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Russian arms trader links U.S. sanctions to rising weapons sales

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Russia's state-run arms exporter Rosoboronexport on Friday linked the sanctions imposed by the United States on the company with a growth of Russian arms exports.
MOSCOW, October 24 (RIA Novosti) - Russia's state-run arms exporter Rosoboronexport on Friday linked the sanctions imposed by the United States on the company with a growth of Russian arms exports.

"The United States is purposefully trying to use administrative resources to hinder Russia in the implementation of foreign trade and foreign policy activities, in particular, in the sphere of military-technical cooperation with foreign states," Rosoboronexport said.

The company noted that the U.S. State Department announced the sanctions almost immediately after the publication of results showing Russian arms exports grew 23% in the first nine months of 2008. The company said this "did not suit the United States, frustrating its plans."

A Rosoboronexport representative earlier called the sanctions a "manifestation of unethical competition."

The U.S. government announced on Thursday it had imposed economic sanctions on Rosoboronexport and other firms in connection with the alleged proliferation of weapons of mass destruction and sensitive missile technologies to Iran, North Korea and Syria.

Russian Foreign Minister Sergei Lavrov said on Friday that the sanctions contravened international law and would affect ties with Washington, while a Russian MP said they were retaliation for Moscow's completely legitimate military-technical cooperation with Iran.

"The United States introduced these sanctions without any basis in international law. We will take that into account in our relations with the United States," Lavrov said.

Lavrov said that the sanctions would not force Russia to make concessions on Iran's nuclear program.

"If some people in Washington think that this will make Russia more amenable to U.S. approaches with regard to the Iranian nuclear problem, they are wrong," Lavrov said.

Mikhail Nenashev, head of a subcommittee on military-technical cooperation in the lower house of parliament, said the sanctions were "linked with supplies of Russian air defense systems to Iran."

"Russia does not violate any international agreement in the sphere of military-technical cooperation because Iran is not a subject to sanctions in this sphere," he said.

Iran recently took delivery of 29 Russian-made Tor-M1 air defense missile systems under a $700-million contract signed in late 2005. Russia has also trained Iranian Tor-M1 specialists, including radar operators and crew commanders.

The sanctions are valid for two years and bar any U.S. aid, contracts or arms sales to the blacklisted entities.

Sanctions were also imposed on firms in Venezuela, China, North and South Korea, the United Arab Emirates, Sudan, and Syria, as well as on the Iranian Islamic Revolutionary Guards.

The order was signed on October 16 and came into effect on Thursday.

In July and December 2006, the United States also imposed sanctions on Rosoboronexport, accusing it of passing on equipment that Iran could use to develop weapons of mass destruction.

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