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 Thursday, 2 January, 2003, 18:21 GMT
Israel 'freezes arms exports to China'
Phalcon radome
Washington blocked a radar deal
Israel has agreed to suspend sales of arms and security equipment to China at the request of the United States, an Israeli newspaper has reported.

Israel, a major exporter of weapons to Beijing, agreed to Washington's request only reluctantly, Israel's Ha'aretz newspaper wrote on Thursday.

This is simply a new American dictate and we didn't have any choice in the matter

Israeli defence official
"This is simply a new American dictate and we didn't have any choice in the matter," an Israeli defence official is quoted as saying.

The US is reportedly concerned that China could use advanced military technology against Taiwan, which Beijing considers to be a renegade province.

But some Israelis speculate that Washington may be more interested in eliminating competition in case the US lifts restrictions on US companies selling arms to China.

Earlier deal

This is not the first time Washington has put pressure on Israel over a deal to supply China with military equipment.

Two years ago, Israel broke a $250m contract to sell an airborne early-warning radar system to Beijing.

The Pentagon complained that the Awacs equipment could be used to track American jets if hostilities broke out between China and Taiwan.

Israel was forced to pay $350m in compensation for failing to fulfil the contract.

Relations

Israel is also reportedly worried that the latest move will harm relations with China.

But a defence official reportedly stated that military partnership between the two countries "will continue in an orderly way".

Washington's request reportedly reached Israel three weeks ago.

The US Embassy in Tel Aviv refused to confirm the Ha'aretz report in response to a request from the Associated Press news agency.

China and Israel only established diplomatic ties in 1992, although military co-operation is believed to have begun secretly at least a decade earlier.

See also:

02 Jan 03 | Americas
13 Jul 00 | Asia-Pacific
13 Jul 00 | Media reports
12 Jul 00 | Middle East
03 Apr 00 | Middle East
10 Apr 00 | Middle East
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