Law360 Quotes Akin Trade Partner Kevin Wolf on Proposal to Relax Arms Exports to UK

Contact:
For its article “GOP Rep. Wants To Remove Arms Sales Restrictions For UK,” Law360 quoted Akin international trade partner Kevin Wolf. The article looks at a bill, Special Relationship Military Improvement Act, introduced by a Republican House of Representatives member that would relax restrictions on United States arms exports to the United Kingdom as a way of strengthening ties between the two allies.
Kevin, who served as Assistant Secretary of Commerce for Export Administration, Bureau of Industry and Security, is noted as considering this welcome news. He said that the reforms are what he recommended in testimony before the Senate Committee on Banking, Housing, and Urban Affairs in February, at which time he advocated a move to “radically simplify and harmonize” defense trade rules between the U.S. and its closest allies.
He said that current regulations require the U.K. and Australia, although not Canada, to obtain individual licenses for restricted items; however, he notes nearly all requests are granted: “So that's not the issue. That's actually the problem. If 99.99% of all licenses are granted, why do you have the license in the first place? Why even go through the variable paperwork and compliance on making a submission and waiting two, three months to get a response back?”
Kevin also noted that, due to unnecessary burdens and compliance risks caused by the U.S. export controls, the current system makes it easier for the U.K. and Australia to “design out” or avoid using U.S.-made technology in the military equipment these countries manufacture. The bill would give the State Department authority to create carve-outs that would address that issue, he said.