NID: PERSIAN GULF: SITUATION REPORT

Created: 11/3/1987

OCR scan of the original document, errors are possible

Beijing Denies US China refuted recent US statements accusing Belling of continued Anna Sales Chargea arms sales toadiobroadcast to Iran last Friday. The Farsi-language broadcast charged Washington with "turning the sharp edge ol itsn Beijing and trying to sow discord between China and the Persian Gulf states In order lo shift blame lor Gull tensions onto Beijing. Boijing described the US charges aa complete fabrications and argued that any country can find channels lo purchase armsrice.'milH

Comment; This broadcast Is China's first public reaction to stories that appeared in the US press last week on Chinese arms sales to Iran. It was strongly worded but carried no threat of retaliation for the US decision to postpone consideration of liberalization of COCOM restrictions on China. By limiting hs responseroadcast lo Iran, Beijing probably hopes lo avoid fueling the debate with Washington over the arms sales issue while reassuring Tehran thai China Is noto us pressure.

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