Explained: How Pakistani Firms, Sanctioned Today By US, Were Aiding Its Nuke Program

The United States on Wednesday sanctioned four Pakistani entities, including the state-owned flagship aerospace and defence agency — National Development Complex (NDC) — on charges of contributing to nuclear-armed Islamabad’s long-range ballistic missile program. According to State Department spokesperson Matthew Miller, the four firms were slapped with sanctions under an executive order that “targets proliferators of weapons of mass destruction and their means of delivery.”

The measure freezes any US property belonging to the targeted entities and bars Americans from doing business with them. 

Apart from NDC, the three other entities sanctioned by the US are Akhtar and Sons Private Limited, Affiliates International and Rockside Enterprise. All three are based in Karachi, while the NDC is in Islamabad. As per the US State Department, these companies worked with the NDC to acquire equipment.

Why Four Entities Were Sanctioned By the US?

The US Department of State, in a statement, said that NDC — which is responsible for Pakistan’s ballistic missile program– has worked to acquire items to advance Pakistan’s long-range ballistic missile program

The other three companies–Affiliates International, Akhtar and Sons Private Limited, and Rockside Enterprise – have worked to supply equipment and missile-applicable items to Pakistan’s ballistic missile program, including its long-range missile program.

All four entities “are being designated pursuant to Executive Order (EO) 13382 Section 1(a)(ii) for having engaged, or attempted to engage, in activities or transactions that have materially contributed to, or pose a risk of materially contributing to, the proliferation of weapons of mass destruction or their means of delivery (including missiles capable of delivering such weapons), including any efforts to manufacture, acquire, possess, develop, transport, transfer, or use such items, by Pakistan,” the statement said.

“The United States will continue to act against proliferation and associated procurement activities of concern,” it added.

Charges Against Four Entities

Later, in a factsheet, the State Department listed out names and charges against the entities they claimed are helping Pakistan’s missile development program. They are as follows:

The National Development Complex (NDC), located in Islamabad, Pakistan, has worked to acquire items in furtherance of Pakistan’s long-range ballistic missile program – including special vehicle chassis intended to be used as launch support equipment for ballistic missiles and missile testing equipment. “The United States assesses NDC is responsible for Pakistan’s development of ballistic missiles, including the SHAHEEN-series ballistic missiles,” the department said in the Wednesday statement.

Akhtar and Sons Private Limited, located in Karachi, Pakistan, has worked for NDC to supply a range of equipment to Pakistan’s long-range ballistic missile program.  

Affiliates International, located in Karachi, Pakistan, has facilitated procurements of missile-applicable items for NDC and others in support of Pakistan’s ballistic missile program.  

Rockside Enterprise, located in Karachi, Pakistan, has worked for NDC to supply a range of equipment to Pakistan’s long-range ballistic missile program.  

Pakistan’s Reaction

Shortly after Miller’s statement, Pakistan’s foreign ministry said in a statement that the US action was “unfortunate and biased” and would harm regional stability by “aiming to accentuate military asymmetries.”

“Such policies have dangerous implications for the strategic stability of our region and beyond,” the ministry said.

Pakistan’s Ballistic Missile Programme

Pakistan conducted its first nuclear weapons test in 1998, becoming the seventh country to do so. According to the Bulletin of the Atomic Scientists research organization, Pakistan’s arsenal at about 170 warheads. Islamabad’s Shaheen series of missiles is also nuclear-capable.

Islamabad has refused to sign the Non-Proliferation Treaty (NPT), the cornerstone of the international system designed to prevent the spread of nuclear weapons. The international treaty aims to prevent the spread of nuclear weapons and weapons technology and promotes the peaceful use of nuclear energy, with the goal of nuclear disarmament. 

Pakistan’s nuclear programme is built by relentlessly defying international sanctions regimes that it has been subjected to at different points in time, according to a column in the Observer Research Foundation (ODF). 

US’ Concerns

Over the years, Islamabad defeated regional integration efforts made by the US and other groupings and instead focused on cultivating closer ties with China, the “all-weather ally”, the ODF column said. 

Even former Pakistani army General Talat Masood reportedly said Islamabad has looked more to China than the United States for “the expertise and technology” needed to advance its drone program.

From a geopolitical perspective, this seems ordinary. But the situation’s peculiarity lies in the fact that Pakistan is the US ally under the South East Asia Treaty Organisation (SEATO) and the Central Treaty Organisation (CENTO), and was also designated as a “major non-NATO ally” by the Bush administration. 

According to Salman Ali, a Pakistani scholar at the School of Politics at the Quaid-e-Azam University Islamabad, the recent wave of US sanctions shows a distinct shift from the usual regulatory measures observed since Pakistan’s de facto nuclearization and are aimed more at pressuring China.

“Over the past six rounds of US curbs, it’s clear that the focus has been on the technical exchanges between China and Pakistan. These sanctions are not only intended to curb the rapid advancement of missile and drone programs but are also seen as a strategy to pressure China,” Ali told Voice of America (VOA) in October.

Earlier in September, the State Department imposed sanctions on a Chinese research institute and several companies, claiming that they had been supplying the NDC with equipment. At that time, Miller said that the Beijing Research Institute of Automation for Machine Building Industry had worked with Pakistan to procure equipment for testing rocket motors for the Shaheen-3 and Ababeel systems and potentially for larger systems. 

Washington also sanctioned three China-based companies in 2023, accusing them of supplying missile-applicable items to Pakistan. 

However, Defense analysts believe the latest sanctions are unlikely to slow Pakistan’s missile program, which has continued despite multiple rounds of US curbs on entities supporting it.

“I believe Pakistan’s missile program is in an advanced stage, and US restrictions will have no impact on it,” Pakistani defence analyst Salman Javed said, as per VOA.