LIBYA: ECONOMIC SANCTIONS IMPACT ON THE CIVIL AIR FLEET

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP86T01017R000201780001-2
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 5
• Document Creation Date: December 22, 2016
• Document Release Date: January 7, 2011
• Sequence Number: 1
• Publication Date: January 15, 1986
• Content Type: MEMO

Declassified in Part - Sanitized Copy Approved for Release 2011/10/24: CIA-RDP86T01017R000201780001-2
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Declassified in Part - Sanitized Copy Approved for Release 2011/10/24: CIA-RDP86T01017R000201780001-2
 Declassified in Part - Sanitized Copy Approved for Release 2011/10/24: CIA-RDP86T01017R000201780001-2
Central Intelligence igence Agency
DIRECTORATE OF INTELLIGENCE
15 January 1986
Libya: Economic Sanctions Impact on the Civil Air Fleet
Summary
US economic sanctions against Libya have had some
impact on the operation of Tripoli's civil air
fleet. Although, the financial cost of the US embargo
to Libya is not known, the sanctions have reduced
Libya's access to new aircraft and limited purchase of
required spare parts and maintenance. The sanctions
also have forced Qadhafi to conduct a world-wide
search for small amounts of essential replacement
parts and maintenance--with checkered results.
The US embargo of Libya in March 1982 limits Libya's access
to spare parts for its fleet of Boeing 707, 727, and Lockheed
C-130/L-100 aircraft. The embargo prohibits Libyan purchase of
new US aircraft, or of foreign aircraft with substantial US
content. The sanctions halted the delivery of five Lockheed
C-130 transport aircraft from the US and 10 European-made Airbus
aircraft with substantial US content. The embargo also stopped
the direct sale to Libya of essential aircraft maintenance .
parts--notably engines and electronics.
Successful Purchases of Aircraft
Nevertheless, Libya has managed to acquire three new
Netherlands-made aircraft, two Lockheed L-100 transports, and
This memorandum was prepared by the 25X1
International Security Issues Division, Office of Global Issues,
and the Maghreb Branch, Arab-Israeli Division, 25X1
Office of Near as ern and South Asian Analysis. Information as
of 15 January 1986 was used in its preparation. Questions and
comments should be directed to Chief, Arab-Israeli Division, at 25X1
,--,NESA M#8f-20007 25X1
GIM #86-20016
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several used US-manufactured jets. Tripoli also has been able to
arrange for regular maintenance of its Boeing 727s in France and
at least occasional maintenance elsewhere for other US-made
aircraft.
-- In 1983 Libya purchased three used Boeing 707s from a
Luxembourg firm which had obtained the aircraft from Air
France. The sale was limited to three aircraft because
of US diplomatic pressure on both France and
Luxembourg.
-- The Libyans in 1984 contracted for eight Dutch Fokker
F-28 passenger aircraft. The contract was cancelled
after intensive US consultations with Fokker and the
Netherlands government. Three aircraft had been
delivered. The US content of F-28s is less than 20
percent.
-- In 1985 Tripoli obtained two new L-100 transports
The C-130/L-100s Hercules has long been the Libyans'
favorite transport aircraft, and Tripoli has gone to great
lengths to try to circumvent US export controls to obtain them.
Even with air-refueling equipment, Libyan crews would need
considerable training to perform the precision flying required
for in-flight refueling. Libya may be using the additional spare
parts that came with the two new L-100s to put back into
on on some of the 11 C-130s and L-100s it already owns.
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Aircraft Leases
Although the 1982 US sanctions require permission for
leasing US manufactured aircraft to Libya, Tripoli has leased US-
made aircraft from at least two countries. Leasing allows Libya
to augment its civil fleet and to free Libyan-owned aircraft from
commercial tasks for more sensitive work.
-- In 1983 Libyan Arab Airlines leased a Boeing 707 from
Romania's Tarom Airlines. The aircraft was hijacked to
Malta in June 1983, exposing the lease. US diplomatic
contacts wi h Romania resulted in the lease being
cancelled.
Icelandic Eagle Air has periodically leased Boeing 707s
to Libya. Although a lease signed in 1981 was allowed
to lapse shortly after the sanctions tooks effect in
1982, one Icelandic 707 has been leased to Libya since
1984 and is currently
operating for Libyan Arab Airlines.
Since 1983 Libya has been leasing a Boeing 707 from West
Coast Airlines of Ghana. West Coast Airlines was
incorporated in 1980 as a charter company and acquired
two 707s from Luxembourg firms. We believe that Libya
or Libyan nationals may have financial interests in this
Airline.
Aircraft Maintenance
The 1982 embargo has severely hindered Libyan aircraft
maintenance efforts. in mid-1983
more than half of Libya's fleet of C-13 s was not operations .
We believe only about six of Libya's 17 Boeing 707s are in good
repair. Ten Boeing 727s used by Libyan Arab Airlines for regular
commercial service to Europe, however, continue to be maintained
in France and Belgium, and Libyan 707s have been repaired in
Turkey and Yugoslavia.
-- An Italian firm cancelled its C-130 maintenance contract
with Libya after US diplomatic contacts in 1983.
-- According to press reports, a Libyan Boeing 707 cargo
aircraft was repaired in mid-1984 in Istanbul by THY
Turkish Airlines.
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The Financial Cost of Sanctions to Tripoli
The financial cost of the US embargo to Libya is not
known. Because they do not have access to new aircraft
maintenance parts and service when needed, the Libyans must
purchase several used aircraft for every one actually made
operational. In addition, Libya has actively searched for
reliable sources of parts world-wide with modest results. In
some cases Qadhafi has felt it 25X1
necessary to offer sweeteners, such as offers to buy other arms,
to deals involving evasion of the US embargo. These tactics
increase the cost of any goods received. 25X1
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Declassified in Part - Sanitized Copy Approved for Release 2011/10/24: CIA-RDP86T01017R000201780001-2