US embassy cable - 05PARIS1084

C O N F I D E N T I A L PARIS 001084 
 
SIPDIS 
 
E.O. 12958: DECL: 02/18/2015 
TAGS: PARM, ETTC, PREL, FR, EUN 
SUBJECT: EU CHINA ARMS EMBARGO: EXPANDING ON FRENCH DEFENSE 
MINISTER'S FINANCIAL TIMES COMMENTS 
 
REF: FEBRUARY 15 FINANCIAL TIMES ARTICLE 
 
Classified By: Political Minister Counselor Josiah Rosenblatt, reason 1 
.4 (B/D) 
 
1. (C) During the course of a meeting on an unrelated issue 
with Mr. Camille Grand, Diplomatic Advisor to Defense 
Minister Alliot-Marie, we inquired about the minister's 
comments in the recent Financial Times article entitled 
"France urges end to China arms embargo."  We noted our 
confusion over Alliot-Marie's reported statements that the 
west could sell arms to China in order to preclude the 
Chinese from manufacturing these same arms.  Grand expressed 
frustration with the reported quote, noting that it had been 
taken out of context, and wondered whether the FT had its own 
agenda on the embargo.  He said that following the Nice 
Defense Ministerial, the minister had granted the FT and the 
French financial daily "Les Echos" a joint interview on the 
European Union and NATO.  The arms embargo question was an 
unexpected one made by the FT.  Grand pointed to the Les 
Echos article for a more faithful rendition of the French 
position; comments that the FT had not reported.  The Echos 
quoted the standard French position that the embargo is only 
of symbolic value, not reflective of current relations with 
China, and that it ought to be lifted. 
 
2. (C) According to Grand, Minister Alliot-Marie believes 
that it might be more useful for the west to sell limited 
defense products, not on the EU's or France's list of 
proscribed technologies or weapons, in an effort to limit 
Chinese efforts to acquire such products/technologies 
elsewhere or to manufacture what they could.  The concept 
behind the idea is that through such sales we will be able to 
maintain a measure of control over Chinese acquisitions 
through licensing and export regulations.  We do not believe 
that the Chinese would not try to reverse engineer defense 
technologies, and for that reason, France will not relax its 
existing export regulations, even after the arms embargo is 
lifted, he emphasized.  The Financial Times article, 
unfortunately, did not cite this aspect of the minister's 
argument, he added. 
 
3. (C) Turning to a broader discussion of the arms embargo, 
Grand reiterated the MOD position that France does not 
believe that China would buy major systems from the west and 
would likely continue to turn to the Russians.  The Chinese 
would not want to rely on the U.S. or Europe, as they fear 
future restrictions/embargoes that we might impose.  On the 
French side, Grand stressed that even after the EU arms 
embargo is lifted, France would continue to deny the export 
of sensitive technologies that could have an adverse impact 
on Japan, U.S. forces in the region or the situation in the 
Taiwan straits.  Grand concluded by observing that success in 
controlling China will depend on how well we can control 
technology exports, and cited the EU's planned reinforced 
code of conduct as such an effort. 
 
Leach