PSV: CHUNG SHAN INSTITUTE OF SCIENCE AND TECHNOLOGY

UNCLAS AIT TAIPEI 001342 USDOC FOR 532/OEA/L.HINES/G.CARDAK USDOC FOR 3121/USFCS/OIO/EAP/ADESARRAN USDOC FOR 3132/USFCS/OIO/EAP/REGIONAL DIRECTOR USDOC FOR 4430/ITA/MAC/WGOLIKE/LDICKERSON STATE FOR EB/ESP HONG KONG FOR ICE ATTACHE SIPDIS E.O. 12958: N/A TAGS: BEXP ETRD ETTC TW SUBJECT: PSV: CHUNG SHAN INSTITUTE OF SCIENCE AND TECHNOLOGY REF: USDOC 02397 ¶1. COMMERCIAL OFFICER ERIC CROWLEY, FN FRANCES LI, AND EXBS ADVISOR MI-YONG KIM OF THE ECONOMIC SECTION VISITED THE CHUNG SHAN INSTITUTE OF SCIENCE AND TECHNOLOGY (CSIST) AT THE ADDRESS GIVEN AND MET WITH BOR-RONG SONG, DIRECTOR OF THE PROCUREMENT AND CONSTRUCTION SERVICE DIVISION AND WITH CHAN-ZHENG YANG, PROJECT DIRECTOR, TO CONDUCT A POST-SHIPMENT VERIFICATION ON AUGUST 15, 2008. ¶2. THE CSIST, ESTABLISHED IN 1968, IS THE PRIMARY RESEARCH AND DEVELOPMENT INSTITUTE OF THE MINISTRY OF NATIONAL DEFENSE (MND). THE CSIST IS ADMINISTERED UNDER THE ARMAMENTS BUREAU OF THE MND AND IS DIVIDED INTO SIX RESEARCH DIVISIONS AND FOUR CENTERS. ¶3. BECAUSE CSIST HANDLES MUCH OF TAIWAN'S SENSITIVE MILITARY RESEARCH, GAINING ACCESS TO THE SITE HAS BEEN CUMBERSOME AND TOOK ABOUT THREE MONTHS TO COMPLETE THEIR REQUIRED SECURITY CHECK. ONCE CS STAFF WERE GRANTED SECURITY CLEARANCE, CSIST WAS OPEN AND COOPERATIVE. CS TAIPEI EXPECTS A SMOOTHER AND FASTER PROCESS IN THE FUTURE. ¶4. CSIST SAID THAT THEY WERE NOTIFIED BY THE US FIRM'S LOCAL IMPORTER THAT THE PRODUCT IN QUESTION WAS A CONTROLLED ITEM AND THAT THEY ARE FAMILIAR WITH THE RESTRICTIONS RELATED TO THE HANDLING OF SUCH CONTROLLED TECHNOLOGY. CSIST SAID THAT THEY ARE USING CONTROLLED ITEM, A 2 MHZ TO 5 MHZ SPECTRUM ANALYZER, FOR RADIO FREQUENCY MEASUREMENT AND ANALYSIS. CS TAIWAN STAFF PHYSICALLY INSPECTED THE CONTROLLED ITEM. HOWEVER, WHEN COMPARING THE MODEL AND SERIAL NUMBERS AND ECCN NUMBER BETWEEN THE REF CABLE AND SUPPORTING DOCUMENTS, CS TAIWAN FOUND THE FOLLOWING DISCREPANCY: REF CABLE -- MODEL NUMBERS: MS2036A2640 SUPPORTING DOCUMENTS -- MODEL NUMBERS: MS2036A ¶5. BASED ON CS TAIWAN'S SITE VISIT, CSIST APPEARS TO BE A BONA FIDE AND REPUTABLE ORGANIZATION IN TAIWAN. CS TAIWAN'S VISIT DISCLOSED NO ADVERSE INFORMATION ABOUT THE ORGANIZATION OR ITS SUITABILITY TO RECEIVE SENSITIVE U.S. PRODUCTS. YOUNG