Why is ITAR so important for defense manufacturers?

ITAR 101 – What is ITAR?

The International Traffic in Arms Regulations (ITAR) are a set of U.S. regulations that control the export and import of defense and military technology, services, and data listed on the United States Munitions List (USML). The purpose of ITAR registration and compliance is to validate a manufacturer in the production of defense-related products for the U.S. government or its allies and to protect U.S. national security by preventing sensitive military information from falling into the hands of foreign adversaries. The U.S. government requires all manufacturers of defense products, services, and/or related technical data to be ITAR compliant. ITAR requires that any manufacturing company that produces defense products register and maintain current ITAR registration with the U.S. Department of State. 

What is the ITAR Compliance Process?

First, determine if you are manufacturing any products or are involved in a project that involves defense articles, services or technical data that may be listed on the USML. If so, then you will need to register with the Directorate of Defense Trade Controls (DDTC). This registration is a prerequisite to receiving additional export licenses. The registration process begins here: Article - DDTC Public Portal (state.gov). Please note that there is no such thing as an ITAR certification. Organizations are simply registered with the DDTC and must comply with ITAR regulations (CFR 22 190-200).   ITAR DDTC registration currently costs $2,250 for manufacturers with a similar annual renewal fee. Once registered, implement an ITAR compliance program throughout your organization, including following strict recordkeeping and reporting requirements. More detailed information regarding establishing and maintaining an ITAR compliance program can be found In the article.  Failure to comply with ITAR can result in significant fines and penalties including fines up to $1,000,000 per violation, up to 20 years imprisonment, and permanent debarment from participating in ITAR in the future.

How does ITAR apply to ICON?

You do not need to be registered in ITAR or ITAR compliant to register for and utilize the tools available through NFFS’ Integrated Casting Order Network (ICON) platform. However, to receive an award through a solicitation listed in ICON or any award from the DOD, you must be registered with the DDTC and must maintain full  ITAR compliance from year to year.

For further information about ITAR and the U.S. Munitions List, view the tutorial "Introduction to ITAR and the U.S. Munitions List" created by the Small Business Innovation Research (SBIR) program of the Small Business Association. If you have further questions about ITAR or the ICON program, contact NFFS at (847) 299-0950 or support@nffs.org.