DAR AL HARB - U.S.A./CANADA: SPIES OF ALL STRIPES, WHILE HAVING SECRET-LEVEL SEC. CLEARANCE IN CANADA, MAY VIEW AMERICA'S MILITARY SECRETS

Industry cool to better government access to U.S. military secrets
by Mike Blanchfield

A new deal between Ottawa and Washington that eases restrictions on the sensitive American military data that some Defence Department employees are allowed to see received only a lukewarm response from Canada's aerospace industry Thursday.

Under the U.S. military's export control rules, known as the International Traffic in Arms Regulations (ITAR), Canadians with dual nationalities, born in countries such as Iran or Cuba, are forbidden from working on major projects involving American-made military equipment such as aircraft and weapons systems. The purpose of ITARs is to keep military technology from falling into the hands of America's enemies.

But the restrictions have been a bone of contention between Ottawa and Washington for months because they have slowed the Conservative government's planned $17-billion upgrade in military hardware, much of it from major U.S. companies such as Boeing and Lockheed Martin.
"Canada views today's arrangement as an important first phase in resolving this complex issue," Trade Minister David Emerson said in a statement. "Canada's high-tech, defence and aerospace sectors can rest assured that it is our priority to engage the U.S. in further discussions with respect to ITAR issues affecting these industries."

Under the agreement, Defence Department employees of any background may view classified U.S. military documents such as manuals and other high-level specifications, provided they have at least secret-level security clearance. The agreement covers military and civilian employees, as well as contractors working in term positions within the department.

But, the relaxed requirements do not help employees of Canadian aerospace companies who were born in one of about two-dozen countries on a U.S. State Department list of prohibited access. Countries on the list include Cuba, Venezuela, Lebanon, North Korea and Iran.

Even a naturalized Canadian citizen who was born, for example, in Lebanon could not work on a Defence Department contract involving U.S. military technology because he could not get access to relevant documentation.

Industry representatives said they were encouraged by the government's commitment to resolve the ITARs issue, but noted that the agreement must extend beyond Canadian government employees to include private-sector defence contractors.

"The rules for industry have not changed one iota by virtue of today's announcement," said Tim Page, president of the Canadian Association of Defence and Security Industries. "We're convinced that until industry is part of an overall arrangement, that the job won't be done."

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1) Industry cool to better government access to U.S. military secrets