(S) PRC REQUESTED TO STOP LIMMT EXPORT CONTROL

S E C R E T BEIJING 000481 DEPT FOR ISN AND EAP E.O. 12958: DECL: 02/12/2028 TAGS: PARM MTCRE PREL ETTC CH IR SUBJECT: (S) PRC REQUESTED TO STOP LIMMT EXPORT CONTROL VIOLATIONS, NOTIFIED THAT SANCTIONS POSSIBLE REF: STATE 14066 AND PREVIOUS Classified By: Acting Deputy Chief of Mission Aubrey Carlson. Reasons 1.4 (b),(c) and (d). LIMMT Proliferation Could Trigger Sanctions -------------- ¶1. (S) A/DCM met with MFA Arms Control Department Director General Chen Jingye on February 12 to convey reftel message regarding continued export control violations of the PRC entity LIMMT. Reviewing past violations and citing evidence of continued recent shipments of MTCR-controlled graphite and tungsten to UNSCR-designated entities in Iran, A/DCM said that LIMMT's proliferant activities could result in the imposition of sanctions under U.S. law. A/DCM urged the PRC to share the results of its investigation into LIMMT's export activity as well as the specific enforcement measures the PRC has imposedon LIMMT and its head, Karl Lee. Information provided by February 29 could be considered as part of our sanctions review. ¶2. (S) DG Chen emphasized that investigations of such sensitive and complex issues take time and that he would let the Embassy know when the PRC investigation "finds a result." DG Chen stated tat any Chinese entity that engages in activites in violation of PRC laws or regulations will e "dealt with accordingly." Great Wall Sanctions "Unhelpful" -------------- ¶3. (S) DG Chen, citing the need for continued mutual cooperation and saying it "should not be one-way," called U.S. sanctions on China Great Wall Industries Corporation (CGWIC) "counterproductive." A/DCM said he would relay the message to Washington and noted that the U.S. Government and CGWIC are planning discussions on proliferation-related export controls. PICCUTA NNNN End Cable Text