BEIJING, July 15 -- The US House of Representatives rejected a measure that would have imposed penalties on European firms selling weapons technology to China.

    The "East Asia Security Act" has failed to garner the two-thirds majority needed for passage after US business groups expressed that they would be hurt by the measure.

    Congressional officials said after the vote that the legislation's author will make a second attempt to pass the bill next week by inserting it in State Department funding legislation.

    The bill welcomed deferral of an EU decision to terminate an arms embargo to China.

    But it also expressed concern that some European firms having aided Beijing's military build-up are also participants in leading edge US weapons programs.

    The legislation also called on US President to make an annual report to Congress "identifying every foreign person of the EU that has exported to China any arms or dual use technology for military end use since January 1, 2005."

    (Source: CRIENGLISH.com)