Good News for Gunsmiths — Changes to ITAR Regulations

On January 23, 2020, the Trump administration published new rules that will significantly help the U.S. firearms industry and American gunsmiths. The new regulations officially take effect on March 9, 2020.

The rule changes modify export control of American firearms, as well as related parts, components, and accessories. Under the new Federal rules, export of common firearms and parts will now be controlled by the Department of Commerce, NOT by the Department of State under its International Traffic in Arms Regulations (ITAR). Those draconian ITAR provisions had adversely affected small parts manufacturers and gunsmiths through hefty fees and burdensome paperwork even if they did not actually ship guns overseas.

Gun author Ryan Cleckner explains: “Up until this change, the Department of State regulated exports of most firearms and their related parts, ammo, and information through [ITAR] which contain a list of covered firearm types called the United States Munitions List (USML). The USML includes all rifles, handguns, and short-barreled shotguns. The Department of Commerce, on the other hand, has the Export Administration Regulations (EAR) which regulates the export of all firearm types on a list, called the Commerce Control List (CCL), including regular shotguns (those with a barrel length of at least 18″) and their related parts, ammo, and information.”

Cleckner summarizes the key regulatory changes in a 1/20/2020 Gun University Article:

1. Manufacturers will no longer have to pay a $2,250 annual registration fee.
2. No long approval process [for exports].
3. No Congressional approval needed for deals over $1 million.
4. Easier sharing of technical information for designs/R&D.

We caution our readers that these gun export regulatory changes do NOT alter domestic gun control laws in America. And gun exports are still subject to government oversight. However, Cleckner explains: “Instead of dealing with the ITAR rules and State Department licensing, the firearms industry will be able to use the more efficient export system through the Department of Commerce for most firearms. Certain firearms, like machine guns, will still stay under State Department control (under ITAR).”

According to the NRA-ILA: “No more will small, non-exporting businesses — including gunsmiths — be caught up in an expansive regulatory scheme for manufacturers of ‘munitions’ and their parts that requires a $2,250 annual registration fee with U.S. State Department. Americans will again be free to publish most technical information about firearms and ammunition — including on the publicly-accessible Internet — without fear of accidentally running afoul of State Department restrictions that could land them in federal prison.”

The new regulations will simplify overseas travel by hunters and competition shooters. Americans temporarily traveling overseas with their own guns and ammunition won’t have to register them in a government database or fill out commercial exporting forms.

Meanwhile, commercial exporters of non-military grade firearms and ammunition will have fewer fees to pay and will benefit from a more flexible, business-oriented regulatory environment. But note, actual exports of firearms and ammunition will still require authorization/licensing by the federal government. End-users of the guns in the countries of destination will also remain subject to U.S. monitoring.

The NRA-ILA observes: “This latest action is just one more example of how President Trump continues to move forward with his positive agenda to protect the right to keep and bear arms and the businesses that comprise America’s firearms industry. American manufacturing, as well as lawful firearm ownership at home and abroad, stand to make big gains under the president’s export reform initiative.”