Export control

Fundamentals of Export Control

Export control is based on a variety of laws, embargoes, sanctions lists, and international agreements. In the EU, regulations such as the EU Dual-Use Regulation, sanctions packages, arms embargoes, and national export laws determine which goods and shipments require authorization or are entirely prohibited.

Dual-use goods – items that can be used for both civilian and military purposes – play a central role. These products may only be exported after thorough review and often require authorization from the relevant authorities. In Germany, the Federal Office for Economic Affairs and Export Control (BAFA) is primarily responsible.

The aim of export control is to ensure that international supply chains do not contribute to the proliferation of weapons, terrorism, human rights violations, or the destabilization of entire regions.

Core Components of Export Control

Export control includes several levels of review that every company engaged in foreign trade must implement:

1. Goods Screening
   Check whether a product is listed on the Dual-Use List, the Export List, or other regulated categories, such as electronic components, chemicals, machinery, or software.
2. Country Screening
   Analyze whether the destination country is subject to embargoes or export restrictions. Some countries face comprehensive trade bans, while others have only sector-specific restrictions.
3. End-Use / End-User Control
   Ensure that the actual recipient does not use the goods for prohibited purposes, including terrorism, military use, or transfer to blocked parties.
4. Sanctions List Screening
   Companies must check whether business partners – companies or individuals – appear on international sanctions lists (e.g., EU, UN, USA).
5. Authorization Management
   If a shipment requires approval, applications must be submitted, documents provided, and official decisions awaited.

Together, these elements form a systematic export control program.

Importance of Export Control in Practice

In globalized supply chains, export control is essential, as violations can have severe consequences: heavy fines, criminal penalties, reputational damage, or complete export bans. Companies therefore rely on well-defined processes, compliance structures, and trained personnel.

Especially in freight forwarding, sea and air transport, and contract logistics, export control is closely linked to daily operations. Shipping documents, customs declarations, delivery papers, and IT systems must be designed to document and verify all control steps.

Export control also plays a role in warehousing: certain goods may only be stored in secured areas and must be kept separate from non-controlled items.

Digitization and Export Control

Modern export control is hardly possible without IT support. Companies use automated screening systems to check master data, customers, countries, and goods in real time against sanctions and goods lists.
Transport Management Systems (TMS) and ERP systems increasingly integrate these checks directly, minimizing errors and accelerating processes.

Digitization also enables comprehensive document management, which is critical during inspections by authorities.

Challenges of Export Control

The biggest challenge is staying up to date. Sanctions lists, embargoes, and international regulations change frequently and sometimes with little notice. Companies must therefore:

• Continuously train employees
• Document processes clearly
• Update digital screening systems
• Secure interfaces within the supply chain
• Create transparency regarding end recipients and goods flows

During times of crisis – such as geopolitical conflicts or economic sanctions – the complexity of export control increases significantly.

Role of Export Control in Secure Global Supply Chains

Export control is a vital contribution to global security and stability. Companies that take export control seriously minimize risks, strengthen their compliance profile, and benefit from smoother international supply processes. They build trust – both with authorities and business partners.

Thus, export control is one of the key components of professional, responsible, and legally compliant logistics and supply chain structures.