What exactly are export controls?

Export controls are government regulations that restrict or monitor the international transfer of specific goods, software, technology, and services for reasons such as national security, foreign policy, and preventing the proliferation of weapons.

Why are export controls important for businesses?

They ensure compliance with international laws, prevent unauthorized transfers of sensitive items, protect national security interests, and help businesses avoid severe penalties, reputational damage, and loss of export privileges.

Which government agencies enforce export controls?

In the U.S., key agencies include the Bureau of Industry and Security (BIS) for dual-use items, the Directorate of Defense Trade Controls (DDTC) for defense articles, and the Office of Foreign Assets Control (OFAC) for sanctions programs.

What types of items are typically subject to export controls?

Common examples include advanced electronics, aerospace components, specialized chemicals, encryption software, certain biological agents, and related technical data or services that have military or 'dual-use' applications.

What are the potential consequences of violating export control regulations?

Violations can lead to substantial civil and criminal penalties, including large fines, imprisonment, denial of export privileges, and severe damage to a company's reputation and global business operations.