(10) Cable layer (WARC).

(11) Lightship (WAL).

(12) Coast Guard tugs (WAT, WXT). (13) Radio ship (WAGR).

(14) Special vessel (WIX).

(15) Auxiliary vessels (WAG, WAGE).

(16) Other Coast Guard patrol or rescue craft (i) of over 300 horsepower when equipped with a gas turbine engine or engines, and (ii) of over 600 horsepower when equipped with an engine or engines of the internal combustion, reciprocating type.

(d) Air Force craft: Air Force rescue boat. (e) Army vessels and craft:

(1) Transportation Corps tug: 100 ft. (LT), 65 ft. (ST), T-boat, Q-boat, J-boat, E-boat.

(2) Barges (BG, BC, BR, BSP, BSPI, BKI, BCF, BBL, BARC, BK).

(3) Cranes, floating (BD).

(4) Drydock, floating (FDL).

(5) Repair ship, floating (FMS).

(6) Trainer, amphibious 20-ton wheeled tow boat, inland waterway (LTI, STI).

§ 121.13

Aircraft and related articles.

(a) The term "aircraft" used in Category VIII of the U.S. Munitions List means aircraft designed, modified, or equipped for military or experimental purpose as specified in Category VIII, including so-called "demilitarized" aircraft. The exportation and importation of such aircraft are subject to the licensing requirements of the Department of State.

(b) Regardless of "demilitarization," all aircraft bearing an original military designation (including those with cargo or "C" designators such as the C-45, C-46, C-47, and C-54) are included in Category VIII of the U.S. Munitions List.

§ 121.14 Helium gas.

The word "helium" shall be understood to mean "contained helium" at standard atmospheric pressure (14.7 pounds per square inch) and 70° Fahrenheit. The term "contained helium" means the actual quantity of the element helium (i.e., 100 percent pure helium) in terms of cubic feet present in a mixture of helium and other gases. Purity determination shall be made by usually recognized methods.

§ 121.15 Forgings, castings, and machined bodies.

Items in a partially completed state, such as forgings, castings, extrusions, and machined bodies of any of the articles enumerated in the U.S. Munitions List which have reached a stage in manufacture where they are clearly identifiable as arms, ammunition, and implements of war are considered to be such articles for the purposes of section 414 of the Mutual Security Act, as amended.

§ 121.16 "United States."

For purposes of this subchapter the term "United States," when used in the geographical sense, includes the several States, the insular possessions of the United States, the Canal Zone, the District of Columbia, and any territory over which the United States exercises all and any powers of administration, legislation, and jurisdiction.

PART 122-REGISTRATION

Sec.

122.01

122.02

122.03 122.04

Registration requirements.

Application for registration.
Refund of fee.

Notification of changes in information furnished by registrants. 122.05 Maintenance of records by persons required to register as manufacturers, importers, or exporters of U.S. Munitions List articles.

AUTHORITY: The provisions of this Part 122 issued under sec. 414, as amended, 68 Stat. 848; 22 U.S.C. 1934; secs. 101 and 105, E.O. 10973, 26 F.R. 10469; sec. 6, Departmental Delegation of Authority No. 104, 26 F.R. 10608, as amended, 27 F.R. 9925, 28 F.R. 7231; and Redelegation of Authority No. 104-3-A, 28 F.R. 7231.

SOURCE: The provisions of this Part 122 contained in Departmental Regulation 108.520, 30 F.R. 9037, July 17, 1965, unless otherwise noted.

§ 122.01 Registration requirements.

(a) Persons engaged in the business, in the United States, of manufacturing, exporting, or importing articles enumerated in the U.S. Munitions List are required to register with the Secretary of State. Manufacturers, whether or not they engage in export or import, are required by law to register.

(b) The fabrication of arms, ammunition, and implements of war for experimental or scientific purposes, including research and development, is not considered as manufacture for the purposes of section 414 of the Mutual Security Act of 1954, as amended.*

(c) Registration is not required of persons whose pertinent business activities are confined to the production, exportation, and importation of unclassified technical data relating to arms, ammunition, and implements of war.

Registration is not required of persons whose entire export activity is subject to license under the provisions of the Atomic Energy Act of 1954, as amended.

§ 122.02 Application for registration.

(a) Applications for registration shall be submitted to the Secretary of State on form DSP-9 and shall be accompanied by a registration fee in the form of money order or check payable to the Department of State.

(b) Registration may be effected for periods of 1 or 2 years upon payment of a fee of $75 and $150 respectively, at the option of the registrant.

§ 122.03 Refund of fee.

When a 2-year registration fee is paid, a refund for an unused year may be granted, if warranted by reason of changed conditions or new facts developed subsequent to registration. A refund for part of a year, however, will not be granted.

§ 122.04 Notification of changes in information furnished by registrants. Registered persons shall notify the Secretary of State of significant changes in the information set forth in their applications for registration, such as the establishment of a foreign affiliate. § 122.05 Maintenance of records by persons required to register as manufacturers, importers or exporters of U.S. Munitions List articles.

(a) Persons required to register shall maintain for a period of 6 years, subject to the inspection of the Secretary of State or any person designated by him, records bearing on U.S. Munitions List articles, including records concerning the acquisition and disposition of such articles by the registrant. The Secretary may prescribe a longer or shorter period in individual cases as he deems

necessary.

(b) Officers of the Office of Security and the Office of Munitions Control of the Department of State and of the U.S. Customs Agency Service, Bureau of Customs, Treasury Department, are hereby designated as the representatives of the Secretary of State for the purposes of this section.

Arms and ammunition for personal use.

Arms for the personal use of members of the Armed Forces.

123.54 Sample shipments.

MISCELLANEOUS EXEMPTIONS

123.60 Border shipments and shipments

123.61

123.62

123.63

123.64

transiting Panama Canal.
Certain helium gas exports.
Scuba equipment.

Propellants and explosives.
Smokeless shotgun powder.

123.65 Privately owned military aircraft on temporary sojourn abroad.

123.66 Nuclear materials.

SPECIAL EMERGENCY PROVISIONS 123.70 Temporary suspension or modifica

tion of the regulations of this part. AUTHORITY: The provisions of this Part 123 issued under sec. 414, as amended, 68 Stat. 848; 22 U.S.C. 1934; secs. 101 and 105, E.O. 10973, 26 F.R. 10469; sec. 6 departmental Delegation of Authority No. 104, 26 F.R. 10608, as amended, 27 F.R. 9925, 28 F.R. 7231; and Redelegation of Authority No. 104-3-A, 28 F.R. 7231.

SOURCE: The provisions of this Part 123 contained in Departmental Regulation 108.520, 30 F.R. 9038, July 17, 1965, unless otherwise noted.

LICENSE PROCEDURES

§ 123.01 Application for license.

Persons who intend to export from or import into the United States any of the articles enumerated in the U.S. Munitions List shall make application to the Office of Munitions Control, Department of State, Washington, D.C., 20520, on form DSP-5 in the case of exports and DSP-38 in the case of imports. Application for intransit license shall be made on form DSP-61. Application for license to export technical data shall also be made on form DSP-5 (see Part 125 of this chapter). § 123.02

Export license.

Articles on the U.S. Munitions List may not be exported from the United States until a license has been issued, or unless covered by an exemption provision of this subchapter. Prior to the issuance of an export license, the Department of State may also require documentary information pertinent to the proposed transaction.

§ 123.03 Import license.

(a) Articles on the U.S. Munitions List may not be imported into the United States until a license has been issued, or unless covered by an exemption provision of this subchapter. Prior to the issuance of an import license, the Department of State may require documentary information pertinent to the proposed transaction.

(b) No military firearms or ammunition of U.S. manufacture may be imported for sale in the United States if such articles were furnished to foreign governments under a U.S. foreign assistance program. This prohibition is applicable to military firearms and ammunition furnished on a grant basis to, or for which payment in full was not made by, a foreign government under the Lend-Lease Act of 1941, as amended; the Greek-Turkish Aid Act of 1947, as amended; the China Aid Act of 1948, as amended; the Mutual Defense Assistance Act of 1949, as amended; the Mutual Security Act of 1951, as amended; the Mutual Security Act of 1954, as amended; the Foreign Assistance Act of 1961, as amended; or any other foreign assistance program of the United States.

(c) The above restriction covers firearms which are advanced in value or improved in condition in a foreign country, but it does not include those which have been so substantially transformed as to become, in effect, articles of foreign manufacture (see § 121.02).

(d) A person desiring to import military firearms and ammunition which were manufactured in the United States must certify that the importation of such firearms or ammunition is not prohibited by the provision of paragraph (b) of this section, and that none of the firearms or ammunition being imported was furnished on a grant basis to, or was acquired without full payment by, a foreign government under a foreign assistance program of the United States as set forth in paragraph (b) of this section.

The certification statement must be accompanied by documentary information on the original foreign source of the material.

NOTE: For the purpose of this section, the term "military firearms and ammunition" includes all firearms and ammunition furnished under the foreign assistance programs of the United States as set forth in paragraph (b) of this section. The term "payment in full" as used in paragraph (b) of this section, means the payment of a sale price established by the U.S. Government as the full value of the property at the time of initial transfer. § 123.04 Intransit license.

An intransit license must be obtained prior to the entry of any article enumerated in the U.S. Munitions List into the United States for transshipment to a third country (see also § 123.60).

§ 123.05 Validity and terms of licenses. (a) Licenses are valid for 6 months from their issuance date unless a different period of validity is stated thereon. They are not transferable.

(b) The period of validity of licenses may not be extended. If shipment cannot be completed during the period of validity of the license, another application must be submitted for license to cover the unshipped balance. Such an application shall make specific reference to the previous license and should not include any materials other than the unshipped balance.

§ 123.06 License denial, revocation or suspension.

(a) Licenses may be denied, revoked, suspended, or revised by the Department

of State without prior notice whenever the Department deems such action to be advisable in furtherance of (1) world peace; (2) the security of the United States; (3) the foreign policy of the United States; or (4) whenever the Department has reason to believe section 414 of the Mutual Security Act of 1954, as amended, or any regulation contained in this subchapter has been violated.

(b) Whenever, after appropriate consideration, a license application is denied, or an outstanding license is revoked, suspended, or revised, the applicant or licensee shall be advised promptly in writing of the Department's decision, and the reasons therefor as specifically as security and foreign relations considerations permit.

(c) Upon written request made within 30 days after receipt of an adverse decision, the applicant or licensee shall be accorded an opportunity to present additional information and a full review of his case by the Department.

(d) Unused, expired, suspended, or revoked licenses must be returned immediately to the Department of State. § 123.07 Amendments and alterations.

No amendments or alteration of a license may be made except by the Department of State, or by collectors of customs or postmasters when specifically authorized to do so by the Department of State. No photographic or other copy may be made of an original license unless authorized by the Department of State.

§ 123.08 Ports of exit or entry.

Applications for license shall show the proposed port or ports of exit or entry in the United States. If, subsequent to the issuance of a license, shipping arrangements necessitate a change in port, the Department of State must be notified by letter of the change in port. Two additional copies of the letter shall be furnished, which the Department will validate and furnish to the collectors of customs at the original and new ports. § 123.09 Licenses filed with collectors of customs.

Prior to exportation or importation, licenses shall be filed with the collector of customs at the port through which the shipment is being made, except for exports by mail (see § 123.10). A Shipper's Export Declaration (U.S. Depart

(a) Export licenses for U.S. Munitions List articles, except technical data (see §§ 125.40 and 125.41), which are being transported by mail shall be filed with the postmaster at the post office where the articles are mailed. A Shipper's Export Declaration (U.S. Department of Commerce form 7525-V) must also be filed with, and authenticated by, the postmaster before the articles are exported. The postmaster shall endorse each license to reflect shipments made. Licenses must be returned by the postmaster to the Department of State upon expiration of the validity period, or upon completion of the shipment, whichever first occurs.

(b) Licenses covering imports by mail shall be filed with the collectors of customs at the port of entry.

§ 123.11 Foreign trade zones.

A Foreign Trade Zone of the United States is considered an integral part of the United States for the purpose of this subchapter and as such, a license is not required for shipments between the United States and a Foreign Trade Zone. However, a license is required for all other shipments of U.S. Munitions List articles to and from such Foreign Trade Zones.

§ 123.12 Export to warehouses or distribution points.

Applications for license to export U.S. Munitions List articles to warehouses or ditsribution points for subsequent resale will be considered by the Department. Licenses issued for such applications will normally contain conditions for special distribution controls and reporting. § 123.13

Export of vessels of war.

(a) The transfer of a vessel of war as defined by § 121.12 of this subchapter from United States to foreign registry is considered an exportation for which an approval or license from the Department

of State is required. If the vessel to be exported is physically located in the United States, an export license must be obtained. If the vessel is located abroad, the Department's written approval in the form of a letter must be obtained prior to its transfer of registry.

(b) The registration under a foreign flag of an undocumented vessel of war located in the United States is considered an exportation for which a license is required from the Department of State.

NOTE: Such transactions also require the prior approval of the Maritime Administration (see 46 U.S.C. 808 and 835).

§ 123.14 Repairs or alterations of vessels and aircraft.

Persons effecting repairs or alterations on foreign vessels of war as defined in § 121.12, and foreign aircraft as defined in § 121.13, in the United States shall obtain an export license for articles enumerated in the U.S. Munitions List which are required in connection with such repairs or alterations.

COUNTRY OF DESTINATION

§ 123.21 Country of ultimate destination.

(a) The country designated on an application for export license as the country of ultimate destination must be the country wherein the articles being exported ultimately are to receive end use, even though incorporated through an intermediate process into other end items.

(b) The prior written approval of the Department of State must be obtained before U.S. Munitions List articles previously exported from this country under license may be resold, diverted, transferred, transshipped, reshipped, or reexported to, or used in any country other than that described on the export license as the country of ultimate destination.

(c) The following statement shall be entered on the shipper's export declaration, the bill of lading and the invoice, whenever U.S. Munitions List articles are to be exported: "These commodities are licensed by the U.S. Government for export to

(Country of ultimate destination) Diversion contrary to U.S. law prohibited." The U.S. exporter shall have the responsibility of entering such a statement. This responsibility continues even when the exporter acts through a freight forwarder or other forwarding agent.