15 C.F.R. § 746.7

Current through November 30, 2024
Section 746.7 - Iran

The Treasury Department's Office of Foreign Assets Control (OFAC) administers a comprehensive trade and investment embargo against Iran. This embargo includes prohibitions on exports and certain reexport transactions involving Iran, including transactions dealing with items subject to the EAR. These prohibitions are set forth in OFAC's Iranian Transactions Regulations (31 CFR part 560). In addition, BIS maintains licensing requirements on exports and reexports to or from Iran under the EAR as described in paragraphs (a)(1)(i) through (iii) of this section or elsewhere in the EAR (see, e.g.,§ 742.8 ).

(a)License Requirements -
(1)EAR license requirements -
(i)CCL-based license requirements. A license is required under the EAR to export or reexport to Iran any item on the CCL containing a CB Column 1, CB Column 2, CB Column 3, NP Column 1, NP Column 2, NS Column 1, NS Column 2, MT Column 1, RS Column 1, RS Column 2, CC Column 1, CC Column 2, CC Column 3, AT Column 1 or AT Column 2 in the Country Chart Column of the License Requirements section of an ECCN or classified under ECCNs 0A503, 0A980, 0A982, 0A983, 0E982, 1C355, 1C395, 1C980, 1C982, 1C983, 1C984, 2A994, 2D994, 2E994, 5A001.f.1, 5A980, 5D001 (for 5A001.f.1or for 5E001.a (for 5A001.f.1, or for 5D001.a (for 5A001.f.1)), 5D980, 5E001.a (for 5A001.f.1, or for 5D001.a (for 5A001.f.1)) or 5E980.
(ii)Supplement no. 7 to part 746 of the EAR license requirements. A license is required under the EAR to export or reexport to Iran any item identified in supplement no. 7 to part 746 of the EAR when such item is subject to the EAR for any reason other than § 734.9(j) of the EAR.
(iii)Foreign-produced items subject to the EAR under § 734.9(j) of the EAR (Iran FDP rule). Except as described in paragraph (a)(1)(iv) of this section, a license is required to reexport or export from abroad to, or transfer (in-country) within Iran any foreign-produced item subject to the EAR under the Iran FDP rule that is located in or destined to Iran. A Department of Commerce license is not required for transactions described in this paragraph (a)(1)(iii) that would have otherwise met all of the terms and conditions of an OFAC general license or other authorization if the transactions had been subject to OFAC jurisdiction.
(iv)Exclusion from license requirements under paragraph (a)(1)(iii) of this section.
(A) Exports from abroad or reexports from the countries described in supplement no. 3 to this part are not subject to the license requirements described in paragraph (a)(1)(iii) of this section, unless a limit to the exclusion is described in the "Scope" column in supplement no. 3 to this part.
(B) An item is excluded from license requirements under paragraph (a)(1)(iii) of this section if the item is any of the following:
(1) Food, "medicine," or "medical devices" designated as EAR99;
(2) Necessary and ordinarily incident to communications, designated as EAR99 or specified in ECCN 5A992.c or 5D992.c, and classified in accordance with § 740.17 of the EAR; and would otherwise meet all of the terms and conditions of an OFAC general license or other authorization if the transaction were subject to OFAC jurisdiction.
(v)Exclusion from scope of U.S.-origin controlled content under paragraph (a)(1) of this section. For purposes of determining U.S.-origin controlled content under supplement no. 2 to part 734 of the EAR when making a de minimis calculation for reexports and exports from a country described in supplement no. 3 to this part to Iran, the license requirements in paragraph (a)(1)(ii) of this section are not used to determine controlled U.S.-origin content in a foreign-made item, provided the U.S.-origin content is identified in supplement no. 7 to this part and is designated EAR99 and is not otherwise excluded from the applicable "Scope" column in supplement no. 3 to this part.
(2)BIS authorization. To avoid duplication, exporters or reexporters are not required to seek separate authorization from BIS for an export or reexport subject both to the EAR and to OFAC's Iranian Transactions Regulations. Therefore, if OFAC authorizes an export or reexport, such authorization is considered authorization for purposes of the EAR as well. Transactions that are not subject to OFAC regulatory authority may require BIS authorization.
(b)Licensing Policy. Applications for licenses for transactions for humanitarian reasons or for the safety of civil aviation and safe operation of U.S-origin aircraft will be considered on a case-by-case basis. Licenses for other purposes generally will be denied.
(c)License Exceptions. No license exceptions may be used for exports or reexports to Iran.
(d)EAR Anti-terrorism controls. The Secretary of State has designated Iran as a country that has repeatedly provided support for acts of international terrorism. Anti-terrorism license requirements and licensing policy regarding Iran are set forth in § 742.8 of the EAR.
(e)Prohibition on exporting or reexporting EAR items without required OFAC authorization. No person may export or reexport any item that is subject to the EAR if such transaction is prohibited by the Iranian Transactions Regulations ( 31 CFR part 560 ) and not authorized by OFAC. The prohibition of this paragraph (e) applies whether or not the EAR requires a license for the export or reexport.

15 C.F.R. §746.7

74 FR 2358 , Jan. 15, 2009, as amended at 77 FR 39369 , July 2, 2012; 78 FR 37383 , June 20, 2013; 81 FR 29486 , May 12, 2016; 85 FR 4177 , Jan. 23, 2020; 88 FR 12154 , Feb. 27, 2023; 89 FR 60565 , July 26, 2024
81 FR 29486 , 5/12/2016; 85 FR 4177 , 3/9/2020; 88 FR 12154 , 2/24/2023; 89 FR 60565 , 7/23/2024