U.S. RESPONSE TO BULGARIA REGARDING THE TRANSFER

S E C R E T STATE 089445 SIPDIS E.O. 12958: DECL: 08/19/2018 TAGS: PARM PREL MASS ETTC BU SUBJECT: U.S. RESPONSE TO BULGARIA REGARDING THE TRANSFER OF MANPADS COMPONENTS TO EGYPT REF: SOFIA 00517 Classified By: Classified by EUR/PRA Acting Director Kathleen Morenski for reasons 1.4 (B) AND (D). ¶1. (U) This is an action request. Please see action request at paragraph 4. -------------- SUMMARY -------------- ¶2. (S) The Government of Bulgaria (GOB) has agreed to consult with the U.S. prior to selling man-portable air defense systems (MANPADS) and their components (with the exception of such transactions to NATO or EU member states). Bulgaria recently requested U.S. views on a follow-up transfer of MANPADS components to Egypt (Reftel). The GOB also informed the U.S. that Bulgarian companies possessing stores of spare MANPADS parts were interested in selling them to the U.S. or destroying the items. -------------- - USG Views on MANPADS-related Transfer to Egypt -------------- - ¶3. (S) Washington has reviewed the notification from Bulgaria of the transfer of 520 sets of MANPADS parts to the Government of Egypt. According to the end-user certificate issued by the Egyptian Ministry of Defense, the items purchased "are intended exclusively for use in the Armed Forces of the Arab Republic of Egypt as spare parts of the present equipment on the territory of the Arab Republic of Egypt and will not be re-exported, sold, rented or transferred to any other party without the written consent of the exporter and the State Service of Export Control of Bulgaria." In light of the terms of the end-use certificate presented by Egypt, and since there is little evidence to indicate Egypt is planning to sell MANPADS or countries are approaching Egypt to purchase MANPADS, Washington does not object to Bulgaria providing the components listed above to Egypt. -------------- OBJECTIVES -------------- ¶4. (S/REL BULGARIA) Post is requested to approach appropriate GOB officials and provide the U.S. Government response to the transfer of MANPADS components to Egypt. Response should indicate that we do not object to the proposed transaction. Post should also indicate our desire to negotiate the acquisition and/or destruction of remaining MANPADS components in Bulgaria. Post is requested to pursue the following objectives: -- Inform GOB officials that the USG does not object the transfer of the 520 sets of MANPADS parts to the Government of Egypt. -- Indicate this transaction appears consistent with the needs of the Ministry of Defense of Egypt. -- Note that the end-user certificate issued by the Government of Egypt was an important factor in assuring the legitimacy of this transfer. -- Indicate that the United States is prepared to discuss the acquisition and/or destruction of the remaining stores of spare MANPADS parts in the possession of Bulgarian companies. ¶5. (U) Post's assistance is greatly appreciated. Department points of contact are Meg Mitchell, (202) 647-2433, mitchellmt2@state.sgov.gov and Lou Ganem, (202) 647-2329, ganemlc@state.sgov.gov. RICE