Identifier
Created
Classification
Origin
06DUSHANBE1718
2006-09-15 13:09:00
UNCLASSIFIED
Embassy Dushanbe
Cable title:  

CHINESE PRIME MINISTER BRINGS GOOD FORTUNE TO SCO TALKSIN

Tags:  PGOV ECIN ECON EFIN ENRG PREL EAID TBIO TI 
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RR RUEHLN RUEHVK RUEHYG
DE RUEHDBU #1718/01 2581309
ZNR UUUUU ZZH
R 151309Z SEP 06
FM AMEMBASSY DUSHANBE
TO RUEHC/SECSTATE WASHDC 8591
INFO RUCNCIS/CIS COLLECTIVE
RUEHNE/AMEMBASSY NEW DELHI 1804
RUEHBUL/AMEMBASSY KABUL 1780
RUEHIL/AMEMBASSY ISLAMABAD 1819
RHEFDIA/DIA WASHINGTON DC
RUEAIIA/CIA WASHDC
RHEHAAA/NATIONAL SECURITY COUNCIL WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEHDBU/AMEMBASSY DUSHANBE 0008
UNCLAS SECTION 01 OF 02 DUSHANBE 001718 

SIPDIS

STATE FOR SCA/CEN
SIPDIS

E.O. 12958: N/A
TAGS: PGOV ECIN ECON EFIN ENRG PREL EAID TBIO TI
SUBJECT: CHINESE PRIME MINISTER BRINGS GOOD FORTUNE TO SCO TALKSIN
DUSHANBE

DUSHANBE 00001718 001.2 OF 002


UNCLAS SECTION 01 OF 02 DUSHANBE 001718

SIPDIS

STATE FOR SCA/CEN
SIPDIS

E.O. 12958: N/A
TAGS: PGOV ECIN ECON EFIN ENRG PREL EAID TBIO TI
SUBJECT: CHINESE PRIME MINISTER BRINGS GOOD FORTUNE TO SCO TALKSIN
DUSHANBE

DUSHANBE 00001718 001.2 OF 002



1. (U) SUMMARY: The fifth session of the Shanghai Cooperation
Organization heads of government began September 15 in Dushanbe
to a flourish of publicity. High-level representatives from
China, Russia, Kyrgyz Republic, Kazakhstan, and Uzbekistan,
observers from India, Iran, Pakistan, and Mongolia, as well as
Afghanistan as a non-status observer, will focus on regional
economic and security cooperation. Chinese Premier Wen Jiabao's
visit to Tajikistan, the first of its kind in 14 years, along
with the first joint military cooperation between China and
Tajikistan, serves to greatly boost the relationship between the
two countries. END SUMMARY.


2. (U) Members of the Shanghai Cooperation Organization (SCO)
meeting September 15-16 will seek to further the implementation
of resolutions passed by the June SCO summit in Shanghai, as
well as pass the organization's 2007 budget. According to press
reports, the main issues of discussion include cooperation in
the fields of economy, telecommunications, transportation,
energy, environmental protection, and education. Leading the
delegations are: Tajik Prime Minister Oqil Oqilov, Chairman of
the Chinese State Council Wen Jiabao, Russian Prime Minister
Mikhail Fradkov, Kazakh Prime Minister Daniyal Akhmetov, Kyrgyz
Prime Minister Felix Kulov, and Uzbek Deputy Prime Minister
Rustam Azimov. From SCO observing countries: Indian Minister of
State in the Prime Minister's Office Prithviraj Chavan, Iranian
Vice-President for Executive Affairs Ali Saidlu, Pakistan's
Prime Minister Shaukat Aziz, and Mongolian Vice Prime Minister
Mendsayhany Enhsayhan. First Vice President of Afghanistan
Ahmad Zia Masud is attending as a guest. This SCO Prime
Minister's meeting will provide the basis for the next SCO
President's meeting.


3. (U) Zhang Deguang, Executive Secretary of the SCO, met with

President Rahmonov to discuss the agenda of the summit.
According to press, Zhang publicly praised the social and
political situation in Tajikistan, particularly for its
"stability, peace and national unity. . . . This as well as the
economic development of the country is very important for
security in the Central Asian region." Zhang and Rahmonov
discussed issues of post-war reconstruction of Afghanistan's
economy. "We are interested in reestablishment of stability in
this country, because stability and security of the SCO states
depend on security and stability in Afghanistan." The SCO and
Afghanistan set up a contact group to consider measures to
reconstruct Afghanistan's economy and deal jointly with
international terrorism and drug trafficking.


4. (U) According to the Ministry of Economic Development of
Russia, SCO representatives will approve two new highway
projects during the SCO meeting. The two highways will be built
through: Russia, China, Kazakhstan, Uzbekistan and Tajikistan.
Despite Tajikistan's stated belief that energy projects are best
discussed on a bilateral basis, rather than through the SCO,
Russia and others will ensure that regional energy cooperation
remains high on the agenda. According to government sources,
SCO Observers Iran, India and Pakistan are actively seeking
membership in the SCO, whereas Mongolia lacks such interest.


5. (SBU) According to news reports, during Chinese-Tajik
discussions the sides will discuss the implementation of
previously signed agreements on economic, military and technical
cooperation, and discuss possibilities for new Chinese
investments in Tajikistan, particularly in the hydropower
sector. The two sides are also expected to discuss regional
security, and strengthening cooperation in the fight against
terrorism, extremism and separatism. Jiabao and Rahmonov are
expected to take part in an official ceremony launching the
construction of the electric transmission line (LEP)
"North-South" in the Varzob Gorge. In addition, Chen Yuan,
Chairman of China's Development Bank arrived in Dushanbe to sign
an agreement with the Tajik National Bank under which the
Chinese side will provide a USD 10 million loan to enhance the
agriculture sector in Tajikistan. According to the Tajik State
Statistical Committee, China exported nearly USD 70 million in
goods to Tajikistan in the first six months of this year, up 40%
from the same period last year. Tajik exports to China over the
same period amount to USD 5.5 million.


6. (SBU) In a new development, Chinese special forces and
Tajik troops are preparing for the first ever joint
anti-terrorist exercises according to the Tajik defense
ministry. The joint military exercises, are planned for

DUSHANBE 00001718 002.2 OF 002


September 21-23 on the Tajik training ground Mumirak, 200
kilometers (124 miles) southeast of Dushanbe, the ministry's
spokesman said. A total of about 500 soldiers will take part,
including a company of Chinese special forces, the defense
ministry said. The Tajiks will supply artillery, air power and
paratroopers. The drill will be held as part of the Shanghai
convention on the fight against terrorism, separatism and
extremism, in line with this year's plan of military and
military-technical cooperation of the two states' defense
agencies.


7. (U) Centrasia.ru published a testy article describing U.S.
intentions in Central Asia, entitled "To Decrease the Influence
of the SCO and the Organization of Agreement for Collective
Security - this is the priority task for U.S. State Department
in Central Asia." The author attempts to discredit U.S.
engagement, particularly Richard Boucher's statements and
Ambassador Hoagland's statements in Central Asia as ineffective
and "adding no value to Central Asia." The article urges the
SCO to confront U.S. interests in the region rather than seek
avenues of cooperation.


8. (SBU) COMMENT: Many observers here quietly feel the SCO
serves Chinese interests in the region and nothing more.
However, as China continues to lavish attention and money on the
region, a small and poor country like Tajikistan has much to
gain as well. Russia does not appear worried about the SCO
eroding Moscow's position vis-a-vis China in Central Asia, and
like China, appears to be championing the use of the SCO for
economic purposes. END COMMENT.
JACOBSON