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BIS Webinar on AES Changes Available; Agency Says AES Will Update Predeparture Filing Programs In October

The Bureau of Industry and Security’s May 1 webinar on Export Control Reform changes to the Automated Export System is now available online (here). During the webinar, Gerry Horner, director of BIS’s Office of Technology Evaluation, said BIS is moving predeparture filing programs into AES around the weekend of October 12. This will allow users to file in AES by October 14, thus meeting their 24-hour requirement for shipments leaving the U.S. on October 15, Horner said.

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Horner also stressed that filers not “inadvertently or purposely” misclassify products when using AES license type codes. He said less than 1 percent of exports, by value, are licensed by BIS and reported under codes C30 or C31 (the “C” stands for Commerce). About 10 percent of exports are under a license exception or authorization. The remaining 90 percent are under the designation “no license required.”

The first final rule on Export Control Reform created 10 new Export Control Classification Numbers -- part of the new “600 series” -- which will be added to the AES ECCN Reference Table, Horner said. Companies with internal software programs, or software providers which establish the AES interface for exporters and freight forwarders, should update their own reference tables, he said. Users of AESDirect or AESPcLink do not have to add new numbers to any list, since those systems will automatically update, Horner said.

In the webinar, Horner also discussed:

  • Edits in AES that will reject electronic export information or EEI transactions, if the 600 series ECCNs are ineligible for use with certain license type codes in AES. If a user is reporting a 600 series ECCN that clashes with the AES license code, the error code will “unfortunately” read 666, Horner said.
  • Rule changes to section 758.1 of the Export Administration regulations. Because of Export Control reform, strategic trade authorization and authorization validated end user are the only license exception authorizations that are not eligible for any of the Electronic Export electronic filing exemptions. All other license exemptions -- including baggage and gifts -- under AES license type codes C35-C58 are eligible for such exemptions.
  • How the .y paragraph of the new ECCNs will be reported
  • Changes made to strategic trade authorization license exemptions, or license type code C59, in AES

For more on the final rule, issued in April, see 13041518.