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Home » MBA Articles » MBA - Foreign Trade Articles » Export Controls Overhaul

Export Controls Overhaul

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Can you smell what's cooking in Washington, D.C.? It looks like an entirely new menu is in production for export controls!
 
While the Obama Administration works at trying to contain the current economic downturn and other various domestic issues here at home, Secretary of Commerce Gary Locke has his own agenda�the overhaul of our decade's old export control policies. Secretary Locke, in his remarks at a reception with the Washington International Trade Association (WITA), laid the ground work for improving our ability to export our products to legitimate foreign buyers.
 
In his remarks, Secretary Locke stated, "Our Cold War era export control system has constrained both U.S. commercial and military capabilities from expanding into new fields and from applying new scientific developments." He cited this as a partial contributor to the current economic condition many small businesses find themselves in today.
 
During his speech, Secretary Locke also acknowledged the fact that our national security interests should not be overlooked during this process; however, there could be a middle ground which would keep our national security interests at the heart of the matter, while also promoting competitiveness within the marketplace.
 
The Department of Commerce, in conjunction with other federal agencies, will be taking on the following five fundamental priorities as outlined by the Secretary of Commerce to improve our ability to export more of our own products, especially during these difficult economic times:
  • Enhance trade promotion, as well as increasing the level of support given to U.S. exporters by the federal government;

     
  • Reform the Visa program to enable legitimate foreign "business travelers" to come to the United States for the purpose of conducting business with U.S. exporters;

     
  • Completely review our export controls with a focus on targeted controls and reducing the export licensing burden;

     
  • Enhancing international intellectual property protections for American companies who lose sales due to piracy and the counterfeiting of goods overseas; and

     
  • Promoting intergovernmental cooperation in support of U.S. exporters.
These five fundamental priorities would have an impact on the manner in which we conduct our exports, as well as the manner in which we enter foreign markets, especially with more involvement by the federal government as intergovernmental cooperation takes center stage.
 
Some things are easier said than done! Let's see what the next weeks and months bring us on this topic, but until then�business as usual.



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