Exporting Weapons Draws US Sanctions

May 20, 2002
By Bill Gertz, THE WASHINGTON TIMES

    Chinese and European arms exporters were hit with U.S. economic sanctions for selling cruise missile and chemical weapons goods to Iran, The Washington Times has learned.
    The sanctions were imposed on 14 companies and persons for violating the 2000 Iran Nonproliferation Act, which was passed into law in an effort to discourage exports that could boost Tehran's nuclear, chemical and biological weapons and missile programs, according to U.S. intelligence officials.
    According to the officials, who spoke on the condition of anonymity, the Chinese sanctions were imposed for sales of cruise missile components to Iran.
    Iran is developing a new ground-launched anti-ship cruise missile based on a modified Chinese Silkworm missile, U.S. officials said. The Iranian missile would be powered by a turbojet engine and is expected to have a range of up to 310 miles.
    The transfers also involved covert sales of glass-lined equipment — special anti-corrosive goods that can be used to make chemical weapons, the officials said.
    Iran has large stockpiles of chemical weapons, including blood, blister and choking agents and is known to be working on deadly nerve gas.
    On Thursday, the State Department's bureau of nonproliferation listed nine companies and three persons who were sanctioned.
    The State Department did not identify publicly all the companies that were sanctioned.
    According to U.S. officials, the China North Industries Corp., also known as Norinco, also was hit with sanctions. The identity of the 14th sanctioned entity could not be learned, but one official said it was a Russian company.
    The sanctions are largely symbolic because the companies involved in the missile and chemical weapons trade are unlikely to conclude contracts with U.S. government.

For rest of article, see:
http://www.washingtontimes.com/national/20020520-3664095.htm