[Public Papers of the Presidents of the United States: George H. W. Bush (1991, Book I)]
[April 30, 1991]
[Page 446]
[From the U.S. Government Publishing Office www.gpo.gov]



Statement by Press Secretary Fitzwater on Restrictions on U.S. Satellite 
Component Exports to China
April 30, 1991

    The President has decided not to approve a request to license the 
export of U.S. satellite components to China for a Chinese domestic 
communications satellite, the Dong Fang Hong 3 (DFH-3). The President 
made this decision because certain activities of Chinese companies raise 
serious proliferation concerns.
    The United States has undertaken a major worldwide effort to combat 
the proliferation of weapons of mass destruction, particularly to 
regions of instability. We take this issue very seriously, and the 
President's decision not to approve satellite licenses in these 
circumstances underscores the importance attached to nonproliferation.
    The United States is currently engaged in an intensive dialog with 
China on proliferation issues, aimed at encouraging China to observe 
internationally accepted guidelines on missile and missile-related 
technology exports. The Chinese Government has stated that it will be 
prudent and responsible in its sale of missile technology. We will be 
discussing our concerns about the activities of the Chinese companies 
involved in Dong Fang Hong with the Chinese Government.
    U.S. satellites, their components and associated technologies are 
included in the U.S. Munitions List and require licenses for export to 
controlled destinations, including China. Under sanctions contained in 
the Foreign Relations Authorization Act, FY 1990-91, licensing of these 
exports is prohibited unless the President determines it to be in the 
national interest. Given our proliferation concerns, it would not have 
been appropriate to waive the legislative prohibition for the Dong Fang 
Hong.
    At the same time, the President decided that it is in the national 
interest to waive legislative restrictions on exports for two other 
projects, AUSSAT and FREJA, that will launch satellites from China. The 
two U.S.-built AUSSAT satellites will provide needed communications 
services for our ally Australia. The President had previously waived 
legislative sanctions against launches from China for AUSSAT, but the 
project required additional export licenses. The President was concerned 
that we live up to our earlier commitment to allow Australia to proceed 
with this project. The Swedish FREJA satellite, a small scientific 
satellite, will be used by civilian atmospheric researchers in the U.S., 
Sweden, Canada, Germany, and Finland.