Identifier
Created
Classification
Origin
02ROME3301
2002-07-05 14:52:00
UNCLASSIFIED
Embassy Rome
Cable title:  

AMBASSADOR TALKS BUSINESS AT AMCHAM LUNCHEON

Tags:  ECON IT 
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This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS SECTION 01 OF 02 ROME 003301 

SIPDIS

E.O. 12958: N/A
TAGS: ECON IT ITECON
SUBJECT: AMBASSADOR TALKS BUSINESS AT AMCHAM LUNCHEON

UNCLAS SECTION 01 OF 02 ROME 003301

SIPDIS

E.O. 12958: N/A
TAGS: ECON IT ITECON
SUBJECT: AMBASSADOR TALKS BUSINESS AT AMCHAM LUNCHEON


1. SUMMARY: THE AMERICAN CHAMBER OF COMMERCE (AMCHAM) IN
ITALY HOSTED A JUNE 18 LUNCHEON FOR THE AMBASSADOR. IN HIS
REMARKS, THE AMBASSADOR ASKED AMCHAM MEMBERS TO BECOME MORE
UNCLASSIFIED

PAGE 02 ROME 03301 01 OF 02 051439Z
ACTIVE AND ASKED THAT THE AMCHAM AND ITS MEMBERS WORK
CLOSELY WITH THE EMBASSY. HE EMPHASIZED THE EMBASSY'S
COMMITMENT TO SUPPORTING U.S. FIRMS, BUT ALSO NOTED THAT
LOBBYING IS A LEGITIMATE ACTIVITY FOR BUSINESS. AMCHAM
MEMBERS THANKED THE AMBASSADOR FOR HIS AND THE EMBASSY'S
ONGOING EFFORTS TO ENSURE EQUAL, FAIR AND TRANSPARENT
TREATMENT FOR U.S. COMPANIES AND ALSO RECOGNIZED EMBASSY'S
SUPPORT IN PROVIDING ACCESS AND CREATING A POSITIVE BUSINESS
ENVIRONMENT IN ITALY. AN ACTIVE DISCUSSION ENSUED REGARDING
OBSTACLES AND OPPORTUNITIES FOR U.S. FIRMS IN ITALY, AND HOW
THE AMCHAM CAN BEST ASSIST ITS MEMBERS. THIS MEETING WAS A
USEFUL EVENT IN A CONTINUING EFFORT TO IMPROVE OPPORTUNITIES
FOR U.S. FIRMS IN ITALY. END SUMMARY.


2. THE AMCHAM HOSTED A JUNE 18 LUNCHEON IN ROME IN HONOR OF
AMBASSADOR SEMBLER. PARTICIPANTS INCLUDED REPRESENTATIVES
FROM CATERPILLAR, MORGAN GUARANTY TRUST, PMG, UNION CARBIDE,
PHILLIP MORRIS, VERIZON, BOYDEN INT., PROCTER AND GAMBLE,
THE AMERICAN INTERNATIONAL CLUB OF ROME, MCDONALDS, PFIZER,
AND BOOZ-ALLEN. COMMERCIAL MINISTER COUNSELOR ERIC WEAVER,
ECONOMIC COUNSELOR AND ECONOMIC AND COMMERCIAL SPECIALISTS
ALSO PARTICIPATED.


3. AMBASSADOR SEMBLER UNDERSCORED THE IMPORTANCE OF AN
ACTIVE AMCHAM IN ORDER FOR U.S. COMPANIES TO DEVELOP AND
GROW IN LOCAL MARKETS. HE ENCOURAGED COMPANY EXECUTIVES TO
BECOME MORE ACTIVE IN AMCHAM ACTIVITIES, AND TOLD THEM SUCH
EFFORTS WILL PAY LONG-TERM DIVIDENDS FAR IN EXCESS TO THEIR
AMCHAM INVESTMENT OF TIME AND ENERGY. THE AMBASSADOR
STRESSED HIS COMMITMENT TO CORRECTING THE TRADE IMBALANCE
BETWEEN THE U.S. AND ITALY. HE OFFERED THE EMBASSY'S SUPPORT
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PAGE 03 ROME 03301 01 OF 02 051439Z
TO U.S. FIRMS, AND URGED THEM TO WORK WITH THE EMBASSY TO
REDUCE BARRIERS TO U.S. TRADE AND INVESTMENT IN ITALY. HE
ALSO NOTED THAT LOBBYING, WHILE NOT COMMON AMONG ITALIAN
FIRMS, WAS A PERFECTLY LEGITIMATE ACTIVITY FOR FIRMS AND
ORGANIZATIONS TO PROTECT AND PROMOTE LEGITIMATE BUSINESS
INTERESTS.


4. MINISTER COUNSELOR WEAVER INVITED AMCHAM TO STAY ACTIVE
AND HIGHLIGHTED THE SUCCESSFUL COOPERATION BETWEEN THE U.S.
MISSION AND THE AMCHAM IN RECENT YEARS. HE NOTED THAT

WORKING TOGETHER HAS ENABLED U.S. BUSINESSES TO GROW,
CONSOLIDATE AND BE MORE SUCCESSFUL IN ITALY. THE ECONOMIC
COUNSELOR ECHOED THE AMBASSADOR IN OFFERING THE EMBASSY'S
SUPPORT. SHE SPECIFICALLY INVITED AMCHAM MEMBERS TO COME TO
THE EMBASSY EARLY WHEN THEY HAVE VIEWS, CONCERNS OR SPECIFIC
INTEREST IN ITALIAN POLICIES/LEGISLATION, EU
POLICIES/DIRECTIVES OR INTERNATIONAL (WTO, OECD)
NEGOTIATIONS.


5. COMPANY REPRESENTATIVES ENDORSED THE CALL FOR CONTINUED
EMBASSY/AMCHAM COOPERATION AND EXPRESSED APPRECIATION FOR
THE EMBASSY'S LONG-TERM CONTRIBUTION IN SUPPORTING U.S.
BUSINESS IN ITALY AND IN ENSURING EQUAL ACCESS AND A LEVEL
PLAYING FIELD. VERIZON REPRESENTATIVE MADE SPECIFIC
REFERENCE TO THE EMBASSY'S EFFECTIVE INTERVENTION, WHICH
ASSURED THAT VERIZON COULD PARTICIPATE IN A LARGE PUBLIC
TENDER IN 2001. (NOTE: VERIZON WON THE CONTRACT).


6. AN ACTIVE DISCUSSION ENSUED, INVOLVING ALL PARTICIPANTS.
AMONG ISSUES DISCUSSED WERE:

UNCLASSIFIED

PAGE 04 ROME 03301 01 OF 02 051439Z
-- BARRIERS TO U.S. TRADE AND INVESTMENT, INCLUDING THE
COMPLEX TAX SYSTEM, LABOR RIGIDITIES, THE DIFFICULT
BUREAUCRATIC OBSTACLES, AND THE INADEQUACIES OF THE ITALIAN
JUSTICE SYSTEM.

-- ITALY'S DIFFERENT BUSINESS CULTURE, REQUIRING PERSONAL
TRUST AND LONG TERM RELATIONSHIPS.

-- LARGE NUMBER OF U.S. "CONSULTANTS" WHO COME TO ITALY,
WHEN THE NEED IS FOR ENTREPRENEURS, MANAGERS AND PRODUCTIVE
FIRMS.

-- IDEA OF FORMING INDUSTRY SUBGROUPS WITHIN AMCHAM TO
EXPLORE THE PROBLEMS/OPPORTUNITIES IN EACH SECTOR AND FOCUS
LOBBYING EFFORTS.


7. THE PROCTER AND GAMBLE REPRESENTATIVE NOTED THAT, WHILE
IN THE PAST THE FIRM'S OFFICIALS HAD PREFERRED THAT IT BE
SEEN AS AN ITALIAN ENTITY (INSTEAD OF AS A BRANCH OPERATION
OF A U.S. MULTINATIONAL),THIS HAS CHANGED. THEY NOW
BELIEVE IT IS IN THEIR INTEREST TO GIVE GREATER VISIBILITY
TO THEIR U.S. OWNERSHIP AND ARE, THEREFORE, MORE WILLING TO
PARTICIPATE IN AMCHAM ACTIVITIES AND ENGAGE IN GREATER
DIALOGUE WITH THE EMBASSY. THE PROCTER AND GAMBLE
REPRESENTATIVE THOUGHT THAT OTHER COMPANIES ALSO MIGHT BE
THINKING ALONG THESE LINES.

UNCLASSIFIED

UNCLASSIFIED PTQ7235

PAGE 01 ROME 03301 02 OF 02 051440Z
ACTION EUR-00

INFO LOG-00 AGRE-00 AID-00 CEA-01 CIAE-00 CTME-00 DODE-00
ITCE-00 DOTE-00 SRPP-00 EB-00 EXME-00 E-00 FAAE-00
UTED-00 VC-00 FRB-00 H-01 TEDE-00 INR-00 ITC-01
L-00 VCE-00 AC-01 NSAE-00 NSCE-00 OMB-01 OPIC-01
PER-00 ACE-00 SP-00 SSO-00 SS-00 STR-00 TEST-00
TRSE-00 USIE-00 DRL-02 G-00 SAS-00 /008W
-------------- C708CB 051446Z /38
R 051452Z JUL 02
FM AMEMBASSY ROME
TO SECSTATE WASHDC 4639
INFO USDOC WASHDC
AMCONSUL MILAN
AMCONSUL FLORENCE
AMCONSUL NAPLES

UNCLAS SECTION 02 OF 02 ROME 003301

SIPDIS

E.O. 12958: N/A
TAGS: ECON IT ITECON
SUBJECT: AMBASSADOR TALKS BUSINESS AT AMCHAM LUNCHEON


8. COMMENT: THE SESSION SEEMED TO PROVIDE A CATALYST FOR A
MORE ACTIVE AMCHAM AND ENHANCED EMBASSY/AMCHAM COOPERATION.
NEW AMCHAM PRESIDENT MARIO RESCA, CEO OF MCDONALDS ITALY, IS
A SAVVY BUSINESSMAN WITH A SOLID NETWORK OF ITALIAN AND
UNCLASSIFIED

PAGE 02 ROME 03301 02 OF 02 051440Z
AMERICAN CONTACTS. HE IS EXPECTED TO MAKE THE AMCHAM A MORE
VIBRANT AND EFFECTIVE ORGANIZATION. WE PLAN TO WORK CLOSELY
WITH HIM ON ENHANCING SUPPORT TO U.S. BUSINESS AND
OVERCOMING ITALIAN BARRIERS TO TRADE AND INVESTMENT. WE
WILL ALSO FOLLOW UP WITH AMCHAMON SPECIFIC IDEAS, SUCH AS
THE SECTORAL WORKING GOUPS.

SEMBLER

UNCLASSIFIED

>
2002ROME03301 - Classification: UNCLASSIFIED