Key Takeaway: ATF’s latest final rule closes a regulatory gap left by the Export Control Reform (“ECR”) initiative, acknowledging that the Department of Commerce now shares jurisdiction alongside the Department of State over items on ATF’s United States Munitions Import List (“USMIL”).

On May 6, 2026, the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) published a final confirmatory rule updating its regulations to reflect changes stemming from the ECR initiative. The rule adds references to the U.S. Department of Commerce (“Commerce”) alongside existing references to the U.S. Department of State (“State”), acknowledging what has been true for several years: both agencies share jurisdiction over defense articles on ATF’s USMIL.

A central component of ECR was the transfer of certain items from Categories I–III of the U.S. Munitions List (“USML”) to the Commerce Control List (“CCL”), administered by Commerce’s Bureau of Industry and Security (“BIS”). As a result, beginning in March 2020, State and Commerce divided export and temporary import jurisdiction over items that also appear on ATF’s USMIL.

Background:  The Arms Export Control Act (“AECA”) authorizes State to regulate the export and temporary import of defense articles through the International Traffic in Arms Regulations (“ITAR”), 22 CFR Parts 120–130, with controlled items enumerated on the USML. The AECA separately grants ATF the authority to regulate the permanent import of defense articles, which ATF administers through the USMIL, 27 CFR Part 447.

Beginning in 2009, the ECR initiative sought to transfer less sensitive items from the USML to the CCL under the Export Administration Regulations (“EAR”). In March 2020, USML Categories I–III–covering Firearms, Guns and Armament, and Ammunition–were transferred to the CCL for export control purposes. These items, however, remained on the USMIL and subject to ATF’s permanent import regulations. ATF’s regulations had not been updated to reflect this restructured framework, referencing only State’s authority under the ITAR–a gap this final rule now closes.

Scope of ATF’s Final Rule: The rule amends key provisions in 27 CFR Part 447 to add references to Commerce alongside State. First, the articles-in-transit provision at § 447.46 now reflects that temporary import and export transactions involving USMIL articles may fall under the jurisdiction of either agency. Second, at §§ 447.53(a)(3) and 447.53(b), the rule clarifies that articles temporarily imported under a valid authorization from either State or Commerce are exempt from ATF’s permanent import permit requirements.

Importers of firearms, ammunition, and related articles on the USMIL should ensure that their compliance programs account for authorizations from both State under the ITAR and Commerce under the EAR when seeking exemptions from ATF’s permanent import permit requirements.

Crowell will continue to monitor rulemakings related to AECA defense articles and their impact on industry.

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Photo of Scott Wise Scott Wise

Scott Wise is a partner in Crowell’s Denver office and a member of the firm’s International Trade Group. His practice focuses on export controls, economic sanctions, and outbound investment issues across industries, with an emphasis on emerging technologies and the technology industry.

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Scott Wise is a partner in Crowell’s Denver office and a member of the firm’s International Trade Group. His practice focuses on export controls, economic sanctions, and outbound investment issues across industries, with an emphasis on emerging technologies and the technology industry.

Working with established and start-up tech companies, Scott helps clients to develop unique compliance programs that are responsive to the full range of regulations governing the exports of goods and services. He also trains and counsels clients on compliance with relevant export control regulations such as the International Traffic in Arms Regulations (ITAR) and the Export Administration Regulations (EAR). In addition to technology companies, Scott advises companies in the aerospace and aviation, automotive, chemical, defense, electronics, energy, engineering, financial and insurance, manufacturing, professional services, security, and transportation industries, among others.

Prior to joining Crowell, Scott was the Assistant General Counsel for Global Trade at a multinational technology company where he led a consolidated team focusing on export controls, economic sanctions, and outbound investment. He was the lead export controls and economic sanctions attorney for key business groups ranging from emerging technologies, such as artificial intelligence and quantum computing, to aerospace and defense contracts, and to commercial software and gaming. In that role, Scott developed the company’s compliance approach to new regulations governing the export of various  new technologies, including AI, integrated circuits and chips, and quantum computing, which involved coordination between senior government officials and business leaders. Scott also has prior law firm experience in the international trade practice area.

Photo of Chandler Leonard Chandler Leonard

Chandler S. Leonard is an associate in Crowell & Moring’s Washington, D.C. office and a member of the firm’s International Trade Group. Chandler’s practice focuses on export controls and economic sanctions issues, including voluntary disclosures and enforcement matters before the Departments of Commerce…

Chandler S. Leonard is an associate in Crowell & Moring’s Washington, D.C. office and a member of the firm’s International Trade Group. Chandler’s practice focuses on export controls and economic sanctions issues, including voluntary disclosures and enforcement matters before the Departments of Commerce, State, and Treasury. Chandler has experience analyzing and advising U.S. and non-U.S. companies with respect to proposed transfers of U.S. origin technology, software, hardware, and services. She has performed jurisdictional and classification analyses under the ITAR and EAR, including drafting Commodity Jurisdiction requests and CJ Reconsideration requests. She assists in developing and/or reviewing U.S. export and sanctions compliance programs, including risk assessments. Chandler also has experience training a wide variety of audiences, both U.S. and foreign, on compliance with U.S. export control and sanctions requirements.

Photo of Nate Young Nate Young

Nate Young is a Senior International Trade Specialist in Crowell & Moring’s Washington, D.C. office. With nearly 20 years of expertise in national security and foreign policy, Nate provides clients compliance advice on the U.S. Export Administration Regulations and International Traffic in Arms…

Nate Young is a Senior International Trade Specialist in Crowell & Moring’s Washington, D.C. office. With nearly 20 years of expertise in national security and foreign policy, Nate provides clients compliance advice on the U.S. Export Administration Regulations and International Traffic in Arms Regulations (ITAR).