On August 20, 2024, the U.S. Department of State’s Directorate of Defense Trade Controls (DDTC) published an interim final rule amending the International Traffic in Arms Regulations (ITAR) to create a broad exemption for defense trade among Australia, the United Kingdom, and the United States. The State Department fact sheet stated that the vast majority of commercial defense trade among the three countries would be eligible for transfer without an individual export license under the new Section 126.7 exemption, effective September 1, 2024.
On August 15, 2024, the State Department had certified to Congress that both Australia and the United Kingdom had implemented export control systems comparable to the ITAR, as required by Section 1343 of the National Defense Authorization Act for Fiscal Year 2024. Australia enacted the Defence Trade Controls Amendment Act 2024, and the United Kingdom issued a new Open General Licence for AUKUS nations, also effective September 1, 2024.
An Excluded Technology List identified defense articles and services not eligible for the exemption, to be reviewed annually. Quantum technologies covered by ITAR fall within the scope of these reforms, easing trilateral sharing of quantum-related defense articles and services among authorized users. The reforms were described by U.K. Defence Secretary John Healey as a “breakthrough that will allow our three nations to deepen our collaboration on defense technology and trade.”