KOALA Act

The KOALA Act streamlines defense trade between the U.S., Australia, and the U.K. by removing the usual licensing requirements for defense exports and transfers under the Arms Export Control Act, specifically for activities related to the AUKUS security partnership announced in 2021. It directly affects U.S. defense exporters and Australian defense entities by allowing faster transfers of defense articles and services without individual licenses. Key provisions include requiring the President to submit semiannual reports to Congress on these transfers and establishing a process for Congress to disapprove exemptions via joint resolution. The bill modifies reporting and certification requirements for these transactions and increases civil/criminal penalties for violations. It takes effect 180 days after enactment.