On July 9, 2002, pursuant to the Iran-Iraq Arms Non-Proliferation Act of 1992 ("Iran-Iraq Act") and the Chemical and Biological Weapons Control and Warfare Elimination Act of 1991 ("Chemical Biological Weapons Sanctions Law"), the U.S. Government imposed sanctions on nine Chinese entities and one Indian individual for knowingly and materially contributing, through the transfer of goods or technology, to the efforts of Iran or Iraq to acquire chemical weapons or destabilizing numbers and types of advanced conventional weapons.
Sanctions have been imposed on the following entities under both the Iran-Iraq Act and the Chemical Biological Weapons Sanctions Law:
Jiangsu Yongli Chemicals and Technology Import and Export Corporation (Chinese company)
Q.C. Chen (Chinese citizen)
China Machinery and Equipment Import Export Corporation (Chinese company)
China National Machinery and Equipment Import Export Corporation (Chinese company)
CMEC Machinery and Electric Equipment Import and Export Company Ltd. Chinese company)
CMEC Machinery and Electrical Import Export Company, Ltd. (Chinese company)
China Machinery and Electric Equipment Import and Export Company (Chinese company)
Wha Cheong Tai Company Ltd. (Chinese company)
Sanctions have been imposed on two additional entities, under the Iran-Iraq Act only:
China Shipbuilding Trading Company (Chinese company)
Hans Raj Shiv (previously residing in India, and last believed to be in the Middle East)
The sanctions were imposed on specific named persons and entities, and do not extend or apply to the Chinese or Indian Governments. Nonproliferation is a key issue in our bilateral relationship with the People’s Republic of China, and we will continue to seek Chinese cooperation in resolving areas of concern.
Under the Iran-Iraq Act, for a period of two years, the U.S. Government shall not procure, or enter into any contract for the procurement of, any goods, services or technology from the sanctioned entities or persons, nor issue any license for any export by or to the sanctioned persons or entities.
The Chemical Biological Weapons Sanctions Law prohibits the U.S. Government from procuring any goods or services from the sanctioned entities, and prohibits the importation into the United States of any products produced by these entities. The sanctions will remain in place for a period of at least one year or until further notice.
This is the first time sanctions have been imposed under the Iran-Iraq Act since it was passed by Congress in 1992. Since 1994, under the Chemical Biological Weapons Sanctions Law, the U.S. Government has imposed sanctions on a number of foreign entities in several countries. The names of all entities that have been sanctioned under this law were publicized in the Federal Register at the time sanctions were imposed. Notice of the July 9 determination to impose sanctions against the entities will be published later this week in the Federal Register.
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Press Statement