On 14 April 1999 the Iranian armed forces carried out a successful test of a surface-to-air missile. A spokesman of the Iranian Ministry of Defense reported "the missile was able to hit its target at an appropriate altitude." This missile was designated Sayyad-1, named for assassinated commander Lt-Gen. Ali Sayyad-Shirazi.

Tehran's Voice of the Islamic Republic of Iran broadcast, "...With the manufacture of this modern surface-to-air missile by the Iranian designers and specialists at the Aerospace Industries Organization affiliated to the Defense and Armed Forces Logistics Ministry of the Islamic Republic of Iran, another step has been taken to reinforce Iran's defense might....Iran's defense might is in fact a speed bump on the way of the aggressive and expansionist policies of the Zionist regime, and the test-firing of the Sayyad-1 surface-to-air missile is a display of the will and might of the armed forces of the Islamic Republic of Iran to stand firm against the true enemies of Islam and the Islamic Republic of Iran."

Ministry of Defense and Armed Forces Logistics spokesman Keyvan Khosrawi said that the missile was produced completely by the Airspace Industries Organization, affiliated to the Ministry of Defense and Armed Forces Logistics. Iranian defense ministry officials acknowledged that the Sayyad-1 missile was an SA-2 of Chinese design, but was at least partially manufactured in Iran. Chinese Aviation Industry Minister Zha Yuli was on an official visit to the strategic Iranian town of Qeshm in Bushehr province at the time the missile is test-fired. Chinese ambassador to Iran, Wang Shijie, accompanied him on the trip.

Another report suggested that the Sayyad-1 medium to long range air defense missile was developed using elements of technologies of the Hawk and Standard missiles. Having upgraded the missile's warhead, the Iranians increased its firing range to 45-50 kilometers.

In November 1999 Iran's Revolutionary Guards held air defense exercises in central Iran. The exercises, in a desert near Qom, ended on November 10 with "final testing" of Sayyad-1 anti-aircraft missile. "The latest anti-aircraft technology will be deployed. The purpose of the exercises is to procure defensive readiness," General Hossein Khaleqi said.

Minister of Defense and Armed Forces Logistics Vice-Admiral Ali Shamkhani told state television on 23 August 2000 that he would open 23 industrial, research, manufacturing, and services projects during Government Week. Soon to be inaugurated, Shamkhani said, were the Saeqeh and Sayyad-1 air defense missiles.

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