USA Moves to Improve Arms Export Regulation Process

Canada’s $3 billion frigate modernization program, which specifically aimed to exclude American technologies from key areas, was just one example of a growing problem for American defense firms. Major players in the defense industry have been pushing for years to change US ITAR export controls. Unfortunately, the USA’s use of export controls for protectionist and political purposes has had a predictable effect, and made American defense components toxic to some potential export customers. Even as cumbersome rules, and a slow American bureaucracy, add additional layers of export control across more than 3 different agencies. The end product is significant friction for important international deals, impediments to partnerships with friends and allies, and erosion of global market share for American defense products.

On April 20/10, American Secretary of Defense Robert Gates, backed by several other departments, crystallized a reform push that has been underway for years. The proposed “4 singles” approach would make significant changes to American technology export controls. Nor is that the only initiative underway:

Rapid Fire 2011-07-20: China’s Defense Industry

• The Government Accountability Office (GAO) publishes Pakistan Assistance: Relatively Little of the $3 Billion in Requested Assistance is Subject to State’s Certification of Pakistan’s Progress on Nonproliferation and Counterterrorism Issues [PDF].

• The Assistant Secretary of Defense for Space Policy, Gregory Schulte, tells a defense writers group that the United States is seeking dialogue with China concerning the ‘rules of the road’ in outer space.

• The UK Government unveils its Building Stability Overseas Strategy [PDF]. The strategy is an inter-departmental initiative encompassing the Ministry of Defence (MoD), Foreign and Commonwealth Office (FCO) and Department for International Development (DFID).