KUWAITI CALLS BMENA MEETING A SUCCESS, REITERATES

C O N F I D E N T I A L KUWAIT 004415

SIPDIS

E.O. 12958: DECL: 12/18/2014
TAGS: PREL KDEM PGOV MOPS ECON KU
SUBJECT: KUWAITI CALLS BMENA MEETING A SUCCESS, REITERATES
PERCEPTION OF IMBALANCE IN BILATERAL RELATIONSHIP

REF: SECDEF 092102Z DEC 04

Classified By: Ambassador Richard LeBaron for reasons 1.4 (B) and (D)


1. (C) Summary: In a December 18 call on Kuwaiti Foreign
Minister Shaykh Dr. Mohammed Sabah Al-Salem Al-Sabah,
Ambassador stressed the gravity of recent security threats to
U.S. and Kuwaiti interests and noted the weakness of the GOK
legal instruments in combating terrorist financing. (SEPTEL)
The two also addressed GOK views on the "Forum for the
Future" meeting in Morocco, the need for continued fuel for
Operation Iraqi Freedom (OIF),and the impact on the Kuwaiti
private sector of U.S. military use of Kuwaiti ports. End
Summary.

Impressions of "Forum of the Future"
--------------


2. (C) FM Shaykh Dr. Mohammed led the Kuwaiti delegation to
the "Forum of the Future" December 10-11 meeting in Rabat.
The FM reported that government participants arrived to
anti-U.S. demonstrations on the streets of Rabat and added
that most civil society groups were outright negative about
the U.S. during meetings. Nevertheless, he viewed the forum
as a symbolic success as prior to September 11, 2001, the
topic of reform could not even be discussed in the region.
He said that the process of discussing democracy in the
region had advanced considerably over the last three years.

OIF Oil Renewal
--------------


3. (C) Dr. Mohammed asked Ambassador for a his impressions
of the recent meeting between PM Shaykh Sabah and SECDEF
Rumsfield. In this context, the Ambassador mentioned that we
will be asking the GOK to extend the agreement for OIF fuel
March 2005. The Ambassador addressed the GOK perception (as
expressed by the PM) that the U.S. is asking too much from
Kuwait in the bilateral relationship by asserting that the
relationship is too valuable to damage over such a gap in
mutual perceptions. The FM remarked that members of the
National Assembly are questioning the government about the
heavy demands placed by the U.S. on Kuwait, with a focus on
the arrangements for fuel. He said that the current coverage
of costs under the DCA would be protected, but that this
would not apply to Iraq operations. Dr. Mohammed also noted
specific rumblings in the National Assembly (echoing the
complaint to SECDEF by the PM) that the U.S. is not asking
other GCC nations, specifically Oman, Qatar, and the UAE to
provide anything comparable to the contribution that Kuwait
is making to U.S. efforts to maintain regional security. (See
reftel for memcon of SECDEF meeting.)

U.S. Military Movements Impeding Kuwaiti Commerce
-------------- --------------


4. (C) FM Dr. Mohammed also stated that the use of the
Shuaiba port by U.S. military vessels is impacting Kuwait's
private sector. Kuwait Cement Company, whose chairman sits on
the board of Rashid Al-Rashid's (a Kuwaiti business mogul)
company, has complained that U.S. ships are blocking the
company's two piers, preventing the delivery of raw materials
used to produce cement. At this rate, the FM added, Kuwait
soon will have to halt cement production. He asked the U.S.
to be sensitive to the GOK's concerns. The Ambassador said he
would raise the issue with CFFLC, but noted that heavy troop
rotations scheduled for January-April would complicate the
issue. (The FonMin has previously raised the issue of
returning use of the land facilities around the port
currently used by U.S. forces, which are slated for extensive
private sector development.)

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