Export 8130-3s No Longer Need (Country) Destination Designation

July 1, 2016 by Leave a comment

The FAA has published a new policy memo (AIR100-16-110-DM04) that changes the way that the FAA treats export 8130-3 tags.  This policy memo will alter export 8130-3 tags so that they no longer identify the specific destination country.  An additional policy memo specifies that so-called “Domestic Tags” do not need to be so-identified.

The Problem

The industry has had problems with export 8130-3 tags for many years.  The typical export 8130-3 tag will identify a destination country.  This becomes a problem when the parties want to re-export the article to a third nation.

Here is an example.  It is not unusual to establish a forward stocking warehouse to hold inventory destined to be distributed in a particular part of the world.  Let’s say that the warehouse is in Singapore.  Parts bound for this Singapore warehouse would bear 8130-3 tags that specify that they meet the special import requirements of Singapore.  But the Singapore warehouse will be used to supply parts to customers in other nations, like Indonesia, Malaysia, Thailand and Viet Nam.  These parts are sometimes rejected because they name Singapore as the destination rather than any of the other nations.  Replacing the Singapore 8130-3 tags with tags naming other destinations is a needless expense that adds no safety value to the transactions.

The State of the Industry

If you go back to the 1963 NPRM that established the rules for export airworthiness approvals, you will see that the original intent of the tag was to facilitate export transactions.  The FAA has recognized that this current process adds no value, and that 8130-3 tags are impeding transactions, rather than facilitating them.

The FAA has found that the current practice of including the specific destination information and the word “EXPORT” on the tag impedes global trade, explaining:

“Requiring this statement needlessly complicates the issuance of the tag and hinders the global shipment of engines, propellers, and articles, especially when they are exported multiple times.”

The FAA has examined the European system, in which the manufacturers issue EASA Form One themselves, and there is a single EASA Form One (there is no distinction that creates a separate export EASA Form one).  The FAA has recognized that this system appears to work better than having distinct export 8130- 3 tags that name a destination country.

The Solution

The FAA has issued a Deviation Memo that eliminates the destination country from the export 8130-3 tag.  The Memo does more than permit dropping the destination from the tag – it actually directs that those who complete 8130-3 tags for articles should NOT include the specific export information:

“• Do not use the statement, “Export airworthiness approval – This article meets the special requirements of (enter country),” from paragraph 4-5 L(9), in block 12.
• Do not use the statements in Appendix A, Figures A-14, A-15, A-16, and A-17 (“Export airworthiness approval – This article meets the special requirements of (enter country)” and “EXPORT.”
• Do not use the statement, “Export airworthiness approval. No special import
requirements for [enter name of country or jurisdiction] stated at time of issuance,” from paragraph 4-5 L(10), in block 12.
• An exporter must continue to include any other statements required by FAA Order 8130.21 and the applicable bilateral agreements.”

The above-quoted language is specific to articles, but similar language is published in the Deviation Memo that applies to engines and propellers, as well.  The language represents a devisation from FAA Order 8130.21H.  It is effective as of June 24, 2016.

ASA members will want to ensure that they communicate with their global business partners to educate them about this change.  At first, there may be some reluctance to accept the new 8130-3 tags, but a review of the new FAA Deviation Memo will show trading partners that the FAA no longer permits inclusion of the language that historically has designated a destination nation.

“Domestic Shipment Only”

In a similar vein, on June 28 the FAA issued a policy memo (AIR100-16-110-PM04) that forbade parties from stating “domestic shipment only” or “not an export approval” on the 8130-3 tag.

“This memorandum provides clarification on the use of “domestic shipment only” and “not an export approval” in block 12 of FAA Form 8130-3 (hereafter, tags). Inspectors, designees, delegated organizations, and persons authorized in accordance with a production approval holder’s approved quality system to issue tags are directed to not add “domestic shipment only” and “not an export approval” to block 12.”

This language impeded subsequent exports; many people thought that this language was meant to prevent a subsequent export.  Use of this sort of language also ignored the original purpose of the “domestic tag” which was to facilitate export for parties who were unable at the time to apply for export 8130-3 tags (it circumvented a regulatory anomaly that prevented distributors from applying for export 8130-3 tags – the exporting distributor was expected to ensure compliance with the importing nation’s special import requirements).  For a short time, this limiting language actually appeared in an earlier version of Order 8130.21.  ASA sought clarification from FAA Management at the time and FAA Management confirmed that the inclusion of that language had been a mistake, because it contradicted the original purpose of the domestic tag.

ASA members who encounter parties who want to print “domestic shipment only” or “not an export approval” in block 12 of FAA Form 8130-3, should draw the issuing party’s attention to this policy memo.

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8130-3 Tag Uses

September 3, 2013 by 2 Comments

I recently fielded a question about whether the 8130-3 tag can be used issued for new parts made under foreign production approval.  Generally, the 8130-3 is issued as an airworthiness approval only for parts produced under US (FAA) production approval, so the short answer to this question is “no.”  This limit is found in FAA Order 8130.21H (and its predecessors).

It is easy to see how confusion about this issue arises.  The 8130-3 (like the EASA Form One) has multiple uses.  It can be used as an airworthiness approval (left side signature) or an approval for return to service (right side signature).  And both historical usage and current usage create a series of loopholes and exceptions.

Airworthiness Approval – Left Side Signature

When you are looking at a left side signature, you have several options.  One is to use the 8130-3 as a true airworthiness approval.  When the the 8130-3 is used as a true airworthiness approval, it can only be issued for parts manufactured under FAA production approval.  Current rules only permit the form to be issued in this way by the FAA (including the FAA’s designees).  Many people mistakenly believe that production approval holders or even “OEMs” issue 8130-3 tags.  In fact, it is FAA designees who are located at (and/or employed by) those manufacturers that actually issue the 8130-3 tags.

Several rules should be applied as a consequence of the limits on 8130-3 tags:

  • 8130-3 tags can only be issued as airworthiness approvals for parts manufactured under FAA production approval.
  • Non-FAA production approval is inadequate to support the 8130-3 as an airworthiness approval
  • STC only, without PMA, TSOA or PC, is inadequate
  • Parts made under non-approved mechanisms (like standard parts) but subsequently run through a production approval holder’s system may be eligible for 8130-3 (usually this entails a part number change to differentiate the production approval parts from normal standard parts)

There are some good policy reasons for issuing 8130-3 tags for foreign-produced parts that are considered to be “approved” upon import under the terms of a US bilateral agreement, but that is not the current FAA policy, so it is not (yet) permitted.

A second option is to obtain the 8130-3 as an export airworthiness approval.  The difference between the domestic 8130-3 and the export 8130-3 is that the export 8130-3 tag also certifies compliance to special import qualifications of the importing country (note that very few aircraft parts have special import conditions so in practice the export 8130-3 tag is often based on the exact same findings as the domestic 8130-3 tag).  Export airworthiness approvals are often issued to aftermarket distributors, so they are frequently issued based on review of the part and any documentation associated with the part.  For example, a review of the part may show it to be a typical part from a production certificate holder, with the production certificate holder’s markings, and air carrier documentation may show it to have been a new part that was surplussed by the air carrier from their inventory.  This (combined with an inspection of the part to confirm it has not suffered damage or degradation) may be a sufficient basis for issuing the export 8130-3 tag.

A third option is to use the 8130-3 tag as a record of data approval for a prototype (compliance to non-FAA-approved data) but this is generally for internal tracking and does not apply to parts being released to the industry for sale. FAA guidance clearly states that the 8130-3 tag cannot be used to export a prototype part.  Prototype parts pending certification under an FAA project number are not eligible for installation on in-service, type-certificated aircraft; but upon approval of the applicable design data and completion of an inspection to validate (1) conformity to that approved design data and (2) condition for safe operation, that part may be considered new.

Note that it is common for US suppliers of components to obtain FAA-PMA (production approval) for their components so as to be able to issue 8130-3 tags for the export of those parts to a European manufacturer.  The parts are approved under US law because of the PMA, even if the European approvals for the higher level assembly have not yet been issued.  For example, there are US suppliers to Airbus who have contracts with Airbus that allow them to get PMA by licensing agreement based on the Airbus TC, and in turn are therefore able to obtain 8130-3 tags for the export of those parts to Airbus.

Approval for Return to Service – Right Side Signature

The 8130-3 tag can also be used as an approval for return to service.  You can distinguish this use by the right side signature.  When it is signed on the right side, you CAN certify compliance to non-US maintenance standards (e.g. when a repair station issues a dual certification to both FAA and EASA maintenance standards).  This is a source of confusion, because many peple in the industry see dual certified parts on the approval for return to service side of the form, and think that the same thing can be done on the left hand signature side of the form (it cannot under current policy).

Got 8130-3 Questions?

For over 20 years I have been involved in the development of the 8130-3 and its instruction in Order 8130.21, as well as the harmonization of the form with EASA’s and TCCA’s corollaries; so if you have 8130-3 questions, then please feel free to call my office to discuss it further and perhaps we can find  away to get you to the end state that you want to achieve!

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