(Revised
September 8, 2006)
225.701 Restrictions.
225.701-70 Exception.
225.770 Prohibition on acquisition of United States
Munitions List items from Communist Chinese military companies.
225.770-1 Definitions.
225.770-2 Prohibition.
225.770-3 Exceptions.
225.770-4 Identifying USML items.
225.770-5 Waiver of prohibition.
225.701 Restrictions.
See 209.104-1(g) for restrictions on contracting with firms owned or
controlled by foreign governments.
225.701-70 Exception.
DoD personnel are authorized to make emergency acquisitions in direct
support of U.S. or allied forces deployed in military contingency,
humanitarian, or peacekeeping operations in a country or region subject to
economic sanctions administered by the Department of the Treasury, Office of
Foreign Assets Control.
225.770 Prohibition on acquisition of United States
Munitions List items from Communist Chinese military companies.
This section implements Section 1211 of the
National Defense Authorization Act for Fiscal Year 2006 (Pub. L. 109-163). See PGI 225.770 (Pop-up Window or
PGI Viewer Mode) for additional information
relating to this statute, the terms used in this section, and the United States
Munitions List.
225.770-1 Definitions.
As used in this section—
(a) “Communist Chinese military company” and
“United States Munitions List” are defined in the clause at 252.225-7007,
Prohibition on Acquisition of United States Munitions List Items from Communist
Chinese Military Companies.
(b) “Component” means an item that is useful only
when used in conjunction with an end item (22 CFR 121.8).
(c) “Part” means any single unassembled element
of a major or minor component, accessory, or attachment, that is not normally
subject to disassembly without the destruction or impairment of design use (22
CFR 121.8).
225.770-2 Prohibition.
Do not acquire supplies or services covered
by the United States Munitions List (USML) (22 CFR Part 121), through a
contract or subcontract at any tier, from any Communist Chinese military
company. This prohibition does not apply
to components and parts of covered items unless the components and parts are
themselves covered by the USML.
225.770-3 Exceptions.
The prohibition in 225.770-2 does not apply
to supplies or services acquired—
(a) In connection with a visit to the People’s Republic
of China by a vessel or an aircraft of the U.S. armed forces;
(b) For testing purposes; or
(c) For the purpose of gathering intelligence.
225.770-4 Identifying USML items.
(a) Before issuance of a solicitation, the
requiring activity shall notify the contracting officer in writing whether the
items to be acquired are covered by the USML.
The notification shall identify any covered item(s) and shall provide
the pertinent USML reference(s) from 22 CFR Part 121.
(b) The USML includes defense articles and
defense services that fall into 21 categories.
Since not all USML items are themselves munitions (e.g., protective
personnel equipment, military training equipment), the requiring activity
should consult the USML before concluding that an item is or is not covered by
the USML.
225.770-5 Waiver of prohibition.
(a) The prohibition in 225.770-2 may be waived,
on a case-by-case basis, if an official identified in paragraph (b) of this
subsection determines that a waiver is necessary for national security
purposes.
(b) The following officials are authorized,
without power of delegation, to make the determination specified in paragraph
(a) of this subsection:
(1) The Under Secretary of Defense (Acquisition,
Technology, and Logistics).
(2) The Secretaries of the military departments.
(3) The Component Acquisition Executive of the
Defense Logistics Agency.
(c) The official granting a waiver shall notify
the congressional defense committees within 30 days after the date of the
waiver.