Ok there seems to be much discussion on this so I got on line and did a bunch of research on it and here is the end result from off the USFWS web site fax sheet.
How do we define "Alaskan Native" for these Q&As?
Who may hunt sea otters, polar bears or walrus?
A complete definition of “Alaskan Native” for the purposes of the Marine Mammal Protection Act is found in the Code of Federal Regulations
(50 CFR 18.3) In general, when we use the term “Alaskan Native” in these Q&As, we mean Indians, Aleuts and Eskimos who reside in Alaska and who dwell on the coast of the north Pacific Ocean or Arctic Ocean. The definition includes those who are one-fourth degree or more Alaskan Indian, Aleut or Eskimo, or who are enrolled under the Alaska Native Claims Settlement Act.
Alaskan Natives, as defined above, may harvest sea otters, polar bears or walrus for subsistence purposes or the creation and sale of authentic native handicrafts or clothing if the harvest is not wasteful. It is illegal for a person who is not an Alaskan Native to actively participate in any manner in hunting sea otters, polar bears or walrus. WHAT MAY BE SOLD AS A NATIVE HANDICRAFT?
Authentic Native handicrafts may be sold to a non-Native. This means items composed of a significantly altered pelt that is wholly or in some significant respect made of natural materials and produced, decorated, or fashioned in the exercise of traditional handicrafts without the use of pantographs, multiple carvers, or other mass copying devices. Traditional handicrafts include, but are not limited to weaving, carving, stitching, sewing, lacing, beading, drawing and painting.
ARE THERE OTHER LEGAL USES OF SEA OTTERS?
Yes. The meat or other edible parts from sea otters may be sold if it is sold in an Alaska Native village or is sold to an Alaskan Native.
MAY RAW (TANNED OR UNTANNED) HIDES BE SOLD OR TRANSFERRED?
Yes, but only to an Alaska Native within Alaska or to a registered agent for resale or transfer to an Alaskan Native within Alaska. It is illegal to give as a gift, trade, or sell either tanned or untanned hides to non-Natives.
And more info from the NOAA web site answer and question section
I live in a remote subsistence village in Alaska. I am non-Native. Can I participate in marine mammal hunting?
No, unless you are regarded as a member of an Alaska Native village or group, and your father or mother were also regarded as a member of that village or group. Marriage to an Alaska Native does not convey the right to harvest marine mammals under the Native exemption to these Acts.
I am still trying to find the specific rules on sewing and working with a hide but if you can't own it, can't harvest it, can't buy it, and a native can't give to you as a gift I find it hard to find a way that you could sew with it when only a native can. My wife is native I am not I can't even take my boys out seal hunting they had to learn how from other family members. Furthermore we own a fur sewing business it is how all my trapping furs get sold we have the furs tanned and then make it into hats mittens ruffs slippers etc. and when questioning USF&W we were told I could not help her in any manner. Since my main income is dependant on the fur bussiness we don't run the risk, I don't help her with the seal and sea otter stuff she makes. She also organizes classes for the local UAF campus and has been told only native students can use real ivory or seal and sea otter in the carving and skin sewing classes. How PWSCC gets around this I do not know but you can bet she is going to be checking with them to find out if they have some kind of educational exemption that she could obtain as well.
I know someone is going to jump up and say it doesn't list seals the rules are the same for these questions just on a different sheet. I didn't want to waste a lot of time making you all read it all over again.