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China Reform Monitor, No. 12, November 18, 1997
American Foreign Policy Council, Washington, D.C.

Yeltsin Concludes State Visit to China with New Trade Deals;
China Expands Blue Water Navy and Builds Outposts in Pacific

November 11

Russian President Boris Yeltsin concluded a three day state visit with Chinese President Jiang Zemin in Beijing. The Associated Press reported that, in addition to a new border treaty, trade was touted as a key goal of the summit, with Mr. Yeltsin hoping to increase annual trade to $20 billion by the year 2000. A joint agreement signed at a summit earlier in 1997 declared a commitment to create a "multipolar world" where no single country--referring to the United States--dominates.

The AP report noted that China's purchases of Russian military hardware is a bright spot on the trade front that according to Yeltsin spokesman Sergei Yastrhembsky, "keeps our military complex going."

The November issue of Jane's Intelligence Review reports Russia's arms sales and technological transfers to China are increasing exponentially through official and unofficial channels. The report follows Russian military scientists that have been hired by China. While Moscow also sells volumes of weapons to Latin America, Cyprus, Iran and Syria, China is Russia's principal customer.

The Jane's report cites that the Russian firm Phazotron recently signed contracts to provide China with between 150 and 200 Zhuk radars to equip China's new F-81 fighter aircraft and the advanced Chengdu J-10 (J-9) fighter, a classified program. The Zhuk radars have six times the data and signal processing power of the basic variant and a detection range greater than 80 kilometers. The radars can track while scanning on 24 targets and display up to eight, and simultaneously provide fire-control solutions for two to four of them.

"More recent reports," adds Jane's, "indicate that China bought technical documentation from the Russian Federation for an aircraft-carrying cruiser... Deck-based Ka-28 helicopters, essential for a carrier strike group's defense, have been sold." In addition, "Along with Israel, Russia will jointly modify their Il-76 cargo jet to produce an airborne early warning platform for China." The absence of this type of system has been widely reported as a drawback to Chinese military capabilities for conducting long-range air strikes.

"A Chinese Navy crew has recently completed training in St. Petersburg, Russia on the Type 636 'Kilo' class submarine," reports the November 5 issue of Jane's Defense Weekly. The new 'Kilo' is the third of four ordered from Russia by Beijing. In addition, Moscow is upgrading the technology for reducing the noise levels of the older submarines in China's inventory.

China has put a satellite monitoring station into operation on the strategic South Pacific island of Tarawa in Kiribati the Christian Science Monitor reported.

"United States military and private security forces said the outpost is the first satellite station built by China outside the mainland", the report adds. "The location is not only commercially useful, but militarily strategic for an entire range of missions, ranging from satellite control, data downlinks, data intercepts and others," George Friedman, president of Strategic Forecasting, told the Monitor. The newsletter, Navy News and Undersea Technology, reports that the Tarawa facility could be used to track and monitor satellites, rocket launches from Vandenberg Air Force Base in California, and U.S. Navy communications.

--Al Santoli

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