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November 23, 2000 

BEIJING (AP) — China has made its strongest commitment to date not to sell nuclear missile technology abroad, winning an immediate promise from Washington to forgo possibly bruising sanctions and to boost commercial space cooperation.

The deal between the two countries is aimed at curbing missile proliferation and should head off punitive legislation aimed at China in the U.S. Congress. Both sides hope it will put to rest a long and contentious issue between Washington and Beijing.

Minutes after China made its pledge late Tuesday in Beijing, the State Department praised the move as helping ``achieve our common objective of preventing the spread of ballistic missiles that threaten regional and international security.''

Both sides reap immediate benefits. China wins a reprieve from U.S. sanctions against Chinese companies suspected of transferring dangerous missile technology. It also gains a promise from Washington to begin processing licenses for commercial space cooperation, including the launching of U.S. satellites by China.

For its part, the United States is freed from imposing sanctions that could undermine fragile ties with Beijing and wins assurances that Pakistan, Iran and North Korea won't be benefiting from any new Chinese missile technology.

``This is China's clearest and most complete statement on missile proliferation,'' said Phillip Saunders, a China proliferation expert at the Monterey Institute of International Studies. ``If there are loopholes, it's not evident.''

China also hopes the step will head off planned legislation in Congress requiring the U.S. president to report on Chinese missile technology transfers and potentially level sanctions for violations.

Chinese Foreign Ministry spokesman Sun Yuxi, in remarks carried by China's Xinhua News Agency, said Clinton administration officials have opposed the legislation and will recommend the same position to the next president.

China's pledge, made in comments by Sun, moved it closer to full compliance with the Missile Technology Control Regime — a 13-year-old agreement signed by 32 countries that restricts transfers of missiles capable of delivering nuclear weapons, along with their components.

Beijing agreed two years ago not to transfer whole missile systems, but has taken a more ambiguous approach to components and technology that could end up as parts of systems.

Under the agreement, China will for the first time publish a list of restricted missile-related and dual-use items. Controls to stop unlicensed transfers of missile technology will be improved and transfers to countries developing nuclear-capable missiles will be subject to special scrutiny even if export of the technology isn't banned outright, Sun said.

Although Sun did not mention specific countries, Washington has suspected China of aiding the missile programs of Pakistan, Iran and North Korea since the early 1990s and has in the past imposed sanctions on Chinese companies.

Evidence has grown about Beijing's transfers of missile technology. Intelligence reports over the past two years have sketched continuing Chinese assistance to Pakistan since the early 1990s. A CIA report in August also found that Chinese firms sent missile-related items, raw materials and other assistance to Iran, North Korea and Libya.

Experts say China has progressively committed to wider and more specific controls following years of nudging by the Clinton administration. After Pakistan and India traded nuclear test explosions in 1998, Beijing showed renewed interest in controlling the spread of missiles.

However, Beijing has publicly denied ever transferring missiles or related technology to foreign countries.

Pakistan responded in similar form on Wednesday, reiterating denials that it bought missile technology in defiance of international agreements. Pakistan possesses a minimum nuclear deterrence that needs neither American nor Chinese technology to sustain it, the Pakistani Foreign Ministry said.

In its response to the Chinese announcement, the State Department said new sanctions will be imposed on Iranian and Pakistani military and civilian groups for receiving ballistic missile technology from China in the past.