Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: THURSDAY, August 26, 1993 TAG: 9308260170
SECTION: NATIONAL/INTERNATIONAL PAGE: A-11 EDITION: METRO
SOURCE: Associated Press
DATELINE: BEIJING LENGTH: Medium
In a brief five-paragraph news account of the U.S. move, the official Xinhua News Agency said: "The U.S. allegations about the so-called `missile technology transfers' have been rejected by China and Pakistan."
U.S. evidence suggests that China transferred to Pakistan technology related to the M-11 surface-to-surface missile, violating an arms treaty China has not signed but has agreed to honor.
In Pakistan, Foreign Ministry spokesman Munir Akram said Pakistan purchased short-range missiles from China, but not the M-11s. He did not address the question of whether Pakistan had purchased M-11 missile technology. The U.S. applied limited sanctions to Pakistan as well.
Pakistan already is prohibited from receiving most U.S. aid because of legislation barring assistance to countries developing a nuclear weapons capability.
Officials said part of the U.S. case against the two countries was based on satellite photographs taken of a Chinese shipment which arrived last year at the Pakistani port of Karachi.
Before the U.S. move, a delegation of U.S. congressmen in the Chinese capital reported that Chinese officials had denied violating the arms accord.
"They just deny that there has been a violation . . . and suggest that we have collected faulty intelligence," said Rep. Jim Chapman, D-Texas.
Chapman; Rep. Tom Foglietta, D-Pa.; and Rep. Dave McCurdy, D-Okla., chairman of a subcommittee of the House Armed Services Committee, met Wednesday with Foreign Minister Qian Qichen, former Defense Minister Qin Jiwei, and senior military officials and legislators.
The United States has been having high-level discussions with China for four months on the alleged missile sales, which U.S. intelligence reports say violate the Missile Technology Control Regime.
The pact outlaws the sale of missiles with a range beyond 186 miles. The range of the M-11 missile is more than 270 miles.
The administration acted only after high-level contacts did not produce a positive result. The contacts included one by Secretary of State Warren Christopher last month in Singapore.
The sanction bans the sale of sensitive high technology equipment to the Chinese entities responsible for the sale, said State Department spokesman Mike McCurry.
"It's our estimate that somewhere between $400 million and $500 million a year of commercial activity will be affected by the sanctions that are imposed today," he said. Those figures are less than 10 percent of U.S. exports to China last year. The impact on trade with Pakistan is expected to be minimal.
Richard Brecher, of the U.S.-China Business Council, said China had an $18 billion trade surplus with the United States last year. The net effect, he said, is to worsen the trade imbalance.
The administration also is concerned that China is attempting to sell ingredients for chemical weapons to Iran. A Chinese vessel thought by U.S. officials to be transporting such materials is heading for a Saudi port. China has agreed to permit inspection of the cargo.
President Clinton in May granted a one-year extension of China's most-favored nation trade status, but conditioned future extensions on improvements in China's human-rights record and adherence to arms-control guidelines.
by CNB