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Thursday, June 8, 2006 1:04 p.m. EDT

Chavez to Start Kalashnikov Factory

Venezuelan President Hugo Chavez’ government has struck a deal with Russia to build Latin America’s first factory making Kalashnikov rifles.

Venezuela has already taken delivery of 30,000 new Kalashnikov AK-103 assault rifles from Russia, part of a contract for 100,000 of the weapons favored by guerrillas worldwide, the Financial Times reports.

The license to build the weapons factory in Venezuela comes after the U.S. announced a ban on arm sales to Caracas, saying Chavez’s government was failing to cooperate in counterterrorism efforts.

Chavez has insisted that the U.S. has plans to invade Venezuela and is seeking to modernize his armed forces.

"We will be ready to do anything to defend our sovereignty,” he recently asserted.

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  The country is also reportedly buying patrol vessels from Spain and Sukhoi fighter jets from Russia.

The U.S. is concerned that Venezuelan arms could fall into the hands of rebels fighting the government in Colombia, an American ally, according to the Times.

Army Brigadier General Frederick Rudesheim said of Venezuela’s arms buys: "When you have that sort of wholesale purchase by a government that is so out of balance with the needs of that government, it can be nothing other than destabilizing.”

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