(S) GERMANY NOTIFIED ABOUT GERMAN FIRM POSSIBLY

S E C R E T BERLIN 001137

SIPDIS

STATE FOR ISN/MTR, EUR/PRA, AND EUR/AGS
SIPDIS

E.O. 12958: DECL: 06/06/2017
TAGS: PARM PREL ETTC MTCRE KSCA GM IR
SUBJECT: (S) GERMANY NOTIFIED ABOUT GERMAN FIRM POSSIBLY
TRYING TO PROVIDE TEST CHAMBER TO IRAN'S MISSILE PROGRAM

REF: A. STATE 75839

B. 06 BERLIN 1550 AND PREVIOUS

Classified By: Global Affairs Counselor Donald R. Shemanski, for reason
s 1.4 (b) and (d).


1. (S) Global Affairs officer passed ref A demarche to German
MFA Export Control Division Desk Officer Volker Herzog June

4. Herzog said it is worrisome that German firm ICS
Schneider Messtechnik is seeking to circumvent German export
controls to deliver environmental test chambers to Iran's
Rakin and Pooya Commercial and Engineering, especially since
ICS Schneider representatives in 2006 told authorities from
the German Federal Economic and Export Licensing Agency
(BAFA) that they would apply for licenses to export dual-use
items to Iran.


2. (S) Herzog said he will pass the information from ref A to
the German inter-agency export control group for
investigation. As part of the investigation, Herzog said,
BAFA will check to see whether ICS Schneider applied to
export environmental test chambers to Iranian entities or to
the Croatian firm Belmet 97 or the Romanian firm Eurocontrol
S.R.L. Herzog noted that because German exporters do not
ordinarily need to apply for licenses to export dual-use
items to entities in EU member states, it might be difficult
for German authorities to trace ICS Schneider's planned
diversion of environmental test chambers to Iran.
Nevertheless, he expects German Customs authorities to be
alerted to check shipments from ICS Schneider to entities in
Iran or the other countries mentioned in ref A demarche. ICS
Schneider would be guilty of violating German law if it
knowingly shipped such dual-use items to Iran -- especially
with a falsified end use declaration -- without applying for
an export license first, Herzog said. He said he will convey
the results of the German investigation to us.


3. (U) Post will report any subsequent German response septel.
TIMKEN JR