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United States Lifts Economic Sanctions Against Libya From Wednesday, September 22, 2004 issue.

United States Lifts Economic Sanctions Against Libya

By Mike Nartker
Global Security Newswire

WASHINGTON — Nearly 20 years after they were imposed, U.S. President George W. Bush lifted economic sanctions from Libya on Monday to reward Tripoli for the progress made in disclosing and dismantling its WMD programs (see GSN, Sept. 17).

Bush signed an executive order ending the national emergency declared in 1986, eliminating the requirement for U.S. companies to obtain Treasury Department licenses before engaging in trade with Libya. The move also allows for direct air travel between the United States and Libya and releases more than $1 billion worth of frozen assets.

The move is expected to be met by a payment of more than $1 billion from Libya to the families of the victims of the 1988 bombing of Pan Am flight 103 over Lockerbie, Scotland, White House Press Secretary Scott McClellan said in a statement.

Monday’s action was the latest in a set of rewards the United States has offered Libya since it agreed late last year to dismantle its WMD programs. The Bush administration in April began lifting economic sanctions against Libya, and in June decided to resume direct diplomatic links with Tripoli.

In his statement Monday, McClellan outlined the steps Libya has taken to fulfill its pledges to eliminate its WMD and long-range missile programs, including:

ú         aiding the removal of “all significant elements” of its declared nuclear weapons program, shipping hundreds of tons of material and equipment to the United States;

ú         signing and implementing the Additional Protocol to its International Atomic Energy Agency safeguards agreement, which gives the agency authority to conduct more intrusive monitoring of Libya’s nuclear efforts;

ú         beginning the conversion of its Rabta chemical weapons facility into a pharmaceutical plant;

ú         destroying its chemical munitions stockpile and preparing chemical weapons agents for destruction under international supervision;

ú         eliminating its Scud C ballistic missile arsenal; and

ú         agreeing to eliminate its Scud B ballistic missile arsenal. There had been previous suggestions that Libya might have been allowed to convert its Scud B missiles to carry smaller payloads for shorter ranges (see GSN, April 12).

According to the State Department, Libya has also agreed to convert a reactor at Tajura to use low enriched uranium as fuel.

“Concerns over weapons of mass destruction no longer pose a barrier to the normalization of U.S.-Libyan relations,” McClellan said.

The White House’s move to lift economic sanctions against Libya as “overdue,” former U.S. Deputy Assistant Secretary of State for Near Eastern Affairs David Mack. With the end in 2003 to multilateral sanctions imposed by the United Nations against Libya, unilateral U.S. sanctions were much less effective in modifying Tripoli’s behavior, said Mack, vice president of the Middle East Institute here.

Mack also said today that Libya could serve as an example to other countries of the “concrete benefits” of “coming in out of the cold.”

In addition, the European Union has decided to end its arms embargo against Libya and to implement the U.N. decision to lift economic sanctions, Reuters reported today. 

Even though the White House has decided to lift economic sanctions, Libya will remain on the U.S. State Department’s list of terrorism-sponsoring nations, which means that restrictions on foreign assistance, arms exports and dual-use exports will stay in place. Before Libya can be removed from the list, Congress must receive notification 45 days in advance of action that Tripoli has provided no support for terrorist organizations within the past six months and that it has announced a policy of continued nonsupport for terrorism, said State Department spokeswoman Susan Pittman.

Pittman yesterday refused to comment on what progress Libya has made on being taken off the list of terrorism-sponsoring nations, saying only that some outstanding issues need to be resolved.

“They know what they need to do,” she said.

One source of concern, according to McClellan, is allegations of Libyan involvement in a plot to assassinate Saudi Crown Prince Abdullah — claims that Tripoli has denied (see GSN, July 30). 

“We welcome Libya’s formal renunciation of terrorism and Libyan support in the global war against terrorism, but we must establish confidence that Libya has made a strategic decision that is being carried out in practice by all Libyan agencies and officials,” McClellan said.

Libya is expected to release an additional payment of $2 million to the families of each victim of the Lockerbie bombing once it is removed from the list of terrorism-sponsoring countries, reports indicate.

Meanwhile, Agence France-Presse reported yesterday that U.S. Energy Secretary Spencer Abraham is considering an invitation to visit Libya.

“I was invited to make a trip to Libya at some point in the future and we will take that under serious consideration,” Abraham said during a news conference in Istanbul.

He added, though, that no trip would occur until after the U.S. November elections.


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