Turkey is planning a $3.4 billion deal missile defence deal with China and NATO is furious

China missileAlex Lee/ReutersChinese People’s Liberation Army Air Force’s anti-aircraft and ground-to-air missile systems are seen on display ahead of the 10th China International Aviation and Aerospace Exhibition in Zhuhai, Guangdong province, November 10, 2014.

Turkey’s defence minister said on Thursday the country does not plan to integrate a new missile defence system with NATO infrastructure and officials said a $US3.4 billion deal with China was still under consideration.

NATO member Turkey, chose China Precision Machinery Import and Export Corp as a preferred bidder in 2013, prompting U.S. and Western concern about security and the compatibility of the weaponry with NATO systems.

Defence Minister Ismet Yilmaz, in a written response to a parliamentary question, indicated Ankara planned to go ahead with the Chinese system, saying the evaluation of bids had been completed and no new offers received.

“The system in question will be integrated with the national system for Turkey’s defence and will be used without integrating with NATO,” Yilmaz said.

However, other government officials later made clear that did not mean a final decision had yet been reached.

China turkeyReutersDiagram explaining how the FD-2000 missile defence system works. NATO member Turkey has chosen a Chinese firm to co-produce the system. RNGS apologises for any inconvenience caused.

“We are continuing discussions with all the bidders,” the Undersecretariat for Defence Industries said in a statement.

U.S. and NATO officials are unhappy with Turkey’s choice of the China Precision Machinery, which has been under U.S. sanctions for selling items to Iran, Syria or North Korea that are banned under U.S. laws to curb the proliferation of weapons of mass destruction.

Eurosam, which is owned by Franco-Italian missile maker MBDA and France’s Thales, came second in the tender. U.S.-listed Raytheon Co also put in an offer.

(Additional reporting by Orhan Coskun and Humeyra Pamuk; Writing by Daren Butler, Editing by David Dolan and Angus MacSwan)

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This article originally appeared at Reuters. Copyright 2015. Follow Reuters on Twitter.

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