International Traffic in Arms Regulations: Prohibited Exports, Imports, and Sales to or From Certain Countries-Cyprus

Citation88 FR 63016
Published date14 September 2023
Record Number2023-19851
CourtState Department
SectionRules and Regulations
Federal Register, Volume 88 Issue 177 (Thursday, September 14, 2023)
[Federal Register Volume 88, Number 177 (Thursday, September 14, 2023)]
                [Rules and Regulations]
                [Pages 63016-63017]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2023-19851]
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                DEPARTMENT OF STATE
                22 CFR Part 126
                [Public Notice: 12155]
                RIN 1400-AF69
                International Traffic in Arms Regulations: Prohibited Exports,
                Imports, and Sales to or From Certain Countries--Cyprus
                AGENCY: Department of State.
                ACTION: Final rule.
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                SUMMARY: The Department of State is amending the International Traffic
                in Arms Regulations to reflect current defense trade policy toward
                Cyprus.
                DATES: This rule is effective on October 1, 2023.
                FOR FURTHER INFORMATION CONTACT: Ms. Maria Tatarska, Foreign Affairs
                Officer, Office of Defense Trade Controls Policy, U.S. Department of
                State, telephone (771) 205-7671; email [email protected].
                ATTN: Regulatory Change, ITAR Section 126.1 Cyprus Country Policy
                Update.
                SUPPLEMENTARY INFORMATION: Section 1250A(d) of the National Defense
                Authorization Act for Fiscal Year 2020 (Pub. L. 116-92) (2020 NDAA) and
                section 205(d) of the Eastern Mediterranean Security and Energy
                Partnership Act of 2019 (Pub. L. 116-94, Div. J.) (EMSEPA) provide that
                the policy of denial for exports, reexports, and transfers of defense
                articles on the United States Munitions List to the Republic of Cyprus
                shall remain in place unless the President determines and certifies to
                the appropriate congressional committees, not less than annually, that:
                (A) the Government of the Republic of Cyprus is continuing to cooperate
                with the United States Government in efforts to implement reforms on
                anti-money laundering regulations and financial regulatory oversight;
                and (B) the Government of the Republic of Cyprus has made and is
                continuing to take the steps necessary to deny Russian military vessels
                access to ports for refueling and servicing.
                 On April 14, 2020, the President delegated to the Secretary of
                State the functions and authorities vested by the 2020 NDAA and the
                EMSEPA (85 FR 35797, June 12, 2020). On August 14, 2023, utilizing
                these authorities, the Secretary of State certified to the appropriate
                congressional committees that the Republic of Cyprus meets the
                statutory requirements to remove the policy of denial for exports,
                reexports, and transfers of defense articles to the Republic of Cyprus
                for fiscal year 2024. The Secretary of State further approved the
                suspension of the policy of denial for exports, reexports, and
                transfers of defense articles and defense services to the Republic of
                Cyprus for fiscal year 2024. In conjunction with this action, the
                Secretary of State also suspended the policy of denial for retransfers
                and temporary imports destined for or originating in the Republic of
                Cyprus and brokering activities involving the Republic of Cyprus for
                fiscal year 2024. Accordingly, the Department now amends section 126.1
                of the International Traffic in Arms Regulations (ITAR) (22 CFR parts
                120 through 130) to specify that the Republic of Cyprus' status as a
                proscribed destination is suspended from October 1, 2023, through
                September 30, 2024. This action continues the Department's current
                policy, which suspended the status of the Republic of Cyprus as a
                proscribed destination under Sec. 126.1 of the ITAR on October 11,
                2022.
                As a result of this change, certain exemptions to licensing
                requirements continue to be available for exports, reexports,
                retransfers, and temporary imports destined for or originating in the
                Republic of Cyprus and brokering activities involving the Republic of
                Cyprus, provided the conditions for use of those exemptions are met.
                Applications for licenses and other authorizations submitted to the
                Directorate of Defense Trade Controls involving the Republic of Cyprus
                and nationals of the Republic of Cyprus are subject to case-by-case
                review.
                Regulatory Analysis and Notices
                Administrative Procedure Act
                 This rulemaking is exempt from section 553 of the Administrative
                Procedure Act (APA) pursuant to section 553(a)(1) as a military or
                foreign affairs function of the United States. As the provisions of
                section 553 do not apply to this rulemaking, the Department is
                publishing this rule without a delay in its effective date or a request
                for public comment.
                Regulatory Flexibility Act
                 Since this rule is exempt from the notice-and-comment rulemaking
                provisions of 5 U.S.C. 553, it does not require analysis under the
                Regulatory Flexibility Act.
                Unfunded Mandates Reform Act of 1995
                 This rulemaking does not involve a mandate that will result in the
                expenditure by State, local, and tribal governments, in the aggregate,
                or by the private sector, of $100 million or more in any year and it
                will not significantly or uniquely affect small governments. Therefore,
                no actions were deemed necessary under the provisions of the Unfunded
                Mandates Reform Act of 1995.
                Congressional Review Act
                 It is the view of the Office of Information and Regulatory Affairs
                that this rulemaking is not a major rule under the criteria of 5 U.S.C.
                804. This rule will not increase costs or prices and should have no
                adverse effects on competition, employment, investment, productivity,
                innovation, or the ability of U.S.-based enterprises to compete with
                foreign-based enterprises in domestic and export markets. The
                Department does not expect this rule to have an annual effect on the
                economy of $100 million or more.
                [[Page 63017]]
                Executive Orders 12372 and 13132
                 This rulemaking does not have sufficient federalism implications to
                require consultations or warrant the preparation of a federalism
                summary impact statement. The regulations implementing Executive Order
                12372 regarding intergovernmental consultation on Federal programs and
                activities do not apply to this rulemaking.
                Executive Orders 12866, 14094, and 13563
                 Executive Orders 12866 (as amended by Executive Order 14094) and
                13563 direct agencies to assess all costs and benefits of available
                regulatory alternatives and, if regulation is necessary, to select
                regulatory approaches that maximize net benefits (including potential
                economic, environmental, public health and safety effects, distributed
                impacts, and equity). Executive Order 13563 emphasizes the importance
                of quantifying both costs and benefits, of reducing costs, of
                harmonizing rules, and of promoting flexibility. Because the scope of
                this rule implements a governmental policy expanding defense trade with
                a country, and does not impose additional regulatory requirements or
                obligations, the Department believes costs associated with this rule
                will be minimal. This rule has been designated as a significant
                regulatory action by the Office of Information and Regulatory Affairs
                under Executive Order 12866, as amended.
                Executive Order 12988
                 The Department of State has reviewed this rulemaking in light of
                Executive Order 12988 to eliminate ambiguity, minimize litigation,
                establish clear legal standards, and reduce burden.
                Executive Order 13175
                 The Department of State has determined that this rulemaking will
                not have tribal implications, will not impose substantial direct
                compliance costs on Indian tribal governments, and will not preempt
                tribal law. Accordingly, the requirements of Executive Order 13175 do
                not apply to this rulemaking.
                Paperwork Reduction Act
                 This rulemaking does not impose or revise any information
                collections subject to 44 U.S.C. Chapter 35.
                List of Subjects in 22 CFR Part 126
                 Arms and munitions, Exports.
                 Accordingly, for the reasons set forth above, title 22, chapter I,
                subchapter M, part 126 is amended as follows:
                PART 126--GENERAL POLICIES AND PROVISIONS
                0
                1. The authority citation for part 126 is revised to read as follows:
                 Authority: 22 U.S.C. 287c, 2651a, 2752, 2753, 2776, 2778, 2779,
                2779a, 2780, 2791, 2797; Sec. 1225, Pub. L. 108-375, 118 Stat. 2091;
                Sec. 7045, Pub. L. 112-74, 125 Stat. 1232; Sec. 1250A, Pub. L 116-
                92, 133 Stat. 1665; Sec. 205, Pub. L. 116-94, 133 Stat. 3052; E.O.
                13637, 78 FR 16129, 3 CFR, 2013 Comp., p. 223.
                0
                2. Amend Sec. 126.1 by revising paragraph (r) to read as follows:
                Sec. 126.1 Prohibited exports, imports, and sales to or from certain
                countries.
                * * * * *
                 (r) Cyprus. It is the policy of the United States to deny licenses
                or other approvals for exports or imports of defense articles and
                defense services destined for or originating in Cyprus, except that:
                 (1) A license or other approval may be issued, on a case-by-case
                basis, for the United Nations Forces in Cyprus (UNFICYP) or for
                civilian end-users; and
                 (2) From October 1, 2023, through September 30, 2024, the policy of
                denial and the status of Cyprus as a proscribed destination is
                suspended.
                * * * * *
                Bonnie Jenkins,
                Under Secretary, Arms Control and International Security, Department of
                State.
                [FR Doc. 2023-19851 Filed 9-13-23; 8:45 am]
                BILLING CODE 4710-25-P
                

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