Will China and EchoStar ignore U.S. trade laws?
EchoStar Communications Corporation is negotiating the purchase of an S-Band mobile-broadcasting satellite to be placed at a Chinese orbital location. The corporation is currently talking with at least two U.S. satellite manufacturers. Chinese authorities desire a satellite to serve local mobile video users in time for the 2008 summer Olympics in Beijing. However, they recognize that they do not have the industry to develop such a satellite. The problem with purchasing a satellite from the Littleton, Co., based corporation is that it runs against U.S. technology-transport restrictions that prevent American-built satellite components to be shipped to China. As Chinese officials have already concluded that the French and Italian Alcatel Alenia Space, which is free of export-sensitive U.S. satellite components, cannot produce the system on time, a deal which evades U.S. export rules seems inevitable. However, it is uncertain why China did not go to a Hong Kong-based satellite operator ins
