Balancing the National Interest U.S. National Security Export Controls and Global Economic Competition (1987) / Chapter Skim
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1. Introduction
1. Introduction
Pages 28-39
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From page 28... ...
to the development and production of military equipment but also by aggressive attempts to acquire and apply Western technology to its military programs. These Soviet initiatives, in turn, pose a policy dilemma for the West because the open communication and free markets that are fundamental to the Western advantage in technology also facilitate the Soviet acquisition effort.
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Thus, a number of modifiers are used interchangeably throughout this report. tThe term national security export controls is used here and throughout this report in the same sense as that employed in the Export Administration Act of 1979, as amended.
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imports, which has in turn contributed to the foreign trade deficit. Meanwhile, increasing competition for export markets among the Western industrialized countries has created an atmosphere that makes cooperation on export controls among those countries more difficult to achieve.
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Export controls are needed to help prevent the rapid erosion of this advantage, an advantage stemming in large measure from a vigorous, commercial high-technology sector that depends on innovation, competition, and trade for its strength. The rapid diffusion of technology, the importance of Western alliances, and the international character of high-technology industry all mean that: (1)
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In recent years, spurred in part by burgeoning commercial markets for high-technology goods, the West has been able to counter partially the numerical advantage of the Warsaw Pact countries through rapid progress in science and technology. A primary example is the explosion in electronic technology, including computers, that has occurred in commercial markets where many of the products also have important military applications.
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countries and with the imperatives of the global economy factors that * Japan and all of the NATO countries except Iceland are members of the informal, nontreaty organization known as the Coordinating Committee on Multilateral Export Controls (CoCom)
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ORIGINS AND MANDATE OF THE STUDY The current study had its origins in 1984 when the 98th Congress failed to reach agreement on major new amendments to the expired Export Administration Act of 1979. At the time, government and industry leaders expressed mounting concern about the apparent polarization of attitudes toward the national security export control issue and the seeming conflict between the national interests in maintaining military security and promoting international trade.
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issued a report in 1985 entitled Securing Technological Advantage: Balancing Export Controls and Innovation;6 and the Business-Higher Education Forum published Export Controls: The Need to Balance National Objectives7 in 1986. The current study builds on the intellectual foundations of these past efforts, but it departs from or goes beyond them in several respects.
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The panel's agenda also included a day of hearings devoted to the views of industry, with testimony offered by officials of both large and small companies representing a range of manufacturing sectors, and a series of discussions with individuals who have had substantial experience with various aspects of national security export controls. (Appendix G includes a list of briefers and contributors and their affiliations.)
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Thus, the focus of this report is on the effects of national security export controls on the technological development and economic vitality of the Free World countries. · Focus on dual use goods and technology Soviet military capability can be enhanced by the export of certain dual use goods and technology, as well as directly by military hardware (i.e., munitions)
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Foreign policy export controls in particular may occasionally become intertwined or confused with national security export controls. One example is the case of controls imposed on the export of pipeline technology to the Soviet Union following the imposition of martial law in Poland.
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Merrill, ea., Securing Technological Advantage: Balancing Export Controls and Innovation (Washington, D.C.: Center for Strategic and International Studies, Georgetown University, 1985)
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