8:33am And it begins...and there's a theme -- it's "a decade of change". (I voted for moonlight & roses, but alas...)
8:36 Office of Exporter Services Director Eileen Albanese says the new and improved SNAP, SNAP-R, is live. I'll have to check that out.
8:38 Acting Under Secretary for Industry and Security Mark Foulon fast facts -- he's a Rhodes scholar and previously worked for a Democratic senator.
8:41 Foulon says BIS "committed to explaining what we are thinking in a direct, unvarnished manner and listening to what you say in return", but "listening does not always lead to full agreement".
8:42 Last year saw a 13% jump in applications, processed in average of 33 days, for about $36 billion in value.
8:46 Last year: 34 criminal convictions and over $3 million in criminal fines; 104 administrative cases and $13+ million in penalties.
8:48 MF's turn at the annual airing of regulators' grievances about the failure to renew the EAA noted, but not particularly emphasized.
8:54 Newly-confirmed Assistant Secretary for Export Administration Christopher Padilla takes the podium.
8:57 Themes for CP's talk: 1) evolving nature of security threat, 2) globalization of high-tech R&D, 3) need to cooperate internationally on export controls. (There are similarities here to his statement to the Senate committee evaluating his nomination.)
9:00 BIS will expand the Validated End-User (VEU) license exception, which originated in the proposed China rule, to India and possibly other countries. This is potentially significant, depending on precisely how VEU shapes up.
9:04 Padilla says about the proposed China rule that it's "simply wrong to call this a catch-all" since it only applies to specific circumstances. He plans to visit allies to encourage them to take similar measures. Count me among the skeptics that such an effort will bear much fruit.
9:06 Creating an intelligence liaison in his office who will work with a new interagency working group to evaluate end-users.
9:10 CP: "I will go to China"...to put on an export control seminar.
9:15 Now up -- a panel discussion moderated by Deputy Assistant Secretary for Export Administration Matthew Borman.
9:26 State's Deputy Assistant Secretary for Threat Reduction, Export Controls, and Negotiations, Acting Donald A. Mahley offers the story of bad end-user in a MTCR member country, which came under heat and moved next door to another MTCR state, which also shut it down.
9:28 Increase in membership of multilateral export control regimes is both good news and bad news. Bad news is the "least common denominator" problem -- unserious states "hogtie" the regime.
9:31 The DOD rep on the panel, Acting DTSA Director Beth McCormick...
9:34 McCormick says 2006 a banner year for Wassenaar with about 90 percent agreement on member state proposals.
9:39 Working with India and Pakistan on national export control programs. Israel, too, where BM says the government will be promulgating a new, strengthened dual-use export control law. (More on this subject from Israeli business newspaper Globes.)
9:41 Greg Suchan, Deputy Assistant Secretary for Political-Military Affairs, notes that the president can remove Nimitz-class aircraft carriers from the munitions list, but not civilian communications satellites. Also notes that interagency cooperation on export controls used to compare unfavorably to "whale poop", but is now significantly better than aforementioned marine mammal dung.
9:51 Suchan argues that "access to US defense technology is the quid pro quo" for many countries (specifically mentioning India) in a positive national security relationship with the US, as opposed to during the Cold War when many other tools were more available to US policymakers (troop deployments, security aid, etc.).
9:53 Says Israelis scooped up a lot of arms provided by many countries, including some "really good stuff", fired by Hezbollah during this past summer's war.
9:55 119 people arrested last year for Arms Export Control Act violations.
9:58 GS says DDTC's backlog is 10,000 cases! Somewhat more staff, including military officers, increasingly mandatory D-Trade are helping.
10:03 Q: Why does China rule sound so much like EAR National Security controls (on items excluded from such controls)? A: Wassenaar members can take action on "non-listed dual-use items".
10:05 Q: How can industry and gov't cooperate? A: We all have programs, GS says State trying to RWA less by working with applicants, increasing automated validation of application details in D-Trade.
10:06 That's it -- next stop is that ol' chesnut, encryption, in a breakout session scheduled for 10:30.