China's Missile Exports and Assistance to the Middle East

China's Missile Exports and Assistance to the Middle East

China's missile trade with various countries in the Middle East has been a subject of substantial concern in Western nonproliferation circles. China has reportedly transferred missiles, missile technology, materials, and production assistance to a number of Middle Eastern countries, including Iraq, Turkey, Libya, Egypt, Saudi Arabia, and the United Arab Emirates. In some cases, Chinese trade activities have been masked using cover names for businesses. The Shandong Arts and Crafts Co. reportedly sold Iraq test equipment for inertial guidance systems. In another case where trade activities were obfuscated, a North Korean company based in China allegedly sold Egypt specialty steel used in the making of missiles. However, the most serious sources of concern in this region, from a nonproliferation standpoint, are Chinese missile trade and cooperation with Iran and Syria. Allegations of Chinese M-9 ballistic missile transfers to Syria in the early 1990s contributed to the US decision to impose Missile Technology Control Regime (MTCR)-related sanctions on China in 1991. China's transfers of anti-ship cruise missiles and ballistic missiles to Iran, along with related components, technology, and materials, has been a source of continuing friction. Of particular concern, from a nonproliferation perspective, are Chinese transfers of production technology and expertise that contribute to indigenous missile programs. Transfers of production technologies could contribute to Iran's production of medium and long-range missiles which are banned by the MTCR. [Bill Gertz, "Beijing Using Front Companies to Grab U.S. Arms Technology," The Washington Times, 26 January 2001.]

China has generally denied an extensive missile technology trade with the Middle East, although it has on several occasions conceded that certain transfers, previously denied, had taken place. As early as 1989, China denied that it sold missiles to the Middle East despite US information to the contrary. For example, on 12 December 1989, a Chinese Foreign Ministry spokesman stated, "Except for Saudi Arabia, where a small number of mid-range missiles were sold, China has never sold, nor is planning to sell, missiles to any Middle East country." [Gary Milhollin and Gerard White, "Bombs From Beijing: A Report on China's Nuclear and Missile Exports," Wisconsin Project on Nuclear Arms Control, May 1991, p. 187.]

Throughout the 1990s, China insisted that its missile sales to the Middle East are modest and responsible. Since 1991, China has pledged to abide by MTCR guidelines and parameters in all its missile technology exports, although that commitment has been called into question on several occasions. As of 1999, the central issue of concern regarding missile exports to the Middle East are Chinese sales of missile technologies to Iran which could be used for non-MTCR compliant systems.

For additional information on open-source reports of Chinese exports and assistance, please consult the CNS Missile Abstracts database.

CHINA'S MISSILE EXPORTS AND ASSISTANCE TO THE MIDDLE EAST

COUNTRY	REPORTED AREA OF MISSILE ASSISTANCE FROM CHINA
EGYPT	Cruise missiles: --72 HY-2 anti-ship missiles (1990s)
IRAN	Anti-missile systems: --Modified SA-10 and SA-12 SAMs Anti-tank missiles: --HJ-73 Ballistic missiles: --M-7/8610 (CSS-8) --M-9/DF-15 (China cancelled the sale under US pressure) Cruise missiles (1987 sale of cruise missiles to Iran triggered the imposition of US sanctions against China): --YJ-2/C-802 (sales halted in October 1997) --YJ-1/C-801 (sales halted in October 1997) --HY-1 --100 HY-2 (1980s) --HY-4/C-201 --C-601 Assistance to Iran's indigenous missile programs: --Possible assistance to the Shahab-3 ballistic missile --Karus (modified C-802) cruise missile --FL-10 (modified FL-2 or FL-7) cruise missile --Piroozi-75 (Victory-75) (modified HY-2) cruise missile --Oghab/Ugab (Eagle) ballistic missile --Iran-130 ballistic missile --Tondar-68 (modified M-11) ballistic missile --Assistance in converting SAMs to surface-to-surface missiles --Production infrastructure for HY-2, C-801 and C-802. Missile fuel: --Rocket propellant ingredients --Ammonium perchlorate Missile guidance and control technology: --Guidance kits (possibly hundreds) (June 1995) --Gyroscopes (1992, August 1996) --Accelerometers (August 1996) --Test equipment for ballistic missiles (August 1996) Missile production/testing equipment/facilities: --Facility at Semnan [Oghab; Nazeat (Iran-130)] --Facility near Shahroud --Supply of production line near Ishfahan in northeast Iran (Chinese SRBMs) (1991) --Ballistic missile production and test facility east of Tehran --HY-2 cruise missile facility --Computerized machine tools for ballistic missile production (June 1995) --M-9 missile production tooling --Telemetry equipment (for conducting missile flight tests) Surface-to-air missiles (SAMs): --HQ-2J --NN-5 shoulder-fired --HN-5
IRAQ	Cruise missiles (1980s-1990s): --YJ-1/C-801 --HY-2 --100+ C-601 (Nisan-28) (1988-) Missile engine testing facility Missile fuel: --Ammonium percholate (1994) (rocket fuel precursor chemical) (illegally exported by Storm Kheem, along with other parties, from China to Iraq via Amman, Jordan: chemical was deliberately mislabeled as a non-explosive water purification chemical) --Lithium hydride: 7 tons in 1989-1990; exported by the China Wanbao Engineering Company (CWEC) for $1.5 million.
LIBYA	Missile fuel: --Lithium hydride
SAUDI ARABIA	Ballistic missiles: --36 DF-3 (CSS-2), deal reached in 1988 and included construction of launch complex, training, and post-sale systems maintenance. --In 1997, Saudi Arabia has approached China for possible replacements of the aging DF-3 missiles; China did not provide any replacements.
SYRIA	Ballistic missiles: --DF-15/M-9 missiles (Cancelled under US pressure in 1991; Syria possibly received test missile.) Missile fuel: --30 tons of chemicals for missile fuel (ammonium percholate) (1992) Missile guidance equipment: --For M-11 (to the Syrian Scientific Studies and Research Center) (1996) Missile production facilities: --Assisted in construction (along with Iran and North Korea) of underground facilities near Aleppo and Hama (for production of DF-15/M-9 and Scud-C)
TURKEY	Short- and long-range missile technology (1995) Joint production of WS-1 artillery rocket (1997-)
UNITED ARAB EMIRATES (UAE)	Ballistic missile launchers: --Scud-B missile launchers Cruise missiles: --HY-2

[CHINA'S MISSILE EXPORTS]

[CHINA AND THE MISSILE TECHNOLOGY CONTROL REGIME (MTCR)]

[CHINA'S MISSILE EXPORTS AND ASSISTANCE TO IRAN]

[China's Missile Exports and Assistance to Libya]

[CHINA'S MISSILE EXPORTS AND ASSISTANCE TO SYRIA]

[CHINA'S MISSILE EXPORTS AND ASSISTANCE TO SAUDI ARABIA]

[CHINA AND THE ARMS CONTROL IN THE MIDDLE EAST (ACME)/PERMANENT-5 TALKS]

[CHINA'S NUCLEAR EXPORTS AND ASSISTANCE TO THE MIDDLE EAST]

This material is produced independently for NTI by the James Martin Center for Nonproliferation Studies at the Monterey Institute of International Studies and does not necessarily reflect the opinions of and has not been independently verified by NTI or its directors, officers, employees, agents. Copyright © 2007 by MIIS.