Beijing demands US lift sanctions on six firms

Beijing yesterday demanded that Washington lift sanctions imposed against six Chinese companies accused of supplying military technology to Iran.

It told the United States that the sanctions are "not beneficial to Sino-US co-operation in the non-proliferation field."

"We are strongly dissatisfied with, and firmly oppose, the sanctions," Foreign Ministry spokesman Qin Gang said at a regular news conference in Beijing yesterday.

Washington announced the measures on Tuesday, accusing the Chinese firms of violating the 2000 Iran Non-proliferation Act. The US legislation aims to block international support for what it suspects are Iranian nuclear and chemical weapon programmes.

Under the sanctions, the US will not provide export licences to the Chinese companies for doing business in the US, and will ban US Government purchases from them. The sanctions took effect last Friday.

The Chinese firms are: China National Aero-technology Import Export Corp (CATIC), China North Industries Corp (NORINCO), Zibo Chemet Equipment Co, Hongdu Aviation Industry Group, Ounion International Economic and Technical Cooperative Ltd, and Limmt Metallurgy and Minerals Co.

Qin said China has a consistently responsible attitude towards preventing weapons proliferation and has taken a series of effective measures to strengthen export management and control.

"We urge the US Government to rectify its wrong action," Qin said.

The Chinese companies also voiced their opposition to the US sanctions yesterday.

CATIC, a Beijing-based State-owned firm, said the US move is "unfair" to the company, whose core business is aviation products and technology imports and exports.

"Our business is in rigorous compliance with national as well as the international laws and treaties," said company spokesman Huang Bin.

"The sanctions are based on something groundless and thus irrational. They are politically motivated," he said.

NORINCO, a conventional weapon and military equipment supplier authorized by the Chinese Government, said in a statement that it strongly demands the US Government lift the sanctions and let it resume economic partnership with its US counterparts.

Since May 23, 2003, the US Government has imposed sanctions several times against the company, which are "totally baseless and extremely false," the statement said.

Source: China Daily