Legal Definitions - Bureau of Industry and Security

The Bureau of Industry and Security (BIS) is an agency within the U.S. Department of Commerce. Its primary responsibility is to regulate and oversee the export of certain goods, software, and technology from the United States. BIS achieves this by issuing export licenses and enforcing laws designed to control what leaves the country. This control is crucial for safeguarding U.S. national security, advancing foreign policy objectives, and protecting economic interests, all while also supporting the growth of legitimate U.S. exports.

• Example 1: Exporting Advanced Robotics

  A U.S. company develops highly advanced robotic arms capable of precision manufacturing and wants to sell them to a factory in a country known for its military ambitions and human rights concerns. Before the sale can proceed, the company must apply for an export license from BIS.

  How this illustrates BIS: This scenario demonstrates BIS's role in controlling the export of cutting-edge technology that could potentially be misused or pose a risk to U.S. national security or foreign policy interests if it falls into the wrong hands. BIS would review the application to ensure the export aligns with U.S. regulations.

• Example 2: Shipping Specialized Chemicals

  A chemical manufacturer in Texas produces a specialized chemical compound primarily used in agricultural fertilizers. However, this same compound also has potential "dual-use" applications, meaning it could be used in the production of certain restricted materials. When a foreign buyer expresses interest in purchasing a large quantity, the U.S. manufacturer consults BIS to determine if an export license is required and what regulations apply.

  How this illustrates BIS: This example highlights BIS's oversight of dual-use items – products that have legitimate commercial uses but could also be diverted for military or illicit purposes. BIS helps ensure that such exports do not undermine U.S. security or economic interests.

• Example 3: Global Software Distribution

  A small software startup creates a new encryption program designed for secure communication. As they plan to market and sell their software globally via online downloads, they need to understand the export control classifications for their product. They contact BIS to determine if their software requires an export license for certain destinations or if it falls under specific exemptions.

  How this illustrates BIS: This shows BIS's involvement in regulating the export of intangible items like software, especially those with cryptographic capabilities. Even digital products can have national security implications, and BIS provides guidance and licensing to ensure companies comply with U.S. export control laws when distributing their products internationally.