European Council Adopts New Dual-Use Export Regulations

The European Council adopted new rules modernizing the European Union's system for export controls for dual-use civil and military items, the EC said in a May 10 news release. The regulations had been in talks for years but were finally agreed to Nov. 9 (see 2011100021). The regime includes stricter controls for cyber-surveillance technology that may be used for human rights abuses, new general export licenses to authorize shipments of cryptographic items and certain “intra-group technology transfers,” and mechanisms for greater coordination between members and with trading partners.

The rules include a new EU-level “coordination mechanism” to increase cooperation among member states on exports of surveillance items. The regime also strengthens enforcement of EU controls by allowing for more cooperation between member states’ licensing and customs authorities. Another provision covers “transmissible controls,” which allows a member state to introduce export controls based on controls created by another member state. “We welcome the new EU rules on exports of dual-use items that give human rights the prominence they deserve,” said Portugal's Minister of Finance and President of the EC Joao Leao. “Strong controls will allow us to prevent human rights violations and abuses, while keeping up with the latest technological developments.”

Along with new regulations, the regime introduces more due diligence obligations and compliance requirements for exporters, the commission said. “We will now have robust export controls to mitigate against abuses of dual-use tech and exporters will have to follow due diligence obligations,” Trade Commissioner Valdis Dombrovskis said in November, adding that the commission would work “closely” with member states to “effectively” implement the regulations.