Orgalime comments on the European Commission proposal on dual-use items – let’s keep export controls true to their aim!

Orgalime welcomes the possibility to provide comments on the European Commission’s proposal for a Regulation setting up a Union regime for the control of exports, transfer, brokering, technical assistance and transit of dual-use items (COM (2016) 616), amending Regulation 428/2009. The aim of the export control regime is to restrict the proliferation of arms of mass destruction and to safeguard national security – and the proposed changes should remain true to this aim.

Our companies are highly committed to the protection of human rights and are already following due diligence in this regard. Nonetheless, we question the opportunity of using the dual-use Regulation, the purpose of which is to protect national security and to prevent the proliferation of arms of mass destruction, as the best tool to this end. We also do not see a need to reinforce the catch-all clause.

Furthermore, the EU should not unilaterally enlarge the scope of export controls. Technologies and items that are subject to export controls should be in line with the relevant international regimes; otherwise the EU risks once again undermining the competitiveness of its industry and therefore the Commission’s jobs and growth agenda. Such an approach is hardly in line with the Commission’s stated Better Regulation goals.

Moreover, the addition of cyber-surveillance technologies to the Regulation unduly enlarges its scope. General rules on cyber-surveillance are counterproductive and will stifle innovation, as changes in the sector – in which our companies are leading – are very fast.

Orgalime welcomes the fact that global export authorisation for large projects will be valid for the entire duration of the projects. We also welcome the introduction of new General Authorisation (EUGEA) and the establishment of a General Export Authorisation (GEA) for Intra-Company Technology Transfers (ITT).