14 October 1999
Source:


US Department of State
International Information Programs

Washington File
_________________________________

13 October 1999

U.S. and Canada Working Towards Harmonized Defense Export Controls

 (Experts still resolving key details of the agreement, Rubin says)
 (530)

 The United States and Canada are finalizing the details of an
 agreement that will significantly harmonize the two countries'
 controls on defense-related exports, U.S. State Department spokesman
 James Rubin announced October 12.

 "We have reached substantial agreement in principle" that Canada will
 strengthen its defense export controls and control all items now on
 the U.S. Munitions List, while the United States will revise its
 regulations to permit the export to Canada of most defense technology
 without a license, Rubin said.

 The agreement is designed to protect against illegal retransfers of
 controlled defense technology from North America, while maintaining
 "the unique, integrated North American defense industrial base which
 has served both our defense and security interests so well since
 WWII," he said.

 Following is the text of the statement:

 (begin text)

 U.S. DEPARTMENT OF STATE
 Office of the Spokesman
 October 12, 1999

 STATEMENT BY JAMES P. RUBIN, SPOKESMAN

 CANADA:  JOINT STATEMENT ON DEFENSE EXPORT CONTROLS
 AND NORTH AMERICAN DEFENSE INDUSTRIAL BASE

 Since April, our two governments have engaged in extensive
 consultations to address our mutual security interest in a strong
 North American perimeter for defense export controls. We share a
 common commitment to protect against illegal retransfers of controlled
 U.S. and Canadian defense technology from North America. We also share
 a very strong commitment to maintaining the unique, integrated North
 American defense industrial base which has served both our defense and
 security interests so well since WWII. We have reached substantial
 agreement in principle to implement steps that will allow our two
 countries to advance both objectives.

 We have worked to ensure that the defense trade control regulations,
 practices and enforcement of both nations continue to provide
 harmonized control of defense technologies both nations require to be
 controlled.

 -- Canada has proposed a regulatory approach that would strengthen its
 own defense export controls, similar to the U.S. licensing controls
 under its International Traffic in Arms Regulations (ITAR). Under this
 regulatory approach, Canada would control all items on the U.S.
 Munitions List.

 -- The U.S. will revise its own defense trade control regulations to
 permit the export to Canada of most defense technology without a
 license. In fact, should U.S. defense trade control concerns be fully
 met by Canada, the U.S. is prepared to reinstate many of the
 provisions affected by its April 12 ITAR amendment and, in some cases,
 enhance the Canadian exemption to permit additional exports without a
 license, beyond those impacted by its April 12 ITAR amendment.

 In this manner, our two governments believe they will successfully
 continue to protect the integrity of the North American defense
 perimeter while strengthening the North American defense industrial
 base.

 Agreement in principle has been reached on most issues under
 negotiation. Expert-level work is continuing in order to resolve the
 key details that remain, in an expeditious manner. Both our
 governments are committed to reaching full agreement, consistent with
 our respective national laws and policies.

 (end text)

 (Distributed by the Office of International Information Programs, U.S.
 Department of State)