TAIWAN: RESULTS OF BLUE LANTERN PRE-LICENSE 050170334

UNCLAS AIT TAIPEI 000724 SIPDIS STATE FOR EAP/TC, PM/DTCC AND ISN/MTR PM/DTCC FOR BLUE LANTERN COORDINATOR TIM MAZZARELLI E.O. 12958: N/A TAGS: ETTC KOMC TW SUBJECT: TAIWAN: RESULTS OF BLUE LANTERN PRE-LICENSE 050170334 REF: STATE 53300 ¶1. (U) SUMMARY. Per reftel request, AIT/T contacted the end user, the Chung Shan Institute of Science and Technology (CSIST),and visited the consignee, U & U International Inc. We confirmed the order with both end-user and consignee, and assess the consignee to be bona fide. END SUMMARY. CSIST -------------- ¶2. (U) Mr. Liao Wei-yao of the CSIST Procurement Office confirmed the order with U & U International Inc. for one nano-sextant tracking pedestal with servo controller. CSIST will assemble the equipment, add a television camera, and install it at the Chio-Pen Test Range for use in optical tracking. U & U International Inc. -------------- ¶3. (U) Established in 1976, U & U is a small company with 12 employees. The business is run by the founder, Mr. Cheng Jung, and his son, Mr. Cheng Ding. ¶4. (U) Cheng Ding showed AIT representative the procurement document between the company and CSIST. The document was signed on March 26, ¶2009. ¶5. (U) According to Cheng Ding, after the reftel equipment is imported, CSIST will install two television cameras on the equipment for optical tracking. ¶6. (U) Cheng Ding said he understands the restrictions on USML items, and maintained the company has never broken U.S. or Taiwan laws. ¶7. (U) According to Cheng Ding, U&U mainly serves as an importer or broker for optical instruments. About half of its customers are colleges and research institutes, and the other half semiconductor companies. All clients are in Taiwan. ¶8. (U) U&U will clear reftel equipment through customs, and store it in its offices until CSIST schedules a delivery date. U&U's offices are not open to the public. The offices are locked after business hours, and there are guards in the commercial office building where U & U is located. YOUNG