CVG Strategy’s International Traffic in Arms Regulations – ITAR Glossary
The International Traffic in Arms Regulations (ITAR) is a United States regulation to control the manufacture, sale and distribution of defense and military related technologies. CVG Strategy has compiled this ITAR Glossary to help our customers understand the terminology and commonly used phrases used in implementing and using the ITAR.
Some products fall under ITAR regulations, depending on how they are classified. Using the ITAR Glossary when classifying articles will help the reader use the United States Munitions List (USML). Proper classification as ITAR Controlled may dictate that certain defense and military related technologies may only be sold or exported if authorization from the Department of State is received. The goal of the legislation is to control access to specific types of technology and their associated data.
A new control series added to the Commerce Control List (CCL) that controls most items formerly on the USML that have moved to the CCL, and consolidates the thirteen existing Wassenaar Arrangement Munitions List entries.
Associated articles for any component, equipment, system, or end-item, and which are not necessary for its operation, but which enhance its usefulness or effectiveness. Source: §120.45(c).
Arms Export Control Act
Bureau of African Affairs/Regional Affairs (DOS)
Applicant means any person who applies to the Directorate of Defense Trade Controls for any license or approval required under this subchapter for the export of defense articles or defense services valued in an amount of $500,000 or more which are being sold commercially to or for the use of the armed forces of a foreign country or international organization. This term also includes a person to whom the required license or approval has been given. [71 FR 20554, Apr. 21, 2006]. Source: §130.2, Applicant.
Armed forces means the army, navy, marine, air force, or coast guard, as well as the national guard and national police, of a foreign country. This term also includes any military unit or military personnel organized under or assigned to an international organization. Source: §130.3, Armed Forces.
Annual Sales Report
Associated articles for any component, equipment, system, or end-item, and which are not necessary for its operation, but which enhance its usefulness or effectiveness. Source: §120.45(c).
A “catch-all” control is one that does not refer to specific types of parts, components, accessories, or attachments, but rather controls unspecified parts, components, accessories, or attachments only if they were specially designed for an enumerated item. Source: §120.41, Note to paragraph (b).
Commerce Control List. A key in determining whether an export license is needed from the Department of Commerce is knowing whether the item you intend to export has a specific Export Control Classification Number (ECCN).
Code of Federal Regulations
Congressional Notification. The Arms Export Control Act requires that a certification be provided to the Congress prior to the granting of any license or other approval for transactions involving exports of any defense articles and defense services and for exports of major defense equipment, as defined in §123.15.
Congressional Notification/Pre-consultations (DOS)
Department of Commerce
Any article, material, or supply, except technology/technology data or software. Source: §120.41, Note to paragraphs (a) and (b).
A procedure used with the U.S. Government if doubt exists as to whether an article or service is covered by the U.S. Munitions List. It may also be used for consideration of a redesignation of an article or service currently covered by the USML. Source: §120.4, Commodity Jurisdiction.
An item that is useful only when used in conjunction with an end-item. A major component includes any assembled element that forms a portion of an end-item without which the end-item is inoperable. A minor component includes any assembled element of a major component. Source: sect;120.45(b).
Direct Commercial Sales
Any item or technical data designated in §121.1 of [the ITAR]. This term includes technical data recorded or stored in any physical form, models, mockups or other items that reveal technical data directly relating to items designated in §121.1 of [the ITAR]. It also includes forgings, castings, and other unfinished products, such as extrusions and machined bodies, that have reached a stage in manufacturing where they are clearly identifiable by mechanical properties, material composition, geometry, or function as defense articles. It does not include basic marketing information on function or purpose or general system descriptions. Source: §120.6, Defense Article.
The furnishing of assistance (including training) to foreign persons, whether in the United States or abroad in the design, development, engineering, manufacture, production, assembly, testing, repair, maintenance, modification, operation, demilitarization, destruction, processing or use of defense articles; the furnishing to foreign persons of any technical data controlled under [the ITAR]; whether in the United States or abroad; or military training of foreign units and forces, regular and irregular, including formal or informal instruction of foreign persons in the United States or abroad or by correspondence courses, technical, educational, or information publications and media of all kinds, training aid, orientation, training exercise, and military advice. Source: §120.9, Defense Services.
Related to all stages prior to serial production, such as: design, design research, design analyses, design concepts, assembly and testing of prototypes, pilot production schemes, design data, process of transforming design data into a product, configuration design, integration design, layouts. Source: §120.41, Note 2 to paragraph (b)(3).
Department of Defense (Defense Technology Security Administration)
Department of State
Department of Transportation/United States Coast Guard
Bureau of Human Rights, Democracy and Labor/Multilateral Affairs (DOS)
Defense Security Cooperation Agency
Defense Security Service
Defense Trade Advisory Group
Defense Trade Controls Compliance
Defense Trade Controls Licensing
Defense Trade Controls Policy
Defense Technology Security Administration
Bureau of East Asian Affairs/Regional Security and Policy (DOS)
Export Control Classification Number. The ECCN is an alpha-numeric code, e.g., 3A001, that describes the item and indicates licensing requirements. All ECCNs are listed in the Commerce Control List (CCL) (Supplement No. 1 to Part 774 of the EAR) which is available on the Government Printing Office website. The CCL is divided into ten broad categories, and each category is further subdivided into five product groups.
A system, equipment, or an assembled article ready for its intended use. Only ammunition or fuel or other energy source is required to place it in an operating state. Source: §120.45(a).
Department of Energy
Refers to any article on the USML or Commerce Control List and not in a “catch-all” control. A “catch-all” control is one that does not refer to specific types of parts, components, accessories, or attachments, but rather controls unspecified parts, components, accessories, or attachments only if they were specially designed for an enumerated item. Source: §120.41, Note to paragraph (b).
A combination of parts, components, accessories, attachments, firmware, or software that operate together to perform a function of, as, or for an end-item or system. Equipment may be a subset of an end-item based on the characteristics of the equipment. Equipment that meets the definition of an end-item is an end-item. Equipment that does not meet the definition of an end-item is a component, accessory, attachment, firmware, or software. Source: §120.45(h).
With respect to a commodity, “equivalent” means its form has been modified solely for fit purposes. Source: §120.41, Note 5 to paragraph (b)(3).
Bureau of European Affairs/Regional Political Military (DOS)
Fees or Commissions
Fee or commission means, except as provided in paragraph (b) of this section, any loan, gift, donation or other payment of $1,000 or more made, or offered or agreed to be made directly or indirectly, whether in cash or in kind, and whether or not pursuant to a written contract, which is: a.) To or at the direction of any person, irrespective of nationality, whether or not employed by or affiliated with an applicant, a supplier or a vendor; and b.) For the solicitation or promotion or otherwise to secure the conclusion of a sale of defense articles or defense services to or for the use of the armed forces of a foreign country or international organization. The term fee or commission does not include: a.) A political contribution or a payment excluded by §130.6 from the definition of political contribution; b.) A normal salary (excluding contingent compensation) established at an annual rate and paid to a regular employee of an applicant, supplier or vendor; c.) General advertising or promotional expenses not directed to any particular sale or purchaser; or d.) Payments made, or offered or agreed to be made, solely for the purchase by an applicant, supplier or vendor of specific goods or technical, operational or advisory services, which payments are not disproportionate in amount with the value of the specific goods or services actually furnished. [58 FR 39323, July 22, 1993, as amended at 71 FR 20554, Apr. 21, 2006]. Source: § 130.5, Fee or Commission.
Firmware and any related unique support tools (such as computers, linkers, editors, test case generators, diagnostic checkers, library of functions, and system test diagnostics) directly related to equipment or systems covered under any category of the U.S. Munitions List are considered as part of the end-item or component. Firmware includes but is not limited to circuits into which software has been programmed. Source: §120.45(e).
The fit of a commodity is defined by its ability to physically interface or connect with or become an integral part of another commodity. For software, the fit is defined by its ability to interface or connect with a defense article. Source: §120.41, Note 4 to paragraph (b)(3)Also see Note 4 to §120.4.
Foreign Military Sales
The form of a commodity is defined by its configuration (including the geometrically measured configuration), material, and material properties that uniquely characterize it. For software, the form means the design, logic flow, and algorithms. Source: §120.41, Note 4 to paragraph (b)(3). Also see Note 4 to §120.4.
The action or actions a commodity is designed to perform. For software, function refers to the action or actions the software performs directly related to a defense article or as a standalone application. Source: §120.41, Note 4 to paragraph (b)(3).
Bureau of International Narcotics and Law Enforcement Affairs (DOS)
Bureau of International Security and Nonproliferation/Conventional Arms Threat Reduction (DOS)
Bureau of International Security and Nonproliferation/Missile, Biological and Chemical Nonproliferation (DOS)
International Traffic In Arms Regulations
The ITAR Glossary is based on definitions published by the US Government’s DDTC and the ITAR Glossary is maintained here by CVG Strategy for its customers.
Knowledge includes not only the positive knowledge a circumstance exists or is substantially certain to occur, but also an awareness of a high probability of its existence or future occurrence. Such awareness is inferred from evidence of the conscious disregard of facts known to a person and is also inferred from a person’s willful avoidance of facts. Source: §120.41, Note 2 to paragraphs (b)(4) and (5).
Major Defense Equipment. Pursuant to section 47(6) of the Arms Export Control Act (22 U.S.C. 2794(6) note), major defense equipment means any item of significant military equipment (as defined in §120.7) on the U.S. Munitions List having a nonrecurring research and development cost of more than $50,000,000 or a total production cost of more than $200,000,000, as defined in §120.8.
Manufacturing License Agreement
Missile Technology Assurances (DOS)
Missile Technology Control Regime is an informal political understanding among states that seek to limit the proliferation of missiles and missile technology. The regime was initially formed in 1987 by the G-7 industrialized countries (Canada, France, Germany, Italy, Japan, the UK, and the United States). It seeks to limit the risks of proliferation of weapons of mass destruction (WMD) by controlling exports of goods and technologies that could make a contribution to delivery systems (other than manned aircraft) for such weapons. It now consists of 35 partner nations including: Argentina, Australia, Austria, Belgium, Brazil, Bulgaria, Canada, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, India, Ireland, Italy, Japan, Luxemburg, Netherlands, New Zealand, Norway, Poland, Portugal, Republic of Korea, Russian Federation, South Africa, Spain, Sweden, Switzerland, Turkey, Ukraine, United Kingdom, and the United States of America.
Missile Technology Export Committee (DOS)
National Aeronautics and Space Administration
North Atlantic Treaty Organization
Bureau of Near Eastern Affairs/Regional and Multilateral Affairs (DOS)
National Industrial Security Program Operating Manual
National Security Agency
Operation Enduring Freedom
Bureau of Oceans and International Environmental and Scientific Affairs (DOS)
Operation New Dawn (formerly Operation Iraqi Freedom)
Any single unassembled element of a major or a minor component, accessory, or attachment which is not normally subject to disassembly without the destruction or the impairment of designed use. Source: §120.45(d).
The measure of a commodity’s effectiveness to perform a designated function in a given environment (e.g., measured in terms of speed, durability, reliability, pressure, accuracy, efficiency). For software, performance capability means the measure of the software’s effectiveness to perform a designated function. Source: §120.41, Note 4 to paragraph (b)(3).
Bureau of Political-Military Affairs/Regional Security and Arms Transfers (DOS)
Political contribution means any loan, gift, donation or other payment of $1,000 or more made, or offered or agreed to be made, directly or indirectly, whether in cash or in kind, which is: a.) To or for the benefit of, or at the direction of, any foreign candidate, committee, political party, political faction, or government or governmental subdivision, or any individual elected, appointed or otherwise designated as an employee or officer thereof; and b.) For the solicitation or promotion or otherwise to secure the conclusion of a sale of defense articles or defense services to or for the use of the armed forces of a foreign country or international organization. Taxes, customs duties, license fees, and other charges required to be paid by applicable law or regulation are not regarded as political contributions. Source: § 130.6, Political contribution.
All production stages, such as product engineering, manufacture, integration, assembly (mounting), inspection, testing, and quality assurance. This includes “serial production” where commodities have passed production readiness testing (i.e., an approved, standardized design ready for large scale production) and have been or are being produced on an assembly line for multiple commodities using the approved, standardized design. Source: §120.41, Note 1 to paragraph (b)(3).
Repair and Replacement
Return Without Action
Bureau of South Central Asian Affairs/Regional Affairs (DOS)
Significant Military Equipment
Includes but is not limited to the system functional design, logic flow, algorithms, application programs, operating systems and support software for design, implementation, test, operation, diagnosis and repair. A person who intends to export only software should, unless it is specifically enumerated in §121.1 (e.g., Category XIII(b)), apply for a technical data license pursuant to §125. Source: §120.45(f).
Commodities or software that either as a result of development, have properties peculiarly responsible for achieving or exceeding the controlled performance levels, characteristics, or functions described in a USML paragraph; or are parts, components, accessories, attachments, or software for use in or with defense articles and are not excluded for one or more of the reasons listed in §120.41(b). Source: §120.41, Specially Designed.
Subject to the EAR
A term used in the EAR to describe those commodities, software, technology, and activities over which the Bureau of Industry and Security (BIS) exercises regulatory jurisdiction under the EAR (see §734.2(a) of the EAR). Source: BIS Specially Designed Decision Tool, Key Terms List.
Subject to the ITAR
Section 38 of the Arms Export Control Act (22 U.S.C. 2778), as amended, authorizes the President to control the export and import of defense articles and defense services. The statutory authority of the President to promulgate regulations with respect to exports of defense articles and defense services was delegated to the Secretary of State by Executive Order 11958, as amended. [The ITAR] implements that authority. Source: §120.1, General authorities, receipt of licenses, and ineligibility.
Supplier means any person who enters into a contract with the Department of Defense for the sale of defense articles or defense services valued in an amount of $500,000 or more under Section 22 of the Arms Export Control Act (22 U.S.C. 2762). Source: §130.7, Supplier.
A combination of parts, components, accessories, attachments, firmware, software, equipment, or end-items that operate together to perform a function. Source: §120.45(g).
Technical Assistance Agreement
Technology Control Plan
Information, other than software as defined in §120.10(a)(4) which is required for the design, development, production, manufacture, assembly, operation, repair, testing, maintenance or modification of defense articles (this includes information in the form of blueprints, drawings, photographs, plans, instructions or documentation); classified information relating to defense articles and defense services on the USML and 600-series items controlled by the CCL; information covered by an invention secrecy order; or software as defined in §120.45(f) directly related to defense articles. Source: §120.10, Technical Data.
Technology Transfer Control Plan
United States Government
United States Munitions List . The Arms Export Control Act (22 USC 2778(a) and 2794(7)) provides that the President shall designate the articles and services deemed to be defense articles and defense services for purposes of import or export controls. The items so designated constitute the USML and are specified in §121.1 of the ITAR. Such designations are made by the Department of State (within the Directorate of Defense Trade Controls) with the concurrence of the Department of Defense. For a determination on whether a particular item is included on the USML, see §120.4(a). Source: §120.2, Designation of Defense Articles and Defense Services.
Warehouse and Distribution Agreement
Bureau of Western Hemispheric Affairs/ (DOS)
This ITAR Glossary will be updated periodically as new definitions are published by the DDTC. Customers are encouraged to periodically check back to this ITAR Glossary for updates and new sections to help them with their ITAR Program.