13 October 1999


 
Text: 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)