Chinese Evade U.S. Sanctions on Iran

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Chinese Evade U.S. Sanctions on Iran

Chinese companies banned from doing business in the U.S. for allegedly selling missile technology to Iran continue to do a brisk trade with American companies, according to an analysis of shipping records.

A unit of state-owned China Precision Machinery Import-Export Corp., for example, has made nearly 300 illegal shipments to U.S. firms since a ban was imposed on CPMIEC and its affiliates in mid-2006, according to an analysis of shipping records by the Wisconsin Project on Nuclear Arms Control, a nonprofit proliferation watchdog.

A Wall Street Journal review of the records and interviews with officials at some of the American companies indicate that the U.S. firms likely were unaware they were doing business with banned entities, and in many cases were tripped up by altered company names.

OK
So here we go...
We had early last year an agreement between the Obama administration and China to allow more high-tech business done between the US and China which you just know will end up in some "Consumer" products being sold world wide. [Related threads]
The United States to Allow More Hi-Tech Exports to China

So whats the point of ANY sanctions if they are simply going to be ignored?

U.S. Reps. Mark Kirk (R-Ill.) and Ron Klein (D-Fla.), along with 50 Democrats and Republicans, today sent a bipartisan letter to President Obama urging him to enforce current U.S. sanctions against companies investing in Iran’s energy sector. The letter comes one day after multilateral negotiations in Vienna ground to a halt when Iran replaced its lead nuclear negotiator with lower-level officials and made new demands for the right to highly-enriched uranium on Iranian soil.

www.kirk.house.gov...:50-us-lawmakers-urge-president-obama-to-enforce-current-sanctions-aga inst-iran-as-vienna-talks-stall&catid=40:2009-press-releases&Itemid=88

Seems like some members of Congress are aware of the violations. Although this one seems to be talking about direct violations.

reply to post by jam321


There's a very fine line that the US can't afford to cross.

Limiting sanctions on one hand , and pissing off the country that's paying

your mortgage.

If the Chinese decide to keep their money at home as a bargaining chip,

the US would have Bigger problems than Hi tech sales.

The Chinese would probably welcome that scenario, has they have

stated they want to limit their US dollar exposure.

reply to post by SLAYER69


From Source:

"We spend a lot of time convincing other countries that we need tighter sanctions on Iran when we need to better enforce our own laws already on the books," says Wisconsin Project director Gary Milhollin,

Apparently US companies have difficulties knowing who or what company is legal to do business with:

U.S. enforcement officials say it can be difficult for U.S. companies to avoid doing business with foreign companies and individuals under sanction. Problems with translating company names can be an issue, they say. Sanctioned companies also have proved adept at creating aliases or subsidiary shell companies to mask their ownership, they say.

We are all innocent until proven guilty:

It is unlikely that most U.S. companies knowingly flout the import bans: Criminal penalties for doing so include prison time.

[edit on 4/1/10 by plumranch]

Correct me if I'm wrong of course, but haven't the bankers been playing both sides against the other for at least [what?] 4 or 5 major wars (even giving a generous benefit of the doubt), so what's the real purpose behind sanctions?

I'm sure we (the consumer and the laborer) will "get it in the end" once again, among many other uncomfortable encounters currently taking advantage of our complacency and stupidity.

This should be no surprise, after being bent over for so long.

well it is understandable
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China has a long history of supplying Iran with the C 14 class missile boat along with a variety of light and cruse type anti-ship missiles... If memory serves when Iran laid all those anti ship mines in the Strait of Hormuz I believe those mines came from China...

add to that China has contracts to buy oil from Iran they do have to make some of that back in arms sales right?

Originally posted by plumranch
Apparently US companies have difficulties knowing who or what company is legal to do business with:

It wouldn't surprise me one bit if it were to come out that part of WalMart's 375 billion worth of business with china was involved.


[edit on 4-1-2010 by SLAYER69]

I think recent history shows that sanctions just aren't as effective as they were during the 60's and 70's. Countries own interest is going to thump US interest when it comes to sanctions.

Iran’s Foreign Ministry Spokesman Hassan Qashqavi says sanctions imposed against Iran over its nuclear program are as ineffective as a ‘rusty sword’.

“The Iranian nation favors interaction and dialogue but will not surrender to pressure,” Qashqavi said, commenting on the West’s move to consider a September deadline for talks with Iran over its nuclear program.

www.islamidavet.com...


US has a hard time enforcing current laws and are trying to pass more laws over the issue. I expect the new sanctions to hurt US businesses more than the rest of the world. Just easier to convict our own.

The US House of Representatives has overwhelmingly approved new sanctions against Iran aimed at halting its disputed nuclear programme.

The measure empowers President Barack Obama to ban foreign firms that supply Iran with refined petroleum from doing business in the US.

The bill, which passed 412-12, can only become law if approved by the Senate.

news.bbc.co.uk...