UAE DRAFT EXPORT CONTROL LAW OUT FOR COMMENT

C O N F I D E N T I A L ABU DHABI 000096 SIPDIS NOFORN SIPDIS STATE FOR NEA/ARP, ISN/CPI USDOC FOR A/S FOULON, DAS WYSONG E.O. 12958: DECL: 01/24/2017 TAGS: ETTC PARM PREL KSTC AE SUBJECT: UAE DRAFT EXPORT CONTROL LAW OUT FOR COMMENT REF: A. 06 ABU DHABI 4517 ¶B. 06 ABU DHABI 2772 Classified By: Ambassador Michele J. Sison for reasons 1.4 (b&d). ¶1. (C/NF) In spite of longstanding U.S. urging, the UAEG still has no export control law. At the end of last year, UAE officials told us that they have an omnibus draft export-import law being finalized, which included a section on strategic trade controls. According to MinEcon Under Secretary Abdullah Al-Saleh "everything you are concerned SIPDIS about (in relation to export controls) is there." (ref A). ¶2. (C/NF) We have continued to push the UAE to move expeditiously in passing this law. The issue came up most recently during the January 22 call of Under Secretary of State for Political Affairs Nicholas Burns and NEA PDAS James Jeffrey on Abu Dhabi Crown Prince Sheikh Mohamed bin Zayed Al-Nahyan (MbZ),and UAE Foreign Minister Sheikh Abdullah bin Zayed Al-Nahyan (AbZ). On January 23, UAE Minister of Economy, Sheikha Lubna Al-Qasimi told Ambassador that the omnibus trade law had been sent to the various UAE Chambers of Commerce for comment. The comments would be reviewed shortly. Obaid Al-Tayer, President of the Dubai Chamber of Commerce and Industry, confirmed that his organization had received the law. ¶3. (C/NF) Early morning on January 24, AbZ called Ambassador to report that MbZ and UAE Prime Minister/Ruler of Dubai Sheikh Mohammed bin Rashid Al-Maktoum (MbR) had spoken about the law subsequent to Burns, meetings with both. AbZ said that MbR, in his role as Prime Minister, had requested that the law be moved forward expeditiously. ¶4. (C/NF) Comment: The apparent interest of MbR is a good sign, given that Dubai's ports control most of the re-export trade for the UAE and have been advertising efficiency in clearing freight as one of their comparative advantages. We have heard for several years that the export control law is a high priority for the UAEG, but have seen only limited progress in moving the law through the cabinet. Indeed, as late as summer 2006, MbR told the Ambassador the export law should be passed. (ref B) The next meeting of the US-UAE Counterproliferation Task Force -- proposed for mid-February -- will give us another high-level opportunity to try and move the law forward. End Comment SISON