New BIS License Exception C59 - Strategic Trade Authorization (STA)

Effective immediately, a new License Exception C59 for Strategic Trade Authorization (STA) has been added to the Automated Export System (AES).

The Bureau of Industry and Security (BIS) has created this new exception under §740.20 of the Export Administration Regulations that authorizes the export, re-export, and transfer (in-country) of specified items to authorized destinations that pose relatively low risk.  Use of the license exception STA is conditioned upon the creation and exchange by the parties to the transaction of notifications and certifications designed to provide assurance against diversion of such items to other unauthorized destinations.  The exception does not alter any of the General Prohibitions in the Export Administration Regulations against unlicensed exports, re-exports, or transfers to proscribed end users, end uses, or destinations.  This rule is part of the Administration's Export Control Reform Initiative, undertaken as a result of the fundamental review of the U.S. export control system that the President announced in August 2009.

United States Principal Parties in Interest and their authorized filing agents (AES filers) must follow the following new reporting requirements when using C59-STA to prevent the return of fatal errors from AES.

• When reporting C59 in the AES License Type field, also report STA in the license number field.
• Export Control Classification Number field is required.  Refer to §740.20 of the Export Administration Regulations for those items that are ineligible for the BIS license exception STA.
• Only destinations identified in §740.20 of the Export Administration Regulations are eligible.
• Report Export Information Codes OS, OI, CH or CI
• Report any mode of transportation, except pipeline

A complete list of all of the AES License Type codes and reporting instructions for these types can be found at

http://www.cbp.gov/xp/cgov/trade/automated/aes/tech_docs/aestir/june04_intro/appendices/

For further information or questions regarding this exception, please contact BIS's Outreach and Education Division at one of the following locations.

Western Regional Office (949) 660-0144
San Jose, CA Branch (408) 998-8806
Headquarters, Washington, DC (202) 482-4811

For questions regarding reporting license types in AES, please contact the U.S. Census Bureau's Foreign Trade Division, AES Branch at (800) 549-0595, extension 1.

Email: askaes@census.gov

Online: www.census.gov/trade

Blog: blogs.census.gov/globalreach