Economy / Israel
Israel
August 2005 | Risk SummaryWashington is pressing Israel to improve its monitoring of arms exports, following a controversy over a deal to sell defence equipment to China. Israel's decision to provide spare parts for China's unmanned Harpy drones has prompted a row with its key defence ally, the US, which has not abated despite a public apology by Foreign Minister Silvan Shalom in June. The US is reportedly seeking an additional apology for the arms deal from Defence Minister Shaul Mofaz, who cancelled his planned August trip to Washington in a signal that the dispute persists. Israel's ability to trade defence equipment with China
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