[Federal Register Volume 68, Number 128 (Thursday, July 3, 2003)]
[Notices]
[Pages 40011-40012]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-16938]


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DEPARTMENT OF STATE

Bureau of Nonproliferation

[Public Notice 4392]


Imposition of Nonproliferation Measures Against Chinese and North 
Korean Entities, Including Ban on U.S. Government Procurement

AGENCY: Department of State.

ACTION: Notice.

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SUMMARY: A determination has been made that five Chinese and one North 
Korean entities have engaged in activities that require the imposition 
of measures pursuant to Section 3 of the Iran Nonproliferation Act of 
2000, which provides for penalties on entities for the transfer to Iran 
of equipment and technology controlled under multilateral export 
control lists (Missile Technology Control Regime, Australia Group, 
Nuclear Suppliers Group, Wassenaar Arrangement) or otherwise having the 
potential to make a material contribution to weapons of mass 
destruction (WMD) or missiles.

EFFECTIVE DATE: June 26, 2003.

FOR FURTHER INFORMATION CONTACT: On general issues: Vann H. Van Diepen, 
Office of Chemical, Biological and Missile Nonproliferation, Bureau of 
Nonproliferation, Department of State, (202-647-1142). On U.S. 
Government procurement ban issues: Gladys Gines, Office of the 
Procurement Executive, Department of State, (703-516-1691).

SUPPLEMENTARY INFORMATION: Pursuant to sections 2 and 3 of the Iran 
Nonproliferation Act of 2000 (Pub. L. 106-178), the U.S. Government 
determined on June 23, 2003, that the measures authorized in section 3 
of the Act shall apply to the following foreign entities identified in 
the report submitted pursuant to section 2(a) of the Act:
    Taian Foreign Trade General Corporation (China) and any successor, 
sub-unit, or subsidiary thereof;
    Zibo Chemical Equipment Plant, aka Chemet Global Ltd., aka South 
Industries Science and Technology Trading Company, Ltd. (China) and any 
successor, sub-unit, or subsidiary thereof;
    Liyang Yunlong Chemical Equipment Group Company (China) and any 
successor, sub-unit, or subsidiary thereof;
    China North Industries Corporation (NORINCO) (China) and any 
successor, sub-unit, or subsidiary thereof;
    China Precision Machinery Import/Export Corporation (CPMIEC) 
(China) and any successor, sub-unit, or subsidiary thereof;
    Changgwang Sinyong Corporation (North Korea) and any successor, 
sub-unit, or subsidiary thereof.
    Accordingly, pursuant to the provisions of the Act, the following 
measures are imposed on these entities:
    1. No department or agency of the United States Government may 
procure, or enter into any contract for the procurement of, any goods, 
technology, or services from these foreign persons;
    2. No department or agency of the United States Government may 
provide any assistance to the foreign persons, and these persons shall 
not be eligible to participate in any assistance program of the United 
States Government;
    3. No United States Government sales to the foreign persons of any 
item on the United States Munitions List (as in effect on August 8, 
1995) are permitted, and all sales to these persons of any defense 
articles, defense services, or design and construction services under 
the Arms Export Control Act are terminated; and,
    4. No new individual licenses shall be granted for the transfer to 
these foreign persons of items the export of which is

[[Page 40012]]

controlled under the Export Administration Act of 1979 or the Export 
Administration Regulations, and any existing such licenses are 
suspended.
    These measures shall be implemented by the responsible departments 
and agencies of the United States Government and will remain in place 
for two years, except to the extent that the Secretary of State or 
Deputy Secretary of State may subsequently determine otherwise. A new 
determination will be made in the event that circumstances change in 
such a manner as to warrant a change in the duration of sanctions.
    Section 2(a) of the Iran Nonproliferation Act of 2000 requires 
twice-yearly reports to Congress identifying foreign entities (not 
governments) with respect to whom there is credible information that 
they have transferred to Iran: (a) Items on multilateral export control 
lists; or (b) items not on any control list, but which nevertheless 
would be, if they were U.S. goods, services, or technology, prohibited 
for export to Iran because of their potential to make a material 
contribution to the development of missiles or WMD. In previous 
reports, we reported pursuant to Section 2(a) transfers of items not on 
a multilateral list if they were controlled on the Commerce Control 
List for WMD or missile reasons, on the Nuclear Regulatory Commission 
or Department of Energy nuclear control lists, or on the United States 
Munitions List.
    We now are adding to the items previously reported, both (1) items 
of the same kinds as those on multilateral lists, but falling below the 
control list parameters (e.g., aluminum powder above the Missile 
Technology Control Regime's 0-200 micron size limit), when it is 
determined they have the potential to make a material contribution to 
weapons of mass destruction, or cruise or ballistic missile systems; 
and (2) other items with the potential of making such a material 
contribution, when added through case-by-case decisions.

    Dated: June 26, 2003.
Andrew K. Semmel,
Acting Assistant Secretary of State for Nonproliferation, Department of 
State.
[FR Doc. 03-16938 Filed 7-2-03; 8:45 am]
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