Bis encourages companies to follow these guidelines to assist us in processing your license application more efficiently. Yes, you are required to apply for a deemed export license Under the sanctions imposed by the u.s Government, any export which includes transfers of technology to foreign nationals requires a license to organizations on the entity list. We will go over the license exceptions available in deemed export transactions, as well as the necessary support documentation needed need to submit an application for a license prior to conducting a deemed export. Releasing or otherwise transferring “technology” or source code (not object code) to a foreign person in the united states (a “deemed export”) (ear 734.13 (a)(2))
In 2022, the top countries of origin for deemed export were china, iran and mexico Of all approved licenses, 39.6% were issued to the chinese nationals, an increase of 75.5% (206 more) from 273 approvals in 2021 to 479 approvals in 2022. Encryption and export administration regulations (ear) 1 Encryption items not subject to the ear 2 5a002.a (and 5d002 c.1) i Cryptography for data confidentiality ii
Releases of controlled technology to foreign nationals in the u.s Are “deemed” to be an export to the foreign national’s country or countries of nationality. The bureau of industry and security (bis) has prepared these guidelines for applicants to use in submitting deemed export and deemed reexport license applications. When do i need a “deemed export” license for encryption technology and source code A license may be required in certain circumstances for both deemed exports and deemed reexports.
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