Identifier
Created
Classification
Origin
07LUXEMBOURG204
2007-05-25 19:48:00
CONFIDENTIAL
Embassy Luxembourg
Cable title:  

PUTIN VISITS JUNCKER LOOKING FOR FRIENDS IN OLD

Tags:  PGOV PREL EINV LU EU NATO RU 
pdf how-to read a cable
VZCZCXRO7304
PP RUEHAG RUEHROV
DE RUEHLE #0204/01 1451948
ZNY CCCCC ZZH
P 251948Z MAY 07
FM AMEMBASSY LUXEMBOURG
TO RUEHC/SECSTATE WASHDC PRIORITY 5902
INFO RUCNMEM/EU MEMBER STATES
RUEHMO/AMEMBASSY MOSCOW 0400
RUEHBS/USEU BRUSSELS
RUEHNO/USMISSION USNATO 0629
C O N F I D E N T I A L SECTION 01 OF 02 LUXEMBOURG 000204 

SIPDIS

SENSITIVE
SIPDIS

E.O. 12958: DECL: 05/25/2017
TAGS: PGOV PREL EINV LU EU NATO RU
SUBJECT: PUTIN VISITS JUNCKER LOOKING FOR FRIENDS IN OLD
EUROPE

REF: LUXEMBOURG 89

Classified By: CDA E. Thomas Boughter For Reasons 1.4 (b) & (d)

C O N F I D E N T I A L SECTION 01 OF 02 LUXEMBOURG 000204

SIPDIS

SENSITIVE
SIPDIS

E.O. 12958: DECL: 05/25/2017
TAGS: PGOV PREL EINV LU EU NATO RU
SUBJECT: PUTIN VISITS JUNCKER LOOKING FOR FRIENDS IN OLD
EUROPE

REF: LUXEMBOURG 89

Classified By: CDA E. Thomas Boughter For Reasons 1.4 (b) & (d)


1. (SBU) SUMMARY. Russian President Vladimir Putin concluded
a one-day, first-ever state visit by a Russian or Soviet
leader to Luxembourg on 24 May. The visit encompassed
several dimensions but focused heavily on EU-Russia relations
with the majority of the 9-hour visit being taken up by
meetings with Luxembourg Prime Minister Jean-Claude Juncker.
During the visit several Luxembourg-Russian business
agreements were also signed including a 400 million EUR deal
to construct a power plant in Germany. END SUMMARY


2. (C) Amid an unprecedented level of security, Russian
President Vladimir Putin conducted a 1-day state visit to
Luxembourg. Putin was received by Luxembourg,s Head of
State, Grand Duke Henri, and attended several public events,
including a wreath-laying ceremony at a WWII memorial.
However, over half of Putin,s schedule was set aside for
meetings with Luxembourg Prime Minister Jean-Claude Juncker,
including a working dinner. These meetings ran nearly 2
hours longer than originally scheduled and focused heavily on
EU-Russia relations. During their joint press conference
after these meetings, both leaders made brief remarks and
addressed questions concerning EU)Russia relations, the U.S.
missile defense system, human rights in Russia, the Russian
financial system, the Iranian nuclear program, and
Russia-Luxembourg economic relations.


3. (C) In their comments, Putin and Juncker touched on the
U.S. missile defense (MD) system. Putin reiterated
long-standing Russian complaints about the MD system )-
there is no compelling threat to either Europe or the U.S.,
that Russia has not been sufficiently consulted, as well as
as CFE Treaty issues. He also suggested that the
Organization for Security and Cooperation in Europe was a
good forum to discuss the MD system saying &This is
precisely what this organization was created for. We hope
for constructive dialogue with our partners.8 In response
to a question regarding human rights in Russia, Putin bluntly
stated that Western countries only bring up human rights in
order to make Russia &more pliable on issues that have
nothing to do with democracy or human rights, namely
disarmament, anti-missile defense, and Kosovo.8 For his
part, Juncker emphasized Luxembourg and the EU,s desire for
friendly relations with Russia, the need to not make rash
decisions regarding MD, and the hope that the issue not
separate Russia from the EU.


4. (C) On the issue of Russia)EU relations, Putin complained
that recent EU disputes with Russia were due in part to a
growing number of new EU member states which seek &to shift
their bilateral problems with Russia onto the pan-European
floor.8 However, Putin said that Russia did not want to
"dramatize8 its disputes with the EU, but rather &resolve
them together." He added that he hoped Luxembourg would take
a leading role in solving the problems between the EU and
Russia. Juncker echoed this theme saying &no one in Europe
sees Russia as a threat8 and that it was important for
Europe to extend its best efforts to look towards the future
rather than backwards at the past.


5. (C) Putin was accompanied by a delegation of 250
individuals including business and cultural leaders. In
separate events not attended by Putin or Juncker,
representatives of Gazprom concluded a 400 million EUR deal
with the Luxembourg joint venture company Soteg SA to build a
gas-fired electric plant in Germany. A cooperation agreement
was also signed between the Association of Banks and Bankers,
Luxembourg (ABBL) and the Association of Russian Banks (ARB)
on the exchange of information. Press reports also pointed
out that Luxembourg is one of the largest investors in Russia
with approximately $23 billion, though most of this is in the
form of Luxembourg-based holding companies.


6. (C) COMMENT. Though the timing was fortuitous for Putin
in light of how frustrating last week,s EU-Russia Summit
must have been for him, his visit had been scheduled for
months (Reftel). That said, we are not at all surprised that
Putin extended his visit with Juncker in light of how things
went at the Summit. It is no great secret that Juncker is
fond of Putin. He has told us so in the past and the Press
quickly pointed out that both leaders referred publicly to
each other by their first names throughout the visit. It is
becoming increasingly clear to us that Juncker seems
determined to play a role in mediating between the EU and
Russia. END COMMENT

LUXEMBOURG 00000204 002 OF 002


BOUGHTER