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Foreign Direct Product Rule

News & Blog

EAR §734.9 controls foreign-produced items located outside the United States that are subject to the EAR when they are a “direct product” of specified “technology” or “software,” or are produced by a plant or ‘major component’ of a plant that itself is a “direct product” of specified “technology” or “software.”

 

There are several different “Foreign-Direct Product (FDP) Rules” which includes the National Security FDP Rule, the 9×515 FDP Rule, the 600 Series FDP Rule, the Entity List FDP Rule, and the Russia/Belarus Military End User FDP Rule.

 

It is important when any non-U.S. company is exporting/transferring items that incorporate, or are the direct product of U.S. technology or software, that the Foreign Direct Product Rule guidelines be reviewed. The rules, in particular the Entity List and Russian/Belarus Military End User Rules, are constantly updated.

 

Please contact our firm should you have any question on the Foreign Direct Product Rule.


This Blog is made available by Wilmarth & Associates for educational purposes as well as to give you general information and a general understanding of export law and compliance, not to provide specific legal advice. This blog is not legal advice and should not be treated as such. You must not rely on this blog as an alternative to legal advice from your attorney or other professional legal services provider. The information provided on this website is presented “as is” without any representations or warranties, express or implied.
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