(a) The following defence articles are exempted from the scope of the Treaty, regardless of which category may apply:
(1) US origin defence articles, regardless of classification, (including those modified or improved), when used for marketing purposes, that have not previously been licensed for export by the United States Government;
(2) Defence articles specific to the existence of or method of compliance with anti‑tamper measures made at originating government direction;.
(3) All classified defence articles not being released pursuant to a government written request, directive or contract that provides for the export of the defence article. For US origin defence articles, the written request, directive or contract must be from the US Department of Defense. For Australian origin defense articles, the written request, directive or contract must be from the Australian Government.
(b) The following specific defence articles are exempted from coverage under the Treaty:
(1) Defence articles listed in the Missile Technology Control Regime (MTCR) Annex, the Chemical Weapons Convention (CWC) Annex on Chemicals, the Convention on Biological and Toxin Weapons, and the Australia Group (AG) Common Control Lists (CCL);
(2) Defence articles specific to reduced observables, or counter low observables in any part of the spectrum, including radio frequency (RF), infrared (IR), Electro‑Optical, visual, ultraviolet (UV), acoustic, and magnetic;
Note: Defence articles related to reduced observables or counter reduced observables is defined as:
(1) Signature reduction (radio frequency (RF), infrared (IR), Electro‑Optical, visual, ultraviolet (UV), acoustic, magnetic, RF emissions) of defense platforms, including systems, subsystems, components, materials, (including dual‑purpose materials used for Electromagnetic Interference (EM) reduction) technologies, and signature prediction, test and measurement equipment and software and material transmissivity/reflectivity prediction codes and optimization software.
(2) Electronically scanned array radar, high power radars, radar processing algorithms, periscope‑mounted radar systems (PATRIOT), LADAR, multistatic and IR focal plane array‑based sensors, to include systems, subsystems, components, materials and technologies.
(3) Defence articles specific to sensor fusion beyond that required for display or identification correlation;
Note: Defence articles related to sensor fusion beyond that required for display or identification correlation is defined as techniques designed to automatically combine information from two or more sensors/sources for the purpose of target identification, tracking, designation, or passing of data in support of surveillance or weapons engagement. Sensor fusion involves sensors such as acoustic, infrared, electro optical, radio frequency, etc. Display or identification correlation refers to the combination of target detections from multiple sources for assignment of common target track designation.
(4) Defence Articles specific to naval technology and systems in the following areas:
(i) Naval nuclear propulsion information;
Note: Naval nuclear propulsion information is technical data that concerns the design, arrangement, development, manufacture, testing, operation, administration, training, maintenance, and repair of the propulsion plants of naval nuclear‑powered ships and prototypes, including the associated shipboard and shore‑based nuclear support facilities. Examples of Defence articles covered by this exemption include nuclear propulsion plants and nuclear submarine technologies or systems; nuclear powered vessels (see Categories VI and XX).
(ii) Acoustic spectrum control and awareness;
Note: Examples of defence articles covered by this exemption include underwater acoustic vector sensors; acoustic reduction; off‑board, underwater, active and passive sensing, propeller/propulsor technologies; fixed/mobile/floating/powered detection systems which include in‑buoy signal processing for target detection and classification; autonomous underwater vehicles capable of long endurance in ocean environments (manned submarines excluded); automated control algorithms embedded in on‑board autonomous platforms which enable:
(a) group behaviours for target detection and classification
(b) adaptation to the environment or tactical situation for enhancing target detection and classification;
"intelligent autonomy" algorithms which define the status, group (greater than 2) behaviours, and responses to detection stimuli by autonomous, underwater vehicles; and low frequency, broad‑band "acoustic colour", active acoustic "fingerprint" sensing for the purpose of long range, single pass identification of ocean bottom objects, buried or otherwise. (Controlled under Category XI(a), (1) and (2) and in (b), (c), and (d)).
(iii) Submersible vessels, oceanographic and associated equipment designed or modified for military purposes;
Note: Examples of defence articles covered by this exemption includes manned or unmanned, tethered or untethered and swimmer delivery vehicles (controlled under Category XX(a) and (b)).
(iv) Submarine Combat Control systems;
(v) Torpedoes;
(5) Defence articles specific to gas turbine engine hot section components and digital engine controls;
Note: Examples of gas turbine engine hot section exempted defence article components and technology are combustion chambers/liners; high pressure turbine blades, vanes, disks and related cooled structure; cooled low pressure turbine blades, vanes, disks and related cooled structure; advanced cooled augmenters; and advanced cooled nozzles. U.S. examples of gas turbine engine hot section developmental technologies are those developed by the Integrated High Performance Turbine Engine Technology (IHPTET), Versatile, Affordable Advanced Turbine Engine (VAATE), Ultra‑Efficient Engine Technology (UEET) programs.
(6) Defence articles specific to countermeasures and counter‑countermeasures, including electronic or optical (including IR);
Note: Examples of countermeasures and counter‑countermeasures related to defence articles not exportable under the Treaty are:
(1) IR countermeasures
(2) Classified techniques and capabilities;
(3) Exports for precision radio frequency location that directly or indirectly supports fire control and is used for situation awareness, target identification, target acquisition, and weapons targeting and Radio Direction Finding (RDF) capabilities. Precision RF location is defined as angle of arrival accuracy of less than five degrees (RMS) and RF emitter location of less than ten percent range error;
(4) Providing the capability to reprogram;
(5) Acoustics (including underwater), active and passive countermeasure and counter‑countermeasures; or
(6) Other electromagnetic active and passive countermeasures that are described in Category XI.
(7) Defence articles specific to Category XI(b) (e.g., communications security (COMSEC) and TEMPEST), as well as their related defence articles in Category XI(c) and (d);
(8) Defence articles specific to Category XIII(b) (military information security assurance systems), as well as the tooling and equipment specifically designed or modified for production of such articles in Category XIII(k) and technical data and defence services in Category XIII(I) related to the articles in Category XIII(b) and (k);
(9) Defence articles specific to satellites, satellite payloads and their specifically designed or modified components as described in Category XV (a), (b), (e) and (f);
(10) Defence articles specific to GPS/PPS security modules;
(11) Defence articles specific to Category XV(d) radiation‑hardened microcircuits and technology;
(12) Category XVI defence articles specific to design and testing of nuclear weapons;
Note: The phrase “specific to design and testing of nuclear weapons” includes all items controlled in Category XVI(a) and (b), any items in Category XVI(c) that are used directly as part of such testing, and the items in Category XVI(d) or (e) directly related to the exempted articles in Category XVI (a), (b ), or (c).
(13) Defence articles specific to Category XVIII Directed energy weapons;
(14) Defence articles specific to the automatic target acquisition or recognition and cueing of multiple autonomous unmanned systems;
(15) Defence articles specific to Man Portable Air Defense Systems (MANPADS);
(16) High Frequency and Phased Array Microwave Radar systems, with capabilities such as search, acquisition, tracking, moving target indication, and imaging radar systems;
Note: The radar systems described in (b)(16) are controlled in Category XI(a)(3)(i) through (v). As used in (b)(16), however, the term ‘systems’ includes equipment, devices, software, assemblies, modules, components, practices, processes, methods, approaches, schema, frameworks and models.
(17) Defence articles that the US controls under the USML for which Australian laws, regulations, or other commitments would prevent Australia from enforcing the control measures specified in the Treaty;
Note: As of 6 February 2013, no defence articles are subject to this exemption.
(c) Exports of the following US origin defence articles are not eligible for use of the Treaty unless such export is pursuant to a written solicitation or contract issued or awarded by the US Department of Defense pursuant to Article 3(1)(a), Article 3(1)(b), or Article 3(1)(d) of the Defence Trade Cooperation Treaty and is consistent with paragraph (a) and paragraph (b) of this exemption list:
(1) Defence articles specific to developmental systems that have not obtained Milestone B approval from the United States Government milestone approval authority;
(2) Technical data or defence services for night vision equipment described in Category XII (c) beyond basic operations, maintenance and training data;
(3) Manufacturing know‑how, such as information that provides detailed manufacturing processes and techniques needed to translate a detailed design into a qualified, finished defence article, specific to the defence articles controlled in Categories II(d), III(d)(1), III(d)(2), IV(a), IV(b), IV(d), IV(g), VIII(a),VIII(b), VIII(e), X(a)(l), X(a)(2), XI(a)(3), XI(a)(4), XII(d) or XX(a) and their specially designed components;
(4) Software source code specific to defence articles controlled in Categories II(c), II(d), II(i), III(d)(l), III(d)(2), IV(a), IV(b), IV(c), IV(g), VI(a), VI(c), VIII(a), VIII(e), IX(a), IX(b), XI(a), XII(a), XII(b), XII(c), XII(d), XIII(a), XVI(c) or XX(a) beyond that source code required for basic operation, maintenance and training for the programs, systems, and/or subsystems.