No Easy Choice: NATO Collaboration and the U.S. Arms Export Control Issue
Highlights
The United States has a conflict between its desire for increased NATO collaboration to standardize weapons and the need to maintain control over weapons systems made from U.S. technology. The administration has been willing to compromise to some extent on third country sales to achieve cooperation. These compromises may allow foreign producers using U.S. technology to sell to countries the United States opposes for political and foreign policy reasons or may prohibit the United States from selling to its usual customers. GAO analyzed the trading patterns of the major producers and did case studies of ongoing collaborative weapons projects at both the production and development stages. GAO assessed the competitiveness of European producers who get a license to produce U.S. systems to determine if they would be willing to accept restrictive U.S. export controls. GAO also reviewed the handling of third country sales in new codevelopment programs.
Recommendations
Matter for Congressional Consideration
Matter | Status | Comments |
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Congress should consider (1) amending the Arms Export Control Act to require that all government-to-government collaborative agreements be submitted to Congress and include a provision explicitly defining the third country sales prerogatives of the participants; (2) giving Congress a right of disapproval over all sales territories beyond NATO for all government-to-government agreements whether implementation is through foreign military sales (FMS) or commercial channels; (3) putting all government-to-government agreements under the same controls as FMS, even if agreements are to be implemented commercially, but add a new mechanism to allow transfer of technology without identifying the recipient; and (4) requiring that the administration submit certification on transfers of technology for NATO collaborative projects where the recipient is not identified. | Please call 202/512-6100 for additional information. |