.

Note to Mixtures: Calculation of concentrations of AG-controlled

chemicals:

a. Exclusion. No chemical may be added to the mixture (solution)

for the sole purpose of circumventing the Export Administration

Regulations;

b. Absolute Weight Calculation. When calculating the percentage,

by weight, of components in a chemical mixture, include all

components of the mixture, including those that act as solvents;

c. Example.

11% chemical listed in paragraph b. of Note 2.

39% chemical not listed in Note 2

50% Solvent

100% Mixture

11/100=11% chemical listed in paragraph b. of Note 2.

In this example, a license is required because a chemical listed in

paragraph b. of Note 2 constitutes more than 10 percent of the weight

of the mixture.

3. Compounds. A license is not required under this entry for

chemical compounds created with any chemicals identified in this entry,

unless those compounds are also identified in this entry.

Technical Notes: 1. For purposes of this entry, a ``mixture'' is

defined as a solid, liquid or gaseous product made up of two or more

components that do not react together under normal storage

conditions.

2. The scope of this control applicable to Hydrogen Fluoride

(Item 25 in List of Items Controlled) includes its liquid, gaseous,

and aqueous phases, and hydrates.

License Exceptions

LVS: N/A.

GBS: N/A.

CIV: N/A.

List of Items Controlled

Unit: Liters or kilograms, as appropriate.

Related Controls: 1C350.a.20, a.24, and a.31 are CWC Schedule 1

chemicals (see Sec. 742.18 of the EAR). The U.S. Government must

provide advance notification and annual reports to the OPCW of all

exports of Schedule 1 chemicals. See Secs. 742.18 and 745.1 of the EAR

for notification and annual report requirements. See also ECCN 1C355.

See 22 CFR part 121, Category XIV and Sec. 121.7 for additional CWC

Schedule 1 chemicals controlled by the Department of State.

Related Definitions: See Sec. 770.2(k) of the EAR for synonyms for

the chemicals listed in this entry.

Items:

a. Precursor Chemicals, as follows:

a.1. (C.A.S. #1341-49-7) Ammonium hydrogen fluoride;

a.2. (C.A.S. #7784-34-1) Arsenic trichloride;

a.3. (C.A.S. #76-93-7) Benzilic acid;

a.4. (C.A.S. #107-07-3) 2-Chloroethanol;

a.5. (C.A.S. #78-38-6) Diethyl ethylphosphonate;

a.6. (C.A.S. #15715-41-0) Diethyl methylphosphonite;

a.7. (C.A.S. #2404-03-7) Diethyl-N,N-dimethylphosphoroamidate;

a.8. (C.A.S. #762-04-9) Diethyl phosphite;

a.9. (C.A.S. #100-37-8) N,N-Diethylaminoethanol;

a.10. (C.A.S. #5842-07-9) N,N-Diisopropyl-beta-aminoethane thiol;

a.11. (C.A.S. #4261-68-1) N,N-Diisopropyl-beta-aminoethyl chloride

hydrochloride;

a.12. (C.A.S. #96-80-0) N,N-Diisopropyl-beta-aminoethanol;

a.13. (C.A.S. #96-79-7), N,N-

[[Page 27148]]

Diisopropyl-beta-aminoethyl chloride;

a.14. (C.A.S. #108-18-9) Di-isopropylamine;

a.15. (C.A.S. #6163-75-3) Dimethyl ethylphosphonate;

a.16. (C.A.S. #756-79-6) Dimethyl methylphosphonate;

a.17. (C.A.S. #868-85-9) Dimethyl phosphite (dimethyl hydrogen

phosphite);

a.18. (C.A.S. #124-40-3) Dimethylamine;

a.19. (C.A.S. #506-59-2) Dimethylamine hydrochloride;

a.20. (C.A.S. #57856-11-8) O-Ethyl-2-diisopropylaminoethyl methyl

phosphonite (QL);

a.21. (C.A.S. #1498-40-4) Ethyl phosphonous dichloride [Ethyl

phosphinyl dichloride];

a.22. (C.A.S. #430-78-4) Ethyl phosphonus difluoride [Ethyl

phosphinyl difluoride];

a.23. (C.A.S. #1066-50-8) Ethyl phosphonyl dichloride;

a.24. (C.A.S. #753-98-0) Ethyl phosphonyl difluoride;

a.25. (C.A.S. #7664-39-3) Hydrogen fluoride;

a.26. (C.A.S. #3554-74-3) 3-Hydroxyl-l-methylpiperidine;

a.27. (C.A.S. #76-89-1) Methyl benzilate;

a.28. (C.A.S. #667-83-5) Methyl phosphonous dichloride [Methyl

phosphinyl dicloride];

a.29. (C.A.S. #753-59-3) Methyl phosphonous difluoride [Methyl

phosphinyl difluoride];

a.30. (C.A.S. #767-97-1) Methyl phosphonyl dichloride;

a.31. (C.A.S. #676-99-3) Methyl phosphonyl difluoride;

a.32 (C.A.S. #10025-87-3) Phosphorus oxychloride;

a.33. (C.A.S. #10026-13-8) Phosphorus pentachloride;

a.34. (C.A.S. #1314-80-3) Phosphorus pentasulfide;

a.35. (C.A.S. #7719-12-2) Phosphorus trichloride;

a.36. (C.A.S. #75-97-8) Pinacolone;

a.37. (C.A.S. #464-07-3) Pinacolyl alcohol;

a.38. (C.A.S. #151-50-8) Potassium cyanide;

a.39. (C.A.S. #7789-23-3) Potassium fluoride;

a.40. (C.A.S. #7789-29-9) Potassium bifluoride;

a.41. (C.A.S. #1619-34-7) 3-Quinuclidinol;

a.42. (C.A.S. #3731-38-2) 3-Quinuclidone;

a.43. (C.A.S. #1333-83-1) Sodium bifluoride;

a.44. (C.A.S. #143-33-9) Sodium cyanide;

a.45. (C.A.S. #7681-49-4) Sodium fluoride;

a.46. (C.A.S. #1313-82-2) Sodium sulfide;

a.47. (C.A.S. #10025-67-9) Sulfur monochloride;

a.48. (C.A.S. #10545-99-0) Sulfur dichloride;

a.49. (C.A.S. #111-48-8) Thiodiglycol;

a.50. (C.A.S. #7719-09-7) Thionyl chloride;

a.51. (C.A.S. #102-71-6) Triethanolamine;

a.52. (C.A.S. #637-39-8) Triethanolamine hydrochloride;

a.53. (C.A.S. #122-52-1) Triethyl phosphite; and

a.54. (C.A.S. #121-45-9) Trimethyl phosphite.

b. Reserved.

24-25. In Supplement No. 1 to part 774 (the Commerce Control List),

Category 1 is amended by revising ECCN 1C351 to read as follows:

1C351 Human pathogens, zoonoses, and ``toxins''.

License Requirements

Reason for Control: CB, CW, AT.

------------------------------------------------------------------------

Control(s) Country chart

------------------------------------------------------------------------

CB applies to entire entry............. CB Column 1

CW applies to 1C351.d.5 and d.6. See Sec. 742.18 of the EAR for

licensing information pertaining to chemicals subject to restriction

pursuant to the CWC. The Commerce Country Chart is not designed to

determine licensing requirements for items controlled for CW reasons.

AT applies to entire entry............. AT Column 1

------------------------------------------------------------------------

License Exceptions

LVS: N/A.

GBS: N/A.

CIV: N/A.

List of Items Controlled

Unit: Liters or kilograms, as appropriate.

Related Controls: 1C351.d.5. and d.6 are CWC Schedule 1 chemicals

(see Sec. 742.18 of the EAR).

a.7. Japanese encephalitis virus;

a.8. Junin virus;

The U.S. Government must provide advance notification and annual

reports to the OPCW of all exports of Schedule 1 chemicals. See

Sec. 743.2 of the EAR for notification procedures. See 22 CFR part 121,

Category XIV and Sec. 121.7 for additional CWC Schedule 1 chemicals

controlled by the Department of State. All vaccines and

``immunotoxins'' are excluded from the scope of this entry. See also

1C991.

Related Definitions: (1) For the purposes of this entry

``immunotoxin'' is defined as an antibody-toxin conjugate intended to

destroy specific target cells (e.g., tumor cells) that bear antigens

homologous to the antibody. (2) For the purposes of this entity

``subunit'' is defined as a portion of the ``toxin''.

Items:

a. Viruses, as follows:

a.1. Chikungunya virus;

a.2. Congo-Crimean haemorrhagic fever virus;

a.3. Dengue fever virus;

a.4. Eastern equine encephalitis virus;

a.5. Ebola virus;

a.6. Hantaan virus;

a.9. Lassa fever virus;

a.10. Lymphocytic choriomeningitis virus;

a.11. Machupo virus;

a.12. Marburg virus;

a.13. Monkey pox virus;

a.14. Rift Valley fever virus;

a.15. Tick-borne encephalitis virus (Russian Spring-Summer

encephalitis virus);

a.16. Variola virus;

a.17. Venezuelan equine encephalitis virus;

a.18. Western equine encephalitis virus;

a.19. White pox; or

a.20. Yellow fever virus.

b. Rickettsiae, as follows:

b.1. Bartonella quintana (Rochalimea quintana, Rickettsia

quintana);

b.2 Coxiella burnetii;

b.3. Rickettsia prowasecki; or

b.4. Rickettsia rickettsii.

c. Bacteria, as follows:

c.1. Bacillus anthracis;

c.2. Brucella abortus;

c.3. Brucella melitensis;

c.4. Brucella suis;

c.5. Burkholderia mallei (Pseudomonas mallei);

c.6. Burkholderia pseudomallei (Pseudomonas pseudomallei);

c.7. Chlamydia psittaci;

c.8. Clostridium botulinum;

c.9. Francisella tularensis;

c.10. Salmonella typhi;

c.11. Shigella dysenteriae;

c.12. Vibrio cholerae;

[[Page 27149]]

c.13. Yersinia pestis.

d. ``Toxins'', as follows: and subunits thereof:

d.1. Botulinum toxins;

d.2. Clostridium perfringens toxins;

d.3. Conotoxin;

d.4. Microcystin (cyanginosin);

d.5. Ricin;

d.6. Saxitoxin;

d.7. Shiga toxin;

d.8. Staphylococcus aureus toxins;

d.9. Tetrodotoxin;

d.10. Verotoxin; or

d.11. Aflatoxins.

26. In Supplement No. 1 to part 774 (the Commerce Control List),

Category 1 is amended by adding new ECCN 1C355 to read as follows:

1C355 Chemical Weapons Convention (CWC) Schedule 2 and 3 chemicals and

families of chemicals, not controlled by ECCN 1C350 or by the

Department of State under the ITAR.

License Requirements

Reason for Control: CW.

Control(s)

CW applies to entire entry. A license is required for CW reasons

only to CWC non-States Parties (destinations not listed in Supplement

No. 2 to part 745), unless an End-Use Certificate is obtained by the

exporter (see Sec. 742.18 of the EAR). See Sec. 745.2 of the EAR for

End-Use Certificate requirements, and the License Requirements Notes of

this entry. Also note the export clearance requirements of Sec. 758.3

of the EAR. The Commerce Country Chart is not designed to determine

licensing requirements for items controlled for CW reasons.

License Requirements Notes

1. Chemicals listed in this entry may be shipped NLR (No License

Required) when destined to most CWC States Parties (countries listed in

Supplement No. 2 to part 745). Also see License Requirement Note 3.

2. Chemicals listed in this entry may be shipped NLR when destined

to most non-States Parties (destinations not listed in Supplement No. 2

to part 745) if supported by an End-Use Certificate described by

Sec. 745.2 of the EAR and if the ECCN is indicated on the Shipper's

Export Declaration in the appropriate space as provided in Sec. 758.3

of the EAR. Chemicals listed in this entry require a license when

exported to non-States Parties if the export is not supported by an

End-Use Certificate described by Sec. 745.2 of the EAR.

3. Chemicals listed in this entry may not be shipped NLR if

restrictions of other sections of the EAR apply (e.g., see the end-use

and end-user restrictions of part 744 of the EAR and the restrictions

that apply to embargoed countries in part 746 of the EAR).

4. Mixtures: Mixtures controlled by this entry that contain certain

concentrations of precursor and intermediate chemicals are subject to

the following requirements:

a. Mixtures are controlled under this entry when containing at

least one of the chemicals controlled under 1C355.a when the chemical

constitutes more than 10 percent of the weight of the mixture.

b. Mixtures are controlled under this entry when containing at

least one of the chemicals controlled under 1C355.b when the chemical

constitutes more than 25 percent of the weight of the mixture.

c. Mixtures containing chemicals identified in this entry are not

controlled by ECCN 1C355 when the controlled chemical is a normal

ingredient in consumer goods packaged for retail sale for personal use.

Such consumer goods are classified as EAR99.

Note to mixtures: Calculation of concentrations.

a. Exclusion. No chemical may be added to the mixture (solution)

for the sole purpose of circumventing the Export Administration

Regulations;

b. Absolute Weight Calculation. When calculating the percentage,

by weight, of components in a chemical mixture, include all

components of the mixture, including those that act as solvents;

c. Example.

11% chemical listed in 1C355.a

39% chemical not listed in 1C355.a

50% Solvent

100% Mixture

11/100 = 11% chemical listed in 1C355.a

In this example, the mixture is controlled under this entry because a

chemical listed in 1C355.a. constitutes more than 10 percent of the

weight of the mixture.

5. Compounds. Compounds created with any chemicals identified in

this ECCN 1C355 may be shipped NLR, unless those compounds are also

identified in this entry.

Technical Notes: For purposes of this entry, a ``mixture'' is

defined as a solid, liquid or gaseous product made up of two or more

components that do not react together under normal storage

conditions.

License Exceptions

LVS: N/A.

GBS: N/A.

CIV: N/A.

List of Items Controlled

Unit: Liters or kilograms, as appropriate.

Related Controls: See also ECCNs 1C350 and 1C351. See Secs. 742.18

and 745.2 of the EAR for End-Use Certification requirements. See 22 CFR

part 121, Category XIV and Sec. 121.7 for chloropicrin

(trichloronitromethane)(76-06-2) (Schedule 3). Mixtures containing

chloropicrin (trichloronitromethane) that have been transferred to the

Department of Commerce from the Department of State through a commodity

jurisdiction determination are controlled under this entry unless

exempt by paragraph 4.b. of Licensing Requirements Notes.

Related Definitions: N/A.

Items:

a. CWC Schedule 2 chemicals:

a.1. Toxic chemicals:

a.1.a. PFIB: 1,1,3,3,3-Pentafluoro-2-(trifluoromethyl)-1-propene

(382-21-8);]

a.1.b. [Reserved]

a.2. Precursors:

a.2.a. FAMILY: Chemicals except for those listed in Schedule 1,

containing a phosphorus atom to which is bonded one methyl, ethyl, or

propyl (normal or iso) group with no additional carbon atoms in the

structure;

Note: 1C355.a.2.a does not control Fonofos: O-Ethyl S-phenyl

ethylphosphonothiolothionate (944-22-9).

a.2.b. FAMILY: N,N-Dialkyl (Me, Et, n-Pr or i-Pr) phosphoramidic

dihalides;

a.2.c. FAMILY: Dialkyl (Me, Et, n-Pr or i-Pr) N,N-dialkyl (Me, Et,

n-Pr, or i-Pr)-phosphoramidates;

a.2.d. FAMILY: N,N-Dialkyl (Me, Et, n-Pr or i-Pr) aminoethyl-2-

clorides and corresponding protonated salts;

a.2.e. FAMILY: N,N-Dialkyl (Me, Et, n-Pr or i-Pr) aminoethane-2-ols

and corresponding protonated salts;

Note: 1C355.a.2.e. does not control N,N-Dimethylaminoethanol and

corresponding protonated salts (108-01-0) or N,N-Diethylaminoethanol

and corresponding protonated salts (100-37-8).

a.2.f. FAMILY: N,N-Dialkyl (Me, Et, n-Pr or i-Pr) aminoethane-2-

thiols and corresponding protonated salts;

b. CWC Schedule 3 chemicals:

b.1. Toxic chemicals:

b.1.a. Phosgene: Carbonyl dichloride (75-44-5);

b.1.b. Cyanogen chloride (506-77-4);

b.1.c. Hydrogen cyanide (74-90-8).

b.2. Precursors:

b.2.a. Ethyldiethanolamine (139-87-7);

b.2.b. Methyldiethanolamine (105-59-9).

b.3. Mixtures containing chloropicrin (trichloronitromethane)(76-06-2)

transferred from the Department of State (see Related Controls).

[[Page 27150]]

27. In Supplement No. 1 to part 774 (the Commerce Control List),

Category 1, is amended by revising the heading of ECCN 1E001 to read as

follows:

1E001 ``Technology'' according to the General Technology Note for the

``development'' or ``production'' of items controlled by 1A001.b.,

1A001.c., 1A002, 1A003, 1A005, 1A102, 1B or 1C (except 1C355, 1C980,

1C981, 1C982, 1C983, 1C984, 1C988, 1C991, 1C992, 1C993, 1C994 and

1C995).

* * * * *

28. In Supplement No. 1 to part 774 (the Commerce Control List),

Category 1 is amended by adding new ECCN 1E355 to read as follows:

1E355 Technology for the production of Chemical Weapons Convention

(CWC) Schedule 2 and 3 chemicals, as follows (see List of Items

Controlled):

License Requirements

Reason for Control: CW, AT.

------------------------------------------------------------------------

Control(s) Country chart

------------------------------------------------------------------------

SW applies to entire entry. A license is required for CW reasons to CWC

non-States Parties (destinations not listed in Supplement No. 2 to part

745), except for Israel and Taiwan. See Sec. 472.18 of the EAR. The

Commerce Country Chart is not designed to determine licensing

requirements for items controlled for SW reasons.

AT applies to the entire entry......... AT Column 1

------------------------------------------------------------------------

License Exceptions

TSR: N/A.

CIV: N/A.

List of Items Controlled

Unit: N/A.

Related Controls: N/A.

Related Definitions: N/A.

Items:

a. Technology for the production of the following CWC Schedule 2

toxic chemicals:

a.1. PFIB: 1,1,3,3,3-Pentafluoro-2-(trifluoromethyl)-1-propene (382-21-

8);

a.2. [Reserved]

b. Technology for the production of the following CWC Schedule 3

toxic chemicals CWC:

b.1. Phosgene: Carbonyl dichloride (75-44-5);

b.2. Cyanogen chloride (506-77-4);

b.3. Hydrogen cyanide (74-90-8).

Dated: May 11, 1999.

R. Roger Majak,

Assistant Secretary for Export Administration.

[FR Doc. 99-12281 Filed 5-17-99; 8:45 am]

BILLING CODE 3510-33-P