New ITAR Rules In Effect!
Export Control Reform (ECR) is finally here!
As you may know, there have been a few attempts to change how firearms are regulated for export purposes over the past few years. Each of these attempts has been thwarted over the politics after mass-shootings.
As of March 9, 2020, the new rules governing firearms and ITAR are finally in effect!
Here’s the summary of the new rules:
Most firearms have moved from out from under ITAR/Department of State and have moved over to the EAR/Department of Commerce.
This is great news but it does NOT mean that firearms are now unregulated for export controls. Instead, it means that the burdens around firearm manufacturing and export have significantly been lessened. Also, it means no more registering with the DDTC under ITAR unless you are making one of the firearm types that was left behind under ITAR.
Examples of firearms and parts left behind are full-auto machine guns, silencers, magazines with an over 50 round capacity, linked ammunition, tracers, polymer cases for ammo, and some others.
If you are making bolt action rifles, pistols, shotguns, or semi-auto AR-15s (this is most of you), then you no longer need to register with DDTC under ITAR.
I am about to send in my manufacturer ffl packet and this answers most of my questions. I do have another. If I manufacture an sbr or sbs would the be under itar still?
SBR and SBS do not fall under ITAR. They are about the only NFA firearms you can make without paying ITAR.
If my business, FFL7/SOT2 makes a full auto weapon on USML but if does not enter commerce am I still required to pay itar registration fee of 2,250.
I’ll just answer my own question after educating myself.
Looks like any attempt to manufacture a machine gun is only allowed if it is intended to be sold as a sample to keep enforcement or government. Therefore a machine gun would be expected to enter commerce and ITAR applies.
I find it interesting that ATF regulations state a machine gun can not be manufactured for research or scientific purposes which is itar exception 122.1 B. 4.
How in the world can people do materials testing for machine guns if atf prohibits the making of machine guns for experimental purposes. Catch 22.
My thinking is that INTENT matters. Build it, try to sell it, if you don’t find an appropriate buyer destroy it and build a better one. Register with ITAR. Please correct me if I’m wrong, I’m guessing and I would love a concrete answer.