AMBASSADOR'S MEETING WITH NEW CANADIAN DEPUTY

C O N F I D E N T I A L SECTION 01 OF 02 OTTAWA 001722

SIPDIS

STATE FOR DEPUTY SECRETARY ARMITAGE, NSC FOR DEPUTY
NATIONAL SECURITY ADVISOR HADLEY

E.O. 12958: DECL: 06/17/2013
TAGS: PREL ETRD MARR SMIG PARM CA KICC
SUBJECT: AMBASSADOR'S MEETING WITH NEW CANADIAN DEPUTY
FOREIGN MINISTER HARDER

REF: (A) STATE 164143 (B) USUN 1525

Classified By: Ambassador Paul Cellucci,
Reasons 1.5 (b) and (d).

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SUMMARY AND COMMENT
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1. (C) Peter Harder, Canada's new Deputy Foreign Minister,
met with Ambassador Cellucci on June 17 to discuss the
bilateral relationship and his June 19-20 visit to
Washington. Harder and the Ambassador discussed management
of the relationship, energy cooperation, missile defense, the
ICC, the Trafficking in Persons report, and the Proliferation
Security Initiative. Harder's appointment is part of an
effort, led by Privy Council Clerk Alex Himelfarb (a close
friend of Harder's),to get U.S.-Canada relations on a better
footing. We expect Harder to be more pragmatic in his
approach to the relationship than is usually the case at
Foreign Affairs. As Deputy Minister at Industry Canada (his
previous post),Harder told his staff that the biggest
priority for Canada is how it can exist and prosper in "this
North American space." END SUMMARY AND COMMENT.

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BILATERAL RELATIONSHIP
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2. (C) Harder told the Ambassador that meeting with him and
visiting Washington were top priorities for his first week on
the job. While in Washington June 19-20, Harder will be
meeting with Deputy Secretary Armitage and Deputy National
Security Advisor Hadley, among others. The Ambassador
responded that while there have been strains in the bilateral
relationship over Iraq, the relationship remains strong. He
noted that the "Buy American" provision in the House version
of the 2004 Defense Authorization Bill (ref. A) was motivated
in part by some members' desire to punish Canada for its
position on Iraq, but that State and Defense are opposing the
provision.


3. (C) Harder said that Foreign Affairs (DFAIT) and the
Government as a whole are looking at how to better manage
U.S.-Canada relations, making for more coherent policy across
the many agencies involved. The Ambassador cited the GoC's
proposed legislation to decriminalize marijuana as a policy
initiative in one area that would have detrimental effects in
another, the border. Harder agreed. He noted that greater
central supervision of the bilateral relationship is also
being discussed by the contenders in the Liberal Party
leadership race.


4. (C) Harder said that the GoC needed to work on its
"post-NAFTA" agenda, strengthening the bilateral economic
relationship and "trilateralizing" some issues to include
Mexico. The private sector would need to be consulted, he
said, because its support had been critical for pushing
through both the bilateral Free Trade Agreement and NAFTA.
Provincial Premiers and U.S. Governors should also be engaged
more often on issues such as energy transmission. Harder was
pleased that Canadian is increasing its diplomatic presence
in the U.S., and said that Industry Canada had sacrificed 25%
of its incremental budget in FY2003-2004 to help fund this
expansion.


5. (C) The Ambassador observed that the relationship between
Secretary of Homeland Security Ridge and Deputy Prime

SIPDIS
Minister Manley was excellent, but that Manley's future was
uncertain given the Liberal leadership race. Harder said
that our border management cooperation needed to be
institutionalized. He noted that in 1993, the Conservative
government of the day had created a Department of Public
Security, which drew together many of the same functions as
the U.S. has now done under Homeland Security. Harder
became Deputy Minister of Public Security, but the Department
was closed after only a few months because of concerns that
immigration should be kept separate from law enforcement.
Harder did not expect the GoC to create a new
"super-department," but it was clear that stovepiping needed
to be reduced.

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MISSILE DEFENSE/NORAD
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6. (C) On missile defense, the Ambassador welcomed the June
18 visit to Washington by a Canadian delegation to discuss
potential Canadian participation. He noted that the missile
defense execution mission would be at NORTHCOM, instead of
NORAD, but said that Canadian participation was important to
continue our longstanding cooperation in North American
defense. Harder said that DFAIT and National Defense hope to
be able to complete negotiations and report to Cabinet in the
fall, but their understanding from DoD is that this will take
longer. Harder added that Foreign Minister Graham is
planning to visit NORAD August 28-29, and that he may try to
join Graham for that visit. The Ambassador encouraged him to
do so.

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ICC/UNSC RESOLUTION 1422
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7. (C) On the ICC, the Ambassador raised Canadian PermRep
Heinbecker's statement opposing UNSC Resolution 1422 (ref.
B),and said that Canada should be sensitive to the U.S.
position. We want to continue to support peacekeeping
operations, but we're a target internationally, as evidenced
by the outrageous war crimes charges brought against U.S.
officials in Belgium. Harder responded that Heinbecker was
simply restating Canadian policy, and that DFAIT was careful
to ensure that his statement did not directly criticize the
U.S. He hoped that the U.S. position would change once the
ICC had a track record showing that it would not allow
frivolous claims.

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TRAFFICKING IN PERSONS
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8. (C) On the recent Trafficking in Persons report, the
Ambassador explained that Canada had been dropped from Tier 1
to Tier 2 status because of inadequate enforcement and
prosecution. We hope that the anti-trafficking legislation
Canada enacted in 2002 will make a difference. Harder said
that Citizenship and Immigration Canada was puzzled by the
lower ranking, and that our official cooperation on this
issue has been excellent. The Ambassador said that one area
where Canada could help would be removal of South Korea from
its visa waiver program, as this is one route for sex trade
victims to enter Canada.

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PROLIFERATION SECURITY INITIATIVE
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9. (C) Harder expressed his disappointment that Canada had
not been invited to participate in the June 12 Madrid meeting
on the Proliferation Security Initiative, given Canada's
activism on non-proliferation issues and our North American
security cooperation. Harder said that Defense Minister
McCallum had raised this with Defense Secretary Rumsfeld at
NATO, and that DFAIT Assistant Deputy Minister Wright would
do so with Under Secretary Bolton.

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BIO NOTE
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10. (SBU) Harder is a career public servant who began at
DFAIT but has served in a number of different departments.
Harder, now 50, was the second youngest Canadian ever
appointed as a deputy minister in 1991. According to
contacts at Industry Canada, he focuses on making decisions
which will serve the interests of the largest number of
Canadians, and presses his staff to identify such choices.
He is sharp, affable, and popular with his staff. Harder's
right hand person is Pam LeBlanc, who has been with him in at
least four assignments and joins him again at DFAIT. Harder
is part of the inner circle of senior Canadian bureaucrats,
most of whom expect he will be the next Clerk of the Privy
Council, the top civil servant position in Ottawa. At DFAIT,
Harder replaces Gaetan Lavertu, who has been re-assigned as
Ambassador to Mexico.
CELLUCCI