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US overhauls encryption export controls

The US Bureau of Industry and Security publishes a major rule simplifying encryption export controls and introducing encryption registration.

The US Bureau of Industry and Security (BIS) has published a significant rule revising the encryption provisions of the Export Administration Regulations (EAR), including License Exception ENC and mass-market eligibility.

Key points

  • Introduces encryption registration, replacing many prior technical reviews.
  • Allows many mass-market products to be self-classified and exported without waiting for BIS review.
  • Adds Note 4 to Category 5 Part 2, removing many items whose primary function is not information security.
  • Retains classification requests and reporting for more sensitive encryption items.
  • Embargoed and sanctioned destinations remain subject to strict controls.

The EAR apply to US-origin items wherever they are, including when incorporated into non-US products. UK organisations re-exporting or building on US encryption technology should check how their products are classified.

Source: BIS encryption export controls interim final rule, 75 FR 36482 (Federal Register)

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