The Ambassador's June 13 Meeting with the Prime

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TAGS: PREL PHUM PGOV KIRF PINR MARR OVIP ETRD VM WTO HIV AIDS AFLU HUMANR RELFREE CNARC
SUBJECT: The Ambassador's June 13 Meeting with the Prime
Minister

Summary
--------------


1. (SBU) The Ambassador met June 13 with Prime Minister Phan
Van Khai to discuss the latter's upcoming trip to the United
States and a number of pending issues, including Vietnam's
WTO accession bid. The Prime Minister expressed his
commitment to using his visit to construct the framework for
further deepening the two countries' friendship and building
a long-term, stable partnership. Although Vietnam is
committed to concluding its bilateral WTO negotiations with
the United States now, the Prime Minister proposed that, in
case no conclusion is reached during his visit, the two
sides strive to conclude "major agreements about Vietnam's
WTO bid." He also requested President Bush voice support
for Vietnam's WTO accession during their post-meeting press
availability. He argued for Vietnam's status as a market
economy and urged the United States to lift Jackson-Vanik
and grant Vietnam permanent Most Favored Nation status
(i.e., Permanent Normal Trade Relations).


2. (SBU) Summary, cont'd: The Prime Minister agreed with
the Ambassador's call for better cooperation and
coordination in health-related issues and observed that an
Adoptions Agreement is within reach. He expressed optimism
about concluding an IMET Agreement before his visit and
pledged increased transnational crime and counternarcotics
cooperation (and suggested having positions in our
respective embassies for this purpose.) The Prime Minister
concluded the meeting by asking for the Ambassador's advice
on how to raise the issue of Agent ORANGE while in the
United States, a subject that his domestic public opinion
would not let him avoid. Should the PM discuss the issue,
the Ambassador urged him to acknowledge the disabilities
assistance the USG has already provided Vietnam and note the
need for increased scientific research. During the over one-
hour meeting, PM Khai was relaxed, well-briefed and clearly
looking forward to his upcoming trip. End Summary.

PM's Visit to Build the Framework for Future Relations
-------------- --------------


3. (SBU) The Ambassador met for over an hour June 13 with
Prime Minister Phan Van Khai. Vice Foreign Minister Le Van
Bang, Office of the Government External Relations Deputy
Director Nguyen Thu Do and Pol/C also attended. The Prime
Minister opened the meeting by thanking the Ambassador for
the USG's cooperation and help in preparing for his visit.
For its part, the GVN is working hard to make the visit a
success, including sending two advance teams, a first for
Vietnam. The official delegation will also be one of
Vietnam's largest ever, with one Deputy Prime Minister, five
ministers and ten vice ministers. This shows the great
importance Vietnam attaches to the visit, which will help to
promote cooperation in areas related to politics, economics,
science and technology, defense and security. On the
occasion of the tenth anniversary of bilateral relations,
the visit reflects the positive developments in bilateral
relations and will help to construct the framework for
further deepening the two countries' friendship and building
a long-term, stable partnership in the interests of both
sides, the PM said.


4. (SBU) The Ambassador responded that the United States
shares Vietnam's aspirations for and views on this important
visit. With its auspicious timing on the tenth anniversary
of diplomatic ties, there is no better symbol of where our
relationship is and how far it has come. Many people in the
United States still do not know about the Vietnam of today,
and the PM's visit will help to educate them. Both sides
are currently working on a draft joint statement, and we are
aware that the Prime Minister made a personal and important
contribution to it. In addition, we have been working hard
to conclude a number of official and commercial agreements.
In fact, a senior Consular Affairs official will soon arrive
to continue discussions on an Adoptions Agreement, the
Ambassador noted.

WTO
---


5. (SBU) Another focus of the PM's visit will be economic
issues, including Vietnam's WTO accession efforts, the
Ambassador continued. The PM's stops in Seattle and New
York City will underscore the extent that bilateral trade
and investment ties have grown. That said, both sides agree
that more is possible, and, to that end, Vietnam's WTO
accession is key. The United States continues to support
Vietnam's WTO aspirations and we are looking forward to this
week's market access negotiations. We also applaud the work
that the GVN and the National Assembly are doing to bring
Vietnam's laws and regulations into compliance with the WTO.
Both the bilateral and multilateral tracks are vital to
achieving Vietnam's goal, and it is clear that Vietnam is
taking these tasks seriously.

Need Better Health Cooperation
--------------


6. (SBU) Another important bilateral topic that will come up
during the visit is health cooperation, particularly in the
areas of HIV/AIDS and Avian Influenza (AI),the Ambassador
said. The story of our cooperative efforts is a good one,
but people will want hear the Prime Minister's assurances
about how Vietnam will tackle the tasks before it. There
are considerable funds available to contribute to the fight
against HIV/AIDS, but we need to meet our targets, and this
requires increased bilateral cooperation. On AI, the key is
the degree to which Vietnam is transparent and willing to
work with the international community in a constructive way.
The United States and other donors have additional funds to
support Vietnam and want to work through the WHO and FAO.
There is much press and other interest in the possibility of
a pandemic and what Vietnam will do to prevent this. There
has so far been much good work, but more cooperation with
the Ministry of Health (MoH) is possible and needed. For
example, the USG has offered USD 2.5 million to Vietnam's
National Institute for Hygiene and Epidemiology (NIHE) to
help increase Vietnam's surveillance and diagnostic
capability, but we have not yet received the MoH's
agreement, the Ambassador observed.

Vietnam's Media Strategy Critical
--------------


7. (SBU) Many other issues will be raised during the PM's
visit, and the extent to which Vietnam can convey its
message through the U.S. media will be critical. The
Ambassador described the goodwill towards Vietnam he
encountered among academics, businesspeople and private
citizens during a recent trip to the United States. Having
a good media message is the best way to reinforce and
strengthen this goodwill. At the same time, there may also
be some in the United States who, during the PM's visit,
will speak out against improving bilateral relations.
However, although these voices do not reflect the general
attitude towards Vietnam in the United States, in America's
open society all voices are allowed to be heard. During the
trip, the PM and his delegation will have a wonderful
opportunity for Vietnam to ensure its voice is heard, the
Ambassador noted.

With the Press, a Presidential Statement of WTO Support
-------------- --------------


8. (SBU) Expressing his hope for the chance to have further
in-depth conversations during the visit, the Prime Minister
invited the Ambassador to accompany him during his travel in
the United States. Continuing, the PM expressed his hope
that the Adoptions Agreement could be finalized to allow it
to be signed during the visit. On WTO accession, Vietnam
attaches great importance to acceding, and therefore has
dispatched Deputy Prime Minister Vu Khoan and several vice
ministers to back up the negotiating team in Washington.
Vietnam has a strong determination to conclude its bilateral
talks with the United States now. In the event that
concluding the talks is not possible, the Prime Minister
expressed his Government's hope that the two sides will
still be able to arrive at "major agreements about Vietnam's
WTO bid." Vietnam also hopes that, during the press
availability after the meeting with the President, the
President will express his support for Vietnam's WTO
accession, the PM said.


9. (SBU) On health cooperation, the Prime Minister promised
to pass the Ambassador's points to the Minister of Health.
Vietnam recognizes and appreciates President Bush's support
for Vietnam's fight against HIV/AIDS. To address health-
related issues during the visit, the Minister of Health has
joined the official delegation, and Vietnam hopes to promote
further cooperation in this area, the PM said.

"Recognize Vietnam as a Market Economy, Lift Jackson-Vanik"
-------------- --------------


10. (SBU) Vietnam has undergone 20 years of reform in which
it has been transformed from a planned economy to a market
economy and recorded enormous achievements, the PM
continued. Vietnam will continue with its "doi moi"
(renovation) process to further improve market mechanisms
and institutions. In recent years, Vietnam has adopted many
active measures to integrate more into the regional and
global economies. Therefore, Vietnam hopes that the United
States will recognize Vietnam as a market economy. Although
much remains to be done, in terms of building a market
economy, Vietnam has done in 20 years what developed
countries took centuries to achieve. Vietnam would thus
like the United States to lift Jackson-Vanik and grant
permanent Most Favored Nation status (i.e., Permanent Normal
Trade Relations). Vietnam has a strong will to change, and
the National Assembly is determined to bring Vietnam's laws
in line with WTO standards, the PM emphasized.

Human Rights and Religious Freedom: "Much Progress"
-------------- --------------


11. (SBU) The Prime Minister will take every opportunity to
express Vietnam's position and opinions during contacts with
the American media. For example, in the areas of human
rights and religious freedom, there are still differences
between the United States and Vietnam. Vietnam has
undertaken measures to better the situation, but needs more
time to make further improvements. This is an issue with
historic roots in Vietnam because war divided the country in
two, and there have been serious domestic tensions. In the
past, regulations such as the new Ordinance on Religion or
the Prime Minister's Instruction on Protestantism would not
have been supported by the public. Through efforts at
national reconciliation and with the support of the people,
Vietnam has been able to issue these and other regulations.
In keeping with the PM's Instruction, local authorities now
increasingly recognize churches and provide them with
favorable conditions. Local authorities also know that they
have to give religious adherents equal treatment. One
problem in some of these regions is there may be some
activities that are influenced by outsiders. The GVN fully
understands that certain ethnic minorities still face great
difficulties and that their education levels are low. The
Government's policy is to support these people. In the near
future, new churches will continue to open up, the Prime
Minister pledged.

Promise of Declaration of Independence Not Yet Fulfilled
-------------- --------------


12. (SBU) In terms of human rights and democracy, Ho Chi
Minh borrowed from the American Declaration of Independence
to write Vietnam's own Declaration, the PM continued.
However, due to wars, Vietnam has not been able to fulfill
the promise of this Declaration. During the "doi moi"
process, the freedom of the Vietnamese people has been
strongly promoted for the better. Under "former regimes,"
the economy was made up of state-run and collectivized
sectors. However, with Vietnam's new Enterprise Law, people
are free do engage in business and rewarded economically if
they succeed. "I would like to reaffirm to you that, during
the 'doi moi' process, freedom and democracy have been
improved," the PM said. Every country must develop in its
own way and according to its own conditions, and the Prime
Minister expressed his hope that the USG and the President
will understand the situation in Vietnam in order to discuss
issues of mutual concern. "I believe my visit will enable
our two countries to develop relations further in this new
era," the Prime Minister said.

Keeping up the Relationship's Momentum
--------------


13. (SBU) During the PM's visit, his interlocutors will want
to hear more about his thoughts on expanding Vietnam's
market economy, increasing space for religious believers and
growing democracy in Vietnam, the Ambassador said.
Furthermore, we will need to look beyond the visit in order
to keep up the momentum in the bilateral relationship. On
WTO, for example, although we will likely see progress,
regardless of whether there is an agreement in the next two
weeks, we must continue our efforts. For example, part of
the WTO accession process will be a Congressional vote on
PNTR for Vietnam. Subsequently, entering the WTO will set
the stage for Vietnam to host APEC, an opportunity which
brings its own set of challenges, the Ambassador said.

Religious Freedom Progress, Human Rights Dialogue
-------------- --------------


14. (SBU) Thanking the Prime Minister for his comments on
religious freedom and human rights, the Ambassador noted
that we had seen good progress in recent months. Provided
Vietnam implements consistently its new laws and
regulations, the stage will be set for removing the Country
of Particular Concern designation and, more importantly,
Vietnam will eventually become a country in which people are
allowed to practice religion freely. Our two governments
are currently discussing how to renew our Human Rights
Dialogue to create the foundation for discussing important
issues in a spirit of mutual respect. There are many
possible areas in which we can agree and make progress,
creating even more goodwill in the United States.

Transnational Crime, Mil-Mil, Fullest Possible Accounting
-------------- --------------


15. (SBU) Another issue we will continue to address in the
months ahead is the need to raise our counternarcotics and
transnational crime efforts to a new level of operational
cooperation, the Ambassador continued. Nothing will happen
overnight, but we need to start the process that will lead
us in the right direction. Similarly, the Prime Minister's
meeting with the Secretary of Defense will be an excellent
opportunity to explore how to broaden our military-to-
military relationship. We remain hopeful that we will be
able to reach an IMET Agreement soon.


16. (SBU) We will also need to continue to focus on fullest
possible accounting cooperation. We have made good progress
recently, particularly in regards to Central Highlands
operations, underwater searches and archival access, and we
are particularly grateful to the GVN for agreeing to allow a
resumption of Central Highlands activities. While all of
these joint efforts are important, we also look forward to
Vietnam's unilateral efforts. For its part, the USG remains
committed to helping Vietnam whenever possible to account
for its own missing, the Ambassador said.


17. (SBU) Responding to the Ambassador on the subject of
transnational crime and other cooperation, the Prime
Minister said that the USG and the Ministry of Public
Security (MPS) can take steps to promote cooperation,
exchange information and cooperate in the fight against
crime and narcotics trafficking. Perhaps the USG and GVN
could establish positions in their respective embassies for
this purpose, the PM suggested. On IMET, the Prime Minister
expressed his complete agreement and said the MFA will be in
contact soon. Vietnam wishes to take a step-by-step
approach in expanding our defense relationship and is
looking to participate someday in peacekeeping operations
through medical or demining activities. However, English-
language communication difficulties make this difficult, the
Prime Minister said.

Agent ORANGE
--------------


18. (SBU) Expressing agreement with the Ambassador's points
on fullest possible accounting, the Prime Minister sought
the Ambassador's advice on how to deal with the Agent ORANGE
(AO) issue while in the United States. "If nothing is
mentioned, this will be unacceptable to Vietnamese public
opinion," the PM said. "Where and when would raising the
issue be acceptable?" he asked. The Ambassador responded
that it would be best to raise AO in a way that acknowledged
USG efforts over the past 15 years (with an expenditure of
USD 35 million) to meet disabilities needs in Vietnam.
Furthermore, in expressing a desire for continued U.S.
efforts, a call by the Prime Minister to increase scientific
efforts would be well received. This is a subject that
Minister of Health Chien can raise with HHS Secretary
Leavitt, or perhaps the PM can raise it during his public
remarks in Boston. In any case, there are constructive and
unconstructive ways to address this issue, and often the way
it is treated in the press in Vietnam is not beneficial to
bilateral relations, the Ambassador noted.


19. (SBU) In August, there will be a DoD-funded seminar to
share our experiences with Vietnam in cleaning up toxic
chemical sites. This is the kind of cooperation we like to
see, the Ambassador stressed. However, there is a need for
better coordination and cooperation at the ministerial level
between our two Governments so that, when useful projects
are approved, we can finish them successfully.
Unfortunately, we recently had to cancel a birth defects
study project because, even after two years, we still could
not work out how to proceed, the Ambassador said. The Prime
Minister had no substantive reaction to the Ambassador's
points.


20. (SBU) Comment: Throughout the meeting, Prime Minister
Khai was relaxed and clearly looking forward to his upcoming
trip. He seemed well-briefed and had a complete grasp of
the various issues the Ambassador raised. End Comment.

MARINE