Critical Export Control Issues for Valve Service and Repair Companies
Valve Manufacturers Association Newsletter
November 2012
Export compliance isn’t just for valve manufacturers. Many valve service and repair companies (or units of manufacturing companies) handle export-controlled goods, including those designed and manufactured by other companies. Some of those valves are delivered from U.S. addresses, and others come to, or from, non-U.S. locations. Valve repair and service companies (and manufacturers who perform these services) also have service centers located outside the U.S. that may handle valves and related “know how” subject to U.S. export and re-export controls. Some of the valves that service centers handle (and the associated parts and technology) are strictly controlled under U.S. export control laws, requiring companies to obtain proper licenses from the U.S. government or potentially face stiff penalties and fines. In the last two years, eight companies have been subject to fines up to $900,000 in export control cases involving valves and valve components. To comply with U.S. laws and avoid these kinds of penalties, and even potential criminal charges, valve repair and servicing companies need to understand their obligations under U.S. export control laws -- and the export compliance risks presented by handling and shipping export-controlled valves and valve technology.