The White House 


                 Office of the Press Secretary 
_________________________________________________________________ 
For Immediate Release                             March 30, 1994 


               Statement by the Press Secretary 

                     Export Control Reform 

    Today the President announced another step in U.S. efforts 
to reform the export control system.  From the outset, this 
Administration has been committed to combatting the proliferation 
of dangerous weapons and sensitive technologies, while at the 
same time ensuring that American workers and firms remain the 
most competitive in the world.  Our policies seek to balance 
these goals.  As global technology advances, export controls must 
be updated, in order to remain focused on those items that still 
make a difference to programs of proliferation concern.  To 
promote U.S. economic growth, democratization abroad and 
international stability, we actively seek expanded trade and 
technology exchange with nations, including former adversaries, 
that abide by global nonproliferation norms.  

    As of April 1, 1994, we will liberalize licensing 
requirements on the export of nearly all civilian 
telecommunications equipment and computers that operate up to 
1000 Mtops (million theoretical operations per second) to civil 
end-users in all current Cocom-controlled countries except North 
Korea.  

    This action is consistent with our national security 
requirements, because we are retaining individual licensing 
requirements for high-end computers and for transfers to military 
end-users.  We are not changing our nonproliferation controls, 
which require a license for any export that would contribute to a 
program of proliferation concern.  

    Last year, the Commerce Department received approximately 
25,000 export license applications.  With these and other changes 
announced by this Administration, it is expected that the number 
will be cut by nearly half.  When this Administration came into 
office, certain basic personal computers, such as Ibm PCs and 
Apple McIntoshes, were still being controlled.  Last September, 
we took the first step to liberalize licensing requirements for 
over $30 billion worth of computer exports. 

    Today's decision is compatible with our national security 
and nonproliferation objectives.  By liberalizing licensing 
requirements on items that routinely are granted licenses, we 
will concentrate our export control efforts on denying 
technologies that still make a difference to the development of 
dangerous arms.  Most of the items currently controlled by the 
United States will remain subject to licensing requirements, 
including dual use goods and technologies controlled due to their 
use in chemical, biological, nuclear, advanced conventional 
weapons and missile delivery systems. 

                         -more-
 
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Export Control 



    The members of Cocom have agreed to end the Cold War regime 
effective tomorrow.  The end of the Cold War and the disinte- 
gration of the Soviet Union and the Warsaw Pact led us and our 
allies to the view that Cocom's strategic rationale was no longer 
tenable. 

    In its stead, the Cocom members agreed to work together 
toward a new, more broadly-based arrangement designed to enhance 
transparency and restraint in conventional weapons and 
sophisticated technologies to countries whose behavior is cause 
for serious concern and to regions of potential instability.  The 
new arrangement will thus have a completely different purpose 
than Cocom.  It will seek to put in place multilateral approaches 
to controls aimed at the threats we face today.  We hope that 
Russia will become a founding member of the new regime.  We are 
working to achieve this. 

    While the specific procedures of the new regime are still 
being developed, Cocom member governments have agreed to maintain 
the capability after April 1 to control on a national basis to 
any destination items previously contained on the Cocom lists 
(industrial, military, and atomic energy) while new control lists 
and arrangements are being finalized.  

    As we look ahead, there is much work to be done with other 
governments.  We must continue to work to establish a regime to 
control sensitive exports to countries of concern and to regions 
of potential instability.  Here at home, we will work with the 
Congress to pass an Export Administration Act that brings the 
export control system in line with the new challenges we face to 
our national security and economic competitiveness. 

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