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QUESTION: The UAE.

MR. MCCORMACK: Right.

QUESTION: Is the U.S. in a continuing battle with the UAE to, you know, press them on tighter export controls for their -- American-made products going through the UAE?

MR. MCCORMACK: Not surprisingly -- I wouldn't use the world "battle." (Laughter.) Look, we've had a good dialogue with the UAE on a variety of different fronts. And, you know, fundamentally, it focuses on the central proposition of not allowing important international institutions or mechanisms to be used for illicit purposes. What does that mean? You don't want the international financial system to be used for illicit purposes. You don't want the international trading mechanism to be used for anything other than licit commerce. You don't want people to try to exploit the international trading system. And sort of -- you don't want anybody trying to -- you don't want countries to make it easier for bad actors to circumvent export controls. They're in place for a reason.

And we have worked well with the UAE. They, within the past couple of years, have passed a reform of their export control law that was positive. They've also been active on the international scene in sponsoring international discussions and conferences on how to fight illicit use of international financial and trading systems for proliferation -- addressing proliferation concerns; basically, how do you combat proliferation using the various means that people employ to try to get around that and circumvent the laws.

So they've made a lot of progress. As always, there's more that they can do, and we're in a continuing dialogue with them. Now, there was -- you -- I think somebody asked me earlier this morning, and I saw it as part of this piece, that there was concern about some of the computer chips being used in IEDs. And based on what we know now, I don't -- I can't substantiate the claim that any of these chips -- any chips that may have been allegedly illegally diverted through the UAE to Iran have ended up in Iraq in IEDs. We haven't seen any evidence of that. I can't substantiate that claim.

Yeah, Nina.

QUESTION: Do you have anything more on this intelligence that China is meant to be giving to the IAEA?

MR. MCCORMACK: Right. We checked -- I checked into it, and I -- at this point, I can't verify the story. Probably the easiest way to do that is either to talk to the IAEA or talk to the Chinese. I can't provide you independent confirmation of that.

Just as a general statement, it's incumbent upon all the member-states of the IAEA to do everything they can to provide the IAEA information so that it can do its job, so that they can help ensure that countries who are NPT members aren't -- don't have illicit programs.

QUESTION: Are you surprised that China is being so helpful? They were one of the main nations that didn't -- that weren't pushing for sanctions (inaudible)?

MR. MCCORMACK: Well, again, you know, I can't substantiate the story for you. But look, China --

QUESTION: If it were true, would you be surprised?

MR. MCCORMACK: If it were true -- let me just put it in more general terms. China -- we've worked very well with China on the issue of Iran. China has as much concern as we do or the Russians or the EU -- or EU member-states about Iran obtaining a nuclear weapon. They don't want Iran to be able to obtain a nuclear weapon. And inasmuch as the efforts of the IAEA are meant to look at current as well as past activities of the Iranians, we think it's important that member-states provide the IAEA information it needs to do its job. We do that and other member-states do that as a matter of course. And we would encourage China to do the same.

Yeah, Michel.

QUESTION: Do you have any update on Assistant Secretary Welch visit to Qatar and Kuwait?

MR. MCCORMACK: I don't. I don't. We'll see if we can find something for you.

QUESTION: Thank you.

QUESTION: Going back to the exports story, I just wanted to ask one more thing. Are you concerned -- are you working with any other trading partners besides the UAE on their own export controls? I mean, are there any other countries that you're particularly concerned about or working with?

MR. MCCORMACK: Well, this is -- it's an ongoing dialogue. We do this worldwide. And basic -- you know, the basic answer is, we talk to countries wherever the bad guys are trying to use their system, whether that's in Southeast Asia or whether that's in Europe or whether it's in the Gulf. So I'm not going to try to tag any particular state, but we work with European countries, we work with Asian countries, we work with countries in the Middle East. So anywhere the bad guys are trying to use the legitimate trading and financial systems for illicit purposes, those are the countries that we're working with. And they're going to try to obtain these technologies wherever they may exist, and very often that could be in Europe. They have access to these kinds of advanced technologies.

Many, many states have robust export control laws. Part of that -- most of that has to do with protecting their own interests, but some of that has to do with their working with us. Because, again, at the end of the day, these responsible countries don't want to see their systems used for financing terror. They don't want to see them used for illicit purposes to build up any weapons of mass destruction. So it's really a worldwide effort, Libby. It's not limited to just the UAE. It's really worldwide.

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