Dual-Use Items refer to goods, technologies, and services that can be used for both civilian purposes and military purposes, or for the development, production, or use of weapons of mass destruction and their means of delivery. In foreign trade, such items are typically subject to export controls, and companies must comply with the Export Control Law of the People's Republic of China and international non-proliferation mechanisms (such as the Wassenaar Arrangement, Missile Technology Control Regime, etc.). Use cases include: export declaration, license application, end-user and end-use certification, customs inspection, etc. Precautions: Companies must determine whether an item is listed on the control list; if listed, they must apply to the national export control administration for a license; unauthorized export is prohibited, otherwise facing administrative penalties or even criminal liability. The difference from ordinary goods is that dual-use items are subject to specific regulations, and attention must be paid to 'deemed exports' (e.g., technology transfer to foreign nationals) and re-export controls. Unlike 'military goods,' dual-use items are primarily designed for civilian use but have military potential, and the level of control is usually lower than military goods but higher than general goods.
📝 Examples
1. Our company plans to export a batch of high-precision CNC machine tools to a customer in Southeast Asia. Upon inspection, this product is classified as a dual-use item, and we must first apply to the Ministry of Commerce for a 'Dual-Use Items and Technologies Export License.' (Note: Before export, the control status must be confirmed and a license obtained.)
2. When signing a technology licensing agreement, we must clarify that this encryption algorithm technology is a dual-use item and may not be disclosed or transferred to foreign entities without a license. (Note: Technology exports are also subject to dual-use item controls, and attention must be paid to deemed export risks.)
💡 Foreign Trade Tips
Foreign trade terms are the foundation of international business communication
Trade practices may vary slightly by country; pay attention when using them
When using terms in contracts, specify the applicable version (e.g., Incoterms 2020)
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