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- COCOM
- The Coordinating Committee for Multilateral Export Controls was a Cold War organization founded in 1949. It included most industrial democracies, and provided a forum to harmonize export controls with respect to the Soviet Bloc. COCOM operated on the basis of unanimity - that is, one COCOM member could block the sale of a product or technology by another COCOM member to any country in the Soviet Bloc. COCOM was formally disbanded in March 1994 after the collapse of the Soviet Union, to be partially replaced by the Wassenaar Arrangement. It might be noted that currently the Department of Defense uses COCOM as an acronym for Combatant Commander.
- Commerce Control List (CCL)
- Formerly known as the Commodity Control List, this is the list of the goods controlled by the Commerce Department under the authority of the Export Administration Act (EAA) and the Export Administration Regulations (EAR).
- Commercial Communications Satellites
- In 1992 and 1996 the Bush and Clinton administrations moved commercial communications satellites from control by the State Department to control by the Commerce Department. In 1998, following assertions that the Chinese may have gained some technology through launches of U.S. satellites, the Congress passed legislation requiring communications satellites and "related items" be treated as defense articles, and hence moved back to control by the State Department. This change has had a particularly negative impact on U.S. component manufacturers, as treatment as munitions items means that European satellite manufacturers must obtain permission from the State Department to sell a satellite to a foreign customer if it contains even one U.S. component. As a result, European governments and industry have methodically developed alternatives to U.S. components, and in April 2005 a Chinese rocket launched Apstar 6, with the French satellite manufacturer noting that the satellite was the first "ITAR free" European communications satellite.
- Commercial Off the Shelf (COTS)
- Refers to purchasing a commercial item for a military purpose. This practice should allow the military to take advantage of economies of scale and to use products that are frequently modified to incorporate new technology and software. However, if the product or component is modified in any way for purposes of military application, the product is then likely to be considered a military item for purposes of the ITAR. Such modifications can be as minimal as painting the item with a military standard paint or moving screw holes for attachment to a military vehicle.
- Committee on Foreign Investment in the United States (CFIUS)
- Chaired by the Treasury Department, includes 12 agencies that review potential foreign investment, including acquisitions of U.S. firms, to determine whether such investment in the United States might threaten national security interests. The CFIUS basically enforces the Exon-Florio Amendment, added to the Defense Production Act (DPA) in 1988. Information is available at www.treas.gov/offices/international-affairs/exon-florio/.
- Commodity Jurisdiction
- As the U.S. maintains two export control systems - one under the administration of the State Department and the other under the Commerce Department - questions can arise as to which system controls a specific product or technology. A company can submit a commodity jurisdiction or CJ request to State, and it, usually in consultation with the Defense and Commerce departments, will inform the company as to which agency has jurisdiction over the goods or technology in question.
- Congressional Notifications
- The AECA requires the president to notify Congress of proposed major arms sales. Under Section 36 (b) of the AECA, all government to government sales (FMS) of defense articles valued at more than $50 million, defense services of over $200 million, or Major Defense Equipment (MDE) over $14 million must be notified. For direct commercial sales (DCS), Section 36(c) requires notification of proposed sales of over $14 million for MDE, or over $50 million for all other defense articles and services. Once notified, Congress can pass a joint resolution prohibiting the export of that article within 15 calendar days for exports to NATO-plus countries (NATO, Japan, Australia, and New Zealand) and 30 calendar-days for exports to all other countries. The president may veto such a resolution, so in fact it requires two-thirds of both houses to block a sale. However, two unofficial congressional notification periods have been added by custom between the State Department and Congress - prior consultations followed by informal notifications. These informal periods can be useful for controversial sales, and allow the executive branch to identify and address congressional concerns, thereby avoiding public debate that might harm bilateral relations. However, most sales to close allies are non-controversial, but the informal plus formal notification process can add weeks or months to the overall licensing process.
- Co-production
- A U.S. company may sign a licensing agreement with a foreign company granting it the right to manufacture and/or assemble all or part of a product that is also being produced by the originating company. In the case of defense articles covered by the U.S. Munitions List, the U.S. company would need permission from the State Department for such co-production.
- Conventional Arms Transfer Policy
- The attitude of the U.S. executive branch toward conventional arms transfers has changed with various presidents. The most negative attitude was that of President Jimmy Carter, who enunciated a policy in April 1977 that placed a variety of new unilateral barriers to U.S. defense exports, including a directive to embassies (known as the "leprosy letter") not to provide any support to U.S. defense contractors. The Reagan administration rescinded the policy, but it was not until July 1990 that Secretary of State Eagleburger sent a cable to all embassies stating that defense firms should receive the same embassy support as any other U.S. firm. On February 17, 1995, the Clinton Administration released the last comprehensive policy guidance on conventional arms sales. The current Administration has reviewed a number of conventional arms transfer issues under National Security Presidential Directive 13 (NSPD-13), but that report has not been released pending discussions with congressional committees.
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