Two French parliamentarians in Beijing Thursday voiced support for the sale of a French satellite to Taiwan and rejected China’s opposition to the sale of such technology to the island.
“I would be shocked if the sale is not made,” said Pierre Lellouche, a parliamentarian with the opposition RPR party.
“You’ll never get anywhere by accepting in advance diktats from any country because once the yellow line is crossed then any demand will take on an air of legitimacy,” he told journalists.
Beijing has opposed the 75-million dollar sale of the surveillance satellite, ROCSAT-2, made by Aerospatiale Matra, to Taiwan despite objections by the French government that the satellite is for civil use only.
The French government has pledged not to allow any French weapons sales to the island that Beijing claims is an inseparable part of China.
According to Lellouche, Beijing’s strategy was “to isolate Taiwan and put pressure on Europe” in order to cut off the “renegade province” from all its suppliers with the exception of the United States.
After prohibiting the sales of weapons and defensive arms to Taiwan and by opposing the ongoing sale of the civilian satellite, Beijing could in the future ban the sales of computers and other technologies, Lellouche said.
“This is a question of the norms guiding international relations,” he said.
Beijing does not have the right “to pressure others in order to isolate a functioning state, region or province, especially one that is upholding democratic institutions.”
Parliamentarian Guy-Michel Chauveau, from France’s ruling Socialist Party, said Matra “should be able to sell the satellite to whoever it wants to sell it to.”
It appeared Beijing’s pressure tactics was “a way to put weight on other ongoing negotiations” between France and China, he said. Beijing has hinted that the satellite sale could hit France’s chances of its TGV trains being chosen for the planned Beijing-Shanghai high-speed rail link.
If the satellite sale goes through in 2003 or 2004 as expected, Lellouche admitted that Beijing “will be very serious in its reaction,” perhaps similar to the 1992 reaction when France sold Taiwan Mirage jet fighters.
French businessmen in Beijing have expressed fears over the repetition of the 1992 crisis that resulted in the closure of the French Consulate in southern Guangzhou and the cancellation of a contract with France to build the Guangzhou subway.
The two parliamentarians, both member’s of the defense commission of the National Assembly, are in Beijing for two days as part of a fact finding trip on weapons proliferation.
Although admitting that the satellite with a resolution of two meters (yards) could be used for military applications, Lellouche said that because “all technologies have dual use,” Beijing does not have the right to “use double standards.”
“It is not acceptable that after some questionable exports to Syria and Pakistan and directly or indirectly by way of North Korea to several other nations, that they reproach us over a satellite export,” Lellouche said.
He further cited a research nuclear reactor exported from China to Algeria, saying “it is these kinds of reactors that have allowed a certain number of countries to manufacture all kinds of things.”
Indonesia unveils privatization blueprint
Jakarta (AFP) June 29, 2000 – The Indonesian government Thursday unveiled a blueprint and timetable for a sell-off of state assets this year, including the communication giants, Telkom and Indosat.
The State Enterprise and Investment Ministry said the plan, Reform of State Enterprises 2000, was designed to generate 6.5 trillion rupiah (748 million dollars) as targetted in the April-December budget.
Analysts said it was the first time the ministry had given specific percentages and deadlines for the government’s privatisation process.
They said the plan was also seen as an effort to satisfy the International Monetary Fund (IMF) which is in charge of a 46 billion dollar bailout program for Indonesia.
The IMF has included privatization of 150 state enterprises, staggered over 10 years, in its list of reforms.
Jakarta has been accused of foot-dragging on reform and this has resulted in a two-month suspension of a 372 million dollar IMF funding tranche in April.
In a statement, the ministry said the government planned to divest a further 14 percent stake in diversified miner PT Aneka Tambang in October, and 10-35 percent of the coal firm Tambang Batu Bara Bukit Asam by at least November.
The ministry also said it was planning to divest an additional 14 percent of its stakes in Telkom and satellite operator Indosat and its entire 65 percent holding in tin miner Tambang Timah in December.
Among the other stakes to be put on the block was a 10-35 percent holding in plantation company PT Perkebunan Nusantara IV, to be sold by July.
The sale of 10-49 percent stake in pharmaceuticals firm Indofarma was planned for August, 10-49 percent of fertilizer producer Pupuk Kaltim by September, and a 10-35 percent stake in plantation firm PT Perkebunan Nusantara III by October.
The statement also said the government would divest up to 49 percent of airport manager Angkasa Pura II in July or August, 10-35 percent of pharmeceuticals firm Kimia Farma in December, and a 15-20 percent of surveyor Sucofindo in September.
“With the exception of (trading firm) Kerta Niaga, in general the privatisation will be done through IPOs or strategic sales,” it said.
It added the government planned to sell 100 percent of PT Kerta Niaga, but gave no further details of the company’s divestment.
The ministry also said the government was prepared to divest its stakes in a number of other companies by the end of this year.
This included up to 75 percent of department store Sarinah, up to 42 percent of office building Wisma Nusantara, 100 percent of PT Perhotelan Indonesia, 100 percent of fertiliser firm Pupuk Sriwijaya and 3.3 percent of Jakarta International Hotel Development.
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