We have pursued all the tools of diplomacy at all levels. In her speech last week at the Stimson Center, Secretary Albright catalogued in some detail our emphasis on nonproliferation and arms control and our broad strategy for pursuing those goals. Trends such as Iran's progress toward a medium range missile capability and the nuclear tests in South Asia make clear that these are not theoretical concerns, but looming threats. There is no disagreement between the Executive Branch and the Congress on the vital importance of these issues. The second point is that China is indispensable to any effective nonproliferation policy .
China is a nuclear weapon state.
Since the 1980s it has had a small but potent arsenal of ballistic missiles, some of which are capable of reaching the United States. It is a potential supplier of weapons, materials and technology to countries of proliferation concern. Unquestionably, China has been part of the proliferation problem. We also take sharp issue with China's chemical and missile cooperation with Iran. In 1991, the Bush Administration sanctioned two Chinese entities, and in 1993 the Clinton Administration sanctioned eleven Chinese entities, for transferring missile equipment and technology to Pakistan.