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Cablegate: (S) Efforts by Iran,S Sbig to Procure Carbon

VZCZCXYZ0013
PP RUEHWEB

DE RUEHC #6932 0551509
ZNY SSSSS ZZH
P 241507Z FEB 10
FM SECSTATE WASHDC
TO RUEHBJ/AMEMBASSY BEIJING PRIORITY 3151
INFO MISSILE TECHNOLOGY CONTROL REGIME COLLECTIVE PRIORITY

S E C R E T STATE 016932

SIPDIS

E.O. 12958: DECL: 02/24/2035
TAGS: MTCRE PARM PREL MNUC ETTC KSCA IR CH KS
SUBJECT: (S) EFFORTS BY IRAN,S SBIG TO PROCURE CARBON
FIBER FROM A COMPANY IN CHINA

Classified By: (U) CLASSIFIED BY EAP DAS DAVID SHEAR,
REASON: 1.4 (C).

1. (U) This is an action request. Embassy Beijing, please
see paragraph 3.

2. (S) Background/Objective: The United States has
information that in December 2009, an Iranian company was
seeking to procure five tons of carbon fiber from Yoon
Networks Shanghai Company. We understand this company is
likely seeking this material on behalf of the Shahid Bakeri
Industries Group (SBIG), which is responsible for Iran's
solid propellant ballistic missile program and an entity
designated under United Nations Security Council Resolution
(UNSCR) 1737. The fiber being sought by the Iranian company
may be controlled by the Wassenaar Arrangement and Nuclear
Suppliers Group and could be used to produce rocket nozzles
or motor cases for Iran's solid propellant ballistic missile
systems. We want to share this information with Chinese
officials and request that they take measures to prevent this
material from being transferred from China to Iran's missile
program. We also want to note that we believe taking such
action would be consistent with UNSCR 1737.

3. (S) Action Request: Request Embassy Beijing approach
appropriate host government officials to deliver talking
points/non-paper in paragraph 4 below and report response.
Talking points also may be provided as a non-paper.

4. (S) Begin talking points/non-paper:

(SECRET//REL CHINA)

--We would like to alert you to information of proliferation
concern and request your assistance in investigating this
activity.

--The United States has information that in December 2009, an
Iranian company was seeking to procure five tons of carbon
fiber from Yoon Networks Shanghai Company, a China-based firm
operated by a South Korean individual.

--We understand this company is likely seeking this material
on behalf of the Shahid Bakeri Industries Group (SBIG), which
is responsible for Iran's solid propellant ballistic missile
program and an entity designated under United Nations
Security Council Resolution (UNSCR) 1737.

--The fiber being sought by the Iranian company may be
controlled by the Wassenaar Arrangement and Nuclear Suppliers
Group and could be used by Iran to produce rocket nozzles for
its solid propellant medium-range and short-range ballistic
missile systems. It also could be used by SBIG to produce
lighter motor cases that could potentially extend the range
of these systems.

--We believe that the transfer of this material to SBIG poses
a significant missile proliferation risk and is inconsistent
with UNSCR 1737.

--We therefore urge you to investigate this activity and take
measures to prevent this material from being transferred from
China to Iran's missile program.

--We look forward to continued cooperation on missile
nonproliferation issues and to hearing of any actions your
government takes in response to this information.

End talking points/non-paper

5. (U) Washington POC is ISN/MTR James Mayes (Phone:
202-647-3185). Please slug any reporting on this issue for
ISN/MTR and EAP/CM.

6. (U) A word version of this document will be posted at
www.state.sgov.gov/demarche.
CLINTON

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