Israel's ambassador to China Yitzhak Shelef, has warned in a telegram sent to acting minister of foreign affairs Shlomo Bem Ami that China is planning retaliatory actions against Israel for backing out of the sale of a Phalcon early warning system, reported Israel Wire News Agency, quoting a radio report.
Israel has acquiesced to US pressure to cancel the deal in July.
The ambassador, in his telegram, added that Chinese President Jiang Zemin has indicated he will not agree to meet with Prime Minister Ehud Barak while the two are in New York City attending the United Nations millennium meeting, said the agency.
Israeli Prime Minister Ehud Barak had announced the cancellation of the deal during peace talks with the Palestinians at the Camp David presidential retreat in Maryland, the United State.
Members of the Congress had proposed to cut on US aid to Israel if the latter insisted on conducting the deal.
The deal has upset the United States because of fears that Beijing's purchases of the technology could upset the military balance between China and Taiwan, AFP said - (Several Sources)
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