EC INVENTORY OF US EXPORT CONTROLS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85T00287R001100870001-6
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 4
• Document Creation Date: December 22, 2016
• Document Release Date: August 20, 2010
• Sequence Number: 1
• Publication Date: October 24, 1984
• Content Type: MEMO

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? - Central IntelliY~ence Agency
W'ashin~ton, U. C. ZOa05
DIRECTORATE OF IIvTELLTOENCE
24 October 1984
EC INVENTORY OF US EXPORT CONTROLS.
Last ~aeel.'s decision by EC industry ministers to compile an
inventory of US e~eport control actions reflects a growing West
European concern that US restrictions on technology tr~ns~ers tq
the East Bloc also adversely affect EC industries. According to
diplomatic .reports, EC Vice President Davignon, in proposing the
study, singled out the recent flap between the United States ~.nd
Belgium over the sale of a machine tooling ceziter to the ,soviet
Union as illustrative of how US trade controls hinder West
European-sales and stoke US-European frictions. The Commission
will base its inventory on submissions from the member
governments ar_d probably will complete. the project by the end o~
The Comma~nity has no authority to address diference~ with
Washington over the aim of strategic trade controls rt:or to pass
judgment on thz effectiveness of US export controls. ~i;e believe
the Commission is seeking primarily to dramatize the cr~mm~rcial
impact of East-U7est trade restrictions on EC industries ii'>< order
to present T~nTashington with a comprehensive and detailed last: of
EC grievances. The Commission established its role in fogging a
unified EC position on such matters during the controversial US
embargo of equipment for the Siberian pipela.ne in 198` and in
subsequznt decnarches to Washington over the renewal of the Export
Administration Act and its extraterritorial provisions.
This memorandum was prepared. by ..the Office of
European Analysis at the .request of Frank Vargo, Deputy Assistant
Secretor of Commerce. Questions ana comments r~~ay be add essed
to Chief of the European Issues i~ivision,
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EC members also are concerned that US export controls are
restricting their firms' access to ne=a technologies required to
make European high-tech industries competitive. In addition to
specific export control cases, a listing of these West-West
asp?cts of technology transfer is likely to include instances in
which Europeans have been denied access to previously available
information, e.g. the exclusion of EC nationals from technical
seminars and workshops in the United States which they formerly
attended. Although diplomatic reports indicate some EC members
initially argued against Commission involvement in these issues,
we believe Davignon probably convinced the industry ministers
that the Commission's concern flows from its role in the ESPRIT
z~rogram and in other EC-wide R&D schemes.
Three factors in particular probably are motivating the
timing of this Commission proposal:
o The Community probably sees an opportunity to muster
facts, consolidate policy, and recons3.der strategy before
the new US Congress and Administration take up the
renetaal of the Export Adminstration Act in January.
o Davignon, in particular, has been especially critical of
US expa.rt controls and probably is pushing for a thorough
study to be completed before the new Industry
Commissioner--who may not share Davignon's fervor--takes
office in January.
o According to diplomatic reports, Davignon is rumored to
have political ambitions in Belgium after his return from
the Commission and may view sponsorship~of this
initiative as politically enhancing among Belgian
industrialists and politicians.
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Original
Fran' Vargo, Deputy Assistant Secretary of Commerce
for Europe.
1 - William Triplett, Deputy Assistant United States Trade
Representative for East-tiVest Trade.
DDI
ADDI
DDI Registry
NIO/WE
Ii~iC/CB
EURA
EURA Production
EI Division
EI Branch
1 -
DDI/EURA/EI/EI~
{2~?Oct84)
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