EXECUTIVE
ORDER
EO 12938
Effective Date: November 14, 1994

Responsible Office: Office of Procurement
Subject: PROLIFERATION OF WEAPONS OF MASS DESTRUCTION See Section 4(b)

				TEXT

By the authority vested in me as President by the Constitution
and the laws of the United States of America, including the
International Emergency Economic Powers Act (50 U.S C. 1701 et
seq.), the National Emergencies Act (50 U.S.C. 1601 et seq.), the
Arms Export Control Act, as amended (22 U.S.C. 2751 et seq.),
Executive Orders Nos. 12851 and 12924, and section 301 of title
3, United States Code.

I, WILLIAM J. CLINTON, President of the United States of America,
find that the proliferation of nuclear, biological, and chemical
weapons ("weapons of mass destruction") and of the means of
delivering such weapons, constitutes an unusual and extraordinary
threat to the national security, foreign policy, and economy of
the United States. and hereby declare a national emergency to
deal with that threat.

Accordingly, I hereby order:

Section 1. International Negotiations. It is the policy of the
United States to lead and seek multilaterally coordinated efforts
with other countries to control the proliferation of weapons of
mass destruction and the means of delivering such weapons.
Accordingly, the Secretary of State shall cooperate in and lead
multilateral efforts to stop the proliferation of weapons of mass
destruction and their means of delivery.

Sec. 2. Imposition of Controls. As provided herein, the Secretary
of State and the Secretary of Commerce shall use their respective
authorities, including the Arms Export Control Act and the
International Emergency Economic Powers Act, to control any
exports, to the extent they are not already controlled by the
Department of Energy and the Nuclear Regulatory Commission, that
either Secretary determines would assist a country in acquiring
the capability to develop, produce, stockpile, deliver, or use
weapons of mass destruction or their means of delivery. The
Secretary of State shall pursue early negotiations with foreign
governments to adopt effective measures comparable to those
imposed under this order.

Sec. 3. Department of Commerce Controls. (a) The Secretary of
Commerce shall prohibit the export of any goods, technology, or
services subject to the Secretary's export jurisdiction that the
Secretary of Commerce determines, in consultation with the
Secretary of State, the Secretary of Defense, and other
appropriate officials, would assist a foreign country in
acquiring the capability to develop, produce, stockpile, deliver,
or use weapons of mass destruction or their means of delivery.
The Secretary of State shall pursue early negotiations with
foreign governments to adopt effective measures comparable to
those imposed under this section.

(b) Subsection (a) of this section will not apply to exports
relating to a particular category of weapons of mass destruction
(i.e., nuclear, chemical, or biological weapons) if their
destination is a country with whose government the United States
has entered into a bilateral or multilateral arrangement for the
control of that category of weapons of mass destruction-related
goods (including delivery systems) and technology, or maintains
domestic export controls comparable to controls that are imposed
by the United States with respect to that category of goods and
technology, or that are otherwise deemed adequate by the
Secretary of State.

(c) The Secretary of Commerce shall require validated licenses to
implement this order and shall coordinate any license
applications with the Secretary of State and the Secretary of
Defense.

(d) The Secretary of Commerce, in consultation with the Secretary
of State, shall take such actions, including the promulgation of
rules, regulations, and amendments thereto, as may be necessary
to continue to regulate the activities of United States persons
in order to prevent their participation in activities that could
contribute to the proliferation of weapons of mass destruction or
their means of delivery, as provided in the Export Administration
Regulations, set forth in Title 15, Chapter VII, Subchapter C, of
the Code of Federal Regulations, Parts 768 to 799 inclusive.

Sec. 4. Sanctions Against Foreign Persons. (a) In addition to the
sanctions imposed on foreign persons as provided in the National
Defense Authorization Act for Fiscal Year 1991 and the Chemical
and Biological Weapons Control and Warfare Elimination Act of
1991, sanctions also shall be imposed on a foreign person with
respect to chemical and biological weapons proliferation if the
Secretary of State determines that the foreign person on or after
the effective date of this order or its predecessor, Executive
Order No. 12735 of November 16, 1990, knowingly and materially
contributed to the efforts of any foreign country, project, or
entity to use, develop, produce, stockpile, or otherwise acquire
chemical or biological weapons.

(b) No department or agency of the United States Government may
procure, or enter into any contract for the procurement of, any
goods or services from any foreign person described in subsection
(a) of this section. The Secretary of the Treasury shall prohibit
the importation into the United States of products produced by
that foreign person. 

(c) Sanctions pursuant to this section may be terminated or not
imposed against foreign persons if the Secretary of State
determines that there is reliable evidence that the foreign
person concerned has ceased all activities referred to in
subsection (a).

(d) The Secretary of State and the Secretary of the Treasury may
provide appropriate exemptions for procurement contracts
necessary to meet U.S. operational military requirements or
requirements under defense production agreements, sole source
suppliers, spare parts, components, routine servicing and
maintenance of products, and medical and humanitarian items. They
may provide exemptions for contracts in existence on the date of
this order under appropriate circumstances.

Sec. 5. Sanctions Against Foreign Countries. (a) In addition to
the sanctions imposed on foreign countries as provided in the
Chemical and Biological Weapons Control and Warfare Elimination
Act of 1991, sanctions also shall be imposed on a foreign country
as specified in subsection (b) of this section, if the Secretary
of State determines that the foreign country has, on or after the
effective date of this order or its predecessor, Executive Order
No. 12735 of November 16, 1990, (1) used chemical or biological
weapons in violation of international law; (2) made substantial
preparations to use chemical or biological weapons in violation
of international law; or (3) developed, produced, stockpiled, or
otherwise acquired chemical or biological weapons in violation of
international law.

(b) The following sanctions shall be imposed on any foreign
country identified in subsection (a)(1) of this section unless
the Secretary of State determines, on grounds of significant
foreign policy or national security, that any individual sanction
should not be applied. The sanctions specified in this section
may be made applicable to the countries identified in subsections
(a)(2) or (a)(3) when the Secretary of State determines that such
action will further the objectives of this order pertaining to
proliferation. The sanctions specified in subsection (b)(2) below
shall be imposed with the concurrence of the Secretary of the
Treasury.

(1) Foreign Assistance.  No assistance shall be provided to that
country under the Foreign Assistance Act of 1961, or any
successor act, or the Arms Export Control Act, other than
assistance that is intended to benefit the people of that country
directly and that is not channeled through governmental agencies
or entities of that country.

(2) Multilateral Development Bank Assistance.  The United States
shall oppose any loan or financial or technical assistance to
that country by international financial institutions in
accordance with section 701 of the International Financial
Institutions Act (22 U.S.C. 262d).

(3) Denial of Credit or Other Financial Assistance. The United
States shall deny to that country any credit or financial
assistance by any department, agency, or instrumentality of the
United States Government.

(4) Prohibition of Arms Sales. The United States Government shall
not, under the Arms Export Control Act, sell to that country any
defense articles or defense services or issue any license for the
export of items on the United States Munitions List.

(5)  Exports of National Security-Sensitive Goods and Technology.
No exports shall be permitted of any goods or technologies
controlled for national security reasons under the Export
Administration Regulations.

(6)  Further Export Restrictions.  The Secretary of Commerce
shall prohibit or otherwise substantially restrict exports to
that country of goods, technology, and services (excluding
agricultural commodities and products otherwise subject to
control).

(7) Import Restrictions. Restrictions shall be imposed on the
importation into the United States of articles (that may include
petroleum or any petroleum product) that are the growth, product,
or manufacture of that country.

(8) Landing Flights.  At the earliest practicable date, the
Secretary of State shall terminate, in a manner consistent with
international law, the authority of any air carrier that is
controlled in fact by the government of that country to engage in
air transportation (as defined in section 101(10) of the Federal
Aviation Act of 1958 (49 U.S.C. App. 1301(10)).

Sec. 6. Duration. Any sanctions imposed pursuant to sections 4 or
5 of this order shall remain in force until the Secretary of
State determines that lifting any sanction is in the foreign
policy or national security interests of the United States or, as
to sanctions under section 4 of this order, until the Secretary
has made the determination under section 4(c).

Sec. 7. Implementation. The Secretary of State, the Secretary of
the Treasury, and the Secretary of Commerce are hereby authorized
and directed to take such actions, including the promulgation of
rules and regulations, as may be necessary to carry out the
purposes of this order. These actions, and in particular those in
sections 4 and 5 of this order, shall be made in consultation
with the Secretary of Defense and, as appropriate, other agency
heads and shall be implemented in accordance with procedures
established pursuant to Executive Order No. 12851. The Secretary
concerned may redelegate any of these functions to other officers
in agencies of the Federal Government. All heads of departments
and agencies of the United States Government are directed to take
all appropriate measures within their authority to carry out the
provisions of this order, including the suspension or termination
of licenses or other authorizations.

Sec. 8. Preservation of Authorities. Nothing in this order is
intended to affect the continued effectiveness of any rules,
regulations, orders, licenses, or other forms of administrative
action issued, taken, or continued in effect heretofore or
hereafter under the authority of the International Economic
Emergency Powers Act, the Export Administration Act, the Arms
Export Control Act, the Nuclear Non-proliferation Act, Executive
Order No. 12730 of September 30, 1990, Executive Order No. 12735
of November 16, 1990, Executive Order No. 12924 of August 18,
1994, and Executive Order No. 12930 of September 29,1994.

Sec. 9. Judicial Review. This order is not intended to create,
nor does it create, any right or benefit, substantive or
procedural, enforceable at law by a party against the United
States, its agencies, officers, or any other person.

Sec. 10. Revocation of Executive Orders Nos. 12735 and 12930.
Executive Order No. 12735 of November 16, 1990, and Executive
Order No. 12930 of September 29, 1994, are hereby revoked.

Sec. 11. Effective Date. This order is effective immediately.

This order shall be transmitted to the Congress and published in
the Federal Register.

                              /s/WILLIAM J. CLINTON


THE WHITE HOUSE,
November 14, 1994.


			

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