MACEDONIA: MTAG: MIKROSAM EXPORTS OF FILAMENT

S E C R E T SKOPJE 000616 SIPDIS SIPDIS STATE FOR EUR/SCE (PFEUFFER),EUR/PRA, AND ISN/MTR (HERMANN) E.O. 12958: DECL: 07/26/2017 TAGS: ETTC PARM PREL CH MK SUBJECT: MACEDONIA: MTAG: MIKROSAM EXPORTS OF FILAMENT WINDING MACHINES REF: A. STATE 101341 ¶B. SKOPJE 521 ¶C. STATE 87419 ¶D. SKOPJE 389 ¶E. STATE 57462 Classified By: P/E CHIEF SHUBLER, REASONS 1.4(B) & (D). ¶1. (U) This message contains an action request in para 4. ¶2. (S) Pol-Econ Chief delivered reftel points on Mikrosam's export of filament winding machines to MinEcon State Counselor for Trade Krum Efremov on July 25. Efremov was pleased to hear that the USG had no objections to the GOM issuing licenses for Mikrosam to export MTCR-controlled filament winding machines to the Beijing China Tank Industry Co., Ltd.; Shanghai Tianhai Dekun Composite Cylinder Co., Ltd.; and to Trakidis Vasilios, S.A. He agreed that the GOM would ensure that the licenses issued included language specifying that "no resale, transfer, or re-export of the items listed on this license is authorized without prior authorization by the government of Macedonia." He also agreed that the GOM would consult with the USG prior to providing any authorization to resell, re-export, or transfer the items from China and/or Greece, back to Macedonia or to a third country. ¶3. (S) Efremov said he understood our concerns regarding the possible sale by Mikrosam of an MTCR-controlled filament winding machine to SAAE Shanghai Composite Hi-Tech Development Co., Ltd., given that entity's affiliation with China's space launch program. However, he said, he had received end user certifications from the Chinese government regarding all three Chinese end users; under Macedonia's new Export Control Law he was now obliged to ask for expert opinions from the Foreign Ministry, Ministry of Defense, and Ministry of Interior regarding this particular export request before recommending to his minister whether or not to disapprove it. He added that he might need to ask us for more information on the links between SAAE Shanghai and the Chinese space program, including information he could share with his colleagues in other ministries that would explain why the export would violate the MTCR regime. ¶4. (SBU) ACTION REQUEST: Post would appreciate any additional information Department can provide, and which we could share with GOM officials, to address Efremov's query regarding the SAAE Shanghai connection to the Chinese space program, and further details on how a sale to that entity would violate MTCR guidelines. END ACTION REQUEST. MILOVANOVIC