NDAA Provision is Key Step Toward Export Control Reform

by David Isaacs, Vice President, Government Affairs

On Jan. 2, President Obama signed into law the National Defense Authorization Act (NDAA) for 2013, legislation that, among other things, permits the Administration to return commercial satellites and related items – including radiation-hardened (or “rad hard”) semiconductors – to the jurisdiction of Export Administration Regulations administered by the Commerce Department after Congressional notification. This marks a reversal of a statute that had been in place since 1999 mandating that exports of commercial satellites and related items be controlled as military items. SIA has long argued that rad hard semiconductors should not be subject to the same export controls as military items. The NDAA provision is an important milestone for the semiconductor industry, and SIA will work with policymakers to implement the provision expeditiously and appropriately.

As one of America’s top exporters, SIA is critically affected by export control reform. One of SIA’s key policy objectives for 2013 is to encourage policymakers to streamline export control regulations to allow U.S. semiconductor companies to effectively compete in the global market while protecting national security. In addition to ensuring the proper administration of the satellite decontrol provision in the NDAA, SIA will work to secure relief on troublesome rad hard requirements and advocate for comprehensive reform of IC controls, among other initiatives. Enacting common sense export control reform will help the U.S. semiconductor industry continue to create jobs, drive economic growth, and boost America’s global competitiveness.