US embassy cables: Chinese firms 'not aware' of nuclear export bans, says Beijing

Cable dated:2008-08-06T09:01:00 S E C R E T BEIJING 003039 SIPDIS DEPT FOR EAP, ISN E.O. 12958: DECL: 08/06/2033 TAGS: PARM, PREL, PTER, MNUC, ECON, KNNP, IR, CH SUBJECT: CHINA'S RESPONSE TO EFFORTS TO HALT IRANIAN PROCUREMENT IN CHINA REF: STATE 083144 Classified By: Political Minister Counselor Aubrey Carlson. Reasons 1. 4 (b) and (d). 1. (S) PolOff delivered reftel demarche and non-paper regarding prevention of Iranian procurement in China of specific controlled commodities needed to expand uranium enrichment activities to MFA Arms Control and Disarmament Department Nuclear Division Director Zhang Shen. PolOff stressed the proactive and multilateral nature of this effort, and noted ongoing U.S. domestic efforts to prevent Iranian procurement of sensitive items. 2. (S) Zhang praised past "fruitful cooperation" between the United States and China in nonproliferation efforts, and said China will continue to "implement strongly the relevant UN Security Council Resolutions" regarding Iran. Zhang cited past efforts to educate local governments and companies about restrictions on selling sensitive commodities to Iran, but admitted that "some companies are still not aware" of these restrictions. 3. (S) When asked about possible approaches by China to the specific Chines companies cited as potential sources for Iraian procurement of high-strength aluminum alloys, vacuum pumps and carbon fiber, Zhang said he will share the information provided with other relevant ministries in order to "seek assistance" in China's "further efforts to enforce the relevant Security Council resolutions" and "educate" Chinese companies. PolOff encouraged Zhang to share any information obtained about Iranian procurement efforts in China with the United States, NSG partners and the IAEA. RANDT