Restrictive Physical Territories Requirement
The AUKUS exemption from export controls would only apply to transfers within the physical territories of the three countries. Defense contractors like BAE Systems and industry groups like the Professional Services Council (PSC) argue this restriction is too limiting. They suggest including possessions, military bases, and military exercise locations to ensure the exemption’s effectiveness.
Excluded Technology List Concerns
The proposed rule includes an excluded technology list (ETL) that outlines defense items and services not covered by the AUKUS exemptions. Commentators argue that the list is too broad, especially regarding what is considered “missile technology.” The PSC and BAE Systems noted that key technologies essential to AUKUS goals, like hypersonics and uncrewed underwater vehicles, should not be excluded.
BAE Systems and other groups also raised concerns about the exclusion of submarine-related technologies, which could hinder Australia’s development of indigenous submarine manufacturing capabilities.