CONFIDENTIAL
DSR 11C
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know-how in the armaments field
this too is part of
President Carter's initiative on convention arms transfer
limitations. The final US position is therefore difficult
to predict, but they are likely not to object to some sales.
20. Of Britain's other Alliance partners, Germany and France would probably not oppose British sales of military
technology and equipment to China. The French in particula would be likely, on political grounds, to encourage such
sales, thus easing the path for themselves.
The difficulty
with the French might indeed be to restrain them from sellin
equipment of the kind which the UK would rather see withheld
either because of the strategic implications or because of
COCOM considerations.
The need to keep the French within
the rules of the game and thus maintain the game itself would in itself be an argument for permitting some defence
sales.
21. Of other friendly countries, Japan is the most
important. She is largely dependent on the US for her
defence and so long as she can rely on this, she will be
unhappy about defence sales but will be unlikely to make
a major fuss. In COCOM she will in the end acquiesce in
anything the Americans acquiesce in.
G
22. The other countries most likely to be sensitive to
defence sales to China South Korea and Taiwan also deper
on the US for their defence, although by 1980 there will be
no American ground forces left in Korea. Neither våll be
happy about any British defence sales, but British interests
will be little affected. In both cases if we can persuade
the Americans, South Korea and Taiwan can be largely ignored
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