DECLASSIFIED 13113 Foreign Service of the i United States of America INCOMING SECRET Classification - 8 1135 2222552 AUG 73 - - FM SECSTATE MASHDC f f PM a MIHFA TO TAIPEI IMMEDIATE 4493 AMB INFO HONG KONG 5949 DCM PEHING 9964 POL TOKYO 9959 ERON i EUFHAUIUSMISSION IAEA VIENNA 2529 OAO STATE 16725 ADM AP E O 11652 GDS 3F AF TAGS PARM PFOR MCAP TN FR AGS SUBJECT ROC NUCLEAR REPROCESSING PLANT - AS MED REF A TAIPEI 4872 B TAIPEI 4874 C STATE 12157 POM D TAIPEI 675 9O EXIM INS 1 DOCUMENTS PROMISED BY POUCH RELATING TO THE ROC NUCLEAR CON FUEL PROCESSING PROPOSAL REF A HAVE NOT YET ARRIVED MMA 7 THEIR ARRIVAL SOMETIME SOON MOULD IN ANY EVENT LEAVE TOO RE TIME FOR THOROUGH ANALYSIS BEFORE AUGUST 3 PA EA DEPARTURE BUT IN VIEN OF REQUEST FOR PRELIM- 0 Ac INARY USG REACTION BEFORE THEN AND BECAUSE MUCH OF THIS GROUND HAS BEEN COVERED BEFORE REFS AND D NE CONCUR RF IN RECOMMENDATION THAT A FIRM NEGATIVE RESPONSE BE MADE TO CHENG BEFORE HIS DEPARTURE THE EMBASSY IS INSTRUCTED TO MAKE THIS RESPONSE ALONG THE FOLLOWING LINES WE AGREE THAT THE FOREIGN MINISTER LEVEL IS APPROPRIATE HLES 2 WE ARE WILLING TO AMEND THE AGREEMENT COVERING THE ROC IS NUCLEAR FUEL NEEDS FOR EIGHT REACTORS SCHEDULED FOR OPERA- ON BEFORE 1986 #3 MIAA m 5 NE HAVE NO OBJECTION IN PRINCIPLE To REPROCESSING UF 1 SPENT NUCLEAR FUEL ABROAD AND ARE NILLING TO CONSIDER NITH AN OPEN MIND ROC REPROCESSING ARRANGEMENTS IN e 3_ ACCORDANCE NITH ARTICLE OF OUR BILATERAL AGREEMENT 4 As FOR ROC ACQUISITION OF A NUCLEAR FUEL REPROCESSING OJ PLANT THEMSELVES NE AGREE NITH THE INTERPRE- NH TATION OF THIS MATTER AND ALSO AGREE THAT A PROMPT FIRM AND NEGATIVE REACTION IS IN ORDER THE PRE- SENTATION SHOULD ECHO THAT MADE IN JANUARY REFS AND D EMBASSY MAY ALSO MISH TO ADD THAT NE ARE UNANARE OF ANY INFORMATION NHICH VOULD INDICATE THAT ACQUISITION OF SECRET Classification DECLASSIFIED Authoritybm m1 INCOMING EMBASSY VIENNA SECRET CONTROL Classl ca on A NUCLEAR FUEL REPROCESSING PLANT TO SERVICE SPENT FUEL FROM EVEN EIGHT REACTORS OF THE TYPE CONTENPLATED IS ECONOMIC LET ALONE MORE ECONOMICAL THAN HAVING THE FUEL REPROCESSED THIS IS BECAUSE ECONOMIES OF SCALE ARE PARTICULARLY EUIDENT IN NUCLEAR FUEL REPROCESSING ONCE AGAIN THE CHINESE SHOULD BE LEFT NO DOUBT ABOUT THE SERIOUSNESS WITH WHICH WE VIEW THIS MATTER OR ABOUT THE FIRMNESS OF OUR NEGATIVE REACTION OUR PRESENTATINS TO CHENG HERE WILL PARALLEL YOURS ROGERS SECRET Classification This document is from the holdings of The National Security Archive Suite 701 Gelman Library The George Washington University 2130 H Street NW Washington D C 20037 Phone 202 994-7000 Fax 202 994-7005 nsarchiv@gwu edu