ASEM IV - THE VIEW FROM HANOI

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E.O. 12958: N/A
TAGS: PREL ETRD SOCI EAID ECON VM
SUBJECT: ASEM IV - THE VIEW FROM HANOI

REF: COPENHAGEN 03257


1. (U) SUMMARY. GVN OFFICIALS CHARACTERIZED THE FOURTH
ASIA-EUROPEAN MEETING (ASEM) AS A "SUCCESS." VIETNAM'S MAIN
GOAL WAS TO ADVANCE ECONOMIC RELATIONS WITH ITS EUROPEAN
PARTNERS. VIETNAM SUPPORTED THE DECLARATION ON COOPERATION
ON INTERNATIONAL TERRORISM BUT LIKELY WOULD HAVE PREFERRED
LANGUAGE ON RESOLVING THE "ROOT CAUSES." PRIME MINISTER
PHAN VAN KHAI, WHO REPRESENTED VIETNAM, ALSO VISITED
ICELAND, BELGIUM, LUXEMBOURG, AND THE EUROPEAN COMMISSION IN
CONJUNCTION WITH THE ASEM MEETING. VIETNAM WILL HOST ASEM V
IN 2004, AND HOPES FOR PARTICIPATION BY AT LEAST TWO MORE
ASEAN MEMBERS AS WELL AS ADDITIONAL EUROPEAN STATES. END
SUMMARY.

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PUSHING VIETNAM'S ECONOMIC AGENDA
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2. (U) DR. NGUYEN QUANG THUAN, DEPUTY DIRECTOR OF THE
CENTER FOR EUROPEAN STUDIES OF THE NATIONAL CENTER FOR
SOCIAL SCIENCES AND HUMANITIES OF VIETNAM, DESCRIBED THE
2002 ASEM AS A "KEY OPPORTUNITY FOR VIETNAM TO PUSH ITS
ECONOMIC AGENDA OF INCREASING TRADE WITH EUROPE." THE
OFFICIALS WHO ACCOMPANIED PRIME MINISTER PHAN VAN KHAI AT
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THE SEPTEMBER 22-24 MEETING WERE PRIMARILY FROM THE ECONOMIC
SECTOR, INCLUDING:
--MINISTER OF TRADE TRUONG DINH TUYEN;
--CHAIRMAN OF THE OFFICE OF GOVERNMENT DOAN MANH GIAO;
--MINISTER OF INDUSTRY HOANG TRUNG HAI;
--DEPUTY FOREIGN MINISTER LE VAN BANG (FORMER AMBASSADOR TO
THE U.S.)
--DEPUTY MINISTER OF PLANNING AND INVESTMENT VU HUY HOANG;
--DEPUTY FINANCE MINISTER LE THI BANG TAM;
--DEPUTY MINISTER OF FISHERIES NGUYEN THI HONG MINH;
--DEPUTY MINISTER OF SCIENCE AND TECHNOLOGY BUI MANH HAI;
ALONG WITH,
--TWENTY-ONE BUSINESS EXECUTIVES.


3. (SBU) MFA ASIA II DEPUTY DIRECTOR GENERAL TRAN HAI HAU,
WHO ACCOMPANIED PM KHAI, TOLD POLOFF SEPARATELY THAT PM KHAI
WAS "EXTREMELY PLEASED" WITH THE RECEPTION HE HAD RECEIVED
FROM HIS EUROPEAN COUNTERPARTS, INCLUDING PLEDGES OF
ADDITIONAL ODA AND SUPPORT FOR VIETNAM'S ACCESSION TO THE
WTO. THE GVN IS "ANXIOUS TO SEE ITS ECONOMIC RELATIONS WITH
EUROPE MATCH ITS POLITICAL RELATIONS," HAU NOTED. HE WAS
UNABLE TO CONFIRM THAT THE PRIME MINISTER HAD BROUGHT UP
TRADE ISSUES THAT HAVE GENERATED CONTROVERSY BETWEEN VIETNAM
AND THE EU, SUCH AS TEXTILE QUOTAS, OR THAT THE LEADERS HAD
DISCUSSED ANY SPECIFIC MEASURES TO IMPROVE TRADE RELATIONS
WITH EUROPE. HAU SAID THE PRIME MINISTER HAD, HOWEVER,
DISCUSSED THE NEED FOR MORE ASSISTANCE FROM THE EU "TO
BRIDGE THE DEVELOPMENT GAP AMONG ASEM COUNTRIES." (NOTE:
THE "DEVELOPMENT GAP" IS A COMMON THEME THAT GVN OFFICIALS
CONSISTENTLY BRING UP WITHIN THE ASEAN CONTEXT TO SEEK MORE
ASSISTANCE FOR VIETNAM. END NOTE.)
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4. (U) HAU OBSERVED THAT VIETNAM IS "LOOKING FORWARD" TO
IMPLEMENTATION OF AN "ECONOMIC TASK FORCE" AGREED UPON AT
THE MEETING. HAU SAID THIS TASK FORCE WILL BE "ACTION
ORIENTED" AND CONSIDER TRADE, INVESTMENT, AND FINANCE
ISSUES. HE ADDED THAT, AS THE HOST FOR ASEM V, VIETNAM
(ALONG WITH JAPAN) EXPECTS TO PLAY A "COORDINATING ROLE" IN
THIS TASK FORCE, BUT HE WAS UNABLE TO PROVIDE DETAILS AS TO
WHAT THIS ROLE WILL ENTAIL.


5. (SBU) MINISTRY OF TRADE (MOT) MULTILATERAL TRADE
DIVISION OFFICIALS WERE MUCH LESS UPBEAT ABOUT THE "REAL"
ECONOMIC RESULTS OF THE MEETING, HOWEVER. THEY SAID THAT
FEW OF THEIR "TOP" ISSUES WERE DISCUSSED IN DETAIL AT A HIGH
LEVEL AND INDICATED THAT ASEM IV HAD BEEN A LOST OPPORTUNITY
TO MOVE FORWARD ON STICKY BILATERAL ISSUES. IN ADDITION,
THE OFFICIALS APPEARED LESS CONVINCED OF THE ULTIMATE
USEFULNESS OF THE "ECONOMIC TASKFORCE," NOTING THAT SO FAR
THERE WAS NO CLEAR POLICY INSTRUCTION ON GOALS AND METHODS
OF ANY SUCH GROUP OR HOW THE GVN WOULD POSSIBLE FUND AND
STAFF ANOTHER SUCH EFFORT. THEY EXPRESSED CONCERN THAT IT
WOULD END UP BEING A "SHOW" FORUM THAT WILL CONSUME
RESOURCES BUT DELIVER NO CONCRETE RESULTS.

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TERRORISM/IRAQ: STAY WITHIN THE INTERNATIONAL FRAMEWORK

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INFO LOG-00 NP-00 AID-00 EVG-00 CEA-01 CIAE-00 COME-00
CTME-00 INL-00 DOEE-00 ITCE-00 DOTE-00 SRPP-00 DS-00
EB-00 ED-01 EXME-00 EUR-00 E-00 FAAE-00 FBIE-00
UTED-00 VC-00 FRB-00 HHS-01 H-01 TEDE-00 INR-00
ITC-01 L-00 VCE-00 AC-01 DCP-01 NSAE-00 NSCE-00
OES-01 OMB-01 OPIC-01 PA-00 PER-00 PM-00 PRS-00
ACE-00 P-00 SP-00 SSO-00 STR-00 TEST-00 TRSE-00
USIE-00 EPAE-00 PMB-00 DSCC-00 PRM-00 DRL-02 G-00
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AMEMBASSY SEOUL
AMEMBASSY TOKYO
ASEAN COLLECTIVE
ALL EUROPEAN UNION POST COLLECTIVE
USEU BRUSSELS
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6. (SBU) ON THE COUNTERTERRORISM FRONT, VIETNAM "WAS
PLEASED WITH AND STRONGLY SUPPORTED" THE ASEM DECLARATION,
ACCORDING TO HAU. HOWEVER, THE PRIME MINISTER MAY HAVE BEEN
"SOMEWHAT DISAPPOINTED" THAT THE FINAL TEXT DID NOT DISCUSS
THE "NEED TO ADDRESS POVERTY ALLEVIATION AND THE DEVELOPMENT
GAP" AS "ROOT CAUSES" OF TERRORISM, ACCORDING TO HAU. HAU
ALSO REITERATED THE OFT-HEARD GVN VIEW THAT, IN ADDRESSING
TERRORISM AND THE IRAQ ISSUE, "RESPECT FOR THE UN CHARTER
AND INTERNATIONAL LAWS IS MOST IMPORTANT." A DANISH EMBOFF
SAID THAT A "MULTILATERAL APPROACH" TO THESE ISSUES WAS A
"COMMON THEME" EXPRESSED BY ASEM LEADERS.

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KOREA: KEEP THE MOMENTUM GOING
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7. (U) CONCERNING THE KOREAN PENINSULA, THE EUROPEAN
STUDIES CENTER'S DR. THUAN NOTED THAT THE RECENT VISIT OF
JAPAN'S PRIME MINISTER KOIZUMI TO NORTH KOREA HAD GENERATED
MOMENTUM TO PUSH FOR "IMPROVED STABILITY" ON THE KOREAN
PENINSULA AT THE ASEM MEETING. THE DANISH EMBOFF SAID THAT
ASEM LEADERS HAD AGREED THAT THIS IS A "GOOD TIME TO ENGAGE
NORTH KOREA CONSTRUCTIVELY." THE MFA'S HAU EMPHASIZED THAT
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THE GVN IS "ENCOURAGED" BY THE ONGOING DIALOGUE AND
COOPERATION BETWEEN NORTH AND SOUTH KOREA, AND "HOPES THIS
TREND WILL CONTINUE."

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BILATERAL TALKS
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8. (SBU) THE VIETNAMESE PRESS ALSO REPORTED FULSOMELY ON
BILATERAL VISITS PM KHAI MADE TO ICELAND, LUXEMBOURG, AND
BELGIUM, AS WELL AS A VISIT TO EU HEADQUARTERS. IN ADDITION
TO THESE VISITS, THE PRESS REPORTED ON SEVERAL "SIDELINE
MEETINGS" AT ASEM IV THAT THE PRIME MINISTER HELD WITH
COUNTERPARTS FROM THE PRC, THAILAND, AND THE PRC. THE MFA'S
HAU NOTED THAT THESE MEETINGS WERE VERY SHORT, LASTING 10 TO
15 MINUTES, AND DID NOT GET INTO SUBSTANTIVE ISSUES. HAU
CONFIRMED THAT PM KHAI AND PRC PREMIER ZHU RONGJI HAD NOT
DISCUSSED THE LAND BORDER ISSUE.


9. (U) ACCORDING TO THE MFA'S HAU AND PRESS REPORTS,
HIGHLIGHTS FROM THE BILATERAL VISITS INCLUDED:
--AN INVESTMENT PROMOTION AND PROTECTION AGREEMENT WITH
ICELAND AND AN AGREEMENT TO PROVIDE TRAINING TO GVN MINISTRY
OF FISHERIES OFFICIALS;
--A PLEDGE FROM LUXEMBOURG TO PROVIDE NEARLY USD 35 MILLION
IN ODA OVER FROM 2003-2008, MAKING VIETNAM THE LARGEST
RECIPIENT IN ASIA OF LUXEMBOURG ODA IN DOLLAR TERMS.
LUXEMBOURG ALSO PLEDGED USD 250,000 IN EMERGENCY FLOOD
ASSISTANCE. FINALLY, LUXEMBOURG AIRLINES PROMISED TO
DISCUSS THE OPENING OF A DIRECT FLIGHT BETWEEN LUXEMBOURG
AND HO CHI MINH CITY;
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--A SCIENCE AND TECHNOLOGY AGREEMENT WITH BELGIUM;
--A USD 100 MILLION PLEDGE OF ADDITIONAL AID OVER THE NEXT
THREE YEARS FROM THE EU; AND,
--PLEDGES OF SUPPORT FOR VIETNAM'S ACCESSION TO THE WTO FROM
ALL THE BILATERAL HOSTS.

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ASEM V ENLARGEMENT
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10. (U) HAU SAID VIETNAM IS "EXCITED" TO HOST ASEM V IN

2004. THE MFA PLANS TO WORK WITH OTHER MINISTRIES,
ESPECIALLY MOT, TO COORDINATE PLANS. MFA IS "CONSIDERING"
ESTABLISHING A SEPARATE ASEM UNIT IN MFA TO PREPARE FOR ASEM
V, BUT FOR NOW, THE RESPONSIBILITY REMAINS WITHIN THE ASIA
II DIVISION, HAU CLAIMED. THERE IS, HOWEVER, ALREADY AN
ASEM OFFICE IN THE MULTILATERAL TRADE DIVISION AT MOT.


11. (U) HAU REPORTED THAT ASEM ENLARGEMENT WAS NOT
DISCUSSED AT THE COPENHAGEN MEETING BECAUSE IT HAD BEEN
VETTED LAST JUNE AT THE FOREIGN MINISTERS' MEETING IN
MADRID. "VIETNAM IS HOPEFUL" THAT ASEM V WILL INCLUDE THE
THREE REMAINING ASEAN MEMBERS (BURMA, CAMBODIA, AND LAOS)
THAT DO NOT YET PARTICIPATE IN ASEM, BUT HE ACKNOWLEDGED
THERE ARE "CONCERNS" AMONG SOME EU COUNTRIES REGARDING
BURMA. HAU OPINED THAT IT IS ALSO "LIKELY" ADDITIONAL

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INFO LOG-00 NP-00 AID-00 EVG-00 CEA-01 CIAE-00 COME-00
CTME-00 INL-00 DOEE-00 ITCE-00 DOTE-00 SRPP-00 DS-00
EB-00 ED-01 EXME-00 EUR-00 E-00 FAAE-00 FBIE-00
UTED-00 VC-00 FRB-00 HHS-01 H-01 TEDE-00 INR-00
ITC-01 L-00 VCE-00 AC-01 DCP-01 NSAE-00 NSCE-00
OES-01 OMB-01 OPIC-01 PA-00 PER-00 PM-00 PRS-00
ACE-00 P-00 SP-00 SSO-00 STR-00 TEST-00 TRSE-00
USIE-00 EPAE-00 PMB-00 DSCC-00 PRM-00 DRL-02 G-00
NFAT-00 SAS-00 /012W
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R 030854Z OCT 02
FM AMEMBASSY HANOI
TO SECSTATE WASHDC 7693
INFO AMCONSUL HO CHI MINH CITY
AMEMBASSY BEIJING
AMEMBASSY SEOUL
AMEMBASSY TOKYO
ASEAN COLLECTIVE
ALL EUROPEAN UNION POST COLLECTIVE
USEU BRUSSELS
SECDEF WASHDC//ISA/ACHAO//
USCINCPAC HONOLULU HI

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EUROPEAN COUNTRIES WILL PARTICIPATE, DEPENDING UPON THE
SCHEDULE OF EU ENLARGEMENT.
BURGHARDT

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