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What is a third-party transfer in Foreign Military Sales?

Updated 3 October 2026Checked against the SAMM: 12 September 2026

A purchaser may not hand over, resell or change the use of U.S. defense articles bought through without prior written consent from the U.S. Government. The Department of State decides each request, and some transfers go to Congress first.

WHAT EVERY PURCHASER AGREES TO fmsedge.com What does a Foreign Military Sales purchaser agree to? The purchaser’s undertaking in the LOA “The Purchaser will not transfer title to, or possession of, the defense articles … furnished under this LOA to anyone who is not an officer, employee, or agent of the Purchaser (excluding transportation agencies) or of the USG, and shall not use or permit their use for purposes other than those authorized, unless the written consent of the USG has first been obtained.” LOA Standard Terms and Conditions, term 2.4 · SAMM Figure C5.F9 · C8.7.1 THE PURCHASER WANTS TO THE REQUEST THE ROUTE Transfer title or possession to anyone not its officer, employee or agent SAMM C8.7.1 Change the end use use it for purposes other than those authorized SAMM C8.7.1 · C8.7.7 How does a Foreign Military Sales purchaser dispose of U.S.-origin equipment? Dispose of it including demilitarization and disposal SAMM C8.7.4 · C8.7.7 A written request to State (PM/RSAT) the Standard Questionnaire (Table C8.T7), with end-use, retransfer and security assurances from the proposed recipient, unless it has signed Blanket Assurances SAMM C8.7.7 · C8.T7 · C8.7.7.1 · C8.7.7.2 Foreign Military Sales Security Cooperation Officer (Embassy) Directly, or through the embassy or the SCO the SCO checks the pertinent agreements with the DSCA Country Portfolio Director; SCOs handle only retransfers of articles received through DoW-administered programs SAMM C8.7.7 · C8.7.1 · C8.7.6 THE DECISION THE CONGRESSIONAL GATE BEFORE ANYTHING MOVES Foreign Military Sales Arms Transfer Office (State Department) State (PM/RSAT) decides State authorizes every third-party transfer; PM/RSAT coordinates its response, case by case SAMM C8.7.3 · C8.7.4 · C8.7.7 Original acquisition value at or above the thresholds? yes When does Congress have to be notified of a Foreign Military Sale? 30-day prior certification to Congress MDE at $14M or more ($25M for NATO, Australia, Israel, Japan, the Republic of Korea, New Zealand); any other article, training or service at $50M or more ($100M); after it, approved unless Congress enacts a joint resolution of disapproval AECA §3(d) · SAMM C8.7.9.1 no State’s prior written consent required before any transfer, disposal or change of end use not previously authorized in the original acquisition SAMM C8.7.7 · Glossary: Third Party Transfer What is the Security Cooperation Information Portal (SCIP)? After approval the SCO sends the approval documents for upload to SCIP-EUM SAMM C8.7.7 Not approved without the recipient’s assurances State will not process it; without consent, nothing moves SAMM C8.7.7.1 · LOA term 2.4 Foreign Military Sales vs Direct Commercial Sales: which one, and who decides? Articles exported under a commercial license: the request goes to State (PM/DDTC) under ITAR §123.9, not through the SCO. SAMM C8.7.4.1.1 · C8.7.6 Exempt from §3(d) certification: temporary transfers for maintenance, repair or overhaul, some repair services and parts, NATO cross-servicing and some NATO lead-nation procurement. SAMM C8.7.9.2 Approved transfers with an original acquisition value of $1 million or more are reported to Congress quarterly; a prime contractor named in an LOA note to support the USG may need no request. SAMM C8.7.10 · C8.7.8 FMS Edge a step · only above the thresholds · the one approval before anything moves fmsedge.com · Current as of 12 September 2026 · SAMM C8.7 · C8.T7 · C5.F9 · C5.T18 · Glossary: TPT

Every purchaser agrees in the LOA not to transfer title to or possession of what it bought, and not to use it for other purposes, unless the U.S. Government's written consent has first been obtained. A purchaser that wants to transfer an article, change its end use or dispose of it sends a written request to the Department of State's Office of Regional Security and Arms Transfers, with end-use, retransfer and security assurances from the proposed recipient, directly or through its embassy or the security cooperation office. State decides each request case by case; where the original acquisition value reaches the Arms Export Control Act Section 3(d) thresholds, Congress receives a prior certification first, and approval is granted after the 30-day period unless Congress enacts a joint resolution of disapproval. State's prior written consent is the one approval that must exist before anything moves.

Third-party transfer: the one approval before anything moves · Current as of 12 September 2026 · SAMM C8.7 · C8.T7 · C5.F9 · C5.T18 · Glossary: TPT · Download PNG

What is a third-party transfer in Foreign Military Sales?

A third-party transfer (TPT) is any retransfer of title, physical possession or control of defense articles, training or acquired under authorized transfer programs from the original authorized recipient to any person or organization not an employee, officer or agent of that recipient country (or international organization). Note that a change in end use is considered a third-party transfer. While it is the receiving partner's responsibility to properly request a third-party transfer, the routinely assist in processing these requests.

What counts as a change in end use?

Change of end-use is defined as any change in the usage of transferred defense articles, services, or technology that deviates from the original purposes for which they were provided. Since is a “cradle-to-grave” activity, disposal also constitutes a change in end-use for which prior consent from the DOS is required for non-consumable items. Cannibalization is viewed as disposal only if the parts being removed will no longer be under the control of the ministry or agency that received them from the , or will be used for purposes other than for national defense. Examples of possible changes (not an exhaustive list) of end use include:

  • Withdrawal of military end items from the operational inventory for display at a government- run museum
  • Use of unserviceable/non-repairable vehicles as targets on a firing range
  • Transfer of demilitarized military end items or machinery from the armed forces to civil government or educational institutions
  • Transfer of a U.S.-origin military vehicle from an operational military unit to be used as a police vehicle assigned to a non-military law enforcement agency
  • Demilitarization and redistribution of defense articles among several host government agencies outside of the military/ministry of defense
  • Scrapping U.S.-origin end items in order to reclaim and sell their components (e.g., copper wires, titanium)

Who approves a third-party transfer?

In accordance with the FAA, Section 505 (22 U.S.C. 2314), in considering a request for approval to retransfer any implement of war to another country, the Department will not agree to the transfer unless the itself would transfer the under consideration to that country. In addition, the DOS will not consent to the retransfer of any significant on the United States () unless the item is demilitarized prior to transfer, or the proposed recipient foreign country commits in writing to provide appropriate security and transfer assurances.

How does a purchaser ask for approval?

The transferring government sends a written request to the Team at the Department of State's Office of Regional Security and (PM/RSAT), directly, through its embassy, or through the .

For articles exported commercially, the request goes to 's Directorate of Defense Trade Controls (PM/DDTC) under ITAR Section 123.9.

Any request to retransfer a or technology must be supported by end-use and retransfer assurances from the proposed recipient. If the initial recipient is not the final end user, the final end user must be identified, and appropriate end-use and retransfer assurances must be provided by both the intermediate and final recipients. If the proposed recipients are unable or unwilling to identify the final end user and end-use of the articles or data, the transfer will not be approved. In addition, if brokers are involved as intermediaries in the transfer, they must be clearly identified in the transfer request, and they must be registered with the DOS PM/DDTC as brokers.

Does Congress review a third-party transfer?

The following are exceptions to this congressional review process for third-party transfers:

  • The President states in the certification submitted that an emergency exists, which requires that consent to the proposed transfer becomes effective immediately
  • Transfers of maintenance, repairs, or overhaul defense services or repair parts if such transfers will not result in any increase in military capabilities
  • Temporary transfers of defense articles for the sole purpose of receiving maintenance, repair, or overhaul
  • Cooperative cross-servicing arrangements or lead-nation procurement among members. Note, however, that Section 36(b) notifications must identify the transferees on whose behalf the lead-nation procurement is proposed

References

Drawn exclusively from publicly available authorities.

SAMM

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