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Export controls, trade secrets and licensing manufacturing data to AI

How the EAR's deemed-export rule and trade secret law bear on licensing a manufacturer's technical records to an AI buyer.

Last updated 2 sources cited1 min read

Short answer: Technical data can be export-controlled, and releasing controlled technology to a foreign person, even in the US, is a 'deemed export' under the EAR. Process know-how may also be a trade secret. Classify technical records with your export compliance lead before any are in scope.

On this page
  1. Deemed exports
  2. Trade secrets
  3. Lower-risk records
  4. Frequently asked questions
  5. Sources

Deemed exports

Under the EAR, 'releasing or otherwise transferring technology or source code (but not object code) to a foreign person in the United States' is a deemed export (15 CFR 734.13). An AI buyer's staff and customers may include foreign persons.

Trade secrets

Protection requires 'reasonable measures to keep such information secret' (18 U.S.C. § 1839). License terms should match how you protect the information today.

Lower-risk records

  • Order-to-ship and customer-service workflows.
  • Quality-system procedures without controlled specs.
  • Maintenance and scheduling records.

This is general information, not legal advice. Talk to your own attorney or compliance advisor before you share or license any records.

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Frequently asked questions

Is ITAR different?

ITAR has its own rules for defense articles. Ask your export compliance counsel.

Do de-identification steps fix export issues?

No. Export control is about the technical content, not personal data.

Sources

  1. 15 CFR § 734.13, Export (EAR), including deemed exports (Cornell LII)law.cornell.edu
  2. 18 U.S.C. § 1839, Definitions (trade secret) (Cornell LII)law.cornell.edu

Referral-fee disclosure: we may be paid by a program if your company signs with it after using this site. General information only, not legal advice.

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