NEW TUSIAD CHAIRMAN: US CAN HELP CURB RISING

C O N F I D E N T I A L SECTION 01 OF 02 ISTANBUL 000110

SIPDIS

SIPDIS

DEPARTMENT FOR EUR/SE

E.O. 12958: DECL: 02/13/2017
TAGS: PREL PGOV ECON TU AM
SUBJECT: NEW TUSIAD CHAIRMAN: US CAN HELP CURB RISING
NATIONALISM IN TURKEY


Classified By: Ambassador Ross Wilson for reasons 1.4 (b) and (d)


1. (C) Summary: Newly elected Turkish Industrialists and
Businessmen's Association (TUSIAD) Chairman Arzuhan Dogan
Yalcindag and the head of TUSIAD's parliamentary commission
Pekin Baran told Ambassador that the loss of EU and US
credibility in Turkey has contributed to the recent rise of
nationalism. Yalcindag expressed concerns about increased
polarization in Turkey and suggested that the U.S. could help
counter this trend and support liberal democracy by taking
visible steps against the PKK and refraining from passing an
Armenian Genocide Resolution (AGR) in Congress.
Nevertheless, both she and Baran were optimistic about
Turkey's ability to make progress on most key issues. End
summary.


2. (C) During a February 7 introductory meeting, Yalcindag
-- who was elected TUSIAD Chairman on January 25 -- described
to Ambassador her goals and agenda for Turkey's leading
business organization. She intends to increase TUSIAD's
voice, including in political affairs, and to promote
stability and prosperity through support for sound
macroeconomic policies and the EU relationship. Yalcindag
pledged to continue TUSIAD's lobbying and academic research,
noting such political activities were not a new phenomenon
for the organization. Its recently released democratization
report that attracted attention for its controversial
recommendations on Kurdish-language education and other
issues, for example, was actually a follow-up to a report
that came out ten years ago.


3. (C) Yalcindag expressed concern for what she believed to
be the increased polarization of Turkey over the last few
months. She blamed this development on a difficult EU
accession process and the PKK situation in northern Iraq.
Citing former German Chancellor Gerhard Schroeder and French
President Jacques Chirac, Yalcindag lamented that some of
Turkey's friends in the EU are no longer in leadership
positions or are about to depart those positions. She stated
Turkish public opinion in support of EU accession has
decreased but defended the government's lack of leadership in
promoting associated reforms.


4. (C) Baran was more direct in crediting this polarizing
trend to external influences. He blamed rising anti-Western,
anti-American sentiment on an EU and U.S. loss of
credibility. These are leading to growing radicalism in some
quarters of society. Baran added that the process began at
the EU Summit in December 2004 when unique restrictions were
applied to finalizing Turkey's EU accession. A disillusioned
GOT, he claimed, responded by waiting seven months to appoint
State Minister Ali Babacan as its chief EU negotiator. The
process continued when the French required a referendum to
approve Turkey's EU membership. Another negative was the
December 2006 decision to suspend eight chapters in the EU
process. Still, Baran was quick to point out that Turkey
successfully pushed through an aggressive reform agenda
between 2002 and 2004, demonstrating that with determination
and external support, Turkey can move forward.


5. (C) Baran worried about the impact of negative trends in
Iraq. He believed the Turkish public had previously viewed
itself as a partner with a stake in the success of Iraq but
this view was now shifting. Yalcindag opined that additional
US troops there would help, but was concerned about the type
of training these troops would receive prior to deployment
and their sensitivity to local customs and mores. While
recognizing the recent French action against PKK elements in
Paris as a positive step, she implored that action by the
U.S. on the PKK would go a long way toward burnishing the US
image in Turkey and blunt the loss of credibility that is
undermining Western values here.


6. (C) Both Yalcindag and Baran expressed positive opinions
concerning the public reaction to the murder of Armenian
Turkish human rights advocate Hrant Dink. Baran noted the
presence of radicalism in Turkey was not new but that the
nascent forces speaking out against nationalism was a
promising development. If push came to shove, this nascent
opposition would defeat the radical elements.


7. (C) Yalcindag and Baran agreed that U.S. - Turkish
relations would be significantly harmed by the passing of an
AGR in Congress. Yalcindag said that the man on the street
doesn't understand why the EU blames Turkey for the Cyprus
problem or why other countries try to legislate Turkish
issues or why more cannot be done on the PKK situation. She
is planning a visit to Washington, o/a March 19 or possibly
earlier and hopes to have meetings on the Hill to discuss
Armenia.

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